Bustra CASE Q and A PDF

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ATIS, Ayana Dawn S. 180039 / BUSTRA - C December 19, 2020

CASE 1 1. D. A Threat The displacement of wide-body vehicle by midget vehicle in the late 1970’s is considered a threat. Because the market trend changed from dominantly using wide-body vehicle to midget sized ones. Also, Flores Motors could be considered as a competitor. 2. A. A Strength Palmera’s large cash reserves relative to the smaller vehicle producers would be considered as a strength. Because they have large cash reserves, it would be easy for them to buy the necessities needed for establishing their ground in the small vehicles market. 3. C. An Opportunity Palmera’s large bureaucratic organizational structure and complex decision -making procedures relative to the entrepreneurial small firms in small vehicles would be considered as an opportunity. These can be considered as openings or chances for them to enter the market. Compared to other firms, they already have all the requirements needed and so it would be a waste if they would let this opportunity lose. 4. D. A Threat In Flores’ perspective, Palmera’s entry in the scene of small vehicle industry is a threat. Since Palmera’s came from the wide-body vehicle industry, they have the resources to easily penetrate in the small vehicle industry, as such, it would be hard for Flores to compete with them....