Sure! Here are the correct selections for each statement:
1. Direct Competition is a company that offers the same thing you offer.
- True
Explanation: Direct competition refers to businesses that offer similar products or services targeting the same customer segment. For example, two fast-food chains selling burgers would be direct competitors as they are offering the same product to the same target market.
2. All companies that sell goods and services are Indirect Competitors.
- False
Explanation: Indirect competitors are companies that offer different products or services but target the same customer need or market. For instance, a fast-food restaurant and a grocery store are not direct competitors, but they could be considered indirect competitors as they both cater to the need for food.
3. A business is not affected by knowing the strengths and weaknesses of competitors.
- False
Explanation: Understanding the strengths and weaknesses of competitors is crucial for a business to develop effective strategies, differentiate itself in the market, and make informed decisions. By analyzing competitors, a business can identify areas where it can outperform them and areas where it needs to improve to stay competitive in the market.
