Walmart has an aggressive pricing structure that has forced smaller,local retailers out of business in many markets.Local cities responded with regulations that make it difficult for Walmart to move into or expand operations in these areas.This is an example of
A) competitive aggressiveness not always leading to competitive advantages.
B) community regulations not leading to competitive advantages.
C) competitive aggressiveness always leading to competitive advantages.
D) community regulations diminishing small business choices.

Question

Quizplus · Accepted Answer

Competitive aggressiveness refers to efforts by the firm to outperform its industry rivals. Companies with an aggressive orientation are willing to do battle with competitors. They might slash prices and sacrifice profitability to gain market share or spend aggressively to obtain manufacturing capacity. As an avenue of firm development and growth, competitive aggressiveness may involve being very assertive in leveraging the results of other entrepreneurial activities such as innovativeness or proactiveness. Competitive aggressiveness may not always lead to competitive advantages. Some companies (or their CEOs) have severely damaged their reputations by being overly aggressive. For example, the Walmart aggressive pricing structure has forced smaller, local retailers out of business in many markets. This has led a number of local communities, often at the urging of local retailers, to pass regulations that make it difficult for Walmart to move into or expand operations in these towns and cities.

Walmart Has an Aggressive Pricing Structure That Has Forced Smaller,local