Which of the following statements is true regarding competitive positioning of strategic groups?
A)Firms generally stay within their strategic groups due to various mobility barriers.
B)Strategic groups lack competitors within industries that compete closely against each other.
C)As a strategic group,the airline industry made up of large service carriers has had the ability to migrate to a lost-cost model.
D)Strategic groups are often homogeneous allowing the elements of the five forces model to remain static between different strategic groups.

Question

Quizplus · Accepted Answer

Firms generally stay within their strategic groups due to various mobility barriers such as brand loyalty, supplier relationships, and high capital requirements. Moving to a different strategic group may be difficult and costly.

Which of the Following Statements Is True Regarding Competitive Positioning