Asked by Sapna Rathod on May 18, 2024
Verified
Including market share as an objective in a business strategy is appropriate in all of the following cases EXCEPT when ________.
A) customer loyalty is hard to measure
B) industries plan to set standards
C) new entrants need to be barred
D) ancillary sales are anticipated
Ancillary Sales
Additional revenue generated from goods or services that complement a company's main business operations.
Customer Loyalty
The tendency of consumers to continue buying from the same brand or company, often due to satisfaction, convenience, or perceived value.
Business Strategy
A plan of action designed by an organization to achieve its vision and goals, outlining the steps the business will take to compete effectively in its industry.
- Understand the appropriateness of including market share as a business strategy objective.
Verified Answer
CJ
CHRISTINE JOY SANTOSMay 21, 2024
Final Answer :
A
Explanation :
Market share should not be pursued as an objective when customer loyalty is hard to measure. In such cases, other metrics such as customer satisfaction, customer retention, or customer lifetime value may be more appropriate. In the other cases mentioned (B, C, and D), market share can be a relevant and valid objective in a business strategy.
Learning Objectives
- Understand the appropriateness of including market share as a business strategy objective.