Question 1

Industry characteristics that contribute to entry barriers include all but which of the following?

Accepted Answer

A)  marketing strategies 
B)  strong brands 
C)  proprietary technologies 
D)  bases for product differentiation 
A)  marketing strategies 
B)  strong brands 
C)  proprietary technologies 
D)  bases for product differentiation

Question 2

The best information concerning industry technological factors could be gathered by answering which of the following questions?

Accepted Answer

A)  Are there relevant consumer laws? 
B)  What is the level of research funding in the industry? 
C)  What are the foreign-trade regulations? 
D)  What are the regulations regarding energy consumption? 
A)  Are there relevant consumer laws? 
B)  What is the level of research funding in the industry? 
C)  What are the foreign-trade regulations? 
D)  What are the regulations regarding energy consumption?

Question 3

What factors contribute to barriers to entry?

Accepted Answer

Several industry characteristics contrib

Question 4

The value curve is a convenient tool that helps managers visualize their competitive landscape. The tool's purpose it is to visually plot ________.

Accepted Answer

A)  the industry leaders over time 
B)  current profit versus loss of major firms 
C)  how major groups of firms are competing 
D)  future projections of profit and loss 
A)  the industry leaders over time 
B)  current profit versus loss of major firms 
C)  how major groups of firms are competing 
D)  future projections of profit and loss

Question 5

PESTEL is an acronym for political, economic, sociocultural, technological, environmental, and legal context(s) in which a firm operates.

Accepted Answer

A) True 
 B)False

Question 6

Price competition increases when buyers experience low switching costs and ________.

Accepted Answer

A)  industry products are standardized 
B)  the industry is characterized by high fixed costs 
C)  when there are limited competitors 
D)  the industry is a monopoly 
A)  industry products are standardized 
B)  the industry is characterized by high fixed costs 
C)  when there are limited competitors 
D)  the industry is a monopoly

Question 7

Whereas industry ________ results in an industry with fewer players, ________ results in fewer industries.

Accepted Answer

A)  consolidation; concentration 
B)  concentration; consolidation 
C)  conglomerates; oligopolies 
D)  convergence; conglomerates 
A)  consolidation; concentration 
B)  concentration; consolidation 
C)  conglomerates; oligopolies 
D)  convergence; conglomerates

Question 8

When a market is dominated by only two or a few large firms, the industry is said to be a duopoly or oligopoly.

Accepted Answer

A) True 
 B)False

Question 9

Give three examples of economic factors.

Accepted Answer

Possible answers include inflation rates

Question 10

Bottled water has an active market consisting of nearly half of all Americans. It is on track to surpass all but which of the following beverages?

Accepted Answer

A)  sodas 
B)  beer 
C)  milk 
D)  coffee 
A)  sodas 
B)  beer 
C)  milk 
D)  coffee

Question 11

Globalization is the evolution of distinct geographic product markets into a state of globally interdependent product markets.

Accepted Answer

A) True 
 B)False

Question 12

Barriers that place a high cost on the abandonment of a market are called ________.

Accepted Answer

A)  table stakes 
B)  entry barriers 
C)  exit barriers 
D)  proprietary barriers 
A)  table stakes 
B)  entry barriers 
C)  exit barriers 
D)  proprietary barriers

Question 13

Stakeholder analysis will fill in the gaps left by industry analysis.

Accepted Answer

A) True 
 B)False

Question 14

Issues that confront a firm but are not found in the macro environment are ________.

Accepted Answer

A)  political 
B)  social 
C)  technical 
D)  managerial 
A)  political 
B)  social 
C)  technical 
D)  managerial

Question 15

Buyers may have more bargaining power when ________.

Accepted Answer

A)  products are standardized 
B)  there is a threat of forward integration 
C)  there are high switching costs 
D)  there are few sellers 
A)  products are standardized 
B)  there is a threat of forward integration 
C)  there are high switching costs 
D)  there are few sellers

Question 16

The relative power of industry participants and industry suppliers affects the pricing and profitability of both industry groups.

Accepted Answer

A) True 
 B)False

Question 17

Industry analysis examines only the competitors in the industry.

Accepted Answer

A) True 
 B)False

Question 18

The micro environment refers to economic, social, and legal issues confronting the firm.

Accepted Answer

A) True 
 B)False

Question 19

Explain the factors that affect supplier power.

Accepted Answer

Suppliers experience greater power when

Question 20

A substitute is any product that satisfies a common interest.

Accepted Answer

A) True 
 B)False

Industry characteristics that contribute to entry barriers include all but which of the following?

The best information concerning industry technological factors could be gathered by answering which of the following questions?

What factors contribute to barriers to entry?

The value curve is a convenient tool that helps managers visualize their competitive landscape. The tool's purpose it is to visually plot ________.

PESTEL is an acronym for political, economic, sociocultural, technological, environmental, and legal context(s) in which a firm operates.

Price competition increases when buyers experience low switching costs and ________.

Whereas industry results in an industry with fewer players, results in fewer industries.

When a market is dominated by only two or a few large firms, the industry is said to be a duopoly or oligopoly.

Give three examples of economic factors.

Bottled water has an active market consisting of nearly half of all Americans. It is on track to surpass all but which of the following beverages?

Globalization is the evolution of distinct geographic product markets into a state of globally interdependent product markets.

Barriers that place a high cost on the abandonment of a market are called ________.

Stakeholder analysis will fill in the gaps left by industry analysis.

Issues that confront a firm but are not found in the macro environment are ________.

Buyers may have more bargaining power when ________.

The relative power of industry participants and industry suppliers affects the pricing and profitability of both industry groups.

Industry analysis examines only the competitors in the industry.

The micro environment refers to economic, social, and legal issues confronting the firm.

Explain the factors that affect supplier power.

A substitute is any product that satisfies a common interest.

Introducing Strategic Management

Leading Strategically Through Effective Vision and Mission

Examining the Internal Environment: Resources

Creating Business Strategies

Crafting Business Strategy of Dynamic Contexts

Developing Corporate Strategy

Looking at International Strategies

Understanding Alliances and Cooperative Strategies

Studying Merges and Acquisitions

Organizational Structure, Systems, and Processes

Considering New Ventures and Corporate Renewal

Corporate Governance in the Twenty-First Century

Filters

Exam 4: Exploring the External Environment: Macro Industry and Dynamics

Industry characteristics that contribute to entry barriers include all but which of the following?

The best information concerning industry technological factors could be gathered by answering which of the following questions?

What factors contribute to barriers to entry?

The value curve is a convenient tool that helps managers visualize their competitive landscape. The tool's purpose it is to visually plot ________.

PESTEL is an acronym for political, economic, sociocultural, technological, environmental, and legal context(s) in which a firm operates.

Price competition increases when buyers experience low switching costs and ________.

Whereas industry ________ results in an industry with fewer players, ________ results in fewer industries.

When a market is dominated by only two or a few large firms, the industry is said to be a duopoly or oligopoly.

Give three examples of economic factors.

Bottled water has an active market consisting of nearly half of all Americans. It is on track to surpass all but which of the following beverages?

Globalization is the evolution of distinct geographic product markets into a state of globally interdependent product markets.

Barriers that place a high cost on the abandonment of a market are called ________.

Stakeholder analysis will fill in the gaps left by industry analysis.

Issues that confront a firm but are not found in the macro environment are ________.

Buyers may have more bargaining power when ________.

The relative power of industry participants and industry suppliers affects the pricing and profitability of both industry groups.

Industry analysis examines only the competitors in the industry.

The micro environment refers to economic, social, and legal issues confronting the firm.

Explain the factors that affect supplier power.

A substitute is any product that satisfies a common interest.

Introducing Strategic Management

Leading Strategically Through Effective Vision and Mission

Examining the Internal Environment: Resources

Creating Business Strategies

Crafting Business Strategy of Dynamic Contexts

Developing Corporate Strategy

Looking at International Strategies

Understanding Alliances and Cooperative Strategies

Studying Merges and Acquisitions

Organizational Structure, Systems, and Processes

Considering New Ventures and Corporate Renewal

Corporate Governance in the Twenty-First Century

Filters

Whereas industry results in an industry with fewer players, results in fewer industries.