A product-positioning rule given in the chapter is that “when there are only two competitors, the middle becomes the preferred strategic position.” Illustrate this for the cruise ship industry, where two firms, Carnival and Royal Caribbean, dominate. Illustrate this for the commercial airliner building industry, where Boeing and Airbus dominate.
Answer to relevant QuestionsHow could/would dividends affect an EPS/EBIT analysis? Would it be correct to refer to “earnings after taxes, interest, and dividends” as retained earnings for a given year? In accounting terms, distinguish between intangibles and goodwill on a balance sheet. Why do these two items generally stay the same on projected financial statements? Under what conditions would Retained Earnings on the Balance Sheet decrease from one year the next? In developing projected financial statements, what should you do if the $ amount you must put in the cash account (to make the statement balance) is far more (or less) than desired? If a firm has two regions and two products, develop a sample framework for measuring organizational performance.
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