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Over
1 month ago
13

A narrow market focus is to a differentiation-based strategy as a __________________. technological innovation is to a cost-base

d strategy growth market is to a cost-based strategy growth market is to a differentiation-based strategy broadly-defined target market is to a cost leadership strategy
Business
1 answer:
Katen [2.8K]1 month ago
8 0

Answer: the potential options are:

A. A growth market corresponds to a differentiation-based strategy

B. A broadly-defined target market relates to a cost leadership strategy

C. A growth market is associated with a cost-based strategy

D. Technological innovation aligns with a cost-based strategy

Answer is B

Explanation:

Businesses employing a cost leadership strategy, alongside those utilizing a differentiation strategy, share a vital characteristic: both aim to appeal to a wide customer base. Their strategies to attract a diverse set of consumers contrast with approaches that focus on catering to a more specific niche. Such strategies are labeled focus strategies (Porter, 1980). A focused cost leadership strategy entails competing on prices to capture a NARROW MARKET. A firm adopting this strategy may not always offer the lowest prices in the industry; however, it sets lower prices in comparison to its competitors in the designated market segment. For instance, one might find milk cheaper at a large supermarket in their locality, while the neighborhood convenience store offers lower prices closer to home. Redbox exemplifies this concept; it rents DVDs for just $1 from vending machines located at supermarkets and other retail venues. Even cheaper options exist via Netflix's subscription-based streaming services, yet among DVD rental businesses, Redbox stands out with its exceptional prices and convenience.

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1 month ago
A software engineer believes that if she can complete her current project on time she will get her much awaited promotion to the
harina [3164]

Options:

very high, given both expectancy and valence levels are elevated

moderately high, since high valence and instrumentality compensate for low expectancy

moderate, as high expectancy and valence levels counteract low instrumentality

low, since motivation requires high expectancy, instrumentality, and valence.

Answer:

low, since motivation hinges on high expectancy, instrumentality, and valence.

Explanation:

The expectancy theory of motivation posits that an individual will be driven to perform if they perceive their efforts will yield a positive reaction from their employer or result in satisfactory compensation. An employee who doubts their ability to meet the demands for a promotion will have a diminished level of motivation.

7 0
24 days ago
Beckham Broadcasting Company (BBC) has operating income (EBIT) of $2,500,000. The company's depreciation expense is $500,000 and
arsen [2933]

Answer:

The right choice is option (D).

Explanation:

The scenario provides the following information:

Operating Income (EBIT) = $2,500,000

Depreciation Expense = $500,000

Tax rate = 40%

Net investment = $1,000,000

Thus, we can determine BBC's free cash flow using this formula:

= EBIT × (1 - Tax Rate) + Depreciation & Amortization - Net investment

Insert the values into the formula above:

So, the calculation becomes:

= $2,500,000 × (1 - 40%) + $500,000 - $1,000,000

= $1,500,000 + $500,000 - $1,000,000

= $1,000,000

4 0
1 month ago
Northwood Company manufactures basketballs. The company has a ball that sells for $25. At present, the ball is manufactured in a
Mariulka [3135]

Answer:

Follow the instructions provided below.

Explanation:

Given the data:

The selling price of the company's ball is $25.

Variable cost per item= $15.00

Fixed costs= 426,000

The contribution margin ratio is the percentage of sales contributing to fixed costs. It is calculated using:

Contribution margin ratio= (selling price - unit variable cost)/selling price

Contribution margin ratio= (25 - 15)/25= 0.4

Break-even units= fixed costs/ contribution margin

Break-even units= 426,000/10= 42,600 units

The degree of operating leverage quantifies the change in income relative to sales fluctuations.

Degree of operating leverage= total contribution margin / (total contribution margin - fixed expenses)

Degree of operating leverage= (62,000*10) / [(62,000*10) - 426,000]

Degree of operating leverage= 3.20

6 0
22 days ago
The bank statement ending balance is $45 lower than the general ledger bank balance. On the bank statement, there is a line item
Katen [2850]

Answer:

A general ledger adjustment should reflect: 1. Debit Bank Fee Expense $45 and Credit Bank Account $45.

Explanation:

The discrepancies between the Cash Book Bank Balance and the Bank Statement Balance often arise due to Unrecorded Items.

The bank's charge of $45 appears in the Bank Statement but was not documented in the Cash Book.

Thus, the appropriate adjustment is to reduce the Cash Book - Bank Balance and acknowledge this expense in the Income statement pertaining to these Bank Charges.

3 0
1 month ago
Read 2 more answers
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