Question 1

Which of the following is not an example of an external threat to a company's future profitability?

Accepted Answer

A) Likely entry of potent new competitors 
B) Lack of a well-known brand name with which to attract new customers and help retain existing customers 
C) Unfavorable shifts in buyer demographics and tastes 
D) Costly new regulatory requirements 
E) Increase(s)in interest rates 
A) Likely entry of potent new competitors 
B) Lack of a well-known brand name with which to attract new customers and help retain existing customers 
C) Unfavorable shifts in buyer demographics and tastes 
D) Costly new regulatory requirements 
E) Increase(s)in interest rates

Question 2

Determining whether a company's prices and costs are competitive

Accepted Answer

A) requires looking at the costs of a company's internally performed activities and the costs of its suppliers and forward channel allies (distributors/dealers). 
B) requires performing pricing surveys on at least a quarterly basis. 
C) involves developing close relationships with buyers to determine if the market is showing signs of increasing price sensitivity. 
D) typically involves the use of activity-based cost accounting by the company's key retail customers. 
E) is a technique to evaluate whether a capability or resource is valuable,rare,inimitable,or nonsubstitutable. 
A) requires looking at the costs of a company's internally performed activities and the costs of its suppliers and forward channel allies (distributors/dealers). 
B) requires performing pricing surveys on at least a quarterly basis. 
C) involves developing close relationships with buyers to determine if the market is showing signs of increasing price sensitivity. 
D) typically involves the use of activity-based cost accounting by the company's key retail customers. 
E) is a technique to evaluate whether a capability or resource is valuable,rare,inimitable,or nonsubstitutable.

Question 3

In determining the various strategic issues that a company needs to address,managers need to consider both the results of its analysis of the company's external environment and the results of its evaluation of the company's competitive position,customer value proposition,and cost structure.True or false? Explain and defend your answer.

Accepted Answer

A) True 
 B)False

Question 4

How can a resource-based strategy lead to a sustainable competitive advantage?

Accepted Answer

The more difficult and more ex

Question 5

The two most important parts of SWOT analysis are

Accepted Answer

A) pinpointing the company's competitive assets and pinpointing its competitive liabilities. 
B) identifying the company's resource strengths and identifying the company's best market opportunities. 
C) identifying the external threats to a company's future profitability and pinpointing how many market opportunities it has. 
D) drawing conclusions from the SWOT listings about the company's overall situation and translating these conclusions into strategic actions to better match the company's strategy to its resource strengths and market opportunities,correct the important weaknesses,and defend against external threats. 
E) making accurate lists of the company's strengths,weaknesses,opportunities,and threats,and then using these lists as a basis for ascertaining how well the company's strategy is working. 
A) pinpointing the company's competitive assets and pinpointing its competitive liabilities. 
B) identifying the company's resource strengths and identifying the company's best market opportunities. 
C) identifying the external threats to a company's future profitability and pinpointing how many market opportunities it has. 
D) drawing conclusions from the SWOT listings about the company's overall situation and translating these conclusions into strategic actions to better match the company's strategy to its resource strengths and market opportunities,correct the important weaknesses,and defend against external threats. 
E) making accurate lists of the company's strengths,weaknesses,opportunities,and threats,and then using these lists as a basis for ascertaining how well the company's strategy is working.

Question 6

Identify the six questions to consider in evaluating a company's ability to compete successfully against market rivals.

Accepted Answer

The six questions are as follows:
1.How

Question 7

A company that is at a disadvantage in the marketplace because it lacks competitively valuable resources possessed by rivals

Accepted Answer

A) should consider divesting assets and making future investments in promising new industries. 
B) may be able to develop substitute resources that accomplish the same objective as the competitively valuable resource possessed by rivals. 
C) can still marshal competitive power in the marketplace by incorporating product or service features desired by niche buyers. 
D) is virtually blockaded from using offensive strategies and must rely on defensive strategies. 
E) should abandon strategy elements that have caused its weakness in the marketplace. 
A) should consider divesting assets and making future investments in promising new industries. 
B) may be able to develop substitute resources that accomplish the same objective as the competitively valuable resource possessed by rivals. 
C) can still marshal competitive power in the marketplace by incorporating product or service features desired by niche buyers. 
D) is virtually blockaded from using offensive strategies and must rely on defensive strategies. 
E) should abandon strategy elements that have caused its weakness in the marketplace.

Question 8

A company's resource weaknesses can relate to

Accepted Answer

A) inferior or unproven skills,lack of expertise,or intellectual capital shortfalls in competitively important parts of the business. 
B) something that it lacks or does poorly (in comparison to rivals). 
C) deficiencies in competitively important physical,organizational,or intangible assets. 
D) missing or competitively inferior capabilities in key areas. 
E) inability to achieve a leading market share. 
A) inferior or unproven skills,lack of expertise,or intellectual capital shortfalls in competitively important parts of the business. 
B) something that it lacks or does poorly (in comparison to rivals). 
C) deficiencies in competitively important physical,organizational,or intangible assets. 
D) missing or competitively inferior capabilities in key areas. 
E) inability to achieve a leading market share.

Question 9

________ is a powerful tool for sizing up the company's competitive assets and determining whether they can provide the foundation necessary for competitive success in the marketplace.

Accepted Answer

A) Competitive strength analysis 
B) Financial and asset management analysis 
C) Value chain analysis 
D) SWOT analysis 
E) VRIN tests 
A) Competitive strength analysis 
B) Financial and asset management analysis 
C) Value chain analysis 
D) SWOT analysis 
E) VRIN tests

Question 10

The competitive power of a company resource or competitive capability hinges on

Accepted Answer

A) how easy it is for the firm to copy or imitate its rivals' moves in the marketplace. 
B) whether it is robust and,therefore,something rivals cannot afford to develop. 
C) whether it leads to competitive volatility,forcing rivals to jockey for an industry leadership position. 
D) how easily it can be substituted by merging with or acquiring another firm with complementary resources and capabilities. 
E) whether it is rare and,therefore,something rivals lack. 
A) how easy it is for the firm to copy or imitate its rivals' moves in the marketplace. 
B) whether it is robust and,therefore,something rivals cannot afford to develop. 
C) whether it leads to competitive volatility,forcing rivals to jockey for an industry leadership position. 
D) how easily it can be substituted by merging with or acquiring another firm with complementary resources and capabilities. 
E) whether it is rare and,therefore,something rivals lack.

Question 11

Identifying the strategic issues a company faces and compiling a "worry list" of problems and roadblocks is an important component of company situation analysis because

Accepted Answer

A) without a precise fix on what problems/issues a company confronts,managers cannot know what are the industry's key success factors. 
B) the "worry list" sets the management agenda for taking actions to improve the company's performance and business outlook. 
C) without a precise fix on what problems/roadblocks a company confronts,managers are less clear about what value chain activities to benchmark. 
D) the "worry list" helps company managers clarify their thinking about how best to modify the company's value chain. 
E) these issues and obstacles must be cleared before management can focus clearly on what is the best strategy for the company to pursue. 
A) without a precise fix on what problems/issues a company confronts,managers cannot know what are the industry's key success factors. 
B) the "worry list" sets the management agenda for taking actions to improve the company's performance and business outlook. 
C) without a precise fix on what problems/roadblocks a company confronts,managers are less clear about what value chain activities to benchmark. 
D) the "worry list" helps company managers clarify their thinking about how best to modify the company's value chain. 
E) these issues and obstacles must be cleared before management can focus clearly on what is the best strategy for the company to pursue.

Question 12

The options for remedying a supplier-related cost disadvantage include

Accepted Answer

A) trying to negotiate more favorable prices with suppliers and switching to lower priced substitute inputs. 
B) forward vertical integration. 
C) shifting into the production of substitute products. 
D) shifting from a low-cost leadership strategy to a differentiation or focus strategy. 
E) cutting selling prices and trying to win a bigger market share. 
A) trying to negotiate more favorable prices with suppliers and switching to lower priced substitute inputs. 
B) forward vertical integration. 
C) shifting into the production of substitute products. 
D) shifting from a low-cost leadership strategy to a differentiation or focus strategy. 
E) cutting selling prices and trying to win a bigger market share.

Question 13

A company that lacks a stand-alone resource that is competitively powerful may attempt to develop a competitive advantage through

Accepted Answer

A) improved employee training programs,new marketing promotions,or technological enhancements to production processes. 
B) the development of a new business strategy that draws upon existing resource strengths. 
C) extensive strategic planning and resource identification sessions involving managers at all levels of the organization. 
D) bundled resources that enable superior performance of cross-functional capabilities that can be leveraged to support its business model and strategy. 
E) devising clever approaches to turning resource weaknesses into resource strengths. 
A) improved employee training programs,new marketing promotions,or technological enhancements to production processes. 
B) the development of a new business strategy that draws upon existing resource strengths. 
C) extensive strategic planning and resource identification sessions involving managers at all levels of the organization. 
D) bundled resources that enable superior performance of cross-functional capabilities that can be leveraged to support its business model and strategy. 
E) devising clever approaches to turning resource weaknesses into resource strengths.

Question 14

Which of the following most accurately reflect a company's resource strengths?

Accepted Answer

A) Its core competencies,competitive capabilities,and valuable intangible assets 
B) Sizes of its unit sales,revenues,and market share vis-à-vis those of key rivals 
C) Sizes of its profit margins and return on investment vis-à-vis those of key rivals 
D) Whether it has more primary activities in its value chain than close rivals and a better overall value chain than these rivals 
E) Whether it has a more profitable business model than close rivals 
A) Its core competencies,competitive capabilities,and valuable intangible assets 
B) Sizes of its unit sales,revenues,and market share vis-à-vis those of key rivals 
C) Sizes of its profit margins and return on investment vis-à-vis those of key rivals 
D) Whether it has more primary activities in its value chain than close rivals and a better overall value chain than these rivals 
E) Whether it has a more profitable business model than close rivals

Question 15

Which one of the following is not a reliable measure of how well a company's current strategy is working?

Accepted Answer

A) Trends in the company's sales and earnings growth 
B) The company's development of human capital,organizational capital,and information capital 
C) Changes in the firm's image and reputation with its customers 
D) The company's overall financial strength 
E) Evidence of improvement in internal processes such as defect rate,order fulfillment,and employee productivity 
A) Trends in the company's sales and earnings growth 
B) The company's development of human capital,organizational capital,and information capital 
C) Changes in the firm's image and reputation with its customers 
D) The company's overall financial strength 
E) Evidence of improvement in internal processes such as defect rate,order fulfillment,and employee productivity

Which of the following is not an example of an external threat to a company's future profitability?

Determining whether a company's prices and costs are competitive

How can a resource-based strategy lead to a sustainable competitive advantage?

The two most important parts of SWOT analysis are

Identify the six questions to consider in evaluating a company's ability to compete successfully against market rivals.

A company that is at a disadvantage in the marketplace because it lacks competitively valuable resources possessed by rivals

A company's resource weaknesses can relate to

________ is a powerful tool for sizing up the company's competitive assets and determining whether they can provide the foundation necessary for competitive success in the marketplace.

The competitive power of a company resource or competitive capability hinges on

Identifying the strategic issues a company faces and compiling a "worry list" of problems and roadblocks is an important component of company situation analysis because

The options for remedying a supplier-related cost disadvantage include

A company that lacks a stand-alone resource that is competitively powerful may attempt to develop a competitive advantage through

Which of the following most accurately reflect a company's resource strengths?

Which one of the following is not a reliable measure of how well a company's current strategy is working?

Strategy,business Models,and Competitive Advantage

Strategy Formulation,execution,and Governance

Evaluating a Companys External Environment

The Five Generic Competitive Strategies

Strengthening a Companys Competitive Position: Strategic Moves, timing, and Scope of Operations

Strategies for Competing in International Markets

Corporate Strategy: Diversification and the Multibusiness Company

Ethics, corporate Social Responsibility, environmental Sustainability, and Strategy

Superior Strategy Executionanother Path to Competitive Advantage

Filters

Exam 4: Evaluating a Companys Resources, capabilities, and Competitiveness

Which of the following is not an example of an external threat to a company's future profitability?

Determining whether a company's prices and costs are competitive

How can a resource-based strategy lead to a sustainable competitive advantage?

The two most important parts of SWOT analysis are

Identify the six questions to consider in evaluating a company's ability to compete successfully against market rivals.

A company that is at a disadvantage in the marketplace because it lacks competitively valuable resources possessed by rivals

A company's resource weaknesses can relate to

________ is a powerful tool for sizing up the company's competitive assets and determining whether they can provide the foundation necessary for competitive success in the marketplace.

The competitive power of a company resource or competitive capability hinges on

Identifying the strategic issues a company faces and compiling a "worry list" of problems and roadblocks is an important component of company situation analysis because

The options for remedying a supplier-related cost disadvantage include

A company that lacks a stand-alone resource that is competitively powerful may attempt to develop a competitive advantage through

Which of the following most accurately reflect a company's resource strengths?

Which one of the following is not a reliable measure of how well a company's current strategy is working?

Strategy,business Models,and Competitive Advantage

Strategy Formulation,execution,and Governance

Evaluating a Companys External Environment

The Five Generic Competitive Strategies

Strengthening a Companys Competitive Position: Strategic Moves, timing, and Scope of Operations

Strategies for Competing in International Markets

Corporate Strategy: Diversification and the Multibusiness Company

Ethics, corporate Social Responsibility, environmental Sustainability, and Strategy

Superior Strategy Executionanother Path to Competitive Advantage

Filters