Exam 5: Business-Level Strategy Creating and Sustaining Competitive Advantages

A differentiation strategy enables a business to address the five competitive forces by

Once established, competitive advantages last forever whether the firm is in a high technology environment or not.

The primary aim of strategic management at the business level is

Outside the flight experience itself, airlines are generating revenue by charging fees for credit cards, frequent-flyer programs, and access to airport lounges. This serves to

Many firms have achieved success by integrating activities throughout the extended value chain by using ________ to link their own value chain with the value chains of their customersandsuppliers.

A need for turnaround occurs only during the maturity or declining stage of the life cycle.

Caterpillar uses data analytics to differentiate itself from competitors by providing information services.

A firm can achieve differentiation through all the following means except

Which of the following is a risk (or potential pitfall) of cost leadership?

Porsche has enhanced power over buyers because its strong reputation makes buyers more willing to pay a premium price. This ________ rivalry, since buyers become ________ price-sensitive.

A low-cost position provides ________ flexibility to cope with demands from powerful suppliers for input cost increases.

Aldi, a discount supermarket retailer, has grown from its German base to the rest of Europe, Australia, and the United States by replicating a simple business format. Aldi limits the number of products in each category to ensure product turn, to ease stocking shelves, and to increase its power over supplier. This is an example of an overall cost leadership strategy because it

Early pioneer in online education, University of Phoenix, has faced increasing challenges from traditional university online programs who are able to offer their programs at the same cost.This is an example of which generic strategy gone wrong:

As markets mature,

The most likely time to pursue a harvest strategy is in a situation of

In the ________ stage of the industry life cycle, there are many segments, competition is very intense, and the emphasis on process design is high.

The factors that lead to a low-cost position also provide a substantial ________ barriers position with respect to ________ products introduced by new and existing competitors.

Primark, a fashion retailer, has found a way to keep its cost structure lower than its rivals by leveraging streamlined logistics, a low marketing budget, and negotiating bargain prices from its suppliers. They are using a(n) ________ strategy.

What is a focus strategy? Provide an example where this has been implemented successfully.

An example of a firm applying the overall cost leadership generic strategy in a value-chain activity would be to automate the production assembly line to reduce scrappage from quality errors.