In-Class Review Questions 1 Flashcards
Which framework is defined as increase in labor productivity from an increase in production
Learning curve effects
An example of price discrimination at a movie theatre might be
student discount
In the long-run, greater elasticity of supply because
Suppliers increase capacity and new entrants join the market
Two generic approaches to gaining competitive advantage
low cost, differentiation
Honda has a mass-production, mass market, ____ approach for success with motorcycles in US
low-cost
__ ___ is the forgone alternatives
opportunity costs
Operational effectiveness is performing __ ___ better than the competition
similar activities
Warren Buffet describes barriers to entry as an economic ___
moat
In supply chain, one person’s price is another person’s ___
cost
___ often try to imitate success without making necessary tradeoffs, and fail
straddlers
where are the majority of profits in the CSD industry?
concentrate producers
industry structure is quite ___ over time; tells a great deal about the business environment
stable
porter’s 5 forces is useful in analyzing ___
industry profitability
which of the following creates a high barrier to entry?
high learning curve
___ is the most visible competitive force
competitive rivalry
___ ratios measure how well a company uses its assets to generate sales
efficiency
___ - (net income-preferred dividends) /outstanding shares
earnings per share
optimizing the value and cost trade off gets you to the ___
productivity frontier
coke (concentrate producer) is largely a B2B company bc they
sell to bottlers
how did pepsi and coke not destroy each other?
did not compete on price
what is strategy not?
same activities better than competition
RBV includes all of the following except
makes competition obsolete
___ ___= not exactly sure why the competition is performing better
causal ambiguity
___ strategy earns the player a larger payoff, regardless of what the other party does
dominant
