Question 1

Capabilities refer to a company's:

Accepted Answer

A) manufacturing equipment. 
B) reputation. 
C) skills at using resources effectively. 
D) competitors who are capable of offering greater variety of products. 
E) patents, copyrights, and trademarks. 
A) manufacturing equipment. 
B) reputation. 
C) skills at using resources effectively. 
D) competitors who are capable of offering greater variety of products. 
E) patents, copyrights, and trademarks. C

Question 2

At the heart of any company's business model is the combination of congruent strategies aimed at creating distinctive competencies that differentiate its products and result in a lower cost structure.

Accepted Answer

A) True 
 B)False  True

Question 3

Together with an analysis of the company's external environment, internal analysis gives managers the information they need to choose the business model and strategies that will enable their company to attain a sustained competitive advantage.

Accepted Answer

A) True 
 B)False  True

Question 4

Research and development activities are concerned with:

Accepted Answer

A) design of products. 
B) distribution of goods. 
C) customer services. 
D) analyzing financial performance. 
E) marketing of products. 
A) design of products. 
B) distribution of goods. 
C) customer services. 
D) analyzing financial performance. 
E) marketing of products.

Question 5

Which of the following is not a way that companies can avoid failure?

Accepted Answer

A) Benchmarking 
B) Continuous learning 
C) Developing distinctive competencies 
D) Exploiting luck 
E) Following rigid business processes 
A) Benchmarking 
B) Continuous learning 
C) Developing distinctive competencies 
D) Exploiting luck 
E) Following rigid business processes

Question 6

The ability of established competitors to imitate the competitive advantage of a rival is not limited by factors such as existing strategic commitments and low absorptive capacity.

Accepted Answer

A) True 
 B)False

Question 7

Internal analysis is concerned with identifying a company's opportunities and threats.

Accepted Answer

A) True 
 B)False

Question 8

When Rollie's car wash began to lose business to rivals, Rollie read publications for car wash owners to learn the best practices in the industry.Then she implemented the best practices.Rollie is using to improve her car wash.

Accepted Answer

A) specialized assets 
B) benchmarking 
C) strategic commitments 
D) inertia 
E) the Icarus paradox 
A) specialized assets 
B) benchmarking 
C) strategic commitments 
D) inertia 
E) the Icarus paradox

Question 9

Which of the following factors does not determine the durability of a company's competitive advantage?

Accepted Answer

A) Barriers to imitation 
B) Apathy in an industry 
C) Capability of competitors 
D) General level of dynamism in the industry 
E) The rate of product innovation in an industry 
A) Barriers to imitation 
B) Apathy in an industry 
C) Capability of competitors 
D) General level of dynamism in the industry 
E) The rate of product innovation in an industry

Question 10

Which of the following determines the cost of goods sold?

Accepted Answer

A) The balance sheet 
B) The fmancial position statement 
C) The cash budget 
D) The income statement 
E) The overhead expense statement 
A) The balance sheet 
B) The fmancial position statement 
C) The cash budget 
D) The income statement 
E) The overhead expense statement

Question 11

The term value chain refers to the idea that a company is:

Accepted Answer

A) one of a series of units that comprise an industry segment. 
B) the producer of a series of customer-valued products that are linked together. 
C) a series of activities that transform inputs into products that customers value. 
D) one of a series of economic functions. 
E) a collection of various products and their attributes. 
A) one of a series of units that comprise an industry segment. 
B) the producer of a series of customer-valued products that are linked together. 
C) a series of activities that transform inputs into products that customers value. 
D) one of a series of economic functions. 
E) a collection of various products and their attributes.

Question 12

The simplest measure of efficiency is:

Accepted Answer

A) the amount of money the company has to work with in the short term. 
B) the ratio of revenues divided by invested capital. 
C) the net profit expressed as a percentage of sales. 
D) the total costs of producing products. 
E) the quantity of inputs that it takes to produce a given output. 
A) the amount of money the company has to work with in the short term. 
B) the ratio of revenues divided by invested capital. 
C) the net profit expressed as a percentage of sales. 
D) the total costs of producing products. 
E) the quantity of inputs that it takes to produce a given output.

Question 13

The argument states that companies find it hard to change their strategies and structures to adapt to changing competitive conditions.

Accepted Answer

A) inertia. 
B) imitation. 
C) barriers to mobility. 
D) lack of resources. 
E) lack of capabilities. 
A) inertia. 
B) imitation. 
C) barriers to mobility. 
D) lack of resources. 
E) lack of capabilities.

Question 14

Give one example of a firm that has achieved a distinctive competency in efficiency and describe that competency.
Repeat for a finn with a distinctive competency in quality, innovation, and responsiveness to customers.

Accepted Answer

Wahnart is able to buy its products in h

Question 15

The building blocks of competitive advantage are turnover, quantity, and profitability.

Accepted Answer

A) True 
 B)False

Question 16

Mike works as a corporate trainer, teaching new employees how to perform manufacturing tasks.In which value chain activity does Mike work?

Accepted Answer

A) Research and development 
B) Human resources 
C) Materials management 
D) Production 
E) Company infrastructure 
A) Research and development 
B) Human resources 
C) Materials management 
D) Production 
E) Company infrastructure

Question 17

In the fashion industry, the time required to take a new product from design inception to placement in a retail store is
known as customer response time.

Accepted Answer

A) True 
 B)False

Question 18

Imitating a company's capabilities tends to be more difficult than imitating its tangible and intangible resources.

Accepted Answer

A) True 
 B)False

Question 19

Ted is an accountant at ABC Company.He calculates the difference between total revenues and total costs before tax.Ted calculates the:

Accepted Answer

A) net profit. 
B) capital turnover. 
C) cost of goods sold. 
D) return on sales. 
E) invested capital. 
A) net profit. 
B) capital turnover. 
C) cost of goods sold. 
D) return on sales. 
E) invested capital.

Question 20

Which of the following best describes product innovation?

Accepted Answer

A) Transforming a quantity of inputs into a given output 
B) Identifying and satisfying a customer's needs 
C) Creating products that have superior attributes than existing products. 
D) Developing a new process that focuses on quantity rather than quality. 
E) Measuring the quantity of outputs produced per employee 
A) Transforming a quantity of inputs into a given output 
B) Identifying and satisfying a customer's needs 
C) Creating products that have superior attributes than existing products. 
D) Developing a new process that focuses on quantity rather than quality. 
E) Measuring the quantity of outputs produced per employee

Capabilities refer to a company's:

At the heart of any company's business model is the combination of congruent strategies aimed at creating distinctive competencies that differentiate its products and result in a lower cost structure.

Together with an analysis of the company's external environment, internal analysis gives managers the information they need to choose the business model and strategies that will enable their company to attain a sustained competitive advantage.

Research and development activities are concerned with:

Which of the following is not a way that companies can avoid failure?

The ability of established competitors to imitate the competitive advantage of a rival is not limited by factors such as existing strategic commitments and low absorptive capacity.

Internal analysis is concerned with identifying a company's opportunities and threats.

When Rollie's car wash began to lose business to rivals, Rollie read publications for car wash owners to learn the best practices in the industry.Then she implemented the best practices.Rollie is using to improve her car wash.

Which of the following factors does not determine the durability of a company's competitive advantage?

Which of the following determines the cost of goods sold?

The term value chain refers to the idea that a company is:

The simplest measure of efficiency is:

The argument states that companies find it hard to change their strategies and structures to adapt to changing competitive conditions.

Give one example of a firm that has achieved a distinctive competency in efficiency and describe that competency. Repeat for a finn with a distinctive competency in quality, innovation, and responsiveness to customers.

The building blocks of competitive advantage are turnover, quantity, and profitability.

Mike works as a corporate trainer, teaching new employees how to perform manufacturing tasks.In which value chain activity does Mike work?

In the fashion industry, the time required to take a new product from design inception to placement in a retail store is known as customer response time.

Imitating a company's capabilities tends to be more difficult than imitating its tangible and intangible resources.

Ted is an accountant at ABC Company.He calculates the difference between total revenues and total costs before tax.Ted calculates the:

Which of the following best describes product innovation?

Strategic Leadership: Managing the Strategy-Making Process for Competitive Analysis

External Analysis: The Identification of Opportunities and Threats

Building Competitive Advantage Through Functional-Level Strategy

Building Competitive Advantage Through Business-Level Strategy

Business-Level Strategy and the Industry Environment

Strategy and Technology

Strategy in the Global Environment

Corporate-Level Strategy: Horizontal Integration, Vertical Integration, and Strategic Outsourcing

Corporate-Level Strategy: Related and Unrelated Diversification

Corporate Performance, Governance, and Business Ethics

Implementing Strategy in Companies That Compete in a Single Industry

Implementing Strategy in Companies That Compete Across Industries and Countries

Filters

Exam 3: Internal Analysis: Distinctive Competencies, Competitive Advantage, and Profitability

Capabilities refer to a company's:

At the heart of any company's business model is the combination of congruent strategies aimed at creating distinctive competencies that differentiate its products and result in a lower cost structure.

Together with an analysis of the company's external environment, internal analysis gives managers the information they need to choose the business model and strategies that will enable their company to attain a sustained competitive advantage.

Research and development activities are concerned with:

Which of the following is not a way that companies can avoid failure?

The ability of established competitors to imitate the competitive advantage of a rival is not limited by factors such as existing strategic commitments and low absorptive capacity.

Internal analysis is concerned with identifying a company's opportunities and threats.

When Rollie's car wash began to lose business to rivals, Rollie read publications for car wash owners to learn the best practices in the industry.Then she implemented the best practices.Rollie is using to improve her car wash.

Which of the following factors does not determine the durability of a company's competitive advantage?

Which of the following determines the cost of goods sold?

The term value chain refers to the idea that a company is:

The simplest measure of efficiency is:

The argument states that companies find it hard to change their strategies and structures to adapt to changing competitive conditions.

Give one example of a firm that has achieved a distinctive competency in efficiency and describe that competency. Repeat for a finn with a distinctive competency in quality, innovation, and responsiveness to customers.

The building blocks of competitive advantage are turnover, quantity, and profitability.

Mike works as a corporate trainer, teaching new employees how to perform manufacturing tasks.In which value chain activity does Mike work?

In the fashion industry, the time required to take a new product from design inception to placement in a retail store is known as customer response time.

Imitating a company's capabilities tends to be more difficult than imitating its tangible and intangible resources.

Ted is an accountant at ABC Company.He calculates the difference between total revenues and total costs before tax.Ted calculates the:

Which of the following best describes product innovation?

Strategic Leadership: Managing the Strategy-Making Process for Competitive Analysis

External Analysis: The Identification of Opportunities and Threats

Building Competitive Advantage Through Functional-Level Strategy

Building Competitive Advantage Through Business-Level Strategy

Business-Level Strategy and the Industry Environment

Strategy and Technology

Strategy in the Global Environment

Corporate-Level Strategy: Horizontal Integration, Vertical Integration, and Strategic Outsourcing

Corporate-Level Strategy: Related and Unrelated Diversification

Corporate Performance, Governance, and Business Ethics

Implementing Strategy in Companies That Compete in a Single Industry

Implementing Strategy in Companies That Compete Across Industries and Countries

Filters