Exam 4: Business-Level Strategy

As the television industry has changed in the last few decades from just three major networks to a multiplicity of networks, one of the major aspects of business strategy for the newer networks is ____ than the traditional networks.

Almost any identifiable human or organizational characteristic can be used to subdivide a market into segments that differ from one another on a given characteristic.

A differentiation strategy can be effective in controlling the power of substitutes in an industry because

Suppose another firm found a way to offer IKEA's customers (young buyers interested in stylish furniture at low cost) additional sources of differentiation while charging the same price or to provide the same service with the same sources of differentiation at a lower price. What category of competitive risk to a focus strategy would this be?

The term "stuck in the middle"

All of the following are examples of differentiated products EXCEPT

Starbuck's (Chapter 4 Opening Case) was able to revolutionize the coffee drining experience throug its business level strategy of

In general, firms can be most effective if they develop business-level strategies that will serve the needs of the "typical customer" in the industry.

The integrated cost leadership/differentiation strategy is superior to the other business-level strategies.

In the Chapter 4 Strategic Focus, Walmart's same store sales have been declining and those of rivals Family Dollar and Amazon have been increasing. What explains this recent change?

If Southwest Airlines employees lost their high enthusiasm and commitment to the company,

All of the following are ways that a good or service can be differentiated EXCEPT

The effectiveness of any of the generic business-level strategies is contingent upon

The new generation of lunch trucks serving high-end fare in cities such as New York, San Francisco, and Los Angeles share which of the following a business strategies?

Blind taste-tests have shown that the taste of premium-priced vodkas and inexpensive vodkas are indistinguishable even to regular drinkers of vodka. But the sales of premium vodkas are thriving. This is an example of

An entrepreneur is investigating starting a company that provides tax advice to small companies. In order to position his company differently from the existing competitors, the entrepreneur must

What are the risks of an integrated cost leadership/differentiation strategy?

A low-cost leader may create entry barriers to potential entrants by continually improving its levels of efficiency.

Case Scenario : International Cow Packers. International Cow Packers (ICP) is a $12 billion meat processor (slaughter, processing, and packing). Founded in 1943, ICP has grown to become the largest beef and pork processor in the United States (revenues come 90% from beef and 10% from pork) and also has a growing export market to Japan. The company follows a focused cost-leadership strategy, delivering USDA-graded meats primarily to the institutional (schools, prisons, hospitals) and supermarket channels. ICP's entire value chain is organized to deliver volume product at the industry's lowest per-unit cost. Its supplier industries, primarily cattle and swine feedlots, have relatively little power since prices for these raw materials are determined in the commodity markets. While entry barriers to the industry are high due to high minimum start-up costs, industry rivalry is extremely intense - primarily due to the fact that three large companies (including ICP) control 80% of the market for processed meats. The threat of substitutes is high with an increasing trend for consumers to favor poultry and other non-beef proteins. Buyers are also powerful since supermarkets are relatively concentrated at a regional level and end-consumers have ample choices. -(Refer to the above Case Scenario ) Is ICP's focused low-cost strategy appropriate for its industry? Why?

An examination of a company's activity map will reveal its strategic themes.