An industry analysis is critical to better understand a firm's financial position because:
A)it provides insight into how the firm's financial needs might change as industry conditions change.
B)it helps identify the key risks and opportunities facing the firm.
C)it provides better insight into how maximize the firm's current financial position relative to its competitors.
D)All of the above.

Question

Quizplus · Accepted Answer

An industry analysis can provide insight into how a firm's financial needs might change as industry conditions change, help identify the key risks and opportunities facing the firm, and provide better insight into how to maximize the firm's current financial position relative to its competitors. Therefore, all of the above options are correct.

An Industry Analysis Is Critical to Better Understand a Firm's