Question

Ackbar, Inc. has had high growth in profits for several years, and each year it has had the highest profits ever. As a strategic analyst can you conclude the firm has a strategic competitive advantage? O Need to know profits of competitors. O No more information is needed; the evidence shows the firm has a strategic advantage O Need to know industry of Ackbar, Inc. O Need to know about share value of Ackbar, Inc.
0 0
Add a comment Improve this question Transcribed image text
Answer #1

A competitive advantage exits when a firm is able to produce the same good at much lower cost compared with competitors or able to produce different good having more benefit compare to the competitor. So, here only the growth and the high profit will not same anything about the competitive advantage we also need the information about the other competitors, => “need to know about share value of Ackbar, Inc”. So, here the correct option is “D”.

Add a comment
Know the answer?
Add Answer to:
Ackbar, Inc. has had high growth in profits for several years, and each year it has...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • Stock valuation at Rayari, INC. Ragan, Inc., was founded nine years ago by brother and sister...

    Stock valuation at Rayari, INC. Ragan, Inc., was founded nine years ago by brother and sister Carrington and Genevieve Ragan. The company manufactures and installs commercial heating, ventilation, and cooling (HVAC) units. Ragan, Inc., has experienced rapid growth because of a proprietary technology that increases the energy efficiency of its units. The company is equally owned by Carrington and Genevieve. The original partnership agreement between the siblings gave each 50,000 shares of stock. In the event either wished to sell...

  • Philadelphia SteelWorks, Inc. has had steady earnings for the last several years and foresees this happening...

    Philadelphia SteelWorks, Inc. has had steady earnings for the last several years and foresees this happening in the near future. However, a new technology that is in the works allows PSW to forecast growth in the next few years. Specifically, the dividends PSW expects to pay in the next three years is $3 per share. Starting in year 4, the company expects to increase this dividend 6% per year indefinitely. What is the stock price of PSW if investors during...

  • A financial analyst has been following Fast Start Inc., a new high-growth company. She estimates that...

    A financial analyst has been following Fast Start Inc., a new high-growth company. She estimates that the current risk-free rate is 6.25%, the market risk premium is 5%, and that Fast Start's beta is 1.75. The current earnings per share (EPS0) is $2.50. The company has a 40% payout ratio. The analyst estimates that the company's dividend will grow at a rate of 25% this year, 20% next year, and 15% the following year. After three years the dividend is...

  • Ragan Engines, Inc., was founded nine years ago by a brother and sister—Carrington and Genevieve Ragan—and...

    Ragan Engines, Inc., was founded nine years ago by a brother and sister—Carrington and Genevieve Ragan—and has remained a privately owned company. The company manufactures marine engines for a variety of applications. Ragan has experienced rapid growth because of a proprietary technology that increases the fuel efficiency of its engines with very little sacrifice in performance. The company is equally owned by Carrington and Genevieve. The original agreement between the siblings gave each 125,000 shares of stock. Larissa has asked...

  • To verify their calculations, Carrington and Genevieve have hired Josh Schlessman as a consultant. Josh was...

    To verify their calculations, Carrington and Genevieve have hired Josh Schlessman as a consultant. Josh was previously an equity analyst and covered the HVAC in- dustry. Josh has examined the company’s financial state- ments, as well as examining its competitors. Although Ragan, Inc., currently has a technological advantage, his research indicates that other companies are investigating methods to improve efficiency. Given this, Josh believes that the company’s technological advantage will last only for the next five years. After that period,...

  • l cricket LTE 9:27 AM 16 Bookmarks Show all steps: ter 7, Problem 10 STOCK VALUATION...

    l cricket LTE 9:27 AM 16 Bookmarks Show all steps: ter 7, Problem 10 STOCK VALUATION AT RAGAN, INC. Ragan, Inc., was founded nine years ago by brother and sister Carrington and Genevieve Ragan. The company manufactures and installs commercial heating, ventilation, and cooling (HVAC) units. Ragan, Inc., has experienced rapid growth because of a proprietary technology that increases the energy efficiency of its units. The company is equally owned by Carrington and Genevieve. The original partnership agreement between the...

  • Please note that I recognize that this has several solutions already posted - I am having...

    Please note that I recognize that this has several solutions already posted - I am having particular difficulties with #4, and it is the ONLY question included in my post. I need to show my work and am really struggling with answering this question in entirety. Larissa has been talking with the company’s directors about the future of East Coast Yachts. To this point, the company has used outside suppliers for various key components of the company’s yachts, including engines....

  • Larissa has been talking with the company’s directors about the future of East Coast Yachts. To t...

    Larissa has been talking with the company’s directors about the future of East Coast Yachts. To this point, the company has used outside suppliers for various key components of the company’s yachts, including engines. Larissa has decided that East Coast Yachts should consider the purchase of an engine manufacturer to allow East Coast Yachts to better integrate its supply chain and get more control over engine features. After investigating several possible companies, Larissa feels that the purchase of Ragan Engines,...

  • Mini Case: STOCK VALUATION AT RAGAN ENGINES Larissa has been talking with the company's directors about the fut...

    Mini Case: STOCK VALUATION AT RAGAN ENGINES Larissa has been talking with the company's directors about the future of East Coast Yachts. To this point, the company has used outside suppliers for various key components of the company's yachts, including engines. Larissa has decided that East Coast Yachts should consider the purchase of an engine manufacturer to allow East Coast Yachts to better integrate its supply chain and get more control over engine features. After investigating several possible companies, Larissa...

  • The topic is Southwest Airlines so the industry would be airlines Team Members: Alexis Alex, and...

    The topic is Southwest Airlines so the industry would be airlines Team Members: Alexis Alex, and Ayoub Chapter 3 Worksheet (External Analysis) The purpose of the external analysis is to identify opportunities and threats for the industry you are analyzing. Do not focus on the company under analysis. Focus on the industry in which the company competes. Make sure your analysis of the facts leads to a logical determination of specific opportunities and threats associated with the criterion you are...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT