a. The emergence of a dominant design
b. The shift from product to process innovation
*c. The shift of production from mature to emerging countries
d. Rapid market penetration
31. The duration of the industry life cycle:
[See p.211]
a. Typically extends over a century or more
b. Is determined by the longevity of the firms within the industry
*c. Has become compressed as the pace of technological change has accelerated
d. Depends upon the ability the industry to sustain innovation
32. The different stages of the industry life cycles are defined primarily on the basis of:
[See p.207]
*a. The rate of growth of industry sales
b. The characteristics of competition within the industry
c. The pace of innovation within the industry
d. None of the above
33. The characteristic profile of an industry life cycle has an ‘S’ shaped curve because:
[See p.209
a. It is modeled on the Product Life Cycle, which is also ‘S’ shaped.
b. It is generated by a quadratic function.
c. It reflects the changing pace at which technology is diffused.
*d. It is the result of changes in rates of growth of market demand.
34. Firm entry rates tend to be highest during the growth stage of an industry life cycle because:
[See pp.212-214]
a. Shortage of production capacity keeps margins attractive.
b. The propensity for entrepreneurs and venture capitalists to imitate one another.
b. The shift from product to process innovation
*c. The shift of production from mature to emerging countries
d. Rapid market penetration
31. The duration of the industry life cycle:
[See p.211]
a. Typically extends over a century or more
b. Is determined by the longevity of the firms within the industry
*c. Has become compressed as the pace of technological change has accelerated
d. Depends upon the ability the industry to sustain innovation
32. The different stages of the industry life cycles are defined primarily on the basis of:
[See p.207]
*a. The rate of growth of industry sales
b. The characteristics of competition within the industry
c. The pace of innovation within the industry
d. None of the above
33. The characteristic profile of an industry life cycle has an ‘S’ shaped curve because:
[See p.209
a. It is modeled on the Product Life Cycle, which is also ‘S’ shaped.
b. It is generated by a quadratic function.
c. It reflects the changing pace at which technology is diffused.
*d. It is the result of changes in rates of growth of market demand.
34. Firm entry rates tend to be highest during the growth stage of an industry life cycle because:
[See pp.212-214]
a. Shortage of production capacity keeps margins attractive.
b. The propensity for entrepreneurs and venture capitalists to imitate one another.
