Exam 8: Strategy Issues in Industries and Life Cycle Stages

Standardization is an industry condition in which companies tend to adopt identical manufacturing processes because of intense rivalry.

During a period of fast growth a company may experience a loss of "culture." This possibility can be forestalled by

The sustainable competitive advantage that is sought by the first company to enter a new industry or industry segment is called ________.

In the growth stage of the organizational life cycle flaws in the systems and processes developed by the business are exposed.

We can see from the opening vignette for the chapter that the introduction of the MP3 player has had which of the following effects?

Which of the following is not one of the industry life cycle stages?

Products or services that have a relationship with and can affect the value of a company's own products or services are known as

Value creation in the introduction stage of the industry life cycle occurs internally through product design and externally by building upstream and downstream relationships.

First mover advantages can be classified as stemming from either timing or size.

The recent battle between the high definition (HD) video standards offered by Toshiba (HD-DVD) and Sony (Blu-ray) was won by Sony. This is an example of ________ that will allow the HD video industry to grow more quickly.

Industries mature when demand begins to slow down. Often this is because the market is ________, meaning there are few new customers to bring into the industry .

What are the motives for a company to expand internationally? What different strategies can it use?

A global strategy should be used when there is high pressure for value chain efficiency and value is created upstream, closer to manufacturing or supply activities.

Industries evolve through life cycle stages because

Founders of a company in the conception stage of the organizational life cycle face the tasks of having a product or service that works, developing a market entry strategy, and obtaining financial capital.

The organizational life cycle has the same stages as the industry life cycle.

The choice of a particular international strategy is driven by two factors, one of which is the source of value creation and the other is

As revenue growth slows in the maturity stage of the organizational life cycle, profitability growth depends on innovation and creating routines that allow employees to work without direction.

One of the reasons that companies expand internationally is to avoid strict environmental regulations in their home countries.

Microsoft's approach to selling the Xbox 360 illustrates the first mover advantage that comes from creating an installed base and the existence of buyer switching costs.