Investors who conduct industry analyses typically favor companies with strong market positions over companies with less secure market positions because firms with strong market positions tend to
I. be price leaders.
II. benefit more from economies of scale.
III. have better R&D programs.
IV. have lower production costs.

Question

Quizplus · Accepted Answer

Companies with strong market positions often are price leaders, benefit from economies of scale, have better R&D programs due to more resources, and have lower production costs due to efficiencies and economies of scale.

Investors Who Conduct Industry Analyses Typically Favor Companies with Strong