Question 1

Walt Disney Company competes successfully in the entertainment industry using which of Porter's competitive strategies?

Accepted Answer

A)  differentiation focus 
B)  stuck in the middle 
C)  cost leadership 
D)  differentiation 
E)  cost focus 
A)  differentiation focus 
B)  stuck in the middle 
C)  cost leadership 
D)  differentiation 
E)  cost focus

Question 2

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 3

A method developed in the mid-1990s as an efficient means to quickly consolidate a fragmented industry can be referred to as a

Accepted Answer

A)  merger. 
B)  strategic rollup. 
C)  cost strategy. 
D)  differentiation strategy. 
E)  focus strategy. 
A)  merger. 
B)  strategic rollup. 
C)  cost strategy. 
D)  differentiation strategy. 
E)  focus strategy.

Question 4

Morgan Motor Car Company manufactures classic British sports cars.Which of Porter's strategies is this company following?

Accepted Answer

A)  differentiation focus 
B)  cost leadership 
C)  stuck in the middle 
D)  differentiation 
E)  cost focus 
A)  differentiation focus 
B)  cost leadership 
C)  stuck in the middle 
D)  differentiation 
E)  cost focus

Question 5

Which of the following is not one of the risks of a cost leadership strategy?

Accepted Answer

A)  The technology that the organization has been using changes. 
B)  Pricing for higher quality that is too far above the price of the competition. 
C)  Competitors can achieve viable imitations. 
D)  Other bases for cost leadership erode. 
E)  Proximity in differentiation is lost. 
A)  The technology that the organization has been using changes. 
B)  Pricing for higher quality that is too far above the price of the competition. 
C)  Competitors can achieve viable imitations. 
D)  Other bases for cost leadership erode. 
E)  Proximity in differentiation is lost.

Question 6

Research suggests that a differentiation strategy is more likely to generate higher profits than a lower cost strategy because differentiation creates

Accepted Answer

A)  a better entry barrier. 
B)  a better exit barrier. 
C)  a better niche market. 
D)  a more sustainable competitive advantage. 
E)  no clear long-term strategy. 
A)  a better entry barrier. 
B)  a better exit barrier. 
C)  a better niche market. 
D)  a more sustainable competitive advantage. 
E)  no clear long-term strategy.

Question 7

As an industry becomes hypercompetitive,firms initially respond by

Accepted Answer

A)  raising entry barriers. 
B)  moving into untapped markets. 
C)  attacking the strongholds of other firms. 
D)  competing on cost and quality. 
E)  working their way to a situation of perfect competition. 
A)  raising entry barriers. 
B)  moving into untapped markets. 
C)  attacking the strongholds of other firms. 
D)  competing on cost and quality. 
E)  working their way to a situation of perfect competition.

Question 8

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

Accepted Answer

A) True 
 B)False

Question 9

Which strategy raises the questions of whether to compete on the basis of lower cost or differentiation and whether to compete for the biggest market or a niche market?

Accepted Answer

A)  business 
B)  corporate 
C)  competitive 
D)  functional 
E)  focus 
A)  business 
B)  corporate 
C)  competitive 
D)  functional 
E)  focus

Question 10

According to Porter,the term that applies to the breadth of a company's or business unit's target market is called

Accepted Answer

A)  competitive scope. 
B)  differentiation. 
C)  focus. 
D)  diversification. 
E)  cost leadership. 
A)  competitive scope. 
B)  differentiation. 
C)  focus. 
D)  diversification. 
E)  cost leadership.

Question 11

Business strategy focuses on

Accepted Answer

A)  ensuring that the company maintains the existing market share that it has historically enjoyed. 
B)  improving the competitive position of a corporation's products or services within the industry or market segment served. 
C)  providing adequate shareholders' return on investment. 
D)  preventing the competition from gaining a competitive edge by undermining their marketing plan. 
E)  recovering the competitive lead by using all available resources that the company can provide. 
A)  ensuring that the company maintains the existing market share that it has historically enjoyed. 
B)  improving the competitive position of a corporation's products or services within the industry or market segment served. 
C)  providing adequate shareholders' return on investment. 
D)  preventing the competition from gaining a competitive edge by undermining their marketing plan. 
E)  recovering the competitive lead by using all available resources that the company can provide.

Question 12

Jet airplane manufacturers often enter into strategic alliances to

Accepted Answer

A)  obtain new capabilities. 
B)  obtain access to specific markets. 
C)  reduce financial risk. 
D)  reduce political risk. 
E)  preserve autonomy. 
A)  obtain new capabilities. 
B)  obtain access to specific markets. 
C)  reduce financial risk. 
D)  reduce political risk. 
E)  preserve autonomy.

Question 13

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

Accepted Answer

A) True 
 B)False

Question 14

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 15

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

Question 16

The two general types of cooperative strategies are collusion and strategic alliances.

Accepted Answer

A) True 
 B)False

Question 17

The text authors note that the essence of strategy is

Accepted Answer

A)  opportunity divided by capacity. 
B)  strength divided by opportunity. 
C)  threat divided by capacity. 
D)  threat divided by opportunity. 
E)  opportunity divided by threat. 
A)  opportunity divided by capacity. 
B)  strength divided by opportunity. 
C)  threat divided by capacity. 
D)  threat divided by opportunity. 
E)  opportunity divided by threat.

Question 18

Competitive scope is

Accepted Answer

A)  the breadth of the company's target market. 
B)  a business strategy. 
C)  the common thread found in the firm's mission statement. 
D)  the foundation of the choice between cost leadership and differentiation strategies. 
E)  an element of the marketing mix. 
A)  the breadth of the company's target market. 
B)  a business strategy. 
C)  the common thread found in the firm's mission statement. 
D)  the foundation of the choice between cost leadership and differentiation strategies. 
E)  an element of the marketing mix.

Question 19

According to Porter,a business unit in a competitive marketplace with no generic competitive strategy is

Accepted Answer

A)  achieving synergy. 
B)  practicing innovative leadership. 
C)  stuck in the middle. 
D)  not goal directed. 
E)  last in line. 
A)  achieving synergy. 
B)  practicing innovative leadership. 
C)  stuck in the middle. 
D)  not goal directed. 
E)  last in line.

Question 20

Discuss competitive strategy differences between a fragmented and a consolidated industry.

Accepted Answer

In a fragmented industry,there are many

Walt Disney Company competes successfully in the entertainment industry using which of Porter's competitive strategies?

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

A method developed in the mid-1990s as an efficient means to quickly consolidate a fragmented industry can be referred to as a

Morgan Motor Car Company manufactures classic British sports cars.Which of Porter's strategies is this company following?

Which of the following is not one of the risks of a cost leadership strategy?

Research suggests that a differentiation strategy is more likely to generate higher profits than a lower cost strategy because differentiation creates

As an industry becomes hypercompetitive,firms initially respond by

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

Which strategy raises the questions of whether to compete on the basis of lower cost or differentiation and whether to compete for the biggest market or a niche market?

According to Porter,the term that applies to the breadth of a company's or business unit's target market is called

Business strategy focuses on

Jet airplane manufacturers often enter into strategic alliances to

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

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.

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.

The two general types of cooperative strategies are collusion and strategic alliances.

The text authors note that the essence of strategy is

Competitive scope is

According to Porter,a business unit in a competitive marketplace with no generic competitive strategy is

Discuss competitive strategy differences between a fragmented and a consolidated industry.

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

Walt Disney Company competes successfully in the entertainment industry using which of Porter's competitive strategies?

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

A method developed in the mid-1990s as an efficient means to quickly consolidate a fragmented industry can be referred to as a

Morgan Motor Car Company manufactures classic British sports cars.Which of Porter's strategies is this company following?

Which of the following is not one of the risks of a cost leadership strategy?

Research suggests that a differentiation strategy is more likely to generate higher profits than a lower cost strategy because differentiation creates

As an industry becomes hypercompetitive,firms initially respond by

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

Which strategy raises the questions of whether to compete on the basis of lower cost or differentiation and whether to compete for the biggest market or a niche market?

According to Porter,the term that applies to the breadth of a company's or business unit's target market is called

Business strategy focuses on

Jet airplane manufacturers often enter into strategic alliances to

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

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.

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.

The two general types of cooperative strategies are collusion and strategic alliances.

The text authors note that the essence of strategy is

Competitive scope is

According to Porter,a business unit in a competitive marketplace with no generic competitive strategy is

Discuss competitive strategy differences between a fragmented and a consolidated industry.

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