SELF TEST #10: Comparison of Company to Industry in Components of Volatility

Test #1:

Define Positive Volatility.

Test #2:

Define Negative Volatility

Test #3:

Define Net Volatility

Test #4:

Define Get-In Volatility

Test #5:

Define Increase Use Volatility

Test #6:

Define Get-Out Volatility

Test #7:

Define Decrease Use Volatility

Test #8:

Define Unstable Customer

Test #9:

Identify the type of volatility in each of these events:

Event 1:

A customer had been buying all its needs for its Secondary role from our company and then switched its purchases partly to the Primary supplier and partly to the Tertiary supplier.

Event 2:

Our company had supplied a customer with 10% of its needs in the Tertiary role relationship with the customer. Because of the fine job our company did, the customer increased the proportion of purchases it made from the company to 25%, which raised our company's position with the customer to a Secondary role relationship.

Event 3:

Our company had been supplying 75% of a customer's needs. The customer then reduced the proportion it bought from our company from 75% to 60%.

Event 4:

A customer new to the market interviewed several potential suppliers and decided to give our company 10% of its total purchases.

Test #10:

What should we expect a strong Standard Leader to have in the way of volatility in any market?

Test #11:

What might we expect to see in volatility with a strong Standard Leader in a Developing market?

Test #12:

What might we expect to see in volatility in a strong Standard Leader in a Hostile marketplace?

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