CIMA Exam CIMAPRA19-E02-1 Topic 7 Question 92 Discussion

Actual exam question for CIMA's CIMAPRA19-E02-1 exam

Question #: 92
Topic #: 7

A business manufacturing running trainers is considering exporting to a fast growing Asian market. Using Porter's Five Forces, which of the following statements is most likely to be incorrect?

ASupplier power is likely to be high

BCompetitive rivalry is likely to be high

CNew entrants are likely to be low

DSubstitutes are likely to be high

Show Suggested Answer

Suggested Answer: A

by Magda at Jul 11, 2024, 09:32 AM

Limited Time Offer

25%

Off

Get Premium CIMAPRA19-E02-1 Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

Submit Cancel

Walton

18 days ago

I bet the new Asian market is just filled with people who want to be the very best, like no one ever was. Option C has got to be wrong.

upvoted 0 times

Lina

4 days ago

User 1: I think option C is incorrect. There must be a lot of new entrants in the fast growing Asian market.

upvoted 0 times

...

Cory

22 days ago

I think C) New entrants are likely to be low is the incorrect statement based on Porter's Five Forces.

upvoted 0 times

...

Fabiola

24 days ago

Ha! Supplier power being high? That's a given in any manufacturing business. Option A is the obvious incorrect choice here.

upvoted 0 times

Evan

4 days ago

I agree, supplier power is always high in manufacturing.

upvoted 0 times

...

Monroe

24 days ago

I'm not sure, but I think B) Competitive rivalry is likely to be high makes more sense.

upvoted 0 times

...

Chara

25 days ago

I disagree, I believe the correct answer is D) Substitutes are likely to be high.

upvoted 0 times

...

Venita

1 months ago

Well, I'm leaning towards option D being the incorrect statement. Substitutes in the running trainer market are probably not that high.

upvoted 0 times

Queen

21 hours ago

B) Competitive rivalry is likely to be high

upvoted 0 times

...

Rosalyn

2 days ago

A) Supplier power is likely to be high

upvoted 0 times

...

Evan

12 days ago

User 3: Yeah, I also believe that substitutes for running trainers are not high in the market.

upvoted 0 times

...

Chanel

14 days ago

User 2: I agree. The demand for running trainers is specific, so substitutes are likely low.

upvoted 0 times

...

Sarah

27 days ago

User 1: I think option D is incorrect. There aren't many substitutes for running trainers.

upvoted 0 times

...

Dalene

1 months ago

Hmm, I'm not sure. I'd say option B is the most likely to be incorrect. Competitive rivalry may not be as high in a new and expanding market.

upvoted 0 times

Luis

23 days ago

I agree with you, option B seems like the most likely incorrect statement. Competitive rivalry might not be high in a new market.

upvoted 0 times

...

Chu

26 days ago

I think option A is incorrect. Supplier power may not be high in a fast growing market.

upvoted 0 times

...

Florinda

2 months ago

I think option C is incorrect. New entrants in a fast-growing Asian market are likely to be high, not low.

upvoted 0 times

Marguerita

5 days ago

D: Competitive rivalry is also likely to be high with so many companies trying to capture market share.

upvoted 0 times

...

Ulysses

6 days ago

C: I think supplier power is likely to be high because of the demand for running trainers in Asia.

upvoted 0 times

...

Noah

7 days ago

B: I agree, there are usually many new companies trying to enter a fast-growing market.

upvoted 0 times

...

Cassandra

1 months ago

A: I think option C is incorrect. New entrants in a fast-growing Asian market are likely to be high, not low.

upvoted 0 times

...

Marshall

2 months ago

I think the answer is A) Supplier power is likely to be high.

upvoted 0 times

...