CHAPTER 8 PART 4

Question 1

Each support activity can be applied to any or all of the primary activities. In addition, the support activities can also support one another.

TRUE OR FALSE

Answer 1

TRUE

Question 2

A firm’s value chain is a part of a larger stream of activities, which Porter calls a ________.

Answer 2

value system

Question 3

includes the suppliers that provide the inputs necessary to the firm and their value chains.

Answer 3

A
value system, or a industry value chain

Question 4

Strategies for Competitive Advantage

Answer 4

1. Cost Leadership Strategy
2. Differentiation Strategy.
3. Innovation strategy
4. Operational effectiveness strategy
5. Customer orientation strategy

Question 5

Produce products and/or services at the lowest cost in the industry.

Answer 5

Cost Leadership Strategy

Question 6

Offer different product features.

Answer 6

Differentiation Strategy.

Question 7

Introduce new products and services, add new features to existing products and services, or develop new ways to produce them.

Answer 7

Innovation strategy.

Question 8

Improve the manner in which internal business processes are executed so that a firm performs similar activities better than its rivals. Such improvements increase quality, productivity, and employee and customer satisfaction while decreasing time to market.

Answer 8

Operational effectiveness strategy

Question 9

Concentrate on making customers happy. Web-based systems are particularly effective in this area because they can provide a personalized, one-to-one relationship with each customer

Answer 9

Customer orientation strategy