Question 1

An example of the use of the leader R&D functional strategy to achieve a differentiation competitive advantage is Nike Inc.

Accepted Answer

A) True 
 B)False

Question 2

Three trends are evident in logistics: outsourcing, the use of the Internet, and

Accepted Answer

A)  centralization. 
B)  downsizing. 
C)  logistical partnerships. 
D)  computerization. 
E)  containerized shipping. 
A)  centralization. 
B)  downsizing. 
C)  logistical partnerships. 
D)  computerization. 
E)  containerized shipping.

Question 3

The use of 3-D printing demonstrates which manufacturing strategy?

Accepted Answer

A)  continuous improvement 
B)  mass production 
C)  job shop 
D)  mass customization 
E)  just-in-time 
A)  continuous improvement 
B)  mass production 
C)  job shop 
D)  mass customization 
E)  just-in-time

Question 4

The real-options approach used by Chevron for bidding on petroleum reserves improves organizational performance.

Accepted Answer

A) True 
 B)False

Question 5

To avoid the consensus trap, which technique involving presenting two conflicting views (the thesis and the antithesis) presented in a debate format can be traced back to Plato and Aristotle?

Accepted Answer

A)  devil's advocate 
B)  Sloan's judgment 
C)  sales presentation 
D)  dialectical inquiry 
E)  scenario construction 
A)  devil's advocate 
B)  Sloan's judgment 
C)  sales presentation 
D)  dialectical inquiry 
E)  scenario construction

Question 6

Which of the following is not a goal of financial strategies?

Accepted Answer

A)  Examine the financial implication of corporate and business-level strategic options and identify the best financial course of action. 
B)  Provide the corporation with the appropriate financial structure and funds to achieve its overall objectives. 
C)  Institute a new product development plan to generate profit gain market share. 
D)  Provide competitive advantage through a lower cost of funds and a flexible ability to raise capital to support a business strategy. 
E)  Attempt to maximize the financial value of the firm. 
A)  Examine the financial implication of corporate and business-level strategic options and identify the best financial course of action. 
B)  Provide the corporation with the appropriate financial structure and funds to achieve its overall objectives. 
C)  Institute a new product development plan to generate profit gain market share. 
D)  Provide competitive advantage through a lower cost of funds and a flexible ability to raise capital to support a business strategy. 
E)  Attempt to maximize the financial value of the firm.

Question 7

The type of strategy used to influence a corporation's key stakeholders in order to increase their support of corporate activities is

Accepted Answer

A)  cooperative strategy. 
B)  political strategy. 
C)  competitive strategy. 
D)  marketing strategy. 
E)  profit strategy. 
A)  cooperative strategy. 
B)  political strategy. 
C)  competitive strategy. 
D)  marketing strategy. 
E)  profit strategy.

Question 8

If a company wishes to be a technological leader and also maintain a cost advantage, the appropriate R&D strategy would be to

Accepted Answer

A)  increase the cost of the product. 
B)  lower the cost of the product or value activities by learning from the leader's experience. 
C)  avoid R&D costs through imitation. 
D)  create low-cost ways of performing value activities. 
E)  innovate in other activities to increase buyer value. 
A)  increase the cost of the product. 
B)  lower the cost of the product or value activities by learning from the leader's experience. 
C)  avoid R&D costs through imitation. 
D)  create low-cost ways of performing value activities. 
E)  innovate in other activities to increase buyer value.

Question 9

To avoid the consensus trap, which technique assigns a group or individual to identify potential pitfalls and problems with a proposed alternative strategy in a formal presentation?

Accepted Answer

A)  devil's advocate 
B)  Sloan's judgment 
C)  sales presentation 
D)  dialectical inquiry 
E)  scenario construction 
A)  devil's advocate 
B)  Sloan's judgment 
C)  sales presentation 
D)  dialectical inquiry 
E)  scenario construction

Question 10

Another approach to evaluating alternatives under conditions of high environmental uncertainty is to use the

Accepted Answer

A)  net present value. 
B)  real-options approach. 
C)  stakeholder priority matrix. 
D)  risk assessment approach. 
E)  hurdle rate approach. 
A)  net present value. 
B)  real-options approach. 
C)  stakeholder priority matrix. 
D)  risk assessment approach. 
E)  hurdle rate approach.

Question 11

A company that keeps up by imitating a leading company's strategy while ignoring its own strengths and weaknesses is an example of which strategy to avoid?

Accepted Answer

A)  follow the leader 
B)  hit another home run 
C)  arms race 
D)  do everything 
E)  losing hand 
A)  follow the leader 
B)  hit another home run 
C)  arms race 
D)  do everything 
E)  losing hand

Question 12

The reconfiguring of people, processes, units, and technology to give customers exactly what they want and when they want it is known as

Accepted Answer

A)  mass customization. 
B)  modular manufacturing. 
C)  a connected line batch flow. 
D)  open innovation. 
E)  a push marketing strategy. 
A)  mass customization. 
B)  modular manufacturing. 
C)  a connected line batch flow. 
D)  open innovation. 
E)  a push marketing strategy.

Question 13

The flow of products into and out of the manufacturing process is a factor when developing a(n) ________ strategy.

Accepted Answer

A)  marketing 
B)  logistics 
C)  operations 
D)  financial 
E)  human resource management 
A)  marketing 
B)  logistics 
C)  operations 
D)  financial 
E)  human resource management

Question 14

In a leveraged buyout, the acquired company, in effect, pays for its own acquisition.

Accepted Answer

A) True 
 B)False

Question 15

What is a corporate scenario? What are the three steps in their construction?

Accepted Answer

Corporate scenarios are pro forma balanc

Question 16

Which type of pricing takes advantage of the demand curve while the product is still novel and competitors are few to increase profits?

Accepted Answer

A)  demand pricing 
B)  skim pricing 
C)  competitive pricing 
D)  penetration pricing 
E)  loss-leader pricing 
A)  demand pricing 
B)  skim pricing 
C)  competitive pricing 
D)  penetration pricing 
E)  loss-leader pricing

Question 17

Outsourcing is the alternative to vertical integration.

Accepted Answer

A) True 
 B)False

Question 18

According to the text, which of the following is not one of the reasons why innovations seem to occur more often in small firms rather than in large, established corporations?

Accepted Answer

A)  An entrepreneur in a small firm is more willing to accept greater risk than would a larger firm. 
B)  Small firms are completely ignorant of risk management. 
C)  The greater the assets involved and the longer they are tied up, the more likely top management in large firms are to demand a high probability of success. 
D)  Companies operating in global industries must deal with a greater amount of risk than firms operating only in one country. 
E)  If the corporation's stock is widely held as in the case of large firms and experiences stock price declines due to some external assessment, it places the firm in jeopardy of being acquired. 
A)  An entrepreneur in a small firm is more willing to accept greater risk than would a larger firm. 
B)  Small firms are completely ignorant of risk management. 
C)  The greater the assets involved and the longer they are tied up, the more likely top management in large firms are to demand a high probability of success. 
D)  Companies operating in global industries must deal with a greater amount of risk than firms operating only in one country. 
E)  If the corporation's stock is widely held as in the case of large firms and experiences stock price declines due to some external assessment, it places the firm in jeopardy of being acquired.

Question 19

A flexible manufacturing system is

Accepted Answer

A)  one-of-a-kind production using skilled labor. 
B)  highly automated assembly lines making one mass-produced product using little human labor. 
C)  a grouping of parts into manufacturing families to produce a wide variety of mass-produced items. 
D)  a process utilizing the just-in-time (JIT) method of manufacturing. 
E)  standardization of components with each machine functioning like a job shop, but is positioned in the same order as the parts are processed. 
A)  one-of-a-kind production using skilled labor. 
B)  highly automated assembly lines making one mass-produced product using little human labor. 
C)  a grouping of parts into manufacturing families to produce a wide variety of mass-produced items. 
D)  a process utilizing the just-in-time (JIT) method of manufacturing. 
E)  standardization of components with each machine functioning like a job shop, but is positioned in the same order as the parts are processed.

Question 20

Penetration pricing attempts to hasten market development and offers the pioneer the opportunity to use the experience curve to gain market share with a low price and dominate the industry.

Accepted Answer

A) True 
 B)False

An example of the use of the leader R&D functional strategy to achieve a differentiation competitive advantage is Nike Inc.

Three trends are evident in logistics: outsourcing, the use of the Internet, and

The use of 3-D printing demonstrates which manufacturing strategy?

The real-options approach used by Chevron for bidding on petroleum reserves improves organizational performance.

To avoid the consensus trap, which technique involving presenting two conflicting views (the thesis and the antithesis) presented in a debate format can be traced back to Plato and Aristotle?

Which of the following is not a goal of financial strategies?

The type of strategy used to influence a corporation's key stakeholders in order to increase their support of corporate activities is

If a company wishes to be a technological leader and also maintain a cost advantage, the appropriate R&D strategy would be to

To avoid the consensus trap, which technique assigns a group or individual to identify potential pitfalls and problems with a proposed alternative strategy in a formal presentation?

Another approach to evaluating alternatives under conditions of high environmental uncertainty is to use the

A company that keeps up by imitating a leading company's strategy while ignoring its own strengths and weaknesses is an example of which strategy to avoid?

The reconfiguring of people, processes, units, and technology to give customers exactly what they want and when they want it is known as

The flow of products into and out of the manufacturing process is a factor when developing a(n) ________ strategy.

In a leveraged buyout, the acquired company, in effect, pays for its own acquisition.

What is a corporate scenario? What are the three steps in their construction?

Which type of pricing takes advantage of the demand curve while the product is still novel and competitors are few to increase profits?

Outsourcing is the alternative to vertical integration.

According to the text, which of the following is not one of the reasons why innovations seem to occur more often in small firms rather than in large, established corporations?

A flexible manufacturing system is

Penetration pricing attempts to hasten market development and offers the pioneer the opportunity to use the experience curve to gain market share with a low price and dominate the industry.

Basic Concepts in Strategic Management

Corporate Governance

Social Responsibility and Ethics in Strategic Management

Environmental Scanning and Industry Analysis

Organizational Analysis and Competitive Advantage

Strategy Formulation: Business Strategy

Strategy Formulation: Corporate Strategy

Strategy Implementation: Global Strategy

Strategy Implementation: Organizing and Structure

Strategy Implementation: Staffing and Directing

Evaluation and Control

Suggestions for Case Analysis

Filters

Exam 8: Strategy Formulation: Functional Strategy and Strategic Choice

An example of the use of the leader R&D functional strategy to achieve a differentiation competitive advantage is Nike Inc.

Three trends are evident in logistics: outsourcing, the use of the Internet, and

The use of 3-D printing demonstrates which manufacturing strategy?

The real-options approach used by Chevron for bidding on petroleum reserves improves organizational performance.

To avoid the consensus trap, which technique involving presenting two conflicting views (the thesis and the antithesis) presented in a debate format can be traced back to Plato and Aristotle?

Which of the following is not a goal of financial strategies?

The type of strategy used to influence a corporation's key stakeholders in order to increase their support of corporate activities is

If a company wishes to be a technological leader and also maintain a cost advantage, the appropriate R&D strategy would be to

To avoid the consensus trap, which technique assigns a group or individual to identify potential pitfalls and problems with a proposed alternative strategy in a formal presentation?

Another approach to evaluating alternatives under conditions of high environmental uncertainty is to use the

A company that keeps up by imitating a leading company's strategy while ignoring its own strengths and weaknesses is an example of which strategy to avoid?

The reconfiguring of people, processes, units, and technology to give customers exactly what they want and when they want it is known as

The flow of products into and out of the manufacturing process is a factor when developing a(n) ________ strategy.

In a leveraged buyout, the acquired company, in effect, pays for its own acquisition.

What is a corporate scenario? What are the three steps in their construction?

Which type of pricing takes advantage of the demand curve while the product is still novel and competitors are few to increase profits?

Outsourcing is the alternative to vertical integration.

According to the text, which of the following is not one of the reasons why innovations seem to occur more often in small firms rather than in large, established corporations?

A flexible manufacturing system is

Penetration pricing attempts to hasten market development and offers the pioneer the opportunity to use the experience curve to gain market share with a low price and dominate the industry.

Basic Concepts in Strategic Management

Corporate Governance

Social Responsibility and Ethics in Strategic Management

Environmental Scanning and Industry Analysis

Organizational Analysis and Competitive Advantage

Strategy Formulation: Business Strategy

Strategy Formulation: Corporate Strategy

Strategy Implementation: Global Strategy

Strategy Implementation: Organizing and Structure

Strategy Implementation: Staffing and Directing

Evaluation and Control

Suggestions for Case Analysis

Filters