Chapter 4&5

Question 1

An​ organization’s value proposition answers the question
A.
Which markets should the business​ enter?
B.
How does the business intend to attract​ customers?
C.
Which products should the business​ offer?
D.
How should the products of the business be​ priced?

Answer 1

How does the business intend to attract​ customers?

Question 2

The soft goals of an organization are targets for the
A.
​organization's contributions to the community
B.
financial performance of the business
C.
operation of the corporate office
D.
social conduct of the business

Answer 2

social conduct of the business

Question 3

With a harvest​ strategy, you would expect the level of investment in plant and equipment to be 
A.
lower than for a growth strategy
B.
unrelated to the strategy
C.
higher than for a growth strategy
D.
the same as that for a growth strategy

Answer 3

lower than for a growth strategy

Question 4

An organization that provides products at a lower price than its competitors is competing on the basis of
A.
competitive parity
B.
brand recognition
C.
differentiation
D.
cost

Answer 4

cost

Question 5

A firm that discounts and offers rebates is pursing a value proposition based on 
A.
execution
B.
price
C.
reliability
D.
features

Answer 5

price

Question 6

Three key functions for a firm that competes on the basis of its technology are
A.
research and​ development, joint​ ventures, and assembly
B.
research and​ development, component​ supply, and service
C.
​patents, technical​ publications, and employee recruitment
D.
supply​ agreements, employee​ recruitment, and contracted services

Answer 6

research and​ development, component​ supply, and service

Question 7

Strategy is commonly considered to be a
A.
set of goals and tactics
B.
business plan and a marketplace position
C.
blueprint for the operations
D.
product and market position

Answer 7

business plan and a marketplace position

Question 8

A corporate strategy of better than​ 70% of revenues from a single business unit is 
A.
consolidation 
B.
constrained business 
C.
harvest 
D.
dominant business unit

Answer 8

dominant business unit

Question 9

The​ Diamond-E model is a framework for
A.
market evaluation
B.
financial assessment
C.
strategic analysis
D.
product decisions

Answer 9

strategic analysis

Question 10

The underlying logic of the​ Diamond-E model is​ consistency, meaning the   
A.
financial resources of the firm are matched with the priorities of the shareholders
B.
strategy is consistent with the internal and external environment
C.
financial resources of the firm are matched with its strengths
D.
strategy is in keeping with the priorities of suppliers

Answer 10

strategy is consistent with the internal and external environment