Question 1

Industries with consistently higher than average profitability are usually characterized by low entry barriers.

Accepted Answer

A) True 
 B)False

Question 2

Key success factors are firm-specific and nontransferable.

Accepted Answer

A) True 
 B)False

Question 3

In a truly global industry, all but which is the case?

Accepted Answer

A)  the core product is standardized 
B)  the marketing approach is relatively uniform 
C)  the product and services produced are retained locally 
D)  competitive advantage belongs to the firms that can compete worldwide 
A)  the core product is standardized 
B)  the marketing approach is relatively uniform 
C)  the product and services produced are retained locally 
D)  competitive advantage belongs to the firms that can compete worldwide

Question 4

Industry concentration affects the intensity of competition in an industry.

Accepted Answer

A) True 
 B)False

Question 5

Explain the threat of substitutes for Blockbuster, the movie-rental business.

Accepted Answer

Customers' options seem to be increasing

Question 6

Bargaining leverage, price sensitivity, and threat of backward integration are some of the elements influencing the five-forces factor of ________.

Accepted Answer

A)  the threat of new entrants 
B)  supplier power 
C)  buyer power 
D)  the threat of substitutes 
A)  the threat of new entrants 
B)  supplier power 
C)  buyer power 
D)  the threat of substitutes

Question 7

In an oligopoly, ________.

Accepted Answer

A)  there is only one seller in the market 
B)  the industry is characterized as concentrated 
C)  firms are typically regulated 
D)  the industry is characterized as fragmented 
A)  there is only one seller in the market 
B)  the industry is characterized as concentrated 
C)  firms are typically regulated 
D)  the industry is characterized as fragmented

Question 8

Sometimes, how easily laws may change can affect a firm's strategy.

Accepted Answer

A) True 
 B)False

Question 9

Goals can be achieved by analyzing a firm's closest competitors. These goals include all but which of the following?

Accepted Answer

A)  influence competitors' behavior in a favorable way 
B)  gain an understanding of what competitors' future strategies might be 
C)  gain a better appreciation for how competitors will respond to a firm's strategic initiatives 
D)  share findings with competitors so that all firms benefit 
A)  influence competitors' behavior in a favorable way 
B)  gain an understanding of what competitors' future strategies might be 
C)  gain a better appreciation for how competitors will respond to a firm's strategic initiatives 
D)  share findings with competitors so that all firms benefit

Question 10

Which of the following is the best example of complementor products?

Accepted Answer

A)  peas and carrots 
B)  hotdogs and buns 
C)  airlines and cars 
D)  soft drinks and bottled water 
A)  peas and carrots 
B)  hotdogs and buns 
C)  airlines and cars 
D)  soft drinks and bottled water

Question 11

The political environment can have a significant influence on consumer confidence.

Accepted Answer

A) True 
 B)False

Question 12

Managers must remain focused on firm-specific characteristics when conducting industry analysis.

Accepted Answer

A) True 
 B)False

Question 13

Supplier power is the degree to which firms in the supply industry are able to dictate favorable contract terms.

Accepted Answer

A) True 
 B)False

Question 14

Making assumptions about sociocultural norms in your home market can cause early failure when entering new markets.

Accepted Answer

A) True 
 B)False

Question 15

What are the components of the five-forces model of industry structure?

Accepted Answer

The components of the five-for

Question 16

List several examples of sociocultural factors.

Accepted Answer

Possible answers include local

Question 17

Three economic factors have a strong bearing on strategy as it relates to where to locate disparate business functions and facilities. Which of the following is not a factor?

Accepted Answer

A)  unemployment rates 
B)  cost of medical benefits 
C)  availability of critical labor 
D)  local labor costs 
A)  unemployment rates 
B)  cost of medical benefits 
C)  availability of critical labor 
D)  local labor costs

Question 18

Competition is fierce in the soft drink industry. As a result, higher degrees of rivalry result in lower levels of average industry ________.

Accepted Answer

A)  profits 
B)  losses 
C)  cooperation 
D)  dropouts 
A)  profits 
B)  losses 
C)  cooperation 
D)  dropouts

Question 19

Suppliers are considered to be powerful when they control factors that include all but which of the following?

Accepted Answer

A)  postpurchase service 
B)  fuel prices 
C)  payment terms 
D)  minimum orders 
A)  postpurchase service 
B)  fuel prices 
C)  payment terms 
D)  minimum orders

Question 20

Unemployment rates can have a strong impact on strategy.

Accepted Answer

A) True 
 B)False

Industries with consistently higher than average profitability are usually characterized by low entry barriers.

Key success factors are firm-specific and nontransferable.

In a truly global industry, all but which is the case?

Industry concentration affects the intensity of competition in an industry.

Explain the threat of substitutes for Blockbuster, the movie-rental business.

Bargaining leverage, price sensitivity, and threat of backward integration are some of the elements influencing the five-forces factor of ________.

In an oligopoly, ________.

Sometimes, how easily laws may change can affect a firm's strategy.

Goals can be achieved by analyzing a firm's closest competitors. These goals include all but which of the following?

Which of the following is the best example of complementor products?

The political environment can have a significant influence on consumer confidence.

Managers must remain focused on firm-specific characteristics when conducting industry analysis.

Supplier power is the degree to which firms in the supply industry are able to dictate favorable contract terms.

Making assumptions about sociocultural norms in your home market can cause early failure when entering new markets.

What are the components of the five-forces model of industry structure?

List several examples of sociocultural factors.

Three economic factors have a strong bearing on strategy as it relates to where to locate disparate business functions and facilities. Which of the following is not a factor?

Competition is fierce in the soft drink industry. As a result, higher degrees of rivalry result in lower levels of average industry ________.

Suppliers are considered to be powerful when they control factors that include all but which of the following?

Unemployment rates can have a strong impact on strategy.

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

Industries with consistently higher than average profitability are usually characterized by low entry barriers.

Key success factors are firm-specific and nontransferable.

In a truly global industry, all but which is the case?

Industry concentration affects the intensity of competition in an industry.

Explain the threat of substitutes for Blockbuster, the movie-rental business.

Bargaining leverage, price sensitivity, and threat of backward integration are some of the elements influencing the five-forces factor of ________.

In an oligopoly, ________.

Sometimes, how easily laws may change can affect a firm's strategy.

Goals can be achieved by analyzing a firm's closest competitors. These goals include all but which of the following?

Which of the following is the best example of complementor products?

The political environment can have a significant influence on consumer confidence.

Managers must remain focused on firm-specific characteristics when conducting industry analysis.

Supplier power is the degree to which firms in the supply industry are able to dictate favorable contract terms.

Making assumptions about sociocultural norms in your home market can cause early failure when entering new markets.

What are the components of the five-forces model of industry structure?

List several examples of sociocultural factors.

Three economic factors have a strong bearing on strategy as it relates to where to locate disparate business functions and facilities. Which of the following is not a factor?

Competition is fierce in the soft drink industry. As a result, higher degrees of rivalry result in lower levels of average industry ________.

Suppliers are considered to be powerful when they control factors that include all but which of the following?

Unemployment rates can have a strong impact on strategy.

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