Question

Mintribes, a silver jewelry shop that specializes in tribal jewelry, wants to move its store to a location near tourist attractions. To decide on the location, Mintribes's store manager went to some tourist spots to analyze buyer behavior, learn about the products of the existing jewelry shops in those areas, and study the spending pattern of tourists and locals in those areas. Which of the following concepts does this scenario best illustrate?
A) Punctuated equilibrium
B) Media advocacy
C) Environmental scanning
D) Transfer pricing

Answer 1

Answer:

The correct answer is letter "C": Environmental scanning.

Explanation:

Environmental scanning is the set of actions companies undertake when planning to open up businesses in new regions. Firms must analyze if the target area meets the requirements for the business operations to run smoothly and to make sure there are good opportunities from where the firm can profit. Environmental scanning involves studying the target market, consumers, and competitors.