Industry effects describe the underlying economic structure of the industry. They attribute firm performance to the industry in which the firm competes. The structure of an industry is determined by elements common to all industries such as entry and exit barriers, number and size of companies, and types of products and services offered. AACSB: Analytical Thinking Accessibility: Keyboard Navigation Blooms: Understand Difficulty: 2 Medium Learning Objective: 01-03 Differentiate the roles of firm effects and industry effects in determining firm performance. Topic: What Strategy is: Gaining and Sustaining Competitive Advantage 32. are incidents that describe highly improbable but highly impactful events. swan events are incidents that describe highly improbable but highly impactful events. Several black swan events eroded the public's trust in business as an institution and capitalism as an economic system. AACSB: Knowledge Application Accessibility: Keyboard Navigation Blooms: Remember Difficulty: 1 Easy Learning Objective: 01-04 Evaluate the relationship between stakeholder strategy and sustainable competitive advantage. Topic: Stakeholders and Competitive Advantage 33. Shortly after the small island of Balamia experienced multiple unexpected earthquakes that caused massive destruction, many banks and insurance companies filed for bankruptcy. This left the economy of the country in a poor state. The natural calamity in Balamia best exemplifies
Industry effects describe the underlying economic structure of the industry. They attribute firm performance to the industry in which the firm competes. The structure of an industry is determined by elements common to all industries such as entry and exit barriers, number and size of companies, and types of products and services offered. AACSB: Analytical Thinking Accessibility: Keyboard Navigation Blooms: Understand Difficulty: 2 Medium Learning Objective: 01-03 Differentiate the roles of firm effects and industry effects in determining firm performance. Topic: What Strategy is: Gaining and Sustaining Competitive Advantage 32. are incidents that describe highly improbable but highly impactful events. swan events are incidents that describe highly improbable but highly impactful events. Several black swan events eroded the public's trust in business as an institution and capitalism as an economic system. AACSB: Knowledge Application Accessibility: Keyboard Navigation Blooms: Remember Difficulty: 1 Easy Learning Objective: 01-04 Evaluate the relationship between stakeholder strategy and sustainable competitive advantage. Topic: Stakeholders and Competitive Advantage 33. Shortly after the small island of Balamia experienced multiple unexpected earthquakes that caused massive destruction, many banks and insurance companies filed for bankruptcy. This left the economy of the country in a poor state. The natural calamity in Balamia best exemplifies
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