Question 1

Firms with few competitive resources are more likely to

Accepted Answer

A)  not respond to competitive actions. 
B)  respond quickly to competitive actions. 
C)  delay responding to competitive actions. 
D)  respond to strategic actions, but not to tactical actions. 
A)  not respond to competitive actions. 
B)  respond quickly to competitive actions. 
C)  delay responding to competitive actions. 
D)  respond to strategic actions, but not to tactical actions.

Question 2

A competitive action is a strategic or tactical action taken by a firm to gain or defend a competitive advantage or improve its market position.

Accepted Answer

A) True 
 B)False

Question 3

Which industry can be LEAST described as a slow cycle market?

Accepted Answer

A)  Freight railroads 
B)  Pharmaceuticals 
C)  Cell phone provider 
D)  Private ownership of highways and bridges 
A)  Freight railroads 
B)  Pharmaceuticals 
C)  Cell phone provider 
D)  Private ownership of highways and bridges

Question 4

Under the framework of competitive action and response, "ability" refers to an attacking or responding firm's knowledge of the competitive market characteristics.

Accepted Answer

A) True 
 B)False

Question 5

Mighty Mike's, a manufacturer of power tools for the home hobbyist, has seen its main competitor, MyTools, bring out a line of power tools that are smaller sized, lighter weight, and suitable for women and older hobbyists who have weaker hands than the typical male workshop hobbyist. Mighty Mike is waiting to see whether MyTool's new line is a success. Mighty Mike could be classified as a second mover.

Accepted Answer

A) True 
 B)False

Question 6

The chief disadvantage of being a first mover is the

Accepted Answer

A)  high degree of risk. 
B)  high level of competition in the new marketplace. 
C)  inability to earn above-average returns unless the production process is very efficient. 
D)  difficulty of obtaining new customers. 
A)  high degree of risk. 
B)  high level of competition in the new marketplace. 
C)  inability to earn above-average returns unless the production process is very efficient. 
D)  difficulty of obtaining new customers.

Question 7

Lawsuits over patent and copyright infringements are more common and intense in

Accepted Answer

A)  fast-cycle markets because the market is innovation-driven. 
B)  standard-cycle markets because the firm's brand name is such an important competitive advantage. 
C)  slow-cycle markets, because of the ability to shelter the company from imitation of its competitive advantage. 
D)  standard-cycle markets because innovation is rare, and so gives the innovating firm a significant competitive advantage. 
A)  fast-cycle markets because the market is innovation-driven. 
B)  standard-cycle markets because the firm's brand name is such an important competitive advantage. 
C)  slow-cycle markets, because of the ability to shelter the company from imitation of its competitive advantage. 
D)  standard-cycle markets because innovation is rare, and so gives the innovating firm a significant competitive advantage.

Question 8

Quality begins at the bottom of the organization where employees must create values for quality that permeate the entire organization.

Accepted Answer

A) True 
 B)False

Question 9

The drivers of competitive behavior are awareness of the competitor, motivation to take action or respond, and the organization's ability in terms of resources and flexibility.

Accepted Answer

A) True 
 B)False

Question 10

Wal-Mart has recently opened a store in Alsatia, Missouri. Several local small retailers have decided that choosing not to respond to Wal-Mart's competitive actions is a viable long-term option, because although the companies have high market commonality they have little resource similarity. These small retailers are correct in their decision.

Accepted Answer

A) True 
 B)False

Question 11

Which of the following is the most strategic action by Wal-Mart?

Accepted Answer

A)  Aggressive pricing to ensure they are a price leader 
B)  Aggressively pricing toys and electronics during the holiday season 
C)  Aggressively pricing school-related items in the back-to-school season 
D)  Entering a new foreign market 
A)  Aggressive pricing to ensure they are a price leader 
B)  Aggressively pricing toys and electronics during the holiday season 
C)  Aggressively pricing school-related items in the back-to-school season 
D)  Entering a new foreign market

Question 12

Firms operating in the same market, offering similar products and targeting similar customers are competitors.

Accepted Answer

A) True 
 B)False

Question 13

Two firms that have similar resources, but do not share markets would not be direct and mutually acknowledged competitors.

Accepted Answer

A) True 
 B)False

Question 14

In general, firms are more aware of competitors who have similar resources and who

Accepted Answer

A)  have low market dependence. 
B)  are late movers. 
C)  have low market commonality. 
D)  compete against the firm in multiple markets. 
A)  have low market dependence. 
B)  are late movers. 
C)  have low market commonality. 
D)  compete against the firm in multiple markets.

Question 15

The CEO of the Wholesome Food retail grocery chain, which specializes in organic and natural produce and meat, has stated, "The key to success is to find your niche and focus on it, regardless of what anyone else does." The CEO

Accepted Answer

A)  realizes that he must understand competitors in order to predict their competitive actions and responses. 
B)  understands that he is the market leader in his niche and thus has a sustainable competitive advantage. 
C)  believes he has placed his firm in a slow-cycle industry where concerns about protecting unique competencies dominate concerns about market share. 
D)  realizes his firm has such lower resources than other competitors that his chain is "competitively invisible" to them. 
A)  realizes that he must understand competitors in order to predict their competitive actions and responses. 
B)  understands that he is the market leader in his niche and thus has a sustainable competitive advantage. 
C)  believes he has placed his firm in a slow-cycle industry where concerns about protecting unique competencies dominate concerns about market share. 
D)  realizes his firm has such lower resources than other competitors that his chain is "competitively invisible" to them.

Question 16

Research suggests that a firm with greater multimarket contact is _______ likely to initiate and attack, and _____ likely to respond aggressively when attacked.

Accepted Answer

A)  more; more 
B)  less; more 
C)  less; less 
D)  more; less. 
A)  more; more 
B)  less; more 
C)  less; less 
D)  more; less.

Question 17

Competitive dynamics refers to the total set of actions and responses taken by all firms competing within a market.

Accepted Answer

A) True 
 B)False

Question 18

Companies in fast-cycle markets need to profit quickly from an innovative product for all of the following reasons EXCEPT

Accepted Answer

A)  the technology used is not proprietary. 
B)  the prices of component parts tends to rise rapidly. 
C)  product prices fall quickly in fast-cycle markets. 
D)  counterattacks from rivals come quickly. 
A)  the technology used is not proprietary. 
B)  the prices of component parts tends to rise rapidly. 
C)  product prices fall quickly in fast-cycle markets. 
D)  counterattacks from rivals come quickly.

Question 19

____ markets are often described as volatile and innovative.

Accepted Answer

A)  Slow-cycle 
B)  Fast-cycle 
C)  Standard-cycle 
D)  Sheltered 
A)  Slow-cycle 
B)  Fast-cycle 
C)  Standard-cycle 
D)  Sheltered

Question 20

Define competitors, competitive rivalry, competitive behavior, and competitive dynamics.

Accepted Answer

Competitors are firms competing in the s

Firms with few competitive resources are more likely to

A competitive action is a strategic or tactical action taken by a firm to gain or defend a competitive advantage or improve its market position.

Which industry can be LEAST described as a slow cycle market?

Under the framework of competitive action and response, "ability" refers to an attacking or responding firm's knowledge of the competitive market characteristics.

The chief disadvantage of being a first mover is the

Lawsuits over patent and copyright infringements are more common and intense in

Quality begins at the bottom of the organization where employees must create values for quality that permeate the entire organization.

The drivers of competitive behavior are awareness of the competitor, motivation to take action or respond, and the organization's ability in terms of resources and flexibility.

Which of the following is the most strategic action by Wal-Mart?

Firms operating in the same market, offering similar products and targeting similar customers are competitors.

Two firms that have similar resources, but do not share markets would not be direct and mutually acknowledged competitors.

In general, firms are more aware of competitors who have similar resources and who

The CEO of the Wholesome Food retail grocery chain, which specializes in organic and natural produce and meat, has stated, "The key to success is to find your niche and focus on it, regardless of what anyone else does." The CEO

Research suggests that a firm with greater multimarket contact is ___ likely to initiate and attack, and _ likely to respond aggressively when attacked.

Competitive dynamics refers to the total set of actions and responses taken by all firms competing within a market.

Companies in fast-cycle markets need to profit quickly from an innovative product for all of the following reasons EXCEPT

____ markets are often described as volatile and innovative.

Define competitors, competitive rivalry, competitive behavior, and competitive dynamics.

Strategic Management and Competitiveness

The External Environment: Opportunities, Threats, Competition, and Competitor Analysis

The Internal Environment: Resources, Capabilities, Competencies, and Competitive Advantages

Business Level Strategy

Corporate Level Strategy

Strategic Acquisition and Restructuring

Global Strategy

Cooperative Implications for Strategy

Corporate Governance and Ethics

Structure and Controls with Organizations

Leadership Implications for Strategy

Entrepreneurial Implications for Strategy

Filters

Exam 5: Competitive Rivalry and Dynamics

Firms with few competitive resources are more likely to

A competitive action is a strategic or tactical action taken by a firm to gain or defend a competitive advantage or improve its market position.

Which industry can be LEAST described as a slow cycle market?

Under the framework of competitive action and response, "ability" refers to an attacking or responding firm's knowledge of the competitive market characteristics.

The chief disadvantage of being a first mover is the

Lawsuits over patent and copyright infringements are more common and intense in

Quality begins at the bottom of the organization where employees must create values for quality that permeate the entire organization.

The drivers of competitive behavior are awareness of the competitor, motivation to take action or respond, and the organization's ability in terms of resources and flexibility.

Which of the following is the most strategic action by Wal-Mart?

Firms operating in the same market, offering similar products and targeting similar customers are competitors.

Two firms that have similar resources, but do not share markets would not be direct and mutually acknowledged competitors.

In general, firms are more aware of competitors who have similar resources and who

The CEO of the Wholesome Food retail grocery chain, which specializes in organic and natural produce and meat, has stated, "The key to success is to find your niche and focus on it, regardless of what anyone else does." The CEO

Research suggests that a firm with greater multimarket contact is _______ likely to initiate and attack, and _____ likely to respond aggressively when attacked.

Competitive dynamics refers to the total set of actions and responses taken by all firms competing within a market.

Companies in fast-cycle markets need to profit quickly from an innovative product for all of the following reasons EXCEPT

____ markets are often described as volatile and innovative.

Define competitors, competitive rivalry, competitive behavior, and competitive dynamics.

Strategic Management and Competitiveness

The External Environment: Opportunities, Threats, Competition, and Competitor Analysis

The Internal Environment: Resources, Capabilities, Competencies, and Competitive Advantages

Business Level Strategy

Corporate Level Strategy

Strategic Acquisition and Restructuring

Global Strategy

Cooperative Implications for Strategy

Corporate Governance and Ethics

Structure and Controls with Organizations

Leadership Implications for Strategy

Entrepreneurial Implications for Strategy

Filters

Research suggests that a firm with greater multimarket contact is ___ likely to initiate and attack, and _ likely to respond aggressively when attacked.