npepitone wrote:
I'm confused about Q3, choice c. Per MartyMurray:
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Quote:
C. Companies are most likely to focus their investment on the development of new products if they perceive competitors to lack strong overall business systems.
The passage never suggests this. In fact, it suggest that companies may focus their investment on the development of new products even though competitors have strong overall business systems, mentioning this type of situation: "If a company develops a superior new product but is unable to distribute and promote it rapidly, competitors with better distribution systems may copy the product and introduce it into the market before the innovator can profit from itsinnovation."
The passage never suggests this. In fact, it suggest that companies may focus their investment on the development of new products even though competitors have strong overall business systems, mentioning this type of situation: "If a company develops a superior new product but is unable to distribute and promote it rapidly, competitors with better distribution systems may copy the product and introduce it into the market before the innovator can profit from itsinnovation."
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If a company believes that they have a superior new product and their competitors are perceived to lack strong overall business systems, wouldn't that company then have an advantage in that they would be able to distribute and promote it more rapidly than their competitors?
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Statistics : Posted by EthanTheTutor • on 12 Sep 2023, 10:15 • Replies 7 • Views 5187

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