Question
A company relies on strong brand, patents, and switching costs to protect sales. Which business-model test is strongest here?
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Answer
Sustainability of competitive advantage.
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Question
Which business-model types are especially likely to appear in CFA questions?
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Answer
Razor-and-blade and subscription models.
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Question
If a new technology could make a firm's offering obsolete, what business-model risk is most relevant?
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Answer
Technological disruption risk.
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Question
A company's economics could worsen if laws change. Which business-model risk does this describe?
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Answer
Regulatory risk.
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