Question 1

When sizing up the marketing management of the firm,it is important to examine:

Accepted Answer

A) the level of technological innovation and investment of the firm. 
B) the firm's particular target market. 
C) the product's critical physical and intangible attributes. 
D) Both B and C 
A) the level of technological innovation and investment of the firm. 
B) the firm's particular target market. 
C) the product's critical physical and intangible attributes. 
D) Both B and C

Question 2

Which of the following is TRUE about the threat of substitutes?

Accepted Answer

A) When threatened by substitutes,existing competitors will increase their prices. 
B) Innovation makes an existing product or service more attractive to its customers. 
C) If there are numerous substitutes,the firm's profit margins and revenues will decline. 
D) If the competitors are strong,existing competitors will not react strongly to the threat of substitutes. 
A) When threatened by substitutes,existing competitors will increase their prices. 
B) Innovation makes an existing product or service more attractive to its customers. 
C) If there are numerous substitutes,the firm's profit margins and revenues will decline. 
D) If the competitors are strong,existing competitors will not react strongly to the threat of substitutes.

Question 3

Sizing up marketing management involves:

Accepted Answer

A) identifying the firm's strengths and weaknesses related to marketing. 
B) identifying the target market. 
C) identifying the appropriate marketing mix 
D) All of the above. 
A) identifying the firm's strengths and weaknesses related to marketing. 
B) identifying the target market. 
C) identifying the appropriate marketing mix 
D) All of the above.

Question 4

Intense rivalry among existing firms can result in:

Accepted Answer

A) the introduction of new products or services. 
B) lower profit margins as competitors jockey for position. 
C) decreased capacity. 
D) Both A and B. 
A) the introduction of new products or services. 
B) lower profit margins as competitors jockey for position. 
C) decreased capacity. 
D) Both A and B.

Question 5

Stage 2 of the industry life cycle is characterized by all of the following EXCEPT:

Accepted Answer

A) there is little demand for the company's products and services. 
B) the firm's revenue tends to grow rapidly. 
C) positive profits begin to materialize. 
D) private firms begin to "go public." 
A) there is little demand for the company's products and services. 
B) the firm's revenue tends to grow rapidly. 
C) positive profits begin to materialize. 
D) private firms begin to "go public."

Question 6

Stage 1 of the industry life cycle is characterized by all of the following EXCEPT:

Accepted Answer

A) there is little demand for the company's products and services. 
B) the firm's revenue is low but there are high prospects for growth. 
C) competition is fierce and profit margins begin to narrow. 
D) firms need a significant amount of cash in order to grow. 
A) there is little demand for the company's products and services. 
B) the firm's revenue is low but there are high prospects for growth. 
C) competition is fierce and profit margins begin to narrow. 
D) firms need a significant amount of cash in order to grow.

Question 7

Which of the following is NOT a component of GDP?

Accepted Answer

A) Consumer sector 
B) Business investment sector 
C) Government sector 
D) Healthcare sector 
A) Consumer sector 
B) Business investment sector 
C) Government sector 
D) Healthcare sector

Question 8

The shape of the yield curve is important for which of the following reasons?

Accepted Answer

A) It provides an indication of the anticipated change in interest rates. 
B) It provides an indication of the borrowing costs for corporation. 
C) It provides clues about the economy's current position in the business cycle. 
D) All of the above. 
A) It provides an indication of the anticipated change in interest rates. 
B) It provides an indication of the borrowing costs for corporation. 
C) It provides clues about the economy's current position in the business cycle. 
D) All of the above.

Question 9

A PEST analysis involves an analysis of which of these factors?

Accepted Answer

A) Technological,societal,economic factors,and potential threats 
B) Societal,technological,political,and economic factors 
C) Strengths,threats,economic and political factors 
D) Strengths,threats,potential opportunities,and external environment factors 
A) Technological,societal,economic factors,and potential threats 
B) Societal,technological,political,and economic factors 
C) Strengths,threats,economic and political factors 
D) Strengths,threats,potential opportunities,and external environment factors

Question 10

Value is created when the industry is profitable and the firm is in a disadvantaged competitive position within the industry.

Accepted Answer

A) True 
 B)False

Question 11

A firm is considering whether to out source some aspects of the manufacturing of its products.Which one of the Six P's of Operations is the firm addressing?

Accepted Answer

A) Product quality 
B) Process 
C) Plant 
D) People 
A) Product quality 
B) Process 
C) Plant 
D) People

Question 12

A comprehensive nonfinancial size-up is a useful tool for:

Accepted Answer

A) financial managers. 
B) lenders. 
C) investors. 
D) All of the above. 
A) financial managers. 
B) lenders. 
C) investors. 
D) All of the above.

Question 13

Which of the following statements are NOT true?

Accepted Answer

A) Peaks in the business cycle tend to occur when the capacity-to-output gap is the largest. 
B) Peaks in the business cycle tend to occur when the capacity-to-output gap is the smallest. 
C) Troughs occur when the capacity-to-output gap is the largest. 
D) None of the above. 
A) Peaks in the business cycle tend to occur when the capacity-to-output gap is the largest. 
B) Peaks in the business cycle tend to occur when the capacity-to-output gap is the smallest. 
C) Troughs occur when the capacity-to-output gap is the largest. 
D) None of the above.

Question 14

Which of the following is NOT an important character trait of individual managers?

Accepted Answer

A) Ability to understand the nuts and bolts of the business. 
B) Ability to understand the strategic context in which the business operates. 
C) The age and tenure of the individual manager. 
D) The ability to motivate people to achieve extraordinary results. 
A) Ability to understand the nuts and bolts of the business. 
B) Ability to understand the strategic context in which the business operates. 
C) The age and tenure of the individual manager. 
D) The ability to motivate people to achieve extraordinary results.

Question 15

Which of the following is TRUE about the threat of new entrants?

Accepted Answer

A) New entrants often increase capacity within the industry. 
B) The easier to enter an industry,the higher the profit margins and growth potential. 
C) If competitors are strong,existing competitors will not react strongly to any new entrants. 
D) If there are huge barriers to entry,competitors will be attracted to the industry. 
A) New entrants often increase capacity within the industry. 
B) The easier to enter an industry,the higher the profit margins and growth potential. 
C) If competitors are strong,existing competitors will not react strongly to any new entrants. 
D) If there are huge barriers to entry,competitors will be attracted to the industry.

Question 16

Consumer spending is the main driver of economic activity in the United States.

Accepted Answer

A) True 
 B)False

Question 17

The sizing up of the industry involves:

Accepted Answer

A) an external assessment of the industry. 
B) identifying the industry life cycle stage. 
C) the nature and intensity of the competition. 
D) All of the above. 
A) an external assessment of the industry. 
B) identifying the industry life cycle stage. 
C) the nature and intensity of the competition. 
D) All of the above.

Question 18

An industry analysis is critical to better understand a firm's financial position because:

Accepted Answer

A) it provides insight into how the firm's financial needs might change as industry conditions change. 
B) it helps identify the key risks and opportunities facing the firm. 
C) it provides better insight into how maximize the firm's current financial position relative to its competitors. 
D) All of the above. 
A) it provides insight into how the firm's financial needs might change as industry conditions change. 
B) it helps identify the key risks and opportunities facing the firm. 
C) it provides better insight into how maximize the firm's current financial position relative to its competitors. 
D) All of the above.

Question 19

All operating systems involved what is known as the Six P's of Operations,which include:

Accepted Answer

A) product quality,profitability,and people. 
B) process,plant,and profitability. 
C) product quality,process,and people. 
D) product potential,plant,and partners. 
A) product quality,profitability,and people. 
B) process,plant,and profitability. 
C) product quality,process,and people. 
D) product potential,plant,and partners.

Question 20

Capital market conditions affect the timing of a new equity issue.

Accepted Answer

A) True 
 B)False

When sizing up the marketing management of the firm,it is important to examine:

Which of the following is TRUE about the threat of substitutes?

Sizing up marketing management involves:

Intense rivalry among existing firms can result in:

Stage 2 of the industry life cycle is characterized by all of the following EXCEPT:

Stage 1 of the industry life cycle is characterized by all of the following EXCEPT:

Which of the following is NOT a component of GDP?

The shape of the yield curve is important for which of the following reasons?

A PEST analysis involves an analysis of which of these factors?

Value is created when the industry is profitable and the firm is in a disadvantaged competitive position within the industry.

A firm is considering whether to out source some aspects of the manufacturing of its products.Which one of the Six P's of Operations is the firm addressing?

A comprehensive nonfinancial size-up is a useful tool for:

Which of the following statements are NOT true?

Which of the following is NOT an important character trait of individual managers?

Which of the following is TRUE about the threat of new entrants?

Consumer spending is the main driver of economic activity in the United States.

The sizing up of the industry involves:

An industry analysis is critical to better understand a firm's financial position because:

All operating systems involved what is known as the Six P's of Operations,which include:

Capital market conditions affect the timing of a new equity issue.

Overview of Financial Management

Understanding Financial Statements

Measuring Financial Performance

Managing Day-To-Day Cash Flow

Projecting Financial Requirements and Managing Growth

Time Value of Money Basics and Applications

Making Investment Decisions

Overview of Capital Markets: Long-Term Financing Instruments

Assessing the Cost of Capital: What Return Investors Require

Understanding Financing and Payout Decisions

Designing an Optimal Capital Structure

Measuring and Creating Value

Comprehensive Case Study: Wal-Mart Stores,inc

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Exam 2: Sizing up a Business: a Non-Financial Perspective

When sizing up the marketing management of the firm,it is important to examine:

Which of the following is TRUE about the threat of substitutes?

Sizing up marketing management involves:

Intense rivalry among existing firms can result in:

Stage 2 of the industry life cycle is characterized by all of the following EXCEPT:

Stage 1 of the industry life cycle is characterized by all of the following EXCEPT:

Which of the following is NOT a component of GDP?

The shape of the yield curve is important for which of the following reasons?

A PEST analysis involves an analysis of which of these factors?

Value is created when the industry is profitable and the firm is in a disadvantaged competitive position within the industry.

A firm is considering whether to out source some aspects of the manufacturing of its products.Which one of the Six P's of Operations is the firm addressing?

A comprehensive nonfinancial size-up is a useful tool for:

Which of the following statements are NOT true?

Which of the following is NOT an important character trait of individual managers?

Which of the following is TRUE about the threat of new entrants?

Consumer spending is the main driver of economic activity in the United States.

The sizing up of the industry involves:

An industry analysis is critical to better understand a firm's financial position because:

All operating systems involved what is known as the Six P's of Operations,which include:

Capital market conditions affect the timing of a new equity issue.

Overview of Financial Management

Understanding Financial Statements

Measuring Financial Performance

Managing Day-To-Day Cash Flow

Projecting Financial Requirements and Managing Growth

Time Value of Money Basics and Applications

Making Investment Decisions

Overview of Capital Markets: Long-Term Financing Instruments

Assessing the Cost of Capital: What Return Investors Require

Understanding Financing and Payout Decisions

Designing an Optimal Capital Structure

Measuring and Creating Value

Comprehensive Case Study: Wal-Mart Stores,inc

Filters