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Basic Question 3 of 6

Which industry is likely to be concentrated with strong pricing power?

A. Tobacco
B. PCs
C. Homebuilding
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User Contributed Comments 3

User Comment
johntan1979 Highly concentrated industries in which firm pricing power is high: alcohol, tobacco, confectionery

Highly concentrated industries in which firm pricing power is low: autos, aircraft, oil refining
johntan1979 PCs: Concentrated with weak pricing power

Homebuilding: Fragmented with weak pricing power
Rohule tobacco= inelastic demand
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I used your notes and passed ... highly recommended!
Lauren

Lauren

Learning Outcome Statements

evaluate the competitive strategy and position of a company

CFA® 2025 Level I Curriculum, Volume 3, Module 6.