Question 1

Why is the simplicity of SWOT analysis also its major limitation? Explain and support your answer.

Accepted Answer

The beauty of SWOT analysis is its simpl

Question 2

In conducting a SWOT analysis, is it enough to simply compile lists of the company's strengths, weaknesses, opportunities, and threats? Why or why not?

Accepted Answer

Simply making lists of a company's stren

Question 3

The four tests of a resource's competitive power are often referred to as the

Accepted Answer

A) SCIR test, which asks if a resource is sustainable, competitive, internalized, and reproducible. 
B) competitive advantage sustainable method test. 
C) reliability resources simulation. 
D) VRIN test, which asks if a resource is valuable, rare, inimitable, and nonsubstitutable. 
E) organizational capability metric analysis. 
A) SCIR test, which asks if a resource is sustainable, competitive, internalized, and reproducible. 
B) competitive advantage sustainable method test. 
C) reliability resources simulation. 
D) VRIN test, which asks if a resource is valuable, rare, inimitable, and nonsubstitutable. 
E) organizational capability metric analysis.

Question 4

An option for not remedying an internal cost disadvantage includes

Accepted Answer

A) investing in productivity-enhancing, cost-saving technological improvements. 
B) redesigning the product or some of its components to facilitate speedier and more economical manufacture or assembly. 
C) implementing the use of best practices throughout the company, particularly for high-cost activities. 
D) eliminating some cost-producing activities altogether by revamping the value chain. 
E) performing activities in the same way as done earlier. 
A) investing in productivity-enhancing, cost-saving technological improvements. 
B) redesigning the product or some of its components to facilitate speedier and more economical manufacture or assembly. 
C) implementing the use of best practices throughout the company, particularly for high-cost activities. 
D) eliminating some cost-producing activities altogether by revamping the value chain. 
E) performing activities in the same way as done earlier.

Question 5

How are a company's organizational capabilities developed and enabled?

Accepted Answer

A) by strengthening the traditions that company executives are committed to maintaining 
B) through deployment of a company's resources or some combination of its resources 
C) by talking openly about the problems of the present company and determining how new behaviors will improve performance 
D) by shifting from decentralized to centralized decision-making 
E) by urging company personnel to search outside the company for work practices and operating approaches that may be an improvement over what the company is presently doing 
A) by strengthening the traditions that company executives are committed to maintaining 
B) through deployment of a company's resources or some combination of its resources 
C) by talking openly about the problems of the present company and determining how new behaviors will improve performance 
D) by shifting from decentralized to centralized decision-making 
E) by urging company personnel to search outside the company for work practices and operating approaches that may be an improvement over what the company is presently doing

Question 6

Key financial ratios that could help analysts measure Whole Foods' profitability do not include

Accepted Answer

A) operating profit margin. 
B) return on capital employed. 
C) net return on assets. 
D) inventory turnover. 
E) return on stockholders' equity. 
A) operating profit margin. 
B) return on capital employed. 
C) net return on assets. 
D) inventory turnover. 
E) return on stockholders' equity.

Question 7

The means to enhance differentiation through activities at the forward end of the value chain system do not include

Accepted Answer

A) engaging in cooperative advertising and promotions. 
B) creating exclusive arrangements with downstream sellers or other mechanisms that increase their incentives for enhanced-delivery customer value. 
C) creating and enforcing standards for downstream activities. 
D) assisting in training channel partners in business practices. 
E) enhancing cost-reducing activities with defensive functionality designed to create incentives. 
A) engaging in cooperative advertising and promotions. 
B) creating exclusive arrangements with downstream sellers or other mechanisms that increase their incentives for enhanced-delivery customer value. 
C) creating and enforcing standards for downstream activities. 
D) assisting in training channel partners in business practices. 
E) enhancing cost-reducing activities with defensive functionality designed to create incentives.

Question 8

Key functional strategies of a company include all of the following except

Accepted Answer

A) R&D, technology, and product design strategies. 
B) production and information technology and supply chain management strategies. 
C) human resource and finance strategies. 
D) sales, marketing, and distribution strategies. 
E) alliance and partnerships as well as merger and acquisition growth strategies. 
A) R&D, technology, and product design strategies. 
B) production and information technology and supply chain management strategies. 
C) human resource and finance strategies. 
D) sales, marketing, and distribution strategies. 
E) alliance and partnerships as well as merger and acquisition growth strategies.

Question 9

Describe and provide an example of a firm (real or fictional)that is at a differentiation disadvantage compared to its rivals. What strategic moves should this firm undertake to restore or capture a differentiation advantage?

Accepted Answer

The means to enhancing differentiation t

Question 10

________ does not represent a potential core competence.

Accepted Answer

A) Skills in manufacturing a high-quality product at a low cost 
B) Know-how in creating and operating systems for cost-efficient supply chain management 
C) The capability to fill customer orders accurately and swiftly 
D) Having a sprawling factory 
E) The capability to speed new or next-generation products to the marketplace 
A) Skills in manufacturing a high-quality product at a low cost 
B) Know-how in creating and operating systems for cost-efficient supply chain management 
C) The capability to fill customer orders accurately and swiftly 
D) Having a sprawling factory 
E) The capability to speed new or next-generation products to the marketplace

Question 11

External threats to a company's future profitability and well-being do not include

Accepted Answer

A) the likely entry of potent new competitors 
B) the lack of a well-known brand name with which to attract new customers and help retain existing customers 
C) shifts in buyer needs and tastes away from the industry's product 
D) costly new regulatory requirements 
E) growing bargaining power on the part of the company's major customers and major suppliers 
A) the likely entry of potent new competitors 
B) the lack of a well-known brand name with which to attract new customers and help retain existing customers 
C) shifts in buyer needs and tastes away from the industry's product 
D) costly new regulatory requirements 
E) growing bargaining power on the part of the company's major customers and major suppliers

Question 12

Nestlé's brand management capabilities for its 2000-plus food, beverage, and pet care brands are

Accepted Answer

A) known as productive inputs or competitive assets, while human assets and intellectual capital are, which are considered capabilities or competencies. 
B) representative of physical resources only. 
C) part of an inventory or collection of the firm's strengths, weaknesses, opportunities, and threats. 
D) categorized as tangible and/or intangible resources 
E) intangible resources only, because they consist of patents, copyrights, and technological processes. 
A) known as productive inputs or competitive assets, while human assets and intellectual capital are, which are considered capabilities or competencies. 
B) representative of physical resources only. 
C) part of an inventory or collection of the firm's strengths, weaknesses, opportunities, and threats. 
D) categorized as tangible and/or intangible resources 
E) intangible resources only, because they consist of patents, copyrights, and technological processes.

Question 13

SWOT analysis is a simple but powerful tool for

Accepted Answer

A) gauging whether a company has a cost-competitive value chain. 
B) sizing up a company's resources and capabilities, strengths and deficiencies, its market opportunities, and the external threats to its future well-being. 
C) evaluating whether a company is in the most appropriate strategic group. 
D) determining a company's competitive strength vis-à-vis close rivals. 
E) identifying the market segments in which a company is strongly positioned and weakly positioned. 
A) gauging whether a company has a cost-competitive value chain. 
B) sizing up a company's resources and capabilities, strengths and deficiencies, its market opportunities, and the external threats to its future well-being. 
C) evaluating whether a company is in the most appropriate strategic group. 
D) determining a company's competitive strength vis-à-vis close rivals. 
E) identifying the market segments in which a company is strongly positioned and weakly positioned.

Question 14

Which one of the following is not part of conducting a SWOT analysis?

Accepted Answer

A) identifying a company's resource strengths and competitive capabilities 
B) benchmarking the company's resource strengths and competitive capabilities against industry key success factors 
C) identifying a company's market opportunities 
D) drawing conclusions about the company's overall business situation 
E) matching the company's strategy to its resource strengths and market opportunities, correcting problematic weaknesses, and defending against worrisome threats 
A) identifying a company's resource strengths and competitive capabilities 
B) benchmarking the company's resource strengths and competitive capabilities against industry key success factors 
C) identifying a company's market opportunities 
D) drawing conclusions about the company's overall business situation 
E) matching the company's strategy to its resource strengths and market opportunities, correcting problematic weaknesses, and defending against worrisome threats

Question 15

A sustainable competitive advantage is gained when a company

Accepted Answer

A) has durable competitive assets that are central to its strategy and superior to those of rival firms. 
B) has sufficient resources to expedite its strategy. 
C) realizes its inherent weaknesses are transformable to advantages. 
D) can stand out relative to rivals because of resource utilization. 
E) has resources in well-populated geographical locations. 
A) has durable competitive assets that are central to its strategy and superior to those of rival firms. 
B) has sufficient resources to expedite its strategy. 
C) realizes its inherent weaknesses are transformable to advantages. 
D) can stand out relative to rivals because of resource utilization. 
E) has resources in well-populated geographical locations.

Question 16

If a company does not possess standalone resource strengths capable of contributing to competitive advantage,

Accepted Answer

A) all potential for competitive advantage is lost. 
B) it is unlikely to survive in the marketplace and should exit the industry. 
C) it may have a bundle of resources that can be leveraged to develop a distinctive competence. 
D) it is virtually blocked from using offensive strategies and must rely on defensive strategies. 
E) its best strategic option is to revamp its value chain in hopes of creating stronger competitive capabilities. 
A) all potential for competitive advantage is lost. 
B) it is unlikely to survive in the marketplace and should exit the industry. 
C) it may have a bundle of resources that can be leveraged to develop a distinctive competence. 
D) it is virtually blocked from using offensive strategies and must rely on defensive strategies. 
E) its best strategic option is to revamp its value chain in hopes of creating stronger competitive capabilities.

Question 17

Obtaining cost information is a primary difficulty associated with benchmarking. The following are typical sources for collecting information except from

Accepted Answer

A) published reports, industry research firms, and trade groups. 
B) talking to knowledgeable industry leaders. 
C) field trips to the facilities of competitors or non-competing firms. 
D) independent firms and consulting firms to gather best practices and comparative cost data without identifying competing firms. 
E) classified government documents. 
A) published reports, industry research firms, and trade groups. 
B) talking to knowledgeable industry leaders. 
C) field trips to the facilities of competitors or non-competing firms. 
D) independent firms and consulting firms to gather best practices and comparative cost data without identifying competing firms. 
E) classified government documents.

Question 18

Identifying the strategic issues a company faces and compiling a "worry list" of problems and roadblocks is an important component of company situation analysis because

Accepted Answer

A) without a precise fix on what problems/issues a company confronts, managers cannot know what the industry's key success factors are. 
B) the worry list sets the management agenda for taking actions to improve the company's performance and business outlook. 
C) without a precise fix on what problems/roadblocks a company confronts, managers are less clear about what value chain activities to benchmark. 
D) these issues and obstacles must be cleared before management can focus clearly on what is the best strategy for the company to pursue. 
E) the worry list helps company managers clarify their thinking about how best to modify the company's value chain. 
A) without a precise fix on what problems/issues a company confronts, managers cannot know what the industry's key success factors are. 
B) the worry list sets the management agenda for taking actions to improve the company's performance and business outlook. 
C) without a precise fix on what problems/roadblocks a company confronts, managers are less clear about what value chain activities to benchmark. 
D) these issues and obstacles must be cleared before management can focus clearly on what is the best strategy for the company to pursue. 
E) the worry list helps company managers clarify their thinking about how best to modify the company's value chain.

Question 19

Two analytical tools useful in determining whether a company's prices and costs are competitive are

Accepted Answer

A) SWOT analysis and key success factor analysis. 
B) SWOT analysis and benchmarking. 
C) value chain analysis and benchmarking. 
D) competitive position assessment and competitive strength assessment. 
E) driving forces analysis and SWOT analysis. 
A) SWOT analysis and key success factor analysis. 
B) SWOT analysis and benchmarking. 
C) value chain analysis and benchmarking. 
D) competitive position assessment and competitive strength assessment. 
E) driving forces analysis and SWOT analysis.

Question 20

Identify one competitive resource strength that a SWOT analysis of Blue Apron and Domino's Pizza would reveal.

Accepted Answer

Blue Apron and Domino's Pizza possess di

Why is the simplicity of SWOT analysis also its major limitation? Explain and support your answer.

In conducting a SWOT analysis, is it enough to simply compile lists of the company's strengths, weaknesses, opportunities, and threats? Why or why not?

The four tests of a resource's competitive power are often referred to as the

An option for not remedying an internal cost disadvantage includes

How are a company's organizational capabilities developed and enabled?

Key financial ratios that could help analysts measure Whole Foods' profitability do not include

The means to enhance differentiation through activities at the forward end of the value chain system do not include

Key functional strategies of a company include all of the following except

Describe and provide an example of a firm (real or fictional)that is at a differentiation disadvantage compared to its rivals. What strategic moves should this firm undertake to restore or capture a differentiation advantage?

________ does not represent a potential core competence.

External threats to a company's future profitability and well-being do not include

Nestlé's brand management capabilities for its 2000-plus food, beverage, and pet care brands are

SWOT analysis is a simple but powerful tool for

Which one of the following is not part of conducting a SWOT analysis?

A sustainable competitive advantage is gained when a company

If a company does not possess standalone resource strengths capable of contributing to competitive advantage,

Obtaining cost information is a primary difficulty associated with benchmarking. The following are typical sources for collecting information except from

Identifying the strategic issues a company faces and compiling a "worry list" of problems and roadblocks is an important component of company situation analysis because

Two analytical tools useful in determining whether a company's prices and costs are competitive are

Identify one competitive resource strength that a SWOT analysis of Blue Apron and Domino's Pizza would reveal.

What Is Strategy and Why Is It Important?

Charting a Companys Direction

Evaluating a Companys External Environment

The Five Generic Competitive Strategies

Strengthening a Companys Competitive Position

Strategies for Competing in International Markets

Corporate Strategy

Ethics, Corporate Social Responsibility, Environmental Sustainability, and Strategy

Building an Organization Capable of Good Strategy Execution

Managing Internal Operations

Corporate Culture and Leadership

Filters

Exam 4: Evaluating a Companys Resources, Capabilities, and Competitiveness

Why is the simplicity of SWOT analysis also its major limitation? Explain and support your answer.

In conducting a SWOT analysis, is it enough to simply compile lists of the company's strengths, weaknesses, opportunities, and threats? Why or why not?

The four tests of a resource's competitive power are often referred to as the

An option for not remedying an internal cost disadvantage includes

How are a company's organizational capabilities developed and enabled?

Key financial ratios that could help analysts measure Whole Foods' profitability do not include

The means to enhance differentiation through activities at the forward end of the value chain system do not include

Key functional strategies of a company include all of the following except

Describe and provide an example of a firm (real or fictional)that is at a differentiation disadvantage compared to its rivals. What strategic moves should this firm undertake to restore or capture a differentiation advantage?

________ does not represent a potential core competence.

External threats to a company's future profitability and well-being do not include

Nestlé's brand management capabilities for its 2000-plus food, beverage, and pet care brands are

SWOT analysis is a simple but powerful tool for

Which one of the following is not part of conducting a SWOT analysis?

A sustainable competitive advantage is gained when a company

If a company does not possess standalone resource strengths capable of contributing to competitive advantage,

Obtaining cost information is a primary difficulty associated with benchmarking. The following are typical sources for collecting information except from

Identifying the strategic issues a company faces and compiling a "worry list" of problems and roadblocks is an important component of company situation analysis because

Two analytical tools useful in determining whether a company's prices and costs are competitive are

Identify one competitive resource strength that a SWOT analysis of Blue Apron and Domino's Pizza would reveal.

What Is Strategy and Why Is It Important?

Charting a Companys Direction

Evaluating a Companys External Environment

The Five Generic Competitive Strategies

Strengthening a Companys Competitive Position

Strategies for Competing in International Markets

Corporate Strategy

Ethics, Corporate Social Responsibility, Environmental Sustainability, and Strategy

Building an Organization Capable of Good Strategy Execution

Managing Internal Operations

Corporate Culture and Leadership

Filters