Question 1

Most business industries are relatively stable, because significant industry changes take many years to implement.

Accepted Answer

A) True 
 B)False

Question 2

Which of the following statements about the external perspective of competitive advantage is most accurate?

Accepted Answer

A)  The success of a strategy is determined by the forces within the firm's external environment and industry. 
B)  The firm's internal resources and capabilities represent the foundation for development of a value-creating strategy. 
C)  Internationalization is a factor that leads to globalization. 
D)  Firms should seek to maximize their returns by changing organizational structure in a manner consistent with the most efficient producers in any given industry. 
A)  The success of a strategy is determined by the forces within the firm's external environment and industry. 
B)  The firm's internal resources and capabilities represent the foundation for development of a value-creating strategy. 
C)  Internationalization is a factor that leads to globalization. 
D)  Firms should seek to maximize their returns by changing organizational structure in a manner consistent with the most efficient producers in any given industry.

Question 3

Competitive advantage occurs when a firm has more resources than its competitors.

Accepted Answer

A) True 
 B)False

Question 4

A company executive makes a presentation to the company's shareholders regarding the major components of the company's business strategy. Which of the following is the executive least likely to mention when explaining the component of economic logic?

Accepted Answer

A)  Superior service 
B)  Internal development 
C)  Economies of scale 
D)  Proprietary product features 
A)  Superior service 
B)  Internal development 
C)  Economies of scale 
D)  Proprietary product features

Question 5

The company Under Armour was originally successful at charging higher prices for t-shirts because its products gave the consumer tangible benefits.

Accepted Answer

A) True 
 B)False

Question 6

Corporate strategies are used by businesses that compete in a single industry or business segment.

Accepted Answer

A) True 
 B)False

Question 7

What is multimarket competition?

Accepted Answer

It is a competitive situation

Question 8

Economic logic is the means by which a firm will earn a profit by implementing a strategy.

Accepted Answer

A) True 
 B)False

Question 9

Which of the following factors relates to staging as described in the business strategy diamond?

Accepted Answer

A)  market segments 
B)  speed of expansion 
C)  product styling 
D)  business alliances 
A)  market segments 
B)  speed of expansion 
C)  product styling 
D)  business alliances

Question 10

Effective strategies always arise out of unplanned decisions and actions.

Accepted Answer

A) True 
 B)False

Question 11

What are the five elements of the strategy diamond?

Accepted Answer

The elements are: ar

Question 12

Identifying and exploiting differentiators demonstrates that a firm is successful at making tough choices and deciding on tradeoffs.

Accepted Answer

A) True 
 B)False

Question 13

What are the two critical factors to consider when selecting differentiators?

Accepted Answer

In selecting differentiators, the first

Question 14

Strategy implementation is generally less important than strategy formulation for business success.

Accepted Answer

A) True 
 B)False

Question 15

Strategy implementation is defined as the process of deciding what a firm should do.

Accepted Answer

A) True 
 B)False

Question 16

Which of the following is not an example of a vehicle as described in the strategy diamond?

Accepted Answer

A)  internal development 
B)  customer service 
C)  joint ventures 
D)  licensing 
A)  internal development 
B)  customer service 
C)  joint ventures 
D)  licensing

Question 17

Strategy formulation is a part of strategic management that focuses on the specific actions that a firm uses to achieve strategic goals and objectives.

Accepted Answer

A) True 
 B)False

Question 18

A firm that achieves competitive advantage can usually maintain it over time.

Accepted Answer

A) True 
 B)False

Question 19

What are the key elements of effective strategy implementation?

Accepted Answer

Strategy implementation is the process o

Question 20

The degree of environmental stability of industries and markets is a major factor in determining a firm's competitive advantage.

Accepted Answer

A) True 
 B)False

Most business industries are relatively stable, because significant industry changes take many years to implement.

Which of the following statements about the external perspective of competitive advantage is most accurate?

Competitive advantage occurs when a firm has more resources than its competitors.

A company executive makes a presentation to the company's shareholders regarding the major components of the company's business strategy. Which of the following is the executive least likely to mention when explaining the component of economic logic?

The company Under Armour was originally successful at charging higher prices for t-shirts because its products gave the consumer tangible benefits.

Corporate strategies are used by businesses that compete in a single industry or business segment.

What is multimarket competition?

Economic logic is the means by which a firm will earn a profit by implementing a strategy.

Which of the following factors relates to staging as described in the business strategy diamond?

Effective strategies always arise out of unplanned decisions and actions.

What are the five elements of the strategy diamond?

Identifying and exploiting differentiators demonstrates that a firm is successful at making tough choices and deciding on tradeoffs.

What are the two critical factors to consider when selecting differentiators?

Strategy implementation is generally less important than strategy formulation for business success.

Strategy implementation is defined as the process of deciding what a firm should do.

Which of the following is not an example of a vehicle as described in the strategy diamond?

Strategy formulation is a part of strategic management that focuses on the specific actions that a firm uses to achieve strategic goals and objectives.

A firm that achieves competitive advantage can usually maintain it over time.

What are the key elements of effective strategy implementation?

The degree of environmental stability of industries and markets is a major factor in determining a firm's competitive advantage.

Leading Strategically Through Effective Vision and Mission

Examining the Internal Environment: Resources

Exploring the External Environment: Macro Industry and Dynamics

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 1: Introducing Strategic Management

Most business industries are relatively stable, because significant industry changes take many years to implement.

Which of the following statements about the external perspective of competitive advantage is most accurate?

Competitive advantage occurs when a firm has more resources than its competitors.

A company executive makes a presentation to the company's shareholders regarding the major components of the company's business strategy. Which of the following is the executive least likely to mention when explaining the component of economic logic?

The company Under Armour was originally successful at charging higher prices for t-shirts because its products gave the consumer tangible benefits.

Corporate strategies are used by businesses that compete in a single industry or business segment.

What is multimarket competition?

Economic logic is the means by which a firm will earn a profit by implementing a strategy.

Which of the following factors relates to staging as described in the business strategy diamond?

Effective strategies always arise out of unplanned decisions and actions.

What are the five elements of the strategy diamond?

Identifying and exploiting differentiators demonstrates that a firm is successful at making tough choices and deciding on tradeoffs.

What are the two critical factors to consider when selecting differentiators?

Strategy implementation is generally less important than strategy formulation for business success.

Strategy implementation is defined as the process of deciding what a firm should do.

Which of the following is not an example of a vehicle as described in the strategy diamond?

Strategy formulation is a part of strategic management that focuses on the specific actions that a firm uses to achieve strategic goals and objectives.

A firm that achieves competitive advantage can usually maintain it over time.

What are the key elements of effective strategy implementation?

The degree of environmental stability of industries and markets is a major factor in determining a firm's competitive advantage.

Leading Strategically Through Effective Vision and Mission

Examining the Internal Environment: Resources

Exploring the External Environment: Macro Industry and Dynamics

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