CFA Practice Question

There are 536 practice questions for this topic.

CFA Practice Question

In the long run, ______ result in profitability differences by industry.

A. business cycles
B. company-specific factors
C. structure factors
Correct Answer: C

Michael Porter's five competitive forces framework suggests that the structure of an industry influences profitability differences among companies operating within it. The five forces can create variations in profitability across industries.

User Contributed Comments 0

You need to log in first to add your comment.