Which of the following statements about strategic groups is FALSE?
A) Two assumptions are made: (1) no two firms are totally different, (2) no two firms are exactly the same.
B) Strategic groupings are of little help to a firm in assessing mobility barriers that protect a group from attacks by other groups.
C) Strategic groups help chart the future directions of firm strategies.
D) Strategic groups are helpful in thinking through the implications of each industry trend for the group as a whole.

Question

Quizplus · Accepted Answer

In an industry analysis, two assumptions are unassailable: (1) no two firms are totally different, and (2) no two firms are exactly the same. What value is the strategic group concept as an analytical tool? First, strategic groupings help a firm identify barriers to mobility that protect a group from attacks by other groups. They also help chart the future directions of firm strategies and are helpful in thinking through the implications of each industry trend for the strategic group as a whole.

Which of the Following Statements About Strategic Groups Is FALSE