Question 1

What is the range for a firm's total weighted score in an External Factor Evaluation Matrix?

Accepted Answer

A)  0 to 5 
B)  0 to 4 
C)  1 to 5 
D)  1 to 4 
E)  0 to 10 
A)  0 to 5 
B)  0 to 4 
C)  1 to 5 
D)  1 to 4 
E)  0 to 10 D

Question 2

A Competitive Profile Matrix allows strategists to summarize and evaluate economic, social, cultural, demographic, environmental, political, governmental, legal, technological, and competitive information.

Accepted Answer

A) True 
 B)False  False

Question 3

Whenever new firms can easily enter a particular industry, the intensity of competitiveness among firms tends to

Accepted Answer

A)  stay the same. 
B)  increase. 
C)  decrease. 
D)  neutralize. 
E)  fluctuate. 
A)  stay the same. 
B)  increase. 
C)  decrease. 
D)  neutralize. 
E)  fluctuate. B

Question 4

A characteristic that describes the most competitive companies in America is "whether it's broke or not, fix it - make it better; not just products, but the whole company if necessary."

Accepted Answer

A) True 
 B)False

Question 5

Organizations never develop their own projections.

Accepted Answer

A) True 
 B)False

Question 6

Intelligence gathering is an unethical business practice.

Accepted Answer

A) True 
 B)False

Question 7

Corporate intelligence can be defined as a systematic and ethical process for gathering and analyzing information about the competition's activities and general business trends to further a business' own goals.

Accepted Answer

A) True 
 B)False

Question 8

Freund argues that key external factors must not be hierarchical.

Accepted Answer

A) True 
 B)False

Question 9

Changes in which of the following can significantly affect firms?

Accepted Answer

A)  Patent laws 
B)  Antitrust legislation 
C)  Tax rates 
D)  Lobbying activities 
E)  All of the above 
A)  Patent laws 
B)  Antitrust legislation 
C)  Tax rates 
D)  Lobbying activities 
E)  All of the above

Question 10

Collecting and evaluating information on competitors is essential for successful

Accepted Answer

A)  internal analysis. 
B)  strategy evaluation. 
C)  strategy formulation. 
D)  strategy implementation. 
E)  strategy management. 
A)  internal analysis. 
B)  strategy evaluation. 
C)  strategy formulation. 
D)  strategy implementation. 
E)  strategy management.

Question 11

________ is not a basic mission of a competitive intelligence program.

Accepted Answer

A)  Providing a general understanding of an industry 
B)  Providing a general understanding of a company's competitors 
C)  Identifying industry executives who could be hired by the firm 
D)  Identifying areas in which competitors are vulnerable and assessing the impact strategic actions would have on competitors 
E)  Identifying potential moves a competitor might make that would endanger a firm's position in the market 
A)  Providing a general understanding of an industry 
B)  Providing a general understanding of a company's competitors 
C)  Identifying industry executives who could be hired by the firm 
D)  Identifying areas in which competitors are vulnerable and assessing the impact strategic actions would have on competitors 
E)  Identifying potential moves a competitor might make that would endanger a firm's position in the market

Question 12

One difference between CPM and EFE is that

Accepted Answer

A)  CPM includes both internal and external issues. 
B)  the weights and total weighted scores have different meanings. 
C)  CPM ratings range from 1 to 10. 
D)  CPM is performed only for the company, whereas EFE is performed for both the company and its competitors. 
E)  CPM is only used in small firms. 
A)  CPM includes both internal and external issues. 
B)  the weights and total weighted scores have different meanings. 
C)  CPM ratings range from 1 to 10. 
D)  CPM is performed only for the company, whereas EFE is performed for both the company and its competitors. 
E)  CPM is only used in small firms.

Question 13

Who are the world's longest-living people?

Accepted Answer

A)  Americans 
B)  Mexicans 
C)  Indians 
D)  Filipinos 
E)  Japanese 
A)  Americans 
B)  Mexicans 
C)  Indians 
D)  Filipinos 
E)  Japanese

Question 14

Laser eye surgery would be considered a substitute product for eyeglasses and contact lenses.

Accepted Answer

A) True 
 B)False

Question 15

The first step for using Porter's Five-Forces Model is to evaluate the relative strength of each competitive force.

Accepted Answer

A) True 
 B)False

Question 16

In practice, critical technology decisions are too often delegated to lower organizational levels or are made without an understanding of their strategic implications.

Accepted Answer

A) True 
 B)False

Question 17

External audits attempt to identify key variables that offer actionable responses.

Accepted Answer

A) True 
 B)False

Question 18

The aim of an external audit is to develop an exhaustive list of every possible factor that could influence the business.

Accepted Answer

A) True 
 B)False

Question 19

Political forecasts can be the most important part of an external audit for firms that depend heavily on government contracts.

Accepted Answer

A) True 
 B)False

Question 20

Which of the following has largely refrained from protectionist measures?

Accepted Answer

A)  the EU 
B)  the U.S. 
C)  India 
D)  Russia 
E)  All of the above 
A)  the EU 
B)  the U.S. 
C)  India 
D)  Russia 
E)  All of the above

What is the range for a firm's total weighted score in an External Factor Evaluation Matrix?

A Competitive Profile Matrix allows strategists to summarize and evaluate economic, social, cultural, demographic, environmental, political, governmental, legal, technological, and competitive information.

Whenever new firms can easily enter a particular industry, the intensity of competitiveness among firms tends to

A characteristic that describes the most competitive companies in America is "whether it's broke or not, fix it - make it better; not just products, but the whole company if necessary."

Organizations never develop their own projections.

Intelligence gathering is an unethical business practice.

Corporate intelligence can be defined as a systematic and ethical process for gathering and analyzing information about the competition's activities and general business trends to further a business' own goals.

Freund argues that key external factors must not be hierarchical.

Changes in which of the following can significantly affect firms?

Collecting and evaluating information on competitors is essential for successful

________ is not a basic mission of a competitive intelligence program.

One difference between CPM and EFE is that

Who are the world's longest-living people?

Laser eye surgery would be considered a substitute product for eyeglasses and contact lenses.

The first step for using Porter's Five-Forces Model is to evaluate the relative strength of each competitive force.

In practice, critical technology decisions are too often delegated to lower organizational levels or are made without an understanding of their strategic implications.

External audits attempt to identify key variables that offer actionable responses.

The aim of an external audit is to develop an exhaustive list of every possible factor that could influence the business.

Political forecasts can be the most important part of an external audit for firms that depend heavily on government contracts.

Which of the following has largely refrained from protectionist measures?

The Nature of Strategic Management

The Business Vision and Mission

The Internal Assessment

Strategies in Action

Strategy Analysis and Choice

Implementing Strategies: Management and Operations Issues

Implementing Strategies: Marketing, Financeaccounting, RD, and MIS Issues

Strategy Review, Evaluation, and Control

Business Ethicssocial Responsibilityenvironmental Sustainability

Globalinternational Issues

Filters

Exam 3: The External Assessment

What is the range for a firm's total weighted score in an External Factor Evaluation Matrix?

A Competitive Profile Matrix allows strategists to summarize and evaluate economic, social, cultural, demographic, environmental, political, governmental, legal, technological, and competitive information.

Whenever new firms can easily enter a particular industry, the intensity of competitiveness among firms tends to

A characteristic that describes the most competitive companies in America is "whether it's broke or not, fix it - make it better; not just products, but the whole company if necessary."

Organizations never develop their own projections.

Intelligence gathering is an unethical business practice.

Corporate intelligence can be defined as a systematic and ethical process for gathering and analyzing information about the competition's activities and general business trends to further a business' own goals.

Freund argues that key external factors must not be hierarchical.

Changes in which of the following can significantly affect firms?

Collecting and evaluating information on competitors is essential for successful

________ is not a basic mission of a competitive intelligence program.

One difference between CPM and EFE is that

Who are the world's longest-living people?

Laser eye surgery would be considered a substitute product for eyeglasses and contact lenses.

The first step for using Porter's Five-Forces Model is to evaluate the relative strength of each competitive force.

In practice, critical technology decisions are too often delegated to lower organizational levels or are made without an understanding of their strategic implications.

External audits attempt to identify key variables that offer actionable responses.

The aim of an external audit is to develop an exhaustive list of every possible factor that could influence the business.

Political forecasts can be the most important part of an external audit for firms that depend heavily on government contracts.

Which of the following has largely refrained from protectionist measures?

The Nature of Strategic Management

The Business Vision and Mission

The Internal Assessment

Strategies in Action

Strategy Analysis and Choice

Implementing Strategies: Management and Operations Issues

Implementing Strategies: Marketing, Financeaccounting, RD, and MIS Issues

Strategy Review, Evaluation, and Control

Business Ethicssocial Responsibilityenvironmental Sustainability

Globalinternational Issues

Filters