Explain a focus strategy? If a business wants to pursue a focus strategy, what can be
the guiding rules for that firm? (5)

What is Average Collection Period? (5)
From the given data, compute the Average Collection Period for both the firms and
compare the results?

Firm A
Firm B

Annual credit sales
(Rs. in millions)
5
7

Accounts receivable
(Rs. in millions)
5
3.5

Vertical integration is the degree to which the firm owns its upstream and its downstream
buyers. What can be the possible benefits if the firm goes for vertical integration?(3)

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Suppose according to the EFE matrix, the total weighted score of a certain company is 2.10.
How that company will interpret this score in terms of its external factors?(3)