Question 1

The industry environment accounts for a relatively small part of a firm's profitability

Accepted Answer

A) True 
 B)False

Question 2

Commitment involves:

Accepted Answer

A) Increased risk and better solutions for building successful strategies 
B) Increased risk and measurement of rivals' determination before a competitive attack 
C) Hard commitment for first movers or soft commitment for fast second movers 
D) Increased risk and removal of some possible strategic options 
A) Increased risk and better solutions for building successful strategies 
B) Increased risk and measurement of rivals' determination before a competitive attack 
C) Hard commitment for first movers or soft commitment for fast second movers 
D) Increased risk and removal of some possible strategic options

Question 3

An industry is a homogeneous entity that cannot be disaggregated into sub-parts according to different dimensions

Accepted Answer

A) True 
 B)False

Question 4

Ultimately, segmenting an industry boils down to assessing the characteristics of its customers and products

Accepted Answer

A) True 
 B)False

Question 5

Can the structure of an industry game be modified?

Accepted Answer

A) Never 
B) Always 
C) Yes, with creative strategies such as alliances or agreements 
D) No, because the structure of the industry is shaped by macro-level forces 
A) Never 
B) Always 
C) Yes, with creative strategies such as alliances or agreements 
D) No, because the structure of the industry is shaped by macro-level forces

Question 6

When two products complement each other, profit accrues to the supplier that builds the stronger market position and reduces the value contributed by the other

Accepted Answer

A) True 
 B)False

Question 7

Game theory can be applied where:

Accepted Answer

A) Agents are restrained 
B) Firms are very similar and their options are few and similar 
C) Hard commitments pay dividends 
D) Firms only deter rivals by signaling their intent 
A) Agents are restrained 
B) Firms are very similar and their options are few and similar 
C) Hard commitments pay dividends 
D) Firms only deter rivals by signaling their intent

Question 8

Why is commitment so important? Because:

Accepted Answer

A) It makes deterrence appear more credible 
B) It shows the power of the focal firm 
C) It demonstrates the will of rivals to resist 
D) It strengthens a leader's image in the eyes of his followers 
A) It makes deterrence appear more credible 
B) It shows the power of the focal firm 
C) It demonstrates the will of rivals to resist 
D) It strengthens a leader's image in the eyes of his followers

Question 9

In many business relationships, competition:

Accepted Answer

A) Results in an inferior outcome for the players, compared to cooperation 
B) Results in a superior outcome for the players, compared to cooperation 
C) Results in an outcome not statistically different, compared to cooperation 
D) Is so different from cooperation that a comparison does not make sense 
A) Results in an inferior outcome for the players, compared to cooperation 
B) Results in a superior outcome for the players, compared to cooperation 
C) Results in an outcome not statistically different, compared to cooperation 
D) Is so different from cooperation that a comparison does not make sense

Question 10

How can a firm discover its rivals' hidden assumptions about the industry?

Accepted Answer

These hidden assumptions are beliefs tha

Question 11

When a "complement product" situation exists within an industry, which are some of the players' behavioral patterns?

Accepted Answer

A "complement product" situation arises

Question 12

In the example of the European metal can industry, what is the last step of the segmentation analysis?

Accepted Answer

A) The collection of data related to the industry 
B) The analysis of the segment attractiveness 
C) The design of a segmentation matrix 
D) The analysis of the attractions of broad vs. narrow segment scope 
A) The collection of data related to the industry 
B) The analysis of the segment attractiveness 
C) The design of a segmentation matrix 
D) The analysis of the attractions of broad vs. narrow segment scope

Question 13

Regarding a firm's profitability, why can one say that industry does not "matter much"?

Accepted Answer

Because studies have shown that a firm's

Question 14

It is common knowledge that rapid change is everywhere. Are all industries actually in permanent and rapid change?

Accepted Answer

Everyone thinks that change is permanent

Question 15

Chapter 4 extends the analysis of industry and competition to address:

Accepted Answer

A) Rising competition, called "hyper-competition" 
B) The limitations of Porter's model of competition 
C) The growing power of "management gurus" 
D) The complementarity between products 
A) Rising competition, called "hyper-competition" 
B) The limitations of Porter's model of competition 
C) The growing power of "management gurus" 
D) The complementarity between products

Question 16

The aim of competitive intelligence is to understand the way other players in the industry behave and to "get inside the heads of your rivals"

Accepted Answer

A) True 
 B)False

Question 17

In 1944, Allied deception was so successful that:

Accepted Answer

A) Even after the start of D-Day in Normandy, the Germans were still waiting for the main invasion near Calais in France 
B) Some German spies were turned and were working for Allies and transmitting false information to the Germans 
C) The Germans could not protect all the potential invasion zones simultaneously in France 
D) All of the above 
A) Even after the start of D-Day in Normandy, the Germans were still waiting for the main invasion near Calais in France 
B) Some German spies were turned and were working for Allies and transmitting false information to the Germans 
C) The Germans could not protect all the potential invasion zones simultaneously in France 
D) All of the above

Question 18

In the prisoners dilemma, the "Nash equilibrium" describes a situation where no player can increase his payoff by a unilateral change

Accepted Answer

A) True 
 B)False

Question 19

How does industry structure actually affect industry profitability?

Accepted Answer

A) Industry structure is a major determinant of a firm's profitability 
B) Industry structure has no impact at all on industry profitability 
C) Industry structure and profitability are such closely entwined concepts that their effects cannot be separated 
D) Industry structure usually has a small effect on a firm's profitability 
A) Industry structure is a major determinant of a firm's profitability 
B) Industry structure has no impact at all on industry profitability 
C) Industry structure and profitability are such closely entwined concepts that their effects cannot be separated 
D) Industry structure usually has a small effect on a firm's profitability

Question 20

Strategic group mapping is a very useful tool for identifying strategic niches within industries and the strategic positioning of rivals

Accepted Answer

A) True 
 B)False

The industry environment accounts for a relatively small part of a firm's profitability

Commitment involves:

An industry is a homogeneous entity that cannot be disaggregated into sub-parts according to different dimensions

Ultimately, segmenting an industry boils down to assessing the characteristics of its customers and products

Can the structure of an industry game be modified?

When two products complement each other, profit accrues to the supplier that builds the stronger market position and reduces the value contributed by the other

Game theory can be applied where:

Why is commitment so important? Because:

In many business relationships, competition:

How can a firm discover its rivals' hidden assumptions about the industry?

When a "complement product" situation exists within an industry, which are some of the players' behavioral patterns?

In the example of the European metal can industry, what is the last step of the segmentation analysis?

Regarding a firm's profitability, why can one say that industry does not "matter much"?

It is common knowledge that rapid change is everywhere. Are all industries actually in permanent and rapid change?

Chapter 4 extends the analysis of industry and competition to address:

The aim of competitive intelligence is to understand the way other players in the industry behave and to "get inside the heads of your rivals"

In 1944, Allied deception was so successful that:

In the prisoners dilemma, the "Nash equilibrium" describes a situation where no player can increase his payoff by a unilateral change

How does industry structure actually affect industry profitability?

Strategic group mapping is a very useful tool for identifying strategic niches within industries and the strategic positioning of rivals

The Concept of Strategy

Goals, Values and Performance

Industry Analysis: the Fundamentals

Analyzing Resources and Capabilities

Developing Resources and Capabilities

Organization Structure and Management Systems: the Fundamentals of Strategy Implementation

The Nature and Sources of Competitive Advantage

Cost Advantage

Differentiation Advantage

Industry Evolution and Strategic Change

Technology-Based Industries and the Management of Innovation

Competitive Advantage in Mature Industries

Vertical Integration and the Scope of the Firm

Global Strategies and the Multinational Corporation

Diversification Strategy

Implementing Corporate Strategy: Management of the Multibusiness Firm

Current Trends in Strategic Management

Filters

Exam 4: Further Topics in Industry and Competitive Analysis

The industry environment accounts for a relatively small part of a firm's profitability

Commitment involves:

An industry is a homogeneous entity that cannot be disaggregated into sub-parts according to different dimensions

Ultimately, segmenting an industry boils down to assessing the characteristics of its customers and products

Can the structure of an industry game be modified?

When two products complement each other, profit accrues to the supplier that builds the stronger market position and reduces the value contributed by the other

Game theory can be applied where:

Why is commitment so important? Because:

In many business relationships, competition:

How can a firm discover its rivals' hidden assumptions about the industry?

When a "complement product" situation exists within an industry, which are some of the players' behavioral patterns?

In the example of the European metal can industry, what is the last step of the segmentation analysis?

Regarding a firm's profitability, why can one say that industry does not "matter much"?

It is common knowledge that rapid change is everywhere. Are all industries actually in permanent and rapid change?

Chapter 4 extends the analysis of industry and competition to address:

The aim of competitive intelligence is to understand the way other players in the industry behave and to "get inside the heads of your rivals"

In 1944, Allied deception was so successful that:

In the prisoners dilemma, the "Nash equilibrium" describes a situation where no player can increase his payoff by a unilateral change

How does industry structure actually affect industry profitability?

Strategic group mapping is a very useful tool for identifying strategic niches within industries and the strategic positioning of rivals

The Concept of Strategy

Goals, Values and Performance

Industry Analysis: the Fundamentals

Analyzing Resources and Capabilities

Developing Resources and Capabilities

Organization Structure and Management Systems: the Fundamentals of Strategy Implementation

The Nature and Sources of Competitive Advantage

Cost Advantage

Differentiation Advantage

Industry Evolution and Strategic Change

Technology-Based Industries and the Management of Innovation

Competitive Advantage in Mature Industries

Vertical Integration and the Scope of the Firm

Global Strategies and the Multinational Corporation

Diversification Strategy

Implementing Corporate Strategy: Management of the Multibusiness Firm

Current Trends in Strategic Management

Filters