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1-Which of the following is not a factor leading to an increase in the strength of the competitive rivalry in the video rental industry?

A-The rapid growth of the market for rentals, especially online.

B-Competitors are using more similar strategies and techniques to compete.

C-There are low switching costs in this industry

D-Product offerings are becoming more standardized

2-All of the following are driving forces in the video rental industry except...

A-Increased price cutting by rivals to attract new customers.

B-Increasing availability of file sharing, facilitating increased video piracy.

C-Rapidly changing technology in the delivery of videos.

D-TV stations are now required by law to broadcast using digital technology.

3-Which of the following would not be appropriate axes for a strategic group map of the video rental industry?

A-Scope of Geographic Coverage/Product Price

B-Product Quality and reputation/Breadth of Product Line

C-Product Price/Product Quality

D-Type of Distribution Channel/Breadth of Product Line.

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