Question 1

A wide variety of firm resources that are costly to imitate due to the social engineering that is required being beyond the capability of competitors include interpersonal relations among managers in the firm,its culture,and its reputation with its suppliers and customers.Such competitive advantages are based upon

Accepted Answer

A)  path dependency. 
B)  social complexity. 
C)  physical uniqueness. 
D)  tangible resources.

Question 2

Facebook,Intuit,AB InBev,and others empower their recruiters to make offers on the spot when they interview college students,without knowing what specific position they will fill.These firms search for candidates with attributes such as being a self-starter and a problem-solver,and make quick offers to preempt the market.This is an example of which value chain support activity?

Accepted Answer

A)  operations 
B)  technology development 
C)  human resource management 
D)  procurement

Question 3

Chipolte is a fast-food,Mexican cuisine restaurant that bases its value-creating activities on streamlined operations.Discuss this value-chain primary activity and how Chipolte uses it to its advantage.Refer to Strategy Spotlight 3.1 for details.

Accepted Answer

The answer of Chipolte is a fast-food,Mexican cuisine restaurant that...

Question 4

Ashley Furniture controls all steps of its distribution systems,developing specific competencies that are difficult to match.They are using ________ to build sustainable advantage.

Accepted Answer

A)  path dependency 
B)  social complexity 
C)  physical uniqueness 
D)  tangible resources

Question 5

Financial ratio analysis measures the performance of the firm based on all but which of the following?

Accepted Answer

A)  balance sheet 
B)  market valuation 
C)  income statement 
D)  industry comparison

Question 6

Human resource management consists of activities involved in the recruiting,hiring,training,development,and compensation of all types of personnel.It supports

Accepted Answer

A)  only individual primary activities. 
B)  mostly support activities but does have some impact on primary activities. 
C)  only individual support activities. 
D)  both individual primary and support activities and the entire value chain.

Question 7

Which of the following is a profitability ratio?

Accepted Answer

A)  current ratio 
B)  total debt ratio 
C)  total asset turnover 
D)  return on equity

Question 8

Human resources and reputation resources are examples of intangible resources.

Accepted Answer

A) True 
 B)False

Question 9

In the resource-based view of the firm,examples of tangible resources include

Accepted Answer

A)  financial resources, human resources, and firm competencies. 
B)  financial resources, physical resources, and technological resources. 
C)  financial resources, physical resources, and the capacity to combine intangible resources. 
D)  outstanding customer service, innovativeness of products, and reputation.

Question 10

Which of the following would be most difficult to assess?

Accepted Answer

A)  the liquidity position of a firm 
B)  market share growth 
C)  the legitimacy and reputation of a firm 
D)  the efficiency with which a firm utilizes its assets

Question 11

Campbell Soup uses electronic networks to improve the efficiency of outbound logistics.These networks also helped Campbell Soup manage the ordering of raw materials more efficiently,improve its production scheduling,and help its customers better manage their inbound logistics operations.This is an example of ________

Accepted Answer

A)  interrelationships among activities within the firm 
B)  relationships among activities within the firm and with other stakeholders that are part of the expanded value chain of the firm. 
C)  relationships among activities outside of the firm 
D)  interrelationships among activities outside of the firm.

Question 12

In assessing its primary activities,an airline would examine

Accepted Answer

A)  employee training programs. 
B)  baggage handling. 
C)  criteria for lease versus purchase decisions. 
D)  the effectiveness of its lobbying activities.

Question 13

Managers should focus their attention on interrelationships among value-chain activities within the firm,not on relationships among activities within the firm and other organizations (such as suppliers and customers).

Accepted Answer

A) True 
 B)False

Question 14

The balanced scorecard provides top managers with a ________ view of the business.

Accepted Answer

A)  detailed and complex 
B)  simple and routine 
C)  fast but comprehensive 
D)  long-term financial

Question 15

A travel agent adds value by creating an itinerary that includes transportation,accommodations,and activities that are customized to your budget and travel dates.In terms of the value-chain analysis,this is an example of a ________ organization.

Accepted Answer

A)  retail 
B)  service 
C)  manufacturing 
D)  travel

Question 16

Primary activities contribute to the physical creation of a product or service,its sale and transfer to the buyer,and its service after the sale.

Accepted Answer

A) True 
 B)False

Question 17

Inbound logistics include which of the following?

Accepted Answer

A)  machining and packaging 
B)  repair and parts supply 
C)  promotion and packaging 
D)  warehousing and inventory control

Question 18

The best measure of company ability to meet imminent financial obligations is known as the

Accepted Answer

A)  debt ratio. 
B)  profit margin. 
C)  total asset turnover. 
D)  current ratio.

Question 19

The resource-based view of the firm focuses solely on the internal analysis of the operations of the firm.

Accepted Answer

A) True 
 B)False

Question 20

Intangible resources of a firm refer to its capacity to deploy tangible resources over time and leverage those resources effectively.

Accepted Answer

A) True 
 B)False

Exam 3: Assessing the Internal Environment of the Firm

Chipolte is a fast-food,Mexican cuisine restaurant that bases its value-creating activities on streamlined operations.Discuss this value-chain primary activity and how Chipolte uses it to its advantage.Refer to Strategy Spotlight 3.1 for details.

Ashley Furniture controls all steps of its distribution systems,developing specific competencies that are difficult to match.They are using ________ to build sustainable advantage.

Financial ratio analysis measures the performance of the firm based on all but which of the following?

Human resource management consists of activities involved in the recruiting,hiring,training,development,and compensation of all types of personnel.It supports

Which of the following is a profitability ratio?

Human resources and reputation resources are examples of intangible resources.

In the resource-based view of the firm,examples of tangible resources include

Which of the following would be most difficult to assess?

In assessing its primary activities,an airline would examine

Managers should focus their attention on interrelationships among value-chain activities within the firm,not on relationships among activities within the firm and other organizations (such as suppliers and customers).

The balanced scorecard provides top managers with a ________ view of the business.

A travel agent adds value by creating an itinerary that includes transportation,accommodations,and activities that are customized to your budget and travel dates.In terms of the value-chain analysis,this is an example of a ________ organization.

Primary activities contribute to the physical creation of a product or service,its sale and transfer to the buyer,and its service after the sale.

Inbound logistics include which of the following?

The best measure of company ability to meet imminent financial obligations is known as the

The resource-based view of the firm focuses solely on the internal analysis of the operations of the firm.

Intangible resources of a firm refer to its capacity to deploy tangible resources over time and leverage those resources effectively.