Chapter 6.2

Question 0

What is the SWOT analysis stand for?

Answer 0

Strength: inside matters
Weakness: inside matters
Opportunities: outside matters
Threats: outside matters

Question 1

D: Competitive Intelligence

Answer 1

Gaining information about ones competitors activities so you can anticipate their moves and act appropriately.

Question 2

D: Environmental Scanning

Answer 2

Monitoring an organizations internal and external environments to detect early signs of opportunities and threats that may influence the firms plans.

Question 4

D: Inside matters

Answer 4

Analysis of internal strengths and & weaknesses

Question 5

D: Outside matters

Answer 5

Analysis of external opportunities & threats

Question 6

D: Organizational Strengths

Answer 6

Skills & capabilities that give an organization a competitive advantage.

Question 7

When analyzing the “W” in SWOT analysis, Roberta, the manager might be assessing:
A. Possible challenges in the market 
B. Competitors' actions 
C. High turnover of employees 
D. Good financial resources of the firm

Answer 7

C. High turnover of employees

Question 7

D: Internal Weakness

Answer 7

Parts were supplied by outside companies rather than trusted traditional suppliers.

Question 8

D: Forcasting

Answer 8

Is a vision or projection of the future

Question 9

D: Internal Weakness

Answer 9

When parts are supplied by outside companies rather than trusted traditional suppliers.
-This makes the company rely heavily on another company in regards to pricing and availability.

Question 10

D: Trend Analysis

Answer 10

Hypothetical extension if the last series of events into the future.

Question 11

D: Contingency Planning

Answer 11

The creation of alternative hypothetical but equally likely future conditions. Also referred to a scenario planning and scenario analysis.

Question 12

What are porters five competitive forces?

Answer 12

1. Threat of new entrants
2. Bargaining power of suppliers
3. Bargaining power of buyers
4. Threats of substituted products or services
5. Rivalry among competitors

Question 14

D: Bargaining power of suppliers

Answer 14

Can the company easily switch from one supplier to another? Because the companies that produce he product are the ones who can set the price.

Question 15

D: Cost-leadership strategy

Answer 15

Keep prices below those of other competitors. This strategy is intended for wide markets.

Question 16

D: Differentiation Strategy

Answer 16

Offer products that are of unique and superior to those of competitors - wide market

Question 17

D: Cost-focus Strategy

Answer 17

Keep costs below competitors. This strategy is intended for narrow markets.

Question 18

D: Focused-differentiation

Answer 18

Offer products that are of unique and superior to those of competitors - narrow market

Question 19

D: Single-product strategy

Answer 19

Company makes and sells only one product within its market. They have a benefit because they are so focused. They are also vulnerable because they not have a diversified product line.

Question 20

D: Diversification

Answer 20

Operating several businesses under one ownership that are not related to one another.

Question 21

D: Reduced risk

Answer 21

Because more than one product

Question 22

D: Management efficiencies

Answer 22

Administration spread over several businesses

Question 23

D: Synergy

Answer 23

The dum is greater than the parts

Question 24

D: BCG Matrix

Answer 24

a means of evaluating strategic business units on the basis of…

1. Their business growth rates
2. Their share of the market.

Question 25

D: Execution

Answer 25

Consists of using questioning, analysis, and follow-through in order to mesh strategy with reality, align people with goals, and achieve results promised.

Question 26

John owns a piano sales and tuning store. He wants to be the biggest retailer in the Midlands. Adding salespeople would be part of his strategic \_\_\_\_\_\_\_\_\_\_.
A. Locution
B. Execution
C. Efficacy
D. Efficiency

Answer 26

B. Execution

Question 27

D: People

Answer 27

Consider who will benefit you in the future

Question 28

D: Operations

Answer 28

What is the path we will follow to achieve…

Question 29

D: Strategy

Answer 29

Consider how success will be achieved

Question 30

What should you to to build a foundation for excitation?

Answer 30

• Know your people and your business
• Insist on realism
• Set clear goals and promises
• Follow through
• Reward the doers
• Expand the capabilities
• Know yourself

Question 31

D: Organizational Weakness

Answer 31

Drawbacks that hinder an organization from executing its strategy and mission.

Question 32

D: Organizational Opportunities

Answer 32

Environmental factors that the organization may exploit for a competitive advantage.

Question 33

D: Organizational Threats

Answer 33

Environmental factors that hinder the organization’s achieving potential and competitive advantage.

Question 34

D: External opportunities

Answer 34

stressed commitment to customers

Question 35

What are Porter’s four competitive strategies?

Answer 35

1. Cost leadership
2. Differentiation
3. Cost-focus
4. Focused-differentiation

Question 36

The company's CEO puts pressure on the firm's R&D managers to develop products that can be created cheaply.  The firm would be following a \_\_\_\_\_\_\_\_ strategy: 
A. Cost leadership 
B. Differentiation 
C. Cost focus 
D. Retrenchment

Answer 36

A. Cost leadership

Question 37

D: Unrelated diversification

Answer 37

Operating several businesses under one ownership that are not related to one another.

Question 38

D: Related diversification

Answer 38

An organization under one ownership operates separate businesses that are related to one another.

Question 39

D: Operations

Answer 39

Consider what path will be followed

Question 40

D: Strategy

Answer 40

Consider how success will be accomplished