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1) The height of an exit barrier may be affected by the amount of specialized as

ID: 424669 • Letter: 1

Question

1) The height of an exit barrier may be affected by the amount of specialized assets.

False

True

2) Scenario planning does not deal with driving forces

True

False

3) The extent of the rivalry will vary according to the strength of buyers and sellers and the potential for substitute products.

True

False

4) Force Field Analysis is almost equivalent scenario planning.

True

False

5) Patents can be a very effective barrier to entry.

True

False

6) A PEST analysis is a method to

Determine strategic goals

Select driving force

Analyze market demand

Determine patient origin

True

False

Explanation / Answer

1. True

2. False, as Scenario planning deals with driving forces.

3. True

4. False, as Force Field Analysis and Scenario Planning are not equivalent.

5. True, as it will make tough for new entrants to enter in the same segment.

6. Select driving force is what a PEST analysis is a method to.