Question 1

In a focus strategy,a firm seeks to be unique in its industry along a dimension or a group of dimensions that are valued by consumers.

Accepted Answer

A) True 
 B)False  False

Question 2

John signed a two year contract with Z-Gadget to get a subsidized price on his new iPhone.He had Z-Gadget's service for only 6 months and has been dissatisfied with its service and wanted to cancel the contract.However,he did not do so because he will have to spend a lot for canceling his Z-Gadget contract and signing up for another alternative.Which of the following characteristics of a powerful supplier group does Z-Gadget have with respect to its contract with John?

Accepted Answer

A)  The supplier industry is more concentrated than the industry it sells to 
B)  Industry participants face switching costs in changing suppliers 
C)  Suppliers offer differentiated products 
D)  No substitutes exist for what the supplier group provides 
A)  The supplier industry is more concentrated than the industry it sells to 
B)  Industry participants face switching costs in changing suppliers 
C)  Suppliers offer differentiated products 
D)  No substitutes exist for what the supplier group provides B

Question 3

Which of the following forces of the five-forces model will exemplify Wal-mart's ability to buy products from its suppliers at rock-bottom prices?

Accepted Answer

A)  Bargaining power of suppliers 
B)  Bargaining power of customers 
C)  Rivalry among existing competitors 
D)  Threat of substitutes 
A)  Bargaining power of suppliers 
B)  Bargaining power of customers 
C)  Rivalry among existing competitors 
D)  Threat of substitutes B

Question 4

In a differentiation focused approach,a firm attempts to target:

Accepted Answer

A)  cost-conscious customers who have been underserved historically. 
B)  customers of a firm's competitors in an attempt to increase sales. 
C)  loyal customers who have been buying a company's products regularly. 
D)  customers with special needs who have been underserved historically. 
A)  cost-conscious customers who have been underserved historically. 
B)  customers of a firm's competitors in an attempt to increase sales. 
C)  loyal customers who have been buying a company's products regularly. 
D)  customers with special needs who have been underserved historically.

Question 5

Supply-side economies of scale arise in situations where a buyer's willingness to pay for a product increases as the number of other buyers for the industry's product increases.

Accepted Answer

A) True 
 B)False

Question 6

The idea that a firm is a collection of resources is often referred to as the resource-based view of the firm.

Accepted Answer

A) True 
 B)False

Question 7

The most recognizable resources that a firm uses to manufacture its products,such as raw materials and computing systems,are categorized as _____ resources.

Accepted Answer

A)  tangible 
B)  human 
C)  intangible 
D)  natural 
A)  tangible 
B)  human 
C)  intangible 
D)  natural

Question 8

Which of the following is an example of a weakness in an organization's SWOT analysis?

Accepted Answer

A)  Competitors with highly skilled employees 
B)  Money spent on machineries with updated technology 
C)  Over-dependence on a particular supplier for core materials 
D)  The increasing number of competitors 
A)  Competitors with highly skilled employees 
B)  Money spent on machineries with updated technology 
C)  Over-dependence on a particular supplier for core materials 
D)  The increasing number of competitors

Question 9

A substitute could be a competitor's product or some other product that satisfies the same consumer need.

Accepted Answer

A) True 
 B)False

Question 10

In conducting its SWOT analysis,a baseball team notes that most of its players are among the best in the world and that their coach was a distinguished major-league player.Which part of the SWOT analysis is this information pertinent to?

Accepted Answer

A)  Strengths 
B)  Weaknesses 
C)  Opportunities 
D)  Threats 
A)  Strengths 
B)  Weaknesses 
C)  Opportunities 
D)  Threats

Question 11

_____ is a tool that allows managers to take a snapshot of their firm's internal strengths and weaknesses as well as the opportunities and threats that are evident in the external environment.

Accepted Answer

A)  Trend analysis 
B)  Environmental scanning 
C)  Stakeholder mapping 
D)  SWOT analysis 
A)  Trend analysis 
B)  Environmental scanning 
C)  Stakeholder mapping 
D)  SWOT analysis

Question 12

A buyer will tend to have less power relative to the supplier when the buyer purchases in very large volumes.

Accepted Answer

A) True 
 B)False

Question 13

In setting business-level strategy,a manager evaluates the firm's internal resources to determine how to compete.

Accepted Answer

A) True 
 B)False

Question 14

Briefly describe the 5-forces model.

Accepted Answer

The model provides a framework to assess

Question 15

A cosmetics company owns a patent for particular kind of shampoo which is a bestseller in the market.It enables the firm to extract a high level of discretion over product pricing.The patent for the shampoo is an example of a firm's _____ resource.

Accepted Answer

A)  tangible 
B)  human 
C)  natural 
D)  intangible 
A)  tangible 
B)  human 
C)  natural 
D)  intangible

Question 16

A supplier will tend to be powerful when industry participants do not face switching costs in changing suppliers.

Accepted Answer

A) True 
 B)False

Question 17

What are the tangible and intangible resources of an organization? Give examples.

Accepted Answer

A firm's tangible resources tend to be m

Question 18

Which of the following statements is true about Porter's five-forces model?

Accepted Answer

A)  The level of threat of entry from competition is generally the same across all industries. 
B)  Every industry is different in terms of who maintains the power in the firm-supplier relationship. 
C)  The buyer or customer has no power to force down prices in an industry. 
D)  Not all companies face the threat of substitutes. 
A)  The level of threat of entry from competition is generally the same across all industries. 
B)  Every industry is different in terms of who maintains the power in the firm-supplier relationship. 
C)  The buyer or customer has no power to force down prices in an industry. 
D)  Not all companies face the threat of substitutes.

Question 19

Primary activities of a firm's value chain refers to:

Accepted Answer

A)  the activities completed to improve a firm's product and the processes used to manufacture it. 
B)  the activities involved with recruiting,hiring,training,developing,and compensating all personnel. 
C)  the activities such as general management,planning,finance,accounting,legal support,and governmental relations. 
D)  the activities involved in the physical creation of a product and its sale and transfer to the buyer. 
A)  the activities completed to improve a firm's product and the processes used to manufacture it. 
B)  the activities involved with recruiting,hiring,training,developing,and compensating all personnel. 
C)  the activities such as general management,planning,finance,accounting,legal support,and governmental relations. 
D)  the activities involved in the physical creation of a product and its sale and transfer to the buyer.

Question 20

Which of the following is the best example of a barrier to entry created by a firm's incumbency advantages?

Accepted Answer

A)  A company with superior technology when compared to its competitors 
B)  A company engaging in extensive advertising to gain consumer loyalty 
C)  A company that is marked by overcrowded distribution channels 
D)  A company which manufactures its products in high volumes 
A)  A company with superior technology when compared to its competitors 
B)  A company engaging in extensive advertising to gain consumer loyalty 
C)  A company that is marked by overcrowded distribution channels 
D)  A company which manufactures its products in high volumes

In a focus strategy,a firm seeks to be unique in its industry along a dimension or a group of dimensions that are valued by consumers.

Which of the following forces of the five-forces model will exemplify Wal-mart's ability to buy products from its suppliers at rock-bottom prices?

In a differentiation focused approach,a firm attempts to target:

Supply-side economies of scale arise in situations where a buyer's willingness to pay for a product increases as the number of other buyers for the industry's product increases.

The idea that a firm is a collection of resources is often referred to as the resource-based view of the firm.

The most recognizable resources that a firm uses to manufacture its products,such as raw materials and computing systems,are categorized as _____ resources.

Which of the following is an example of a weakness in an organization's SWOT analysis?

A substitute could be a competitor's product or some other product that satisfies the same consumer need.

In conducting its SWOT analysis,a baseball team notes that most of its players are among the best in the world and that their coach was a distinguished major-league player.Which part of the SWOT analysis is this information pertinent to?

_____ is a tool that allows managers to take a snapshot of their firm's internal strengths and weaknesses as well as the opportunities and threats that are evident in the external environment.

A buyer will tend to have less power relative to the supplier when the buyer purchases in very large volumes.

In setting business-level strategy,a manager evaluates the firm's internal resources to determine how to compete.

Briefly describe the 5-forces model.

A cosmetics company owns a patent for particular kind of shampoo which is a bestseller in the market.It enables the firm to extract a high level of discretion over product pricing.The patent for the shampoo is an example of a firm's _____ resource.

A supplier will tend to be powerful when industry participants do not face switching costs in changing suppliers.

What are the tangible and intangible resources of an organization? Give examples.

Which of the following statements is true about Porter's five-forces model?

Primary activities of a firm's value chain refers to:

Which of the following is the best example of a barrier to entry created by a firm's incumbency advantages?

Introduction to Management

The Global Business Environment

Ethics and Corporate Social Responsibility

Introduction to Strategy

Corporate-Level Strategy

Organizational Design

Organizational Culture

Managing Human Capital

Performance Management

Organizational Change

Leadership in Organizations

Becoming a Leader: Knowing Yourself

Power and Influence

Decision Making

Conflict and Negotiation

Leading Teams

Motivation

Communication

Networking

Filters

Exam 5: Business-Level Strategy

In a focus strategy,a firm seeks to be unique in its industry along a dimension or a group of dimensions that are valued by consumers.

Which of the following forces of the five-forces model will exemplify Wal-mart's ability to buy products from its suppliers at rock-bottom prices?

In a differentiation focused approach,a firm attempts to target:

Supply-side economies of scale arise in situations where a buyer's willingness to pay for a product increases as the number of other buyers for the industry's product increases.

The idea that a firm is a collection of resources is often referred to as the resource-based view of the firm.

The most recognizable resources that a firm uses to manufacture its products,such as raw materials and computing systems,are categorized as _____ resources.

Which of the following is an example of a weakness in an organization's SWOT analysis?

A substitute could be a competitor's product or some other product that satisfies the same consumer need.

In conducting its SWOT analysis,a baseball team notes that most of its players are among the best in the world and that their coach was a distinguished major-league player.Which part of the SWOT analysis is this information pertinent to?

_____ is a tool that allows managers to take a snapshot of their firm's internal strengths and weaknesses as well as the opportunities and threats that are evident in the external environment.

A buyer will tend to have less power relative to the supplier when the buyer purchases in very large volumes.

In setting business-level strategy,a manager evaluates the firm's internal resources to determine how to compete.

Briefly describe the 5-forces model.

A cosmetics company owns a patent for particular kind of shampoo which is a bestseller in the market.It enables the firm to extract a high level of discretion over product pricing.The patent for the shampoo is an example of a firm's _____ resource.

A supplier will tend to be powerful when industry participants do not face switching costs in changing suppliers.

What are the tangible and intangible resources of an organization? Give examples.

Which of the following statements is true about Porter's five-forces model?

Primary activities of a firm's value chain refers to:

Which of the following is the best example of a barrier to entry created by a firm's incumbency advantages?

Introduction to Management

The Global Business Environment

Ethics and Corporate Social Responsibility

Introduction to Strategy

Corporate-Level Strategy

Organizational Design

Organizational Culture

Managing Human Capital

Performance Management

Organizational Change

Leadership in Organizations

Becoming a Leader: Knowing Yourself

Power and Influence

Decision Making

Conflict and Negotiation

Leading Teams

Motivation

Communication

Networking

Filters