Five Guys has become successful in a highly competitive industry dominated by fast-food giants like McDonald’s and Burger King, as well as direct competitors claiming to be “better burger” joints such as Smashburger, Burgerfi, and Shake Shack. Which of the following statements accurately explains the main reason for the success of Five Guys?

Bill’s Auto & Airplane Repair shop is able to generate a positive net income of $10,000 a week, which is about the same as the income of a close competitor. As a result, we can conclude that the two businesses also have a competitive parity in the industry.

Khaled, a manager, is writing an analysis of his employer’s current and possible future revenues. Which of the following could he identify as an economic factor in his firm’s external general environment?

According to Michael Porter’s five forces model,________ must be viewed broadly to encompass other forces in an industry.

Snow Beast Equipment initially spent 10 worker hours to assemble each snow blower. However, as unit production doubled, the number of hours spent on assembling a snow blower decreased by 20 percent. This increase in productivity reduced the company’s cost per unit. What is this phenomenon referred to as?

Chips & Motherboards, a leading hard drive manufacturer, recently filed for bankruptcy. While most of Chips & Motherboards’ competitors were shifting away from physical data storage devices toward online cloud storage services, Chips & Motherboards invested most of its retained earnings in the effort to improve its hard drives. Once the hard-drive market drastically declined, Chips & Motherboards was unable to capitalize on the new technology. Which of the following does this scenario best illustrate?

Several senior managers recently left Fred’s Autos and went to work at Better Autos, a rival company. What does this imply?

A firm incurs $600 to manufacture a computer. In the market, customers are willing to pay a maximum of $800 for the computer priced at $700. The difference of $200 ($800 – $600) is the

Due to political instability in the country of Bajukistan, the strategic leaders at the headquarters of Maxim Industries have decided to close all production facilities in the country until stability returns. Maxim’s managers have formulated a________ strategy.

Suppose that several senior managers leave Home Depot and go to work at rival Lowe’s. What aspect of resource stocks and resource flows does this represent for Home Depot?