Megabyte Center, S.A. (Scenario)
Your old friend, Ariel Eskenazi, is the owner and general manager of Megabyte Center, a computerreseller and systems integrator located in Panama City, Panama. Since leaving IBM to start a businessin his home country, Ariel's company has steadily grown, due in large part to the businesspartnerships he has established over the years with large foreign computer and software firms, suchas Goldstar and Microsoft. These relationships have helped his company win considerable marketshare in Panama, as well as in other parts of Latin America. However, since the 1999 turnover of thePanama Canal to the Panamanian government, there has been a huge influx of foreign capital intoPanama. For example, several large Asian firms have made Panama a beachhead for their Americanoperations. Tourism is on the rise, with over a score of new hotels built in the metropolitan area aloneover the past three years. As a result, demand for Megabyte's products and services has increasedmarkedly, but so has the level and diversity of its competition. While Megabyte's customer base hasremained fairly loyal, many longtime customers are beginning to demand price concessions andenhanced service levels in return for their continued business. Additionally, Ariel has learned recentlythat several of his former suppliers and business partners are considering establishing local salesoffices of their own in Panama City. Ariel knows you are very knowledgeable about competitivestrategy and calls you asking for advice.
【題組】39. With all the changes occurring in the computer reseller market, you advise him to stay with hispresent course until the market calms down. You are recommending that Ariel use a ________strategy.
(A) renewal
(B) retrenchment
(C) stability
(D) growth