Question 1

Explain the difference between a company's business model and a company's strategy.

Accepted Answer

While the company's strategy sets forth

Question 2

What are the three questions that managers can use to distinguish a winning strategy from a so-so or flawed strategy? Briefly explain why each question is important.

Accepted Answer

The three questions to distinguish a win

Question 3

It is normal for a company's strategy to end up being

Accepted Answer

A) left unchanged from management's original planned set of actions and business approaches since making on-the-spot changes is too risky. 
B) a combination of defensive moves to protect the company's market share and offensive initiatives to set the company's product offering apart from its rivals. 
C) like the strategies of other industry members since all companies are confronting much the same market conditions and competitive pressures. 
D) a blend of deliberate planned actions to improve the company's competitiveness and financial performance and as-needed unplanned reactions to unanticipated developments and fresh market conditions. 
E) a mirror image of its business model,so as to avoid impairing company profitability. 
A) left unchanged from management's original planned set of actions and business approaches since making on-the-spot changes is too risky. 
B) a combination of defensive moves to protect the company's market share and offensive initiatives to set the company's product offering apart from its rivals. 
C) like the strategies of other industry members since all companies are confronting much the same market conditions and competitive pressures. 
D) a blend of deliberate planned actions to improve the company's competitiveness and financial performance and as-needed unplanned reactions to unanticipated developments and fresh market conditions. 
E) a mirror image of its business model,so as to avoid impairing company profitability.

Question 4

In evaluating proposed or existing strategies,managers should

Accepted Answer

A) evaluate the firm's business model at least every three years. 
B) align existing strategies with new strategies to emphasize incremental gains. 
C) scrutinize the company's existing strategies on a regular basis to ensure they offer a good strategic fit,create a competitive advantage,and contribute to an above-average performance. 
D) plan and implement new initiatives regardless of whether or not these match the company's internal and external situation. 
E) ensure core capabilities are incorporated for establishing a competitive advantage. 
A) evaluate the firm's business model at least every three years. 
B) align existing strategies with new strategies to emphasize incremental gains. 
C) scrutinize the company's existing strategies on a regular basis to ensure they offer a good strategic fit,create a competitive advantage,and contribute to an above-average performance. 
D) plan and implement new initiatives regardless of whether or not these match the company's internal and external situation. 
E) ensure core capabilities are incorporated for establishing a competitive advantage.

Question 5

Which of the following is a not a frequently used strategic approach to setting a company apart from rivals and achieving a sustainable competitive advantage?

Accepted Answer

A) Striving to be the industry's low-cost provider,thereby aiming for a cost-based competitive advantage 
B) Outcompeting rivals on the basis of such differentiating features as higher quality,wider product selection,added performance,better service,more attractive styling,or technological superiority 
C) Pursuing a best-cost strategy,giving customers more value for the money by satisfying buyers' expectations on key quality/features/performance/service attributes,while beating their price expectations 
D) Focusing on a narrow market niche and winning a competitive edge by doing a better job than rivals of serving the special needs and tastes of buyers comprising the niche 
E) Copying rivals on their competitive moves 
A) Striving to be the industry's low-cost provider,thereby aiming for a cost-based competitive advantage 
B) Outcompeting rivals on the basis of such differentiating features as higher quality,wider product selection,added performance,better service,more attractive styling,or technological superiority 
C) Pursuing a best-cost strategy,giving customers more value for the money by satisfying buyers' expectations on key quality/features/performance/service attributes,while beating their price expectations 
D) Focusing on a narrow market niche and winning a competitive edge by doing a better job than rivals of serving the special needs and tastes of buyers comprising the niche 
E) Copying rivals on their competitive moves

Question 6

What is the connection between a company's strategy and its quest for sustainable competitive advantage?

Accepted Answer

The heart and soul of any strategy consi

Question 7

Why are capabilities needed to build a sustainable competitive advantage so important to a winning business strategy? Cite one of the company examples in the chapter to illustrate your answer.

Accepted Answer

A strategy should be tailored to the com

Question 8

Which of the following is not an element of a company's business strategy?

Accepted Answer

A) Actions to respond to changing market conditions or other external factors 
B) Actions to strengthen competitiveness via strategic alliances and collaborative partnerships 
C) Actions to strengthen internal capabilities and competitively valuable resources 
D) Actions to manage the functional areas of the business 
E) Actions to revise the company's financial and strategic performance targets 
A) Actions to respond to changing market conditions or other external factors 
B) Actions to strengthen competitiveness via strategic alliances and collaborative partnerships 
C) Actions to strengthen internal capabilities and competitively valuable resources 
D) Actions to manage the functional areas of the business 
E) Actions to revise the company's financial and strategic performance targets

Question 9

Amy's Drive-Thru,a fast food facility near a college campus,offers healthy,sustainably grown vegetarian and vegan fast-food at higher prices than its competitors in the market and has a drive-through and indoor-seated,casual-dining operation.What strategy is Amy's Drive-Thru using to gain a competitive advantage?

Accepted Answer

A) A best-cost provider strategy 
B) A low-cost provider strategy 
C) A focused low-cost provider strategy 
D) A broad differentiation strategy 
E) A focused differentiation strategy 
A) A best-cost provider strategy 
B) A low-cost provider strategy 
C) A focused low-cost provider strategy 
D) A broad differentiation strategy 
E) A focused differentiation strategy

Question 10

Explain what affects a company's ultimate success or failure in the marketplace.

Accepted Answer

Among all the things managers do,nothing

Question 11

Which of the following is not something a company's strategy is concerned with?

Accepted Answer

A) Management's choices about how to attract and please customers 
B) Management's choices about how quickly and closely to copy the strategies being used by successful rival companies 
C) Management's choices about how to grow the business 
D) Management's choices about how to outcompete rivals 
E) Management's action plan for conducting operations and improving the company's strategic and financial performance 
A) Management's choices about how to attract and please customers 
B) Management's choices about how quickly and closely to copy the strategies being used by successful rival companies 
C) Management's choices about how to grow the business 
D) Management's choices about how to outcompete rivals 
E) Management's action plan for conducting operations and improving the company's strategic and financial performance

Question 12

A company's business model consists of its

Accepted Answer

A) mission statement and its SWOT analysis. 
B) customer value proposition and its vision statement. 
C) operating and financial plans. 
D) profit formula and strategic vision. 
E) profit formula and customer value proposition. 
A) mission statement and its SWOT analysis. 
B) customer value proposition and its vision statement. 
C) operating and financial plans. 
D) profit formula and strategic vision. 
E) profit formula and customer value proposition.

Question 13

Should a company's strategy be tightly connected to its quest for competitive advantage? Why or why not? What difference does it makes whether a company has a sustainable competitive advantage or not?

Accepted Answer

Yes,because a sustainable competitive ad

Question 14

Which of the following questions ought to be used to distinguish a winning strategy from a so-so or flawed strategy?

Accepted Answer

A) Does the strategy contain a sufficient number of emergent and/or reactive elements? 
B) Is the company putting too little emphasis on growth and profitability and too much emphasis on behaving in an ethical and socially responsible manner? 
C) Is the strategy built on a company's weakness,or does it require resources that are deficient in the company? 
D) Is the strategy well matched to the company's situation,helping the company achieve a sustainable competitive advantage and resulting in better company performance? 
E) Does the strategy strike a good balance between maximizing shareholder wealth and maximizing customer satisfaction? 
A) Does the strategy contain a sufficient number of emergent and/or reactive elements? 
B) Is the company putting too little emphasis on growth and profitability and too much emphasis on behaving in an ethical and socially responsible manner? 
C) Is the strategy built on a company's weakness,or does it require resources that are deficient in the company? 
D) Is the strategy well matched to the company's situation,helping the company achieve a sustainable competitive advantage and resulting in better company performance? 
E) Does the strategy strike a good balance between maximizing shareholder wealth and maximizing customer satisfaction?

Question 15

In evaluating proposed or existing strategies,managers should

Accepted Answer

A) initiate new initiatives even though they do not seem to match the company's internal and external situation. 
B) scrutinize the company's existing strategies on a regular basis to ensure they offer a good strategic fit,create a competitive advantage,and result in above-average performance. 
C) evaluate the firm's business model at least every three years. 
D) ensure core capabilities are incorporated for establishing a competitive advantage. 
E) align existing strategies with new strategies to emphasize incremental gains. 
A) initiate new initiatives even though they do not seem to match the company's internal and external situation. 
B) scrutinize the company's existing strategies on a regular basis to ensure they offer a good strategic fit,create a competitive advantage,and result in above-average performance. 
C) evaluate the firm's business model at least every three years. 
D) ensure core capabilities are incorporated for establishing a competitive advantage. 
E) align existing strategies with new strategies to emphasize incremental gains.

Question 16

A company's strategy has a chance of succeeding only when it is predicated on

Accepted Answer

A) building revenues,controlling costs,and generating an attractive profit. 
B) actions,business approaches,and competitive moves aimed at appealing to buyers and setting the company apart from rivals. 
C) management's concepts of "where we have been," "where we are headed," and "where we need to go." 
D) the approval of a business model by a company's board of directors that spells out how to outcompete its rivals and make the company profitable. 
E) educated choices that management has made regarding which financial and operating plans to pursue. 
A) building revenues,controlling costs,and generating an attractive profit. 
B) actions,business approaches,and competitive moves aimed at appealing to buyers and setting the company apart from rivals. 
C) management's concepts of "where we have been," "where we are headed," and "where we need to go." 
D) the approval of a business model by a company's board of directors that spells out how to outcompete its rivals and make the company profitable. 
E) educated choices that management has made regarding which financial and operating plans to pursue.

Question 17

The essence of strategy is

Accepted Answer

A) developing lasting success that can support growth and secure the company's future over the long term. 
B) recreating a business model with regularity. 
C) matching rival businesses' products and quality dimensions in the marketplace. 
D) building profits for short-term success. 
E) realigning the market to provoke change in rival companies. 
A) developing lasting success that can support growth and secure the company's future over the long term. 
B) recreating a business model with regularity. 
C) matching rival businesses' products and quality dimensions in the marketplace. 
D) building profits for short-term success. 
E) realigning the market to provoke change in rival companies.

Question 18

Allset Motors,a manufacturer of self-driving delivery trucks,is working on developing its next-generation vehicles.It has decided on a strategy of focusing on a narrow buyer segment and outcompeting its rivals by offering buyers customized vehicles at a lower cost than its rivals.What basic strategic approach has Allset Motors decided upon?

Accepted Answer

A) True-cost 
B) Low-cost 
C) Focused low-cost 
D) Best-cost 
E) Broad differentiation 
A) True-cost 
B) Low-cost 
C) Focused low-cost 
D) Best-cost 
E) Broad differentiation

Question 19

Which of the following firms uses an emergent strategy?

Accepted Answer

A) A local hardware store offers a ten-percent discount for seniors on the first Wednesday of every month. 
B) An online book reseller diversifies into custom book publishing. 
C) An oil-change franchisor continues geographical expansion despite a recession. 
D) A health food manufacturer integrates forward into drive-through health food restaurants. 
E) A microbrewer invests in building community water wells during a drought. 
A) A local hardware store offers a ten-percent discount for seniors on the first Wednesday of every month. 
B) An online book reseller diversifies into custom book publishing. 
C) An oil-change franchisor continues geographical expansion despite a recession. 
D) A health food manufacturer integrates forward into drive-through health food restaurants. 
E) A microbrewer invests in building community water wells during a drought.

Question 20

Crafting a strategy involves

Accepted Answer

A) blending deliberate,planned initiatives with emergent,unplanned reactive responses to changing circumstances,while abandoning planned strategy elements that have failed in the marketplace. 
B) developing a five-year strategic plan and then fine-tuning it during the remainder of the plan period. 
C) trying to imitate as much of the market leader's strategy as possible so as not to end up at a competitive disadvantage. 
D) doing everything possible (in the way of price,quality,service,warranties,advertising,and so on)to make sure the company's product and/or service is very clearly differentiated from the product and or service offerings of its rivals. 
E) All of these accurately characterize the managerial process of crafting a company's strategy. 
A) blending deliberate,planned initiatives with emergent,unplanned reactive responses to changing circumstances,while abandoning planned strategy elements that have failed in the marketplace. 
B) developing a five-year strategic plan and then fine-tuning it during the remainder of the plan period. 
C) trying to imitate as much of the market leader's strategy as possible so as not to end up at a competitive disadvantage. 
D) doing everything possible (in the way of price,quality,service,warranties,advertising,and so on)to make sure the company's product and/or service is very clearly differentiated from the product and or service offerings of its rivals. 
E) All of these accurately characterize the managerial process of crafting a company's strategy.

Explain the difference between a company's business model and a company's strategy.

What are the three questions that managers can use to distinguish a winning strategy from a so-so or flawed strategy? Briefly explain why each question is important.

It is normal for a company's strategy to end up being

In evaluating proposed or existing strategies,managers should

Which of the following is a not a frequently used strategic approach to setting a company apart from rivals and achieving a sustainable competitive advantage?

What is the connection between a company's strategy and its quest for sustainable competitive advantage?

Why are capabilities needed to build a sustainable competitive advantage so important to a winning business strategy? Cite one of the company examples in the chapter to illustrate your answer.

Which of the following is not an element of a company's business strategy?

Explain what affects a company's ultimate success or failure in the marketplace.

Which of the following is not something a company's strategy is concerned with?

A company's business model consists of its

Should a company's strategy be tightly connected to its quest for competitive advantage? Why or why not? What difference does it makes whether a company has a sustainable competitive advantage or not?

Which of the following questions ought to be used to distinguish a winning strategy from a so-so or flawed strategy?

In evaluating proposed or existing strategies,managers should

A company's strategy has a chance of succeeding only when it is predicated on

The essence of strategy is

Which of the following firms uses an emergent strategy?

Crafting a strategy involves

Strategy Formulation,execution,and Governance

Evaluating a Companys External Environment

Evaluating a Companys Resources, capabilities, and Competitiveness

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 1: Strategy,business Models,and Competitive Advantage

Explain the difference between a company's business model and a company's strategy.

What are the three questions that managers can use to distinguish a winning strategy from a so-so or flawed strategy? Briefly explain why each question is important.

It is normal for a company's strategy to end up being

In evaluating proposed or existing strategies,managers should

Which of the following is a not a frequently used strategic approach to setting a company apart from rivals and achieving a sustainable competitive advantage?

What is the connection between a company's strategy and its quest for sustainable competitive advantage?

Why are capabilities needed to build a sustainable competitive advantage so important to a winning business strategy? Cite one of the company examples in the chapter to illustrate your answer.

Which of the following is not an element of a company's business strategy?

Explain what affects a company's ultimate success or failure in the marketplace.

Which of the following is not something a company's strategy is concerned with?

A company's business model consists of its

Should a company's strategy be tightly connected to its quest for competitive advantage? Why or why not? What difference does it makes whether a company has a sustainable competitive advantage or not?

Which of the following questions ought to be used to distinguish a winning strategy from a so-so or flawed strategy?

In evaluating proposed or existing strategies,managers should

A company's strategy has a chance of succeeding only when it is predicated on

The essence of strategy is

Which of the following firms uses an emergent strategy?

Crafting a strategy involves

Strategy Formulation,execution,and Governance

Evaluating a Companys External Environment

Evaluating a Companys Resources, capabilities, and Competitiveness

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