The definition of an industry's boundaries is important because
A) It has to be included in the mission statement
B) It helps executives determine the arena in which their firm is competing
C) It has to be reported to stockholders
D) It helps set the prices for the firm's products

Question

Quizplus · Accepted Answer

Knowing the boundaries of an industry is important for executives because it helps them understand the competitive landscape and identify key players and market segments. This information is essential for developing effective strategies and making informed decisions about where to allocate resources and how to position the company within the market. The other options (A, C, D) are not directly related to defining industry boundaries.

The Definition of an Industry's Boundaries Is Important Because