Question 1

Which of the following statements is true regarding competitive positioning of strategic groups?

Accepted Answer

A)  Firms generally stay within their strategic groups due to various mobility barriers.
B)  Strategic groups lack competitors within industries that compete closely against each other.
C)  As a strategic group,the airline industry made up of large service carriers has had the ability to migrate to a lost-cost model.
D)  Strategic groups are often homogeneous allowing the elements of the five forces model to remain static between different strategic groups. A

Question 2

A local council can be treated as a geographic monopoly in competition with other geographic monopoly councils for funds from the common provider.

Accepted Answer

A) True 
 B)False  True

Question 3

The diamond model framework highlights the role of government.

Accepted Answer

A) True 
 B)False  True

Question 4

An industry is defined as a group of organisations producing close substitutes.

Accepted Answer

A) True 
 B)False

Question 5

Industry life cycles are not similar to product life cycles.

Accepted Answer

A) True 
 B)False

Question 6

'Analysis of the macro-environment is a waste of time and effort for all but the largest corporations.' Discuss the relevance of this observation.

Accepted Answer

The answer of 'Analysis of the macro-environment is a waste...

Question 7

In an industry analysis in the public sector it is NOT relevant to ask:

Accepted Answer

A)  How does this influence group affect our organisation?
B)  Why does this influence group affect our organisation?
C)  When will we feel the affect of this influence group on our organisation?
D)  What gives this influence group power to affect our organisation?

Question 8

Porter claims that ___ contribute(s)to intensity of industry rivalry:

Accepted Answer

A)  barriers to exit
B)  switching costs
C)  absolute cost advantage
D)  differentiation of outputs

Question 9

Scenario planning is of most use in industries where there is:

Accepted Answer

A)  slow change
B)  rapid change
C)  low future uncertainty
D)  a lot of data about the past

Question 10

In understanding key customers,it is NOT relevant to know:

Accepted Answer

A)  what they use the product for
B)  what the product's key benefits are to them
C)  what the product's buying features are for them
D)  what they will recommend to others (word of mouth)

Question 11

What are the benefits of scenario planning as an alternative to the five forces model?

Accepted Answer

The answer of What are the benefits of scenario planning...

Question 12

The five forces model is a useful tool of analysing an industry.Briefly discuss the five forces.

Accepted Answer

The answer of The five forces model is a useful...

Question 13

Using the five forces model,explain when industry profitability will be very high.

Accepted Answer

The answer of Using the five forces model,explain when industry...

Question 14

Porter's 'diamond' model of international competitiveness suggests that where firms cluster,analysis may need to be conducted at:

Accepted Answer

A)  industry level
B)  organisation level
C)  firm level
D)  network level

Question 15

Today,business organisations globally are facing increased pressures to improve their:

Accepted Answer

A)  profitability
B)  environmental impact
C)  resources
D)  global competitiveness

Question 16

When is the five forces model most appropriate for not-for-profit organizations? Discuss.

Accepted Answer

The answer of When is the five forces model most...

Question 17

Porter's 'five forces' do NOT include:

Accepted Answer

A)  threat of new entrants
B)  threat of substitutes
C)  buyer power
D)  threat of complementary products

Question 18

Why should the concept of an industry also include a geographic element,as well as the group of organizations that define it?

Accepted Answer

The answer of Why should the concept of an industry...

Question 19

Turbulence that is characterised as discontinuous is:

Accepted Answer

A)  unpredictable
B)  changing incrementally at random
C)  repeating past events
D)  when the past is an unreliable predictor of the future

Question 20

Not many countries are affected by major technology changes.

Accepted Answer

A) True 
 B)False

Exam 3: Analysing the External Environment

Which of the following statements is true regarding competitive positioning of strategic groups?

A local council can be treated as a geographic monopoly in competition with other geographic monopoly councils for funds from the common provider.

The diamond model framework highlights the role of government.

An industry is defined as a group of organisations producing close substitutes.

Industry life cycles are not similar to product life cycles.

'Analysis of the macro-environment is a waste of time and effort for all but the largest corporations.' Discuss the relevance of this observation.

In an industry analysis in the public sector it is NOT relevant to ask:

Porter claims that ___ contribute(s) to intensity of industry rivalry:

Scenario planning is of most use in industries where there is:

In understanding key customers,it is NOT relevant to know:

What are the benefits of scenario planning as an alternative to the five forces model?

The five forces model is a useful tool of analysing an industry.Briefly discuss the five forces.

Using the five forces model,explain when industry profitability will be very high.

Porter's 'diamond' model of international competitiveness suggests that where firms cluster,analysis may need to be conducted at:

Today,business organisations globally are facing increased pressures to improve their:

When is the five forces model most appropriate for not-for-profit organizations? Discuss.

Porter's 'five forces' do NOT include:

Why should the concept of an industry also include a geographic element,as well as the group of organizations that define it?

Turbulence that is characterised as discontinuous is:

Not many countries are affected by major technology changes.