Question 1

Financial analysis provides an accurate way to assess the relative strengths of firms and can be used as a complete guide to study companies.

Accepted Answer

A) True 
 B)False  False

Question 2

Advertising is a _____ activity.Supply of replacement parts is a _____ activity.

Accepted Answer

A)  primary; primary 
B)  support; primary 
C)  support; secondary 
D)  primary; support 
A)  primary; primary 
B)  support; primary 
C)  support; secondary 
D)  primary; support A

Question 3

A primary benefit of the "balanced scorecard" is that it complements financial indicators with operational measures of customer satisfaction,internal processes,and the organization's innovation and improvement activities.

Accepted Answer

A) True 
 B)False  True

Question 4

When using industry norms as a standard of comparison,managers must be sure that the firms used in the comparisons are representative of all sizes and strategies within the industry.

Accepted Answer

A) True 
 B)False

Question 5

What are some ways in which a firm's general administration can help create (or enhance)competitive advantages?

Accepted Answer

General administration includes activiti

Question 6

Primary activities contribute to the physical creation of a product or service,its sale and transfer to the buyer,and its service after the sale.

Accepted Answer

A) True 
 B)False

Question 7

How should managers assess changes in their firm's competitive position in their industries during a period of unusual economic growth?

Accepted Answer

A)  Compare the firm's financial ratios with ratios of firms in other strategic groups in the industry. 
B)  Compare the firm's financial ratios over the most recent one-year period. 
C)  Compare the financial ratios of all firms in the country's industry-some of whom serve very diverse market segments and have specialized accordingly. 
D)  Compare the financial ratios of firms in the company's strategic group. 
A)  Compare the firm's financial ratios with ratios of firms in other strategic groups in the industry. 
B)  Compare the firm's financial ratios over the most recent one-year period. 
C)  Compare the financial ratios of all firms in the country's industry-some of whom serve very diverse market segments and have specialized accordingly. 
D)  Compare the financial ratios of firms in the company's strategic group.

Question 8

How can a firm develop (or enhance)its advantages in the marketplace by having strong,positive interrelationships among its value chain activities and those of its suppliers and customers? Provide an example.

Accepted Answer

Having strong,positive interrelationship

Question 9

Inbound logistics include

Accepted Answer

A)  machining and packaging. 
B)  warehousing and inventory control. 
C)  repair and parts supply. 
D)  promotion and packaging. 
A)  machining and packaging. 
B)  warehousing and inventory control. 
C)  repair and parts supply. 
D)  promotion and packaging.

Question 10

An important implication of the balanced scorecard is that managers need not look at their job as primarily balancing stakeholder demands.

Accepted Answer

A) True 
 B)False

Question 11

Gillette combines several technologies (e.g.,metallurgy,physiology,physics)to attain unparalleled success in the wet shaving industry.This is an example of their

Accepted Answer

A)  tangible resources. 
B)  intangible resources. 
C)  organizational capabilities. 
D)  strong primary activities. 
A)  tangible resources. 
B)  intangible resources. 
C)  organizational capabilities. 
D)  strong primary activities.

Question 12

Which of these categories of financial ratios is used to measure a company's ability to meet its short-term financial obligations?

Accepted Answer

A)  Leverage ratios 
B)  Profitability ratios 
C)  Activity ratios 
D)  Liquidity ratios 
A)  Leverage ratios 
B)  Profitability ratios 
C)  Activity ratios 
D)  Liquidity ratios

Question 13

Historical comparisons provide information to managers about changes in a firm's competitive position.Historical comparisons are often misleading

Accepted Answer

A)  if the overall strategy of the firm is the same. 
B)  in periods of recession or economic boom. 
C)  if the firm shows constant growth. 
D)  if the firm's stock is publicly traded. 
A)  if the overall strategy of the firm is the same. 
B)  in periods of recession or economic boom. 
C)  if the firm shows constant growth. 
D)  if the firm's stock is publicly traded.

Question 14

The best measure of a company's ability to meet imminent financial obligations is known as the

Accepted Answer

A)  current ratio. 
B)  total asset turnover. 
C)  debt ratio. 
D)  profit margin. 
A)  current ratio. 
B)  total asset turnover. 
C)  debt ratio. 
D)  profit margin.

Question 15

A meaningful ratio analysis

Accepted Answer

A)  must go beyond the calculation and interpretation of financial ratios. 
B)  is based primarily on leverage ratios. 
C)  involves only liquidity ratios. 
D)  involves profitability ratios at a single point in time. 
A)  must go beyond the calculation and interpretation of financial ratios. 
B)  is based primarily on leverage ratios. 
C)  involves only liquidity ratios. 
D)  involves profitability ratios at a single point in time.

Question 16

The balanced scorecard enables managers to consider their business from all of the following perspectives except

Accepted Answer

A)  customer perspective. 
B)  internal business perspective. 
C)  innovation and learning perspective. 
D)  ethical perspective. 
A)  customer perspective. 
B)  internal business perspective. 
C)  innovation and learning perspective. 
D)  ethical perspective.

Question 17

Products and services that are difficult to imitate help firms sustain their profitability.

Accepted Answer

A) True 
 B)False

Question 18

In value chain analysis,value is measured by market value of the total stock outstanding of the company.

Accepted Answer

A) True 
 B)False

Question 19

The "balanced scorecard" developed by Kaplan and Norton helps to integrate

Accepted Answer

A)  financial analysis and a firm's reputation. 
B)  intangible resources and operational measures. 
C)  financial analysis and stakeholder perspectives. 
D)  short-term perspectives and strategic positioning. 
A)  financial analysis and a firm's reputation. 
B)  intangible resources and operational measures. 
C)  financial analysis and stakeholder perspectives. 
D)  short-term perspectives and strategic positioning.

Question 20

The following are examples of socially complex organizational phenomena except

Accepted Answer

A)  a firm's culture 
B)  interpersonal relations among a firm's managers 
C)  complex physical technology 
D)  reputation with suppliers and customers 
A)  a firm's culture 
B)  interpersonal relations among a firm's managers 
C)  complex physical technology 
D)  reputation with suppliers and customers

Financial analysis provides an accurate way to assess the relative strengths of firms and can be used as a complete guide to study companies.

Advertising is a _ activity.Supply of replacement parts is a _ activity.

A primary benefit of the "balanced scorecard" is that it complements financial indicators with operational measures of customer satisfaction,internal processes,and the organization's innovation and improvement activities.

When using industry norms as a standard of comparison,managers must be sure that the firms used in the comparisons are representative of all sizes and strategies within the industry.

What are some ways in which a firm's general administration can help create (or enhance)competitive advantages?

Primary activities contribute to the physical creation of a product or service,its sale and transfer to the buyer,and its service after the sale.

How should managers assess changes in their firm's competitive position in their industries during a period of unusual economic growth?

How can a firm develop (or enhance)its advantages in the marketplace by having strong,positive interrelationships among its value chain activities and those of its suppliers and customers? Provide an example.

Inbound logistics include

An important implication of the balanced scorecard is that managers need not look at their job as primarily balancing stakeholder demands.

Gillette combines several technologies (e.g.,metallurgy,physiology,physics)to attain unparalleled success in the wet shaving industry.This is an example of their

Which of these categories of financial ratios is used to measure a company's ability to meet its short-term financial obligations?

Historical comparisons provide information to managers about changes in a firm's competitive position.Historical comparisons are often misleading

The best measure of a company's ability to meet imminent financial obligations is known as the

A meaningful ratio analysis

The balanced scorecard enables managers to consider their business from all of the following perspectives except

Products and services that are difficult to imitate help firms sustain their profitability.

In value chain analysis,value is measured by market value of the total stock outstanding of the company.

The "balanced scorecard" developed by Kaplan and Norton helps to integrate

The following are examples of socially complex organizational phenomena except

Strategic Management: Creating Competitive Advantages

Analyzing the External Environment of the Firm

Recognizing a Firms Intellectual Assets: Moving Beyond a Firms Tangible Resources

Business-Level Strategy: Creating and Sustaining Competitive Advantages

Corporate-Level Strategy: Creating Value Through Diversification

International Strategy: Creating Value in Global Markets

Entrepreneurial Strategy and Competitive Dynamics

Strategic Control and Corporate Governance

Creating Effective Organizational Designs

Strategic Leadership: Creating a Learning Organization and an Ethical Organization

Managing Innovation and Fostering Corporate Entrepreneurship

Filters

Exam 3: Assessing the Internal Environment of the Firm

Financial analysis provides an accurate way to assess the relative strengths of firms and can be used as a complete guide to study companies.

Advertising is a _____ activity.Supply of replacement parts is a _____ activity.

A primary benefit of the "balanced scorecard" is that it complements financial indicators with operational measures of customer satisfaction,internal processes,and the organization's innovation and improvement activities.

When using industry norms as a standard of comparison,managers must be sure that the firms used in the comparisons are representative of all sizes and strategies within the industry.

What are some ways in which a firm's general administration can help create (or enhance)competitive advantages?

Primary activities contribute to the physical creation of a product or service,its sale and transfer to the buyer,and its service after the sale.

How should managers assess changes in their firm's competitive position in their industries during a period of unusual economic growth?

How can a firm develop (or enhance)its advantages in the marketplace by having strong,positive interrelationships among its value chain activities and those of its suppliers and customers? Provide an example.

Inbound logistics include

An important implication of the balanced scorecard is that managers need not look at their job as primarily balancing stakeholder demands.

Gillette combines several technologies (e.g.,metallurgy,physiology,physics)to attain unparalleled success in the wet shaving industry.This is an example of their

Which of these categories of financial ratios is used to measure a company's ability to meet its short-term financial obligations?

Historical comparisons provide information to managers about changes in a firm's competitive position.Historical comparisons are often misleading

The best measure of a company's ability to meet imminent financial obligations is known as the

A meaningful ratio analysis

The balanced scorecard enables managers to consider their business from all of the following perspectives except

Products and services that are difficult to imitate help firms sustain their profitability.

In value chain analysis,value is measured by market value of the total stock outstanding of the company.

The "balanced scorecard" developed by Kaplan and Norton helps to integrate

The following are examples of socially complex organizational phenomena except

Strategic Management: Creating Competitive Advantages

Analyzing the External Environment of the Firm

Recognizing a Firms Intellectual Assets: Moving Beyond a Firms Tangible Resources

Business-Level Strategy: Creating and Sustaining Competitive Advantages

Corporate-Level Strategy: Creating Value Through Diversification

International Strategy: Creating Value in Global Markets

Entrepreneurial Strategy and Competitive Dynamics

Strategic Control and Corporate Governance

Creating Effective Organizational Designs

Strategic Leadership: Creating a Learning Organization and an Ethical Organization

Managing Innovation and Fostering Corporate Entrepreneurship

Filters

Advertising is a _ activity.Supply of replacement parts is a _ activity.