Exam 6: Crafting Business Strategy of Dynamic Contexts

Because it must be externally oriented to be effective, strategy should always be static.

The annulment strategy may entail considerable risk.

When a firm uses the ________ strategy, it identifies and acquires new entrants or establishes an alliance with them.

The shaping strategy is all about making the competition irrelevant.

First movers bear significant risks including the costs of all but which of the following?

A strategy that targets the least desirable of incumbents' customers is referred to as ________.

What are the four underlying phases of competitive interaction?

Dynamic strategies require firms to make coherent tradeoffs between the economic logic of low cost and differentiation.

Successful dynamic strategies reward firms for avoiding risky decisions.

Anticipating change means foreseeing all of the following except ________.

The strategist always makes important and reasoned choices about the firm's mix of all except ________.

New markets are often created when managers ________.

A common neutralization tactic is the threat or use of legal action.

In some cases, a first-mover strategy can actually be a liability.

A rapid and unpredictable environment requires firms to pursue dynamic strategies.

The annulment strategy is less about quashing the competition than about making it ________.

An innovation that dramatically advances an industry's price-versus-performance frontier is called ________.

Explain the three dimensions that cause dynamic contexts.

Discontinuities that affect product technology rarely favor differentiation strategies.

Strategies for dealing with stable markets must pay special attention to the arenas and staging elements of the strategy diamond.