🎓CFA Final Prep All Topics

Equity 6 – Industry Analysis

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Question

If a question asks you to classify a business scenario into rivalry, entrants, substitutes, buyers, or suppliers, which framework are you being asked to use?

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Answer

Porter's Five Forces.

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Question

Why would I test Page 17 but not Pages 13-16 for this assignment on Industry and Competitive Analysis?

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Answer

Only Page 17 contains industry-analysis content named in the prompt.

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Question

Why are Porter's Five Forces high-frequency exam material in industry analysis?

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Answer

They explain industry profitability and competitive pressure.

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Question

If regulation, demographics, or technology changes an industry's outlook from outside the industry, which framework should you apply first?

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Answer

PESTLE.

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