The intensity of Porter's five forces model determines ________
A) the exact number of customers a company will have
B) the exit strategy of a firm
C) how sustainable an industry's profitability will be
D) how to achieve a monopoly in the market
C
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For property-casualty insurers, loss rates are more predictable for
A. low-severity high-frequency events. B. low-severity low-frequency events. C. high-severity high-frequency events. D. high severity low-frequency events. E. low severity medium-frequency events.
Which of the following is most likely a true statement about sales compensation in economically tough circumstances?
A) Cutting sales force compensation is usually a last resort for firms that want to maintain positive customer relationships. B) Morale is boosted by distributing commissions equally among low and high sales performers. C) Online selling is discontinued to improve customer relations. D) Compensation for the inside sales force is reduced to increase commissions for the outside sales force. E) Low performers are retained and top performers are dismissed to reduce commission payments.