BUS 445 Mid-Term
primarily natures population characteristics related to age, gender, family size, ethnicity
Demographic trends
A firm that decides to stop purchasing components from suppliers and start producing them in-house is pursuing backward vertical integration. (T/F)
True
a small coffee shop faces significant potential competition. (T/F)
True
Crystals competency in designing an manufacturing microprocessors will be considered
Valuable
Decisions relating to "what stages of the industry value chain to participate in" determines a firm
vertical integration
internet service provider industry
threat of new entrants is low
Allows the scanning, monitoring, and evaluating of changes and trends
PESTEL framework
primarily details the goal-directed actions managers take
Business-level strategy
which the following generic business strategies in Bargain Styles applying
Cost-leadership
which of the following generic business strategies has Beach Grub adopted
Differentiation
"We will produce the greatest film of the 21st century". (T/F)
False
A differentiator will always benefit when products have become commoditized. (T/F)
False
A good strategy is a set of actions that enables a firm to achieve its own internal goals without regards to the external environment. (T/F)
False
Blue ocean strategy a firm in a crowded marketplace attempts to out-compete rivals. (T/F)
False
Competitive advantage goes to the firm that maximizes the difference between the cost of producing a good and the retail price. (T/F)
False
Corporate strategy is focused solely on determining the geographical locations in which the firm should compete. (T/F)
False
Generally speaking a firm will create value if its ROIC is less than cost of capital. (T/F)
False
HR and R&D are examples of primary activities that add value. (T/F)
False
IP protections such as trademarks or patents are proven methods of establishing permeant barriers of imitation. (T/F)
False
Managers should create two sets of core values. (T/F)
False
Once a firm chooses a business model it must stay with it for life. (T/F)
False
One of Rolex's tangible resources is its well-know brand and reputation. (T/F)
False
Product-Oriented vision statement. (T/F)
False
Sleeprite Mattresses. (T/F)
False
high demand for online video streaming options is one of Netflix's core competencies. (T/F)
False
Amazon.com has decided to enter the college bookstore market
Product diversification
Primary objective for Five force model
Profit potential of industries
Bison autos and Sparrow inc incur an equal cost. Sparrow inc created more economic value
Sparrow inc can charge premium price
A cost leader is the firms most likely to survive price war. (T/F)
True
focused differentiated strategy
a cosmetics brand that offers superior skin lotion
Which of the following statements is true of accounting data
accounting data are historical and backward-looking
advantage of bale score card
allows managers to translate a firms vision into measurable operational goals
Home call in, max car inc, nice necessities are three consumer product retailing companies. Products consist of primary day-to-day items
an advantage that one firm has will be short lived
best explained difficulty airlines/ generating profit
are readily available
a firm always has a competitive disadvantage when ROIC
below industry average
strategy for producers is primary about
capturing the economic value
Zephyr Electronics obtains an 18% ROIC
comparing the ROIC obtained by other firms in the industry
which of the following is an implication of low interest rates
consumer demand will increase
VIRO framework, Crocs shoes was unable to sustain a competitive advantage because its products were
easily imitated
Smoothie fusion will best enable it to gain and sustain a competitive advantage
expertise acquired by the employees in the company
Context of resource based model of competitive advantage, if a successful firm exhibits resource immobility
firm will have a sustained competitive advantage
Which of the following statements is true of the balance scorecard
it attempts to provide a holistic perspective
Green jeans strategy failed
it was not backed up with strategic commitment
competitive advantage goes to the firm that achieves the
largest economic value created
the government of Filvia
legal factors
which of the following reasons is strongly influenced by economies of scale
lowering costs
disadvantage of measuring firm performance thorough return to shareholders and firms market capitalization
market volatility
Which of the following motivations for business growth involves principal agents problems
motivating managers
Which of the following strategies is most associated with Best burgers motive for growth
purchasing competitors
investors perspective, measure of competitive advantage matter most in
return on risk capital
if a company wants to gain a competitive advantage in a highly competitive industry it should ideally
stake out a unique position within the industry
Powell lighting maintained a
sustainable competitive advantage
How will this decision affect Banana Computers
the firm will have more flexibility in purchasing and comparing prices of goods and services.
which of the following assets of Gladiator Apparel is most likely to be considered a rare resource
the company design patents
Which of the following is an example of external costs
the cost of searching for a contract manufacturer
value drivers contribute to a firms competitive advantage only if?
the increase in value creations exceeds the increase in cost
firm that operates in an industry where competition is high, which of the following practices will result in inferior performance
trying to be everything to everybody
Product features, customer service, and complements are examples of important
value drivers
primary feature of five force model
views industry competition, buyers, suppliers
Which of the following decisions is Anita most likely to make
what range of products the firm should offer