Question 1

Describe the various types of resources.

Accepted Answer

The answer of Describe the various types of resources....

Question 2

Value chain analysis is a tool used to:

Accepted Answer

A) analyse a firm's external environment 
B) concentrate on a firm's internal environment without addressing concerns about the actions of competing firms 
C) examine a firm's resources and capabilities to identify its core competencies 
D) determine the expected duration of an opportunity in a firm's external environment

Question 3

The primary basis for a firm's capabilities is:

Accepted Answer

A) its ability to increase capacity as demand warrants 
B) the amount of capital resources readily available 
C) the good reputation it has built throughout its customer base 
D) the skills and knowledge of its employees

Question 4

Which of the following is not a condition of costly to imitate capability?

Accepted Answer

A) Social complexity 
B) Causally ambiguous 
C) Human skills 
D) Unique historical conditions

Question 5

Capabilities of an organisation emerge over time through complex interactions between and among tangible and intangible resources.

Accepted Answer

A) True 
 B)False

Question 6

Value-creating primary activities include:

Accepted Answer

A) purchasing raw materials and supplies 
B) developing an appropriate corporate structure 
C) selecting appropriate distribution channels 
D) planning corporate strategy and setting goals

Question 7

Value-creating reputation is a quick way for firms to win the hearts of stakeholders.

Accepted Answer

A) True 
 B)False

Question 8

A value chain analysis examines how a firm's external activities are aligned with its primary activities.

Accepted Answer

A) True 
 B)False

Question 9

Causally ambiguous means that:

Accepted Answer

A) the connection between cause and effect of capital is unclear in a firm 
B) rivals find it difficult to understand the link between a firm's competencies and its competitive advantage 
C) the connection between industry and firm performance is unclear 
D) the effect of a firm's resources are unclear to the firm itself

Question 10

Competitive advantage typically comes from:

Accepted Answer

A) individual resources 
B) one very outstanding resource 
C) several outstanding resources acting independently 
D) the unique bundling of several resources

Question 11

Discuss the risks of outsourcing.

Accepted Answer

The answer of Discuss the risks of outsourcing....

Question 12

Relative to tangible resources, intangible resources are:

Accepted Answer

A) of less value to the firm 
B) not the focus of strategic analysis 
C) more difficult for competitors to imitate 
D) more likely to be reflected on the firm's balance sheet

Question 13

How do firms create value? How is value measured?

Accepted Answer

The answer of How do firms create value? How is...

Question 14

Every core competence is a capability and every capability is a core competence.

Accepted Answer

A) True 
 B)False

Question 15

Which of the following tools can help identify and build core competencies?

Accepted Answer

A) Porter's five forces model and value chain analysis 
B) Scanning and the four criteria of sustainable competitive advantage 
C) Value chain analysis and the four criteria of sustainable competitive advantage 
D) Porter's five forces model and internal analysis

Question 16

A firm should try to obtain a sustainable competitive advantage by implementing strategies based on its particular resources, capabilities and core competencies.

Accepted Answer

A) True 
 B)False

Question 17

Competitive advantages that firms possess are permanent.

Accepted Answer

A) True 
 B)False

Question 18

The analysis of a firm's internal environment requires evaluators to examine the firm's portfolio of strategies and the bundles of homogenous resources and capabilities managers have created.

Accepted Answer

A) True 
 B)False

Exam 3: The Internal Environment: Resources, Capabilities, Core Competencies and Competitive Advantages

Describe the various types of resources.

Value chain analysis is a tool used to:

The primary basis for a firm's capabilities is:

Which of the following is not a condition of costly to imitate capability?

Capabilities of an organisation emerge over time through complex interactions between and among tangible and intangible resources.

Value-creating primary activities include:

Value-creating reputation is a quick way for firms to win the hearts of stakeholders.

A value chain analysis examines how a firm's external activities are aligned with its primary activities.

Causally ambiguous means that:

Competitive advantage typically comes from:

Discuss the risks of outsourcing.

Relative to tangible resources, intangible resources are:

How do firms create value? How is value measured?

Every core competence is a capability and every capability is a core competence.

Which of the following tools can help identify and build core competencies?

A firm should try to obtain a sustainable competitive advantage by implementing strategies based on its particular resources, capabilities and core competencies.

Competitive advantages that firms possess are permanent.

The analysis of a firm's internal environment requires evaluators to examine the firm's portfolio of strategies and the bundles of homogenous resources and capabilities managers have created.