Which competitor response profile is characterized by selective reaction to attacks in selected markets?

• A. Laid back
• B. Selective
• C. Tiger
• D. Stochastic

Answer: (B)

Competitor response profiles describe how firms react when another player launches an attack. A selective response means the firm does not retaliate everywhere or all the time. Instead, it evaluates where a counterattack makes sense—defending in certain markets where the threat is most significant, where resources are best allocated, or where the potential payoff justifies the cost. This approach reflects strategic focus and resource constraints: you defend where it matters most and let less threatening markets be. In contrast, someone laid back would delay or avoid retaliation, a tiger would strike aggressively across many markets, and a stochastic rival would react unpredictably. So a selective profile best fits the idea of responding only in chosen markets.