ECONOMICS
INCENTIVES
|
Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
|
|
|
A
|
|
|
B
|
|
|
C
|
|
|
D
|
Detailed explanation-1: -Economists have identified four types of competition-perfect competition, monopolistic competition, oligopoly, and monopoly.
Detailed explanation-2: -Competition can be either direct (competing by selling the same products) or indirect (competing for the same market). The intensity of that competition, whether direct or indirect, will affect the overall potential for success of your business.
Detailed explanation-3: -There are three main types of sustainable competitive advantage: differentiation, cost leadership, and focus advantage.
Detailed explanation-4: -Industry rivalry-or rivalry among existing firms-is one of Porter’s five forces used to determine the intensity of competition in an industry. Other factors in this competitive analysis are: Barriers to entry.