Question 1

Good strategy + good strategy execution = good management. True or false? Justify and explain your answer.

Accepted Answer

A) True 
 B)False

Question 2

A mobile on-demand transportation company with an established brand name uses a unique mobile app and GPS mapping technology to reduce the time for drivers to pick up passengers and take them to their destinations. It then gives the mobile apps away free to all riders. Which of the five generic strategies is this company using?

Accepted Answer

The mobile on-demand transportation comp

Question 3

A company's strategy is a "work in progress" and evolves over time because of the

Accepted Answer

A)  importance of developing a fresh strategic plan every year that keeps employees from becoming bored with executing the same strategy year after year. 
B)  ongoing need to imitate the new strategic moves of the industry leaders. 
C)  need to make regular adjustments in the company's strategic vision. 
D)  ongoing need of company managers to react and respond to changing market and competitive conditions. 
E)  frequent need to modify key elements of the company's business model. 
A)  importance of developing a fresh strategic plan every year that keeps employees from becoming bored with executing the same strategy year after year. 
B)  ongoing need to imitate the new strategic moves of the industry leaders. 
C)  need to make regular adjustments in the company's strategic vision. 
D)  ongoing need of company managers to react and respond to changing market and competitive conditions. 
E)  frequent need to modify key elements of the company's business model.

Question 4

Explain why a company's strategy cannot be completely planned out in advance and why crafting a company's strategy cannot be a one-time, once-and-for-all managerial exercise. Identify at least three factors that account for why company strategies evolve.

Accepted Answer

A company's strategy tends to evolve bec

Question 5

A winning strategy must pass which three tests?

Accepted Answer

A)  the Dominant Market Test, the Sustainable Advantage Test, and the Profit Test 
B)  the Fit Test, the Competitive Advantage Test, and the Performance Test 
C)  the Sustainable Performance Test, the Fit Test, and the Profit Test 
D)  the Performance Test, the Dominant Market Test, and the Fit Test 
E)  the Fit Test, the Sustainable Advantage Test, and the Dominant Market Test 
A)  the Dominant Market Test, the Sustainable Advantage Test, and the Profit Test 
B)  the Fit Test, the Competitive Advantage Test, and the Performance Test 
C)  the Sustainable Performance Test, the Fit Test, and the Profit Test 
D)  the Performance Test, the Dominant Market Test, and the Fit Test 
E)  the Fit Test, the Sustainable Advantage Test, and the Dominant Market Test

Question 6

Adapting to new conditions like new innovations by competitors, fast-changing technological developments, and constantly evaluating what is working result in

Accepted Answer

A)  an assured profitability strategy. 
B)  a broad market entry strategy. 
C)  an emergent strategy. 
D)  unlimited revenue generation. 
E)  a proactive strategy. 
A)  an assured profitability strategy. 
B)  a broad market entry strategy. 
C)  an emergent strategy. 
D)  unlimited revenue generation. 
E)  a proactive strategy.

Question 7

Which of the following pizza firms competing in a crowded market likely offers the best value proposition to its customers, based on the following sales pitches?

Accepted Answer

A)  Firm A: "The Tastiest Pizza You've Ever Had." 
B)  Firm B: "Get fresh, hot pizza, delivered under 20 minutes-or it's free." 
C)  Firm C: "Get your pizza at your doorstep-absolutely free delivery, anywhere." 
D)  Firm D: "One pizza, 5 points: to be redeemed with a pan pizza upon reaching 50 points." 
E)  Firm E: "Open you pizza box and find a free gift. Hurry! Free gifts for 100 lucky customers." 
A)  Firm A: "The Tastiest Pizza You've Ever Had." 
B)  Firm B: "Get fresh, hot pizza, delivered under 20 minutes-or it's free." 
C)  Firm C: "Get your pizza at your doorstep-absolutely free delivery, anywhere." 
D)  Firm D: "One pizza, 5 points: to be redeemed with a pan pizza upon reaching 50 points." 
E)  Firm E: "Open you pizza box and find a free gift. Hurry! Free gifts for 100 lucky customers."

Question 8

A search engine giant specializes in all types of search items; provides a free translation feature for 80 different languages; allows users to view ads on previously made related searches; provides suggestive search items to assist the user; allows users to view a collation of related web pages users might want to visit; and provides a faster load time and more accurate hits than its rivals. Which of the following is a profit formula used by the company?

Accepted Answer

A)  providing a free translation feature for 80 different languages 
B)  allowing users to view ads on previously made related searches 
C)  allowing users to view a collation of related web pages users might want to visit 
D)  providing a faster load time and more accurate hits than its rivals 
E)  providing suggestive search items based on history of sites visited 
A)  providing a free translation feature for 80 different languages 
B)  allowing users to view ads on previously made related searches 
C)  allowing users to view a collation of related web pages users might want to visit 
D)  providing a faster load time and more accurate hits than its rivals 
E)  providing suggestive search items based on history of sites visited

Question 9

What is strategy and why is it important?

Accepted Answer

A company's strategy is the set of actio

Question 10

Why is a company's strategy typically a blend of proactive and reactive approaches?

Accepted Answer

A typical company strategy consists of b

Question 11

A multinational pharmaceutical company enters a new geographical location, considered an emerging market, with its established product line: generic antibiotics. Which of the following would NOT serve as a good strategic move to enhance profits?

Accepted Answer

A)  creating a sales plan that aims to enhance initial sales and market penetration with low prices based on high operational costs 
B)  devising a marketing plan that aims at mass customer segments with attractive advertisements and offers on products 
C)  implementing a diversification plan that aims at adding non-generic prescription medications to the existing line of products 
D)  charting an acquisition plan that aims at acquiring local smaller-scale pharmaceutical manufacturers that seek funding and offer a complementary product lineup 
E)  establishing a distribution plan to set up more supply outlets than any other rivals in the location 
A)  creating a sales plan that aims to enhance initial sales and market penetration with low prices based on high operational costs 
B)  devising a marketing plan that aims at mass customer segments with attractive advertisements and offers on products 
C)  implementing a diversification plan that aims at adding non-generic prescription medications to the existing line of products 
D)  charting an acquisition plan that aims at acquiring local smaller-scale pharmaceutical manufacturers that seek funding and offer a complementary product lineup 
E)  establishing a distribution plan to set up more supply outlets than any other rivals in the location

Question 12

Why is it important to craft a business model?

Accepted Answer

A)  Because it sets forth management's game plan for maximizing profits for shareholders. 
B)  Because it details exactly how management's strategy will result in the achievement of the company's strategic intent. 
C)  Because it is a part of an operating model that focuses on delivering excellence and creating value for external shareholders and internal labor force. 
D)  Because it sets forth the key components of the enterprise's business approach, indicates how revenues will be generated, and makes a case for why the strategy can deliver value to customers in a profitable manner. 
E)  Because it sets forth management's long-term action plan to match the business standards set by formidable rivals. 
A)  Because it sets forth management's game plan for maximizing profits for shareholders. 
B)  Because it details exactly how management's strategy will result in the achievement of the company's strategic intent. 
C)  Because it is a part of an operating model that focuses on delivering excellence and creating value for external shareholders and internal labor force. 
D)  Because it sets forth the key components of the enterprise's business approach, indicates how revenues will be generated, and makes a case for why the strategy can deliver value to customers in a profitable manner. 
E)  Because it sets forth management's long-term action plan to match the business standards set by formidable rivals.

Question 13

Provide at least two examples of a company's competitively valuable capabilities.

Accepted Answer

See Illustration Capsule 1.1 (Starbucks'

Question 14

Which of the following is NOT one of the managerial considerations in determining how to compete successfully?

Accepted Answer

A)  How can a company attract, keep, and please customers? 
B)  How can a company modify its entire product line to emphasize its internal service attributes? 
C)  How should a company respond to changing economic and market conditions? 
D)  How should a company be competitive against rivals? 
E)  How should a company position itself in the marketplace? 
A)  How can a company attract, keep, and please customers? 
B)  How can a company modify its entire product line to emphasize its internal service attributes? 
C)  How should a company respond to changing economic and market conditions? 
D)  How should a company be competitive against rivals? 
E)  How should a company position itself in the marketplace?

Question 15

A company's strategy stands a better chance of succeeding when

Accepted Answer

A)  it is developed through a collaborative process involving all managers and staff from all levels of the organization. 
B)  managers employ conservative strategic moves based on past experience and form an underlying basis of control. 
C)  it is predicated on competitive moves aimed at appealing to buyers in ways that set the company apart from rivals. 
D)  managers copy the strategic moves of successful companies in its industry. 
E)  managers focus on meeting or beating shareholder expectations. 
A)  it is developed through a collaborative process involving all managers and staff from all levels of the organization. 
B)  managers employ conservative strategic moves based on past experience and form an underlying basis of control. 
C)  it is predicated on competitive moves aimed at appealing to buyers in ways that set the company apart from rivals. 
D)  managers copy the strategic moves of successful companies in its industry. 
E)  managers focus on meeting or beating shareholder expectations.

Question 16

How can one tell a winning strategy from a strategy that is mediocre or a loser?

Accepted Answer

The mark of a winning strategy is strong

Question 17

BloomsJay Resorts Inc. has multiple tropical resorts in various locations. In a crowded market that caters to all kinds of consumers, this resort caters mainly to gays with guaranteed hassle-free holiday experience at a premium price. What strategy is BloomsJay using to gain competitive advantage?

Accepted Answer

A)  a low-cost provider strategy 
B)  a broad differentiation strategy 
C)  a focused low-cost strategy 
D)  a focused differentiation strategy 
E)  a best-cost provider strategy 
A)  a low-cost provider strategy 
B)  a broad differentiation strategy 
C)  a focused low-cost strategy 
D)  a focused differentiation strategy 
E)  a best-cost provider strategy

Question 18

A pharmaceutical company functioning in France for the last 10 years has moderate sales in a crowded market with competitors offering drugs with similar efficacy and safety precautions, but with better sales. The greatest challenge is to increase the prescription of their drugs. What would be the MOST effective strategy to improve sales performance in the existing market?

Accepted Answer

A)  modifying marketing communication to increase brand familiarity within key physician segments 
B)  relocating all the existing drug manufacturing facilities to developing countries to reduce operational costs 
C)  employing hiring plans that aim at acquiring drug designers from rival companies 
D)  exiting the market and entering a new unexplored geographical location 
E)  engaging in new contract talks with suppliers about price breaks 
A)  modifying marketing communication to increase brand familiarity within key physician segments 
B)  relocating all the existing drug manufacturing facilities to developing countries to reduce operational costs 
C)  employing hiring plans that aim at acquiring drug designers from rival companies 
D)  exiting the market and entering a new unexplored geographical location 
E)  engaging in new contract talks with suppliers about price breaks

Question 19

A pizza maker manufactures thin-crust pizzas and offers free soft drinks with a pack of four pan pizzas. What can you say about its Value-Price-Cost Framework?

Accepted Answer

Thin crust pizzas allow the pizza maker

Question 20

The heart and soul of a company's strategy-making effort is determining how to

Accepted Answer

A)  become the industry's low-cost provider. 
B)  maximize profits and shareholder value. 
C)  improve the efficiency of its business model. 
D)  maximize profits while simultaneously operating in a socially responsible manner that keeps the company's prices as low as possible. 
E)  come up with moves and actions that produce a durable competitive edge over rivals. 
A)  become the industry's low-cost provider. 
B)  maximize profits and shareholder value. 
C)  improve the efficiency of its business model. 
D)  maximize profits while simultaneously operating in a socially responsible manner that keeps the company's prices as low as possible. 
E)  come up with moves and actions that produce a durable competitive edge over rivals.

Good strategy + good strategy execution = good management. True or false? Justify and explain your answer.

A company's strategy is a "work in progress" and evolves over time because of the

Explain why a company's strategy cannot be completely planned out in advance and why crafting a company's strategy cannot be a one-time, once-and-for-all managerial exercise. Identify at least three factors that account for why company strategies evolve.

A winning strategy must pass which three tests?

Adapting to new conditions like new innovations by competitors, fast-changing technological developments, and constantly evaluating what is working result in

Which of the following pizza firms competing in a crowded market likely offers the best value proposition to its customers, based on the following sales pitches?

What is strategy and why is it important?

Why is a company's strategy typically a blend of proactive and reactive approaches?

A multinational pharmaceutical company enters a new geographical location, considered an emerging market, with its established product line: generic antibiotics. Which of the following would NOT serve as a good strategic move to enhance profits?

Why is it important to craft a business model?

Provide at least two examples of a company's competitively valuable capabilities.

Which of the following is NOT one of the managerial considerations in determining how to compete successfully?

A company's strategy stands a better chance of succeeding when

How can one tell a winning strategy from a strategy that is mediocre or a loser?

BloomsJay Resorts Inc. has multiple tropical resorts in various locations. In a crowded market that caters to all kinds of consumers, this resort caters mainly to gays with guaranteed hassle-free holiday experience at a premium price. What strategy is BloomsJay using to gain competitive advantage?

A pizza maker manufactures thin-crust pizzas and offers free soft drinks with a pack of four pan pizzas. What can you say about its Value-Price-Cost Framework?

The heart and soul of a company's strategy-making effort is determining how to

Leading the Process of Crafting and Executing Strategy

Evaluating a Companys External Environment

Evaluating a Companys Resources and Competitive Position

The Five Generic Competitive Strategies: Which One to Employ

Supplementing the Chosen Competitive Strategy: Other Important Business Strategy Choices

Strategies for Competing in Foreign Markets

Diversification: Strategies for Managing a Group of Businesses

Ethical Business Strategies, Social Responsibility, and Environmental Sustainabil ITY

Building an Organization Capable of Good Strategy Execution

Managing Internal Operations: Actions That Promote Good Strategy Execution

Corporate Culture and Leadership: Keys to Good Strategy Execution

Filters

Exam 1: What Is Strategy and Why Is It Important

Good strategy + good strategy execution = good management. True or false? Justify and explain your answer.

A company's strategy is a "work in progress" and evolves over time because of the

Explain why a company's strategy cannot be completely planned out in advance and why crafting a company's strategy cannot be a one-time, once-and-for-all managerial exercise. Identify at least three factors that account for why company strategies evolve.

A winning strategy must pass which three tests?

Adapting to new conditions like new innovations by competitors, fast-changing technological developments, and constantly evaluating what is working result in

Which of the following pizza firms competing in a crowded market likely offers the best value proposition to its customers, based on the following sales pitches?

What is strategy and why is it important?

Why is a company's strategy typically a blend of proactive and reactive approaches?

A multinational pharmaceutical company enters a new geographical location, considered an emerging market, with its established product line: generic antibiotics. Which of the following would NOT serve as a good strategic move to enhance profits?

Why is it important to craft a business model?

Provide at least two examples of a company's competitively valuable capabilities.

Which of the following is NOT one of the managerial considerations in determining how to compete successfully?

A company's strategy stands a better chance of succeeding when

How can one tell a winning strategy from a strategy that is mediocre or a loser?

BloomsJay Resorts Inc. has multiple tropical resorts in various locations. In a crowded market that caters to all kinds of consumers, this resort caters mainly to gays with guaranteed hassle-free holiday experience at a premium price. What strategy is BloomsJay using to gain competitive advantage?

A pizza maker manufactures thin-crust pizzas and offers free soft drinks with a pack of four pan pizzas. What can you say about its Value-Price-Cost Framework?

The heart and soul of a company's strategy-making effort is determining how to

Leading the Process of Crafting and Executing Strategy

Evaluating a Companys External Environment

Evaluating a Companys Resources and Competitive Position

The Five Generic Competitive Strategies: Which One to Employ

Supplementing the Chosen Competitive Strategy: Other Important Business Strategy Choices

Strategies for Competing in Foreign Markets

Diversification: Strategies for Managing a Group of Businesses

Ethical Business Strategies, Social Responsibility, and Environmental Sustainabil ITY

Building an Organization Capable of Good Strategy Execution

Managing Internal Operations: Actions That Promote Good Strategy Execution

Corporate Culture and Leadership: Keys to Good Strategy Execution

Filters