Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

Strategic Management > Test 2 > Flashcards

Test 2 Flashcards

1
Q

Within Porter’s framework, a _________ competitive force can be regarded as a(n) __________.

A

Strong ; threat

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

What are the elements of Porter’s Five Forces?

A

a. Risk of entry by potential competitors
b. Bargaining power of suppliers
c. Intensity of rivalry among established firms
d. Bargaining power of buyers
e. The closeness of substitutes to an industry’s products.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

What are barriers to entry?

A

a. Economies of scale
b. Brand loyalty
c. Absolute cost advantages
d. High customer bargaining power

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

What industry structure consists of a large number of small and medium-sized companies, none of which is in a position to determine industry price?

A

Fragmented industry

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

What industry structure is dominated by a small number of large companies?

A

Consolidated industry

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

Research suggests that it is often the __________ firms in an industry that initiate price cuts or increase promotions in an attempt to cover fixed costs

A

Weakest

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

The bargaining power of an industry’s buyers is greater when

A

they can threaten to enter the industry and produce the product themselves.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

Members of a strategic group

A

follow a business model that is similar to that pursued by other companies in the group.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

Mobility orders

A

inhibit the movement of companies between strategic groups in an industry.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

In growth industries,

A

buyers are familiar with the industry’s product

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

Entry barriers in the embryonic stage are frequently based on…

A

Technological know-how

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

Demand reaches total saturation in the ___________ stage of the industry life cycle.

A

Maturity

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

The threat from new entrants is greatest in the _________ stage of the industry life cycle.

A

Growth

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

What are the parts of the shakeout stage of the industry life cycle

A

a. demand approaches saturation levels.
b. rivalry between companies becomes intense.
c. capacity continues to grow. Incorrect
d. companies cut prices.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

What are the factors in the economic forces of the macroenvironment?

A

a. Growth rate of the economy
b. Interest rates
c. Price inflation
d. Currency exchange rates Incorrect

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

What are the forces in the wider macroenvironment

A

a. economic forces
b. global
c. demographic forces
d. social forces

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
17
Q

Julian is asked to examine the demographic environment facing his employer, a clothing manufacturer. Which of the following should Julian examine?

A

Aging of the population

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
18
Q

Beverage makers are finding that water sales are increasing due to consumers’ preferences for healthy drinks. Which part of the macroenvironment does this represent?

A

Social forces

19
Q

The Internet is an example of a

A

Technological force

20
Q

What are the demographic forces in the macroenvironment except

A

a. age
b. gender
c. social class
d. sexual orientation

21
Q

Due to a recent relaxation in pollution standards, Ford Motors is withdrawing its electric-powered cars from sales in the U.S. market. Ford is responding to a change in which of the following macroenvironmental forces?

A

Political and legal

22
Q

Superior value requires that

A

the gap between perceived value and costs of production be greater than the gap attained by competitors.

23
Q

The reasons that explain why so many new products fail to generate an economic return include

A

the demand for innovations is inherently uncertain.

b. the technology is poorly commercialized.
c. many fail because of poor positioning strategy
d. the products are slow to get to the market.

24
Q

John’s bakery is able to produce exactly the right types of bread each day and have them available when customers come into the store. John’s bakery is superior in

A

Customer responsiveness

25
Q

Which primary activity in the value chain is concerned with the design of products and production processes?

A

Research and development

26
Q

Ford Motors developed the Explorer sport utility vehicle, the number one selling SUV in the U.S., based on an extensive study of customer preferences. Which value chain activity of Ford conducted those studies?

A

Marketing and sales

27
Q

Using the value chain model, which of the following primary activities is performed last, as inputs are transformed into outputs?

A

After sales service and support

28
Q

Mike works as a corporate trainer, teaching new employees how to perform manufacturing tasks. Mike works in which value chain activity?

A

Human resources

29
Q

Strong leadership from top management is

A

A value chain support activity

30
Q

A firm can use __________ strategy, including aggressive pricing and promotion, to increase sales volume which leads to cost reductions from scale and learning effects.

A

Marketing

31
Q

Just-in-time inventory systems

A

have components arrive at a manufacturing plant just in time to enter the production process.

32
Q

What are examples of a human resources strategy that could help improve organizational efficiency?

A

a. Hiring strategy
b. Eliminating supervisors and flattening the organizational structure
c. Self-managing teams
d. Pay for performance

33
Q

A company can create quality as excellence by emphasizing attributes of service associated with the product that include

A

a. ordering ease
b. prompt delivery
c. easy installation
d. long-term reliability

34
Q

What are the parts of the positioning strategy that a company adopts for a product?

A

a. price
b. product features
c. advertising
d. promotion

35
Q

Customer responsiveness is ___________________ .

A

an important differentiating attribute that can help to build brand loyalty.

36
Q

The intellectual property of an organization is

A

An intangible resource

37
Q

What are some examples of an intangible resource?

A

a. Technological know-how
b. A well-known brand name
c. a favorable corporate reputation
d. Marketing know-how

38
Q

Capabilities are

A

a company’s skills at coordinating resources and putting them to productive use.

39
Q

____________ are factors that make it difficult for a competitor to copy a company’s distinctive competencies.

A

Barriers to limitation

40
Q

The more firm-specific and difficult to imitate is a resource, the more likely a company is to have a/an ____________________.

A

Distinctive competency

41
Q

What is meant by the term “strategic group,” and why is it important for managers to understand this in order to position their companies in a competitive marketplace?

A

Ch 3

42
Q

List and explain the four building blocks of competitive advantage.

A

Ch 4

43
Q

Comment on this statement: “No competitive advantage lasts forever.”

A

Ch 4

44
Q

A group of companies offering products or services that are close substitutes for each other is referred to as a

A

Industry

Strategic Management (4 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions