Exam 3: Organizational Strategy, Information Systems, and Competitive Advantage

Identify the activity in the value chain that involves receiving and handling of raw materials and other inputs to the product.

RAC Associates is a car rental company that rents cars to customers in the United States. The company uses controls and procedures to prevent car theft. Such procedures are examples of ________.

The cost of the business process is the sum of the cost of the inputs and the ________.

Which of the following principles of competitive advantage is associated with product implementations?

Locking in customers by making it difficult or expensive for customers to move to another product is called establishing high ________.

The difference between the total value added and the total costs incurred is called the ________ of the value chain.

Which of the following statements is true of business process designs?

Explain linkages with an example.

Which of the following is a support activity in the value chain of a firm?

Briefly describe the concepts of value, margin, and value chain as defined by Porter.

A business with a differentiation strategy will add cost to an activity only as long as the activity has a positive margin.

The cost of the business process is the cost of the inputs plus the cost of the outputs.

Creating a new product to increase margin is an example of using product implementations to achieve competitive advantage.

The primary activity of sales and marketing is the collection, storage, and physical distribution of the products to the buyers.

A furniture manufacturer delivers products to its customers' houses. This is an example of inbound logistics.

Which of the following factors determines the structure, features, and functions of an information system used in a company?

The competitive strategy of an organization is determined by the value chain.

A new drug that has shown promise in curing skin cancer has been discovered by a famous chemical laboratory. This is the only known drug effective for treatment of this disease. The laboratory obtains a patent for the product and decides to sell it. This situation is characterized by ________.

A retail company sells products such as agricultural produce and consumer products. The company procures materials from farmers and local producers. This process of obtaining the inputs needed for a business is called ________.

Which of the following principles of competitive advantage is related to process implementations?