Question 1

One risk of a cost leadership strategy is that the technology for production or of products may change.

Accepted Answer

A) True 
 B)False

Question 2

Which of the following is not considered a strategic alliance success factor?

Accepted Answer

A)  Have a clear strategic purpose. 
B)  Operate with short-term time horizon. 
C)  Agree on an exit strategy for when the partners' objectives are achieved or the partnership fails. 
D)  Minimize conflicts among the partners by clarifying the objectives. 
E)  Identify likely partnering risks and deal with them when the alliance is formed. 
A)  Have a clear strategic purpose. 
B)  Operate with short-term time horizon. 
C)  Agree on an exit strategy for when the partners' objectives are achieved or the partnership fails. 
D)  Minimize conflicts among the partners by clarifying the objectives. 
E)  Identify likely partnering risks and deal with them when the alliance is formed.

Question 3

Which of Porter's competitive strategies concentrates on seeking differentiation in a particular buyer group,product line segment,or geographic market?

Accepted Answer

A)  segmentation focus 
B)  cost leadership 
C)  differentiation focus 
D)  competitive advantage 
E)  cost focus 
A)  segmentation focus 
B)  cost leadership 
C)  differentiation focus 
D)  competitive advantage 
E)  cost focus

Question 4

Those companies using cooperative strategies are generally not able to gain a competitive advantage.

Accepted Answer

A) True 
 B)False

Question 5

One skill required of the cost leadership strategy is a strong marketing ability.

Accepted Answer

A) True 
 B)False

Question 6

Cost leadership is the ability of a company or business unit to design,produce,and market a comparable product more efficiently than its competitors.

Accepted Answer

A) True 
 B)False

Question 7

The goal of strategy is to find a(n) ________ that is so well suited to the firm's competitive advantages that other organizations are not likely to challenge or dislodge it.

Accepted Answer

A)  strategic fit. 
B)  propitious niche. 
C)  common thread. 
D)  business screen. 
E)  implicit strategy. 
A)  strategic fit. 
B)  propitious niche. 
C)  common thread. 
D)  business screen. 
E)  implicit strategy.

Question 8

Collusion is the active cooperation of firms within an industry to reduce output and raise prices in order to get around the normal economic law of supply and demand.

Accepted Answer

A) True 
 B)False

Question 9

Intense supervision of labor,sustained capital investment and access to capital are commonly required skills and resources for which of Porter's generic competitive strategies?

Accepted Answer

A)  cost leadership 
B)  differentiation 
C)  cost leadership focus 
D)  differentiation focus 
E)  collusion 
A)  cost leadership 
B)  differentiation 
C)  cost leadership focus 
D)  differentiation focus 
E)  collusion

Question 10

The last stage of a hypercompetitive industry is reached when the remaining large global competitors

Accepted Answer

A)  raise entry barriers. 
B)  move into untapped markets. 
C)  attack the strongholds of other firms. 
D)  compete on cost and quality. 
E)  work their way to a situation of perfect competition in which no one has any advantage and profits are minimal. 
A)  raise entry barriers. 
B)  move into untapped markets. 
C)  attack the strongholds of other firms. 
D)  compete on cost and quality. 
E)  work their way to a situation of perfect competition in which no one has any advantage and profits are minimal.

Question 11

Which strategy has been used successfully by Yum! Brands to establish KFC and Pizza Hut restaurants across the globe?

Accepted Answer

A)  joint venture 
B)  licensing arrangement 
C)  strategic alliance 
D)  marketing strategy 
E)  value-chain partnership 
A)  joint venture 
B)  licensing arrangement 
C)  strategic alliance 
D)  marketing strategy 
E)  value-chain partnership

Question 12

Tight cost control is an organizational requirement for a cost leadership strategy.

Accepted Answer

A) True 
 B)False

Question 13

Populating a SWOT chart,by itself,is just the start of a strategic analysis.

Accepted Answer

A) True 
 B)False

Question 14

The active cooperation of firms within an industry to reduce output and raise prices to get around the normal law of supply and demand is referred to as

Accepted Answer

A)  a strategic alliance. 
B)  collusion. 
C)  a strategic roll up. 
D)  a merger. 
E)  licensing. 
A)  a strategic alliance. 
B)  collusion. 
C)  a strategic roll up. 
D)  a merger. 
E)  licensing.

Question 15

The only way to gain competitive advantage within an industry is to use a competitive strategy.

Accepted Answer

A) True 
 B)False

Question 16

What is a propitious niche? Provide an example of a firm that has been able to occupy a propitious niche successfully.

Accepted Answer

A propitious niche is an extremely favor

Question 17

One success factor to a strategic alliance is the ability to identify likely partnering risks and deal with them when the alliance is formed.

Accepted Answer

A) True 
 B)False

Question 18

One danger of D'Aveni's concept of hypercompetition is that it may lead to an overemphasis on short-term tactics over long-term strategy.

Accepted Answer

A) True 
 B)False

Question 19

Differentiation is a viable strategy for earning above-average returns in a specific business because the resulting increased value to the customer

Accepted Answer

A)  lowers costs. 
B)  lowers price sensitivity. 
C)  lowers customer loyalty. 
D)  lowers market share. 
E)  lowers entry barriers. 
A)  lowers costs. 
B)  lowers price sensitivity. 
C)  lowers customer loyalty. 
D)  lowers market share. 
E)  lowers entry barriers.

Question 20

An example of a company that was "stuck in the middle" was K-Mart as the company tried to imitate both Walmart's low-cost strategy and Target's differentiation strategy.

Accepted Answer

A) True 
 B)False

One risk of a cost leadership strategy is that the technology for production or of products may change.

Which of the following is not considered a strategic alliance success factor?

Which of Porter's competitive strategies concentrates on seeking differentiation in a particular buyer group,product line segment,or geographic market?

Those companies using cooperative strategies are generally not able to gain a competitive advantage.

One skill required of the cost leadership strategy is a strong marketing ability.

Cost leadership is the ability of a company or business unit to design,produce,and market a comparable product more efficiently than its competitors.

The goal of strategy is to find a(n) ________ that is so well suited to the firm's competitive advantages that other organizations are not likely to challenge or dislodge it.

Collusion is the active cooperation of firms within an industry to reduce output and raise prices in order to get around the normal economic law of supply and demand.

Intense supervision of labor,sustained capital investment and access to capital are commonly required skills and resources for which of Porter's generic competitive strategies?

The last stage of a hypercompetitive industry is reached when the remaining large global competitors

Which strategy has been used successfully by Yum! Brands to establish KFC and Pizza Hut restaurants across the globe?

Tight cost control is an organizational requirement for a cost leadership strategy.

Populating a SWOT chart,by itself,is just the start of a strategic analysis.

The active cooperation of firms within an industry to reduce output and raise prices to get around the normal law of supply and demand is referred to as

The only way to gain competitive advantage within an industry is to use a competitive strategy.

What is a propitious niche? Provide an example of a firm that has been able to occupy a propitious niche successfully.

One success factor to a strategic alliance is the ability to identify likely partnering risks and deal with them when the alliance is formed.

One danger of D'Aveni's concept of hypercompetition is that it may lead to an overemphasis on short-term tactics over long-term strategy.

Differentiation is a viable strategy for earning above-average returns in a specific business because the resulting increased value to the customer

An example of a company that was "stuck in the middle" was K-Mart as the company tried to imitate both Walmart's low-cost strategy and Target's differentiation strategy.

Basic Concepts in Strategic Management

Corporate Governance

Social Responsibility and Ethics in Strategic Management

Environmental Scanning and Industry Analysis

Organizational Analysis and Competitive Advantage

Strategy Formulation: Corporate Strategy

Strategy Formulation: Functional Strategy and Strategic Choice

Strategy Implementation: Global Strategy

Strategy Implementation: Organizing and Structure

Strategy Implementation: Staffing and Directing

Evaluation and Control

Suggestions for Case Analysis

Filters

Exam 6: Strategy Formulation: Business Strategy

One risk of a cost leadership strategy is that the technology for production or of products may change.

Which of the following is not considered a strategic alliance success factor?

Which of Porter's competitive strategies concentrates on seeking differentiation in a particular buyer group,product line segment,or geographic market?

Those companies using cooperative strategies are generally not able to gain a competitive advantage.

One skill required of the cost leadership strategy is a strong marketing ability.

Cost leadership is the ability of a company or business unit to design,produce,and market a comparable product more efficiently than its competitors.

The goal of strategy is to find a(n) ________ that is so well suited to the firm's competitive advantages that other organizations are not likely to challenge or dislodge it.

Collusion is the active cooperation of firms within an industry to reduce output and raise prices in order to get around the normal economic law of supply and demand.

Intense supervision of labor,sustained capital investment and access to capital are commonly required skills and resources for which of Porter's generic competitive strategies?

The last stage of a hypercompetitive industry is reached when the remaining large global competitors

Which strategy has been used successfully by Yum! Brands to establish KFC and Pizza Hut restaurants across the globe?

Tight cost control is an organizational requirement for a cost leadership strategy.

Populating a SWOT chart,by itself,is just the start of a strategic analysis.

The active cooperation of firms within an industry to reduce output and raise prices to get around the normal law of supply and demand is referred to as

The only way to gain competitive advantage within an industry is to use a competitive strategy.

What is a propitious niche? Provide an example of a firm that has been able to occupy a propitious niche successfully.

One success factor to a strategic alliance is the ability to identify likely partnering risks and deal with them when the alliance is formed.

One danger of D'Aveni's concept of hypercompetition is that it may lead to an overemphasis on short-term tactics over long-term strategy.

Differentiation is a viable strategy for earning above-average returns in a specific business because the resulting increased value to the customer

An example of a company that was "stuck in the middle" was K-Mart as the company tried to imitate both Walmart's low-cost strategy and Target's differentiation strategy.

Basic Concepts in Strategic Management

Corporate Governance

Social Responsibility and Ethics in Strategic Management

Environmental Scanning and Industry Analysis

Organizational Analysis and Competitive Advantage

Strategy Formulation: Corporate Strategy

Strategy Formulation: Functional Strategy and Strategic Choice

Strategy Implementation: Global Strategy

Strategy Implementation: Organizing and Structure

Strategy Implementation: Staffing and Directing

Evaluation and Control

Suggestions for Case Analysis

Filters