Question 1

What value is the concept of strategicgroups as a tool in analyzing an industry?

Accepted Answer

The concept of strategic groups can be used to identify firms that are most similar within an industry. It is important because rivalry tends to be greater among firms that are alike.

Question 2

In the value-net analysis, complementors are

Accepted Answer

A)  firms that produce substitute products. 
B)  customers who compliment the company for their good products and services. 
C)  firms that produce products or services that have a positive impact on the value of a firm's products or services. 
D)  firms that supply critical inputs to a company. 
A)  firms that produce substitute products. 
B)  customers who compliment the company for their good products and services. 
C)  firms that produce products or services that have a positive impact on the value of a firm's products or services. 
D)  firms that supply critical inputs to a company. C

Question 3

Environmental monitoring deals with tracking changes in environmental trends that are often uncovered during the environmental scanning process.

Accepted Answer

A) True 
 B)False  True

Question 4

Increasingly larger numbers of women entering the work force since the early 1970s is an example of

Accepted Answer

A)  demographic changes. 
B)  political and legal environmental changes. 
C)  sociocultural changes. 
D)  technological developments. 
A)  demographic changes. 
B)  political and legal environmental changes. 
C)  sociocultural changes. 
D)  technological developments.

Question 5

Exit barriers may arise from

Accepted Answer

A)  flexible assets with alternative uses. 
B)  lack of governmental and social pressures. 
C)  strategic competitors 
D)  concerns about image. 
A)  flexible assets with alternative uses. 
B)  lack of governmental and social pressures. 
C)  strategic competitors 
D)  concerns about image.

Question 6

Porter's five forces model is designed to help us understand how social attitudes and cultural values impact U.S. businesses.

Accepted Answer

A) True 
 B)False

Question 7

Many indicators of the macroeconomic environment such as GNP, interest rates, savings rates, trade and budget deficits/surplus, and so forth, are interrelated. Explain.

Accepted Answer

Due to globalization

Question 8

Environmental scanning and competitor intelligence provide important inputs for forecasting activities.

Accepted Answer

A) True 
 B)False

Question 9

Delayed marriages, fewer people in relevant age groups, and rising interest rates dampening demand for houses illustrates

Accepted Answer

A)  that more than one segment of the general environment may affect an industry. 
B)  that the global environment is not as powerful an influence as thought. 
C)  that macroeconomic forces dominate the general environment. 
D)  that the competitive environment often has a strong influence on the general environment. 
A)  that more than one segment of the general environment may affect an industry. 
B)  that the global environment is not as powerful an influence as thought. 
C)  that macroeconomic forces dominate the general environment. 
D)  that the competitive environment often has a strong influence on the general environment.

Question 10

Competitor Intelligence (CI) is a tool that can provide management with "early warnings" about both threats and opportunities.

Accepted Answer

A) True 
 B)False

Question 11

Supplier power tends to be highest in industries where products are vital to buyers, where switching from one supplier to another is very costly, and where there are many suppliers.

Accepted Answer

A) True 
 B)False

Question 12

In some industries, high switching costs can act as an important barrier to entry.

Accepted Answer

A) True 
 B)False

Question 13

In the Air Canada-WestJet conflict, the issue is

Accepted Answer

A)  Air Canada claims its employee website was hacked 
B)  WestJet claims its employee website was hacked 
C)  Air Canada claims its email was stolen 
D)  Air Canada claims WestJet used employee access information to obtain flight info 
A)  Air Canada claims its employee website was hacked 
B)  WestJet claims its employee website was hacked 
C)  Air Canada claims its email was stolen 
D)  Air Canada claims WestJet used employee access information to obtain flight info

Question 14

Interest rate increases have a _____ impact on the residential home construction industry and a _____ effect on industries that produce consumer necessities such as prescription drugs or basic grocery items.

Accepted Answer

A)  positive; neutral 
B)  negative; neutral 
C)  negative; positive 
D)  positive; negative 
A)  positive; neutral 
B)  negative; neutral 
C)  negative; positive 
D)  positive; negative

Question 15

A SWOT analysis includes listing

Accepted Answer

A)  strategies, opportunities, and tactics 
B)  strategies, opportunities, and threats 
C)  strengths, opportunities, and tactics 
D)  strengths, opportunities, and threats 
A)  strategies, opportunities, and tactics 
B)  strategies, opportunities, and threats 
C)  strengths, opportunities, and tactics 
D)  strengths, opportunities, and threats

Question 16

Buyer power will be greater when

Accepted Answer

A)  the products purchased are highly differentiated. 
B)  there are high switching costs. 
C)  the industry's product is very important to the quality of the buyer's end products or services. 
D)  it is concentrated on purchasing large volumes relative to seller sales. 
A)  the products purchased are highly differentiated. 
B)  there are high switching costs. 
C)  the industry's product is very important to the quality of the buyer's end products or services. 
D)  it is concentrated on purchasing large volumes relative to seller sales.

Question 17

The bargaining power of suppliers increases as

Accepted Answer

A)  more suppliers enter the market. 
B)  importance of buyers to supplier group increases. 
C)  switching costs for buyers decrease. 
D)  threat of forward integration by suppliers increases. 
A)  more suppliers enter the market. 
B)  importance of buyers to supplier group increases. 
C)  switching costs for buyers decrease. 
D)  threat of forward integration by suppliers increases.

Question 18

_____ tracks the evolution of environmental trends, sequences of events, or streams of activities.

Accepted Answer

A)  Environmental scanning 
B)  Environmental monitoring 
C)  Environmental surveying 
D)  Competitive intelligence 
A)  Environmental scanning 
B)  Environmental monitoring 
C)  Environmental surveying 
D)  Competitive intelligence

Question 19

A large fabricator of building components purchased a steel company to provide raw materials for its production process. This is an example of

Accepted Answer

A)  backward integration. 
B)  economies of scale. 
C)  forward integration. 
D)  product differentiation. 
A)  backward integration. 
B)  economies of scale. 
C)  forward integration. 
D)  product differentiation.

Question 20

Bombardier studies people's travel patterns to decide on the number of seats they should plan for future aircraft.

Accepted Answer

A) True 
 B)False

What value is the concept of strategicgroups as a tool in analyzing an industry?

In the value-net analysis, complementors are

Environmental monitoring deals with tracking changes in environmental trends that are often uncovered during the environmental scanning process.

Increasingly larger numbers of women entering the work force since the early 1970s is an example of

Exit barriers may arise from

Porter's five forces model is designed to help us understand how social attitudes and cultural values impact U.S. businesses.

Many indicators of the macroeconomic environment such as GNP, interest rates, savings rates, trade and budget deficits/surplus, and so forth, are interrelated. Explain.

Environmental scanning and competitor intelligence provide important inputs for forecasting activities.

Delayed marriages, fewer people in relevant age groups, and rising interest rates dampening demand for houses illustrates

Competitor Intelligence (CI) is a tool that can provide management with "early warnings" about both threats and opportunities.

Supplier power tends to be highest in industries where products are vital to buyers, where switching from one supplier to another is very costly, and where there are many suppliers.

In some industries, high switching costs can act as an important barrier to entry.

In the Air Canada-WestJet conflict, the issue is

Interest rate increases have a _ impact on the residential home construction industry and a _ effect on industries that produce consumer necessities such as prescription drugs or basic grocery items.

A SWOT analysis includes listing

Buyer power will be greater when

The bargaining power of suppliers increases as

_____ tracks the evolution of environmental trends, sequences of events, or streams of activities.

A large fabricator of building components purchased a steel company to provide raw materials for its production process. This is an example of

Bombardier studies people's travel patterns to decide on the number of seats they should plan for future aircraft.

Strategic Management: Creating Competitive Advantages

Assessing the Internal Environment of the Firm

Recognizing a Firms Intellectual Assets: Moving Beyond a Firms Tangible Resources

Business-Level Strategy: Creating and Sustaining Competitive Advantages

Corporate-Level Strategy: Creating Value Through Diversification

International Strategy: Creating Value in Global Markets

Entrepreneurial Strategy and Competitive Dynamics

Strategic Control and Corporate Governance

Creating Effective Organizational Designs

Strategic Leadership: Creating a Learning Organization and an Ethical Organization

Managing Innovation and Fostering Corporate Entrepreneurship

Filters

Exam 2: Analyzing the External Environment of the Firm: Creating Competitive Advantages

What value is the concept of strategicgroups as a tool in analyzing an industry?

In the value-net analysis, complementors are

Environmental monitoring deals with tracking changes in environmental trends that are often uncovered during the environmental scanning process.

Increasingly larger numbers of women entering the work force since the early 1970s is an example of

Exit barriers may arise from

Porter's five forces model is designed to help us understand how social attitudes and cultural values impact U.S. businesses.

Many indicators of the macroeconomic environment such as GNP, interest rates, savings rates, trade and budget deficits/surplus, and so forth, are interrelated. Explain.

Environmental scanning and competitor intelligence provide important inputs for forecasting activities.

Delayed marriages, fewer people in relevant age groups, and rising interest rates dampening demand for houses illustrates

Competitor Intelligence (CI) is a tool that can provide management with "early warnings" about both threats and opportunities.

Supplier power tends to be highest in industries where products are vital to buyers, where switching from one supplier to another is very costly, and where there are many suppliers.

In some industries, high switching costs can act as an important barrier to entry.

In the Air Canada-WestJet conflict, the issue is

Interest rate increases have a _____ impact on the residential home construction industry and a _____ effect on industries that produce consumer necessities such as prescription drugs or basic grocery items.

A SWOT analysis includes listing

Buyer power will be greater when

The bargaining power of suppliers increases as

_____ tracks the evolution of environmental trends, sequences of events, or streams of activities.

A large fabricator of building components purchased a steel company to provide raw materials for its production process. This is an example of

Bombardier studies people's travel patterns to decide on the number of seats they should plan for future aircraft.

Strategic Management: Creating Competitive Advantages

Assessing the Internal Environment of the Firm

Recognizing a Firms Intellectual Assets: Moving Beyond a Firms Tangible Resources

Business-Level Strategy: Creating and Sustaining Competitive Advantages

Corporate-Level Strategy: Creating Value Through Diversification

International Strategy: Creating Value in Global Markets

Entrepreneurial Strategy and Competitive Dynamics

Strategic Control and Corporate Governance

Creating Effective Organizational Designs

Strategic Leadership: Creating a Learning Organization and an Ethical Organization

Managing Innovation and Fostering Corporate Entrepreneurship

Filters

Interest rate increases have a _ impact on the residential home construction industry and a _ effect on industries that produce consumer necessities such as prescription drugs or basic grocery items.