Business Policy

What forces drive change within an industry?

Product innovation Shifts in who buys products Technological advancement

Long-term objectives are intended to do which of the following? Multiple select question.

Prompt action now to improve the organization's performance later. Prevent a nearsighted management philosophy.

Key success factors are so important that all firms in a given industry must pay attention to them or else jeopardize their competitive success. True false question.

True

Companies can provide superior customer value by offering products with features that Multiple choice question.

are cheaper for a consumer to use.

Managers in companies with change-resistant cultures Multiple choice question.

are often motivated by a desire to avoid mistakes.

Resources and capabilities are difficult for competitors to replicate when they Multiple select question. are unique.

are unique. require large-scale operations. take time to build up.

The hallmark of a strong-culture company is _____. Multiple choice question.

a company-wide emphasis on firmly established values, practices, and employee behaviors that moderate the workplace climate

A factor that has a strong influence on a company's costs is called _____. Multiple choice question.

a cost driver

The possible consequences of a company's missing a financial target include Multiple select question.

a lower credit rating. decreased stock prices.

What can a business use to reduce production costs for a cost-advantage strategy?

computer-assisted design (CAD) automatic robotic technology

Focused strategies differ from low-cost provider and differentiation strategies by Multiple choice question.

concentrating attention on a market niche

The suppliers of any given industry must have sufficient_________ power in order to influence the terms of supply in their favor. Listen to the complete question

bargaining

Which elements form part of a company's strategic plan?

basic business model company direction intended competitive moves

Which elements form part of a company's strategic plan? Multiple select question.

basic business model company direction intended competitive moves

A company may find it easier to operate in one country than in others because of the country's

favorable political conditions. advantages for specific value chain activities. strong economic conditions.

The balanced-scorecard approach measures which of the following?

financial objectives strategic objectives

One of the most effective ways to manage a value chain efficiently is to

find innovative ways to keep costs down.

o reduce costs, Southwest Airlines does not offer which amenities?

first-class service assigned seating baggage transfer between airlines

To match a business strategy to prevailing competitive conditions, companies must initiate actions that alter the underlying factors driving the

five competitive forces.

The most powerful tool for diagnosing the principal competitive pressure in a market is known as the Multiple choice question.

five forces model of competition.

Companies can increase customer satisfaction by incorporating such tangible features as

improved functions. updated styling. more appealing product specifications.

Many executives believe that abiding by core values and ethical standards creates a culture that Multiple choice question.

improves strategy execution.

In order for a company culture to assist with the strategy execution process, the culture should be Multiple choice question.

in sync with the chosen strategy.

Under the concept of the triple bottom line, profit Multiple choice question.

includes the value the company creates and the costs it imposes on society.

Financial objectives are important for (Select all that apply.) Multiple select question.

increasing profit margins. achieving shareholder satisfaction. increasing revenue.

Which of the following shifting internal conditions could provoke a change in company culture? Multiple select question.

influx of new employees top-executive turnover

Which of the following are key components of a company's competitive strategy? Multiple select question.

information technology marketing human resources

Anheuser-Busch has partially ______ into metal-can manufacturing to gain bargaining power over manufacturers.

integrated backward

Many companies formally document core values and ethical standards because of the belief that dedication to core values and ethics Multiple choice question.

is the foundation of a work culture that will help the company achieve its goals.

If a low-cost provider has invested heavily in its current means of operating, Multiple choice question.

it will be expensive for the provider to shift to a new technology.

The biggest risk a company assumes with a licensing strategy is that

it will lose control over the use of its technological know-how.

A company's culture is NOT indicative of

its core competencies and capabilities along the value chain.

What factor allowed Honda to successfully enter the U.S. lawn mower market despite local competition?

its reputation and its expertise with gasoline engines

As a type of company resource, relationships include which of the following? Multiple select question.

joint ventures dealer networks partnerships

Operating strategies are designed to manage

key units, such as distribution centers. specific activities, such as Internet sales

In terms of a country's business climate, the instability or weakness of a national government is a type of

political risk.

Which of the following cultural traits are considered unhealthy?

politicized decision making trendy, popular subcultures hostility to change

In a small, privately owned company, the strategic plan is most likely something that the owner has Multiple choice question.

pondered without writing down

A company's mission statement describes the organization's Multiple select question.

present business. present purpose.

What acronym serves as a reminder of the components of a company's macro-environment?

PESTEL

Access to widely available resources and capabilities is one source of a firm's competitive advantage

False

The SOAR Framework for Competitor Analysis was developed by _____. Multiple choice question.

Michael Porter

How can marketing help create differentiation? Multiple choice question.

by increasing the perceived value of a product

The two main categories of activities in a company's value chain are activities and support activities.

primary

A differentiation strategy might fail in which situations? Multiple select question.

when consumers see little value in the unique features of a product when products and services can be quickly imitated

skillful execution of the strategy

when industry supply is insufficient to meet overall demand. Need help? Review these concept resources.Read About the Concept Feedback

Which of the following are good opportunities for a company to pursue a low-cost provider strategy? Multiple select question.

when price competition among competitors is vigorous when consumers use a product offered by rival companies in the same way when rivals offer virtually identical products

Under what circumstances would an extreme stretch goal involving radical expectations be most likely to succeed?

when the company has plenty of resources available when the company's recent performance has been strong

Under which of the following circumstances might backward vertical integration lower costs? Multiple select question.

when the item being supplied is a major component of the final product when there are few suppliers in the market

Examining which of the following are ways to determine whether a company is actually guided by its official code of ethics? Multiple select question.

whether the company adheres to the code of ethics when crafting strategy the extent to which daily operations follow the code of ethics

When evaluating strategy options, companies must determine whether a competitive ______ exists where competitors are able to create and capture new demand.

white space"

A generic strategy to become an industry's overall low-cost provider would not be particularly well-matched to a customer-market characterized by

widely varying buyers' needs and special requirements, and the prices of substitute products are relatively high.Correct

List the three steps of driving-forces analysis in order, from the first step to the last.

1. Identify what the driving forces are 2. Assess whether the driving forces are acting to make the industry more or less attractive 3. Determine what strategy changes are needed to prepare for the effects of the driving forces

Which of the following would be examples of sustainable business practices? Multiple select question.

A corporation conducts a study in order to choose a production site where manufacturing will have the least impact on the environment. A corporation enters into business relationships only with suppliers that have taken steps to minimize their carbon footprint.

Which of the following would be examples of sustainable business practices

A corporation enters into business relationships only with suppliers that have taken steps to minimize their carbon footprint. A corporation conducts a study in order to choose a production site where manufacturing will have the least impact on the environment.

Which of the following are examples of how company culture can contribute to the successful implementation of strategy? Multiple select question.

A culture that celebrates sustainable environmental practices is conducive to a strategy promoting the use of energy-saving technologies. A culture that prides itself on customer service is conducive to the execution of a strategy to improve customer satisfaction.

Bloomsjay Resorts Inc has multiple tropical resorts in various locations in a crowded market that caters to all kinds of consumers, this resort mainly caters to gays with guaranteed hassle-free holiday experience at a premium price. What strategy is Bloomsjay using to gain competitive advantage?

A focused- differentiation strategy

Which of the following resulted in tighter oversight of banks and mortgage companies? (Check all that apply.) Multiple select question.

A lawsuit initiated by the attorneys general of almost every state A court settlement that included mechanisms for monitoring lending institutions

You are an employee at a pharmaceutical company that manufactures and markets off-patent, generic treatments for various common ailments. It has just been reported in the press that the CEO of your company personally spearheaded a sudden fourfold price increase in the prices charged for a particular generic medication while taking a huge pay raise for herself. The CEO has worked for your company for 25 years. The same press report revealed that your CEO's alma mater awarded her a business degree 10 years after she had attended the school, even though she had completed only about half of the coursework. Your company's motto states: "We challenge every member of every team to challenge the status quo. Embrace change. And drive the business forward with passion and commitment. We have integrity. We behave responsibly." As an employee of this company, how would you characterize the culture?

A strong culture encourages actions, behaviors, and work practices that are in sync with the chosen strategy and conducive to good strategy execution. A strong culture is a valuable ally in the strategy execution process, although sometimes some of the very behaviors needed to execute the strategy successfully run contrary to the attitudes, behaviors, and operating practices embedded in the prevailing culture. Such a clash poses a real dilemma for company personnel. Should they be loyal to the culture and company traditions (to which they are likely to be emotionally attached) and thus resist or be indifferent to actions that will promote better strategy execution—a choice that will certainly weaken the drive for good strategy execution? Alternatively, should they go along with management's strategy execution effort and engage in actions that run counter to the culture—a choice that will likely impair morale and lead to a less-than-enthusiastic commitment to good strategy execution? Neither choice leads to desirable outcomes. Culture-bred resistance to the actions and behaviors needed for good strategy execution, particularly if strong and widespread, poses a formidable hurdle that must be cleared for a strategy's execution to be successful.

Which of the following are true about how the content of a company's strategic plan is typically shared with different audiences?

A summary of the plan is published in the company's annual report. Excerpts of the plan are posted on the company website. The plan is circulated to the managers within the company,

Which of the following statements about high-performance cultures is true? Multiple choice question.

All employees are expected to maintain focus on and demonstrate passion for what needs to be done.

What will a typical strategic plan accomplish?

Allocate resources that will help implement the plan. Establish a time period for accomplishing goals.

hich of the following statements depict scenarios that are likely to occur in a company with a change-resistant culture? Multiple select question.

An employee with an idea thinks better of sharing the concept because she feels it will be met with skepticism. An employee worries that the internal changes required by a new strategy threaten her job security.

How does TQM differ from business process reengineering? Explain the value of striving for continuous improvement in processes and activities.

An essential difference between business process reengineering and continuous improvement programs like TQM or Six Sigma is that reengineering aims at quantum gains on the order of 30-50 percent or more, whereas total quality programs stress incremental progress—striving for inch-by-inch gains again and again in a never-ending stream. Whereas when done properly, business process reengineering can produce dramatic operating benefits within a business cycle, TQM is a timeless race without a finish—success comes from making little steps forward each day. Business process reengineering and continuous improvement efforts such as TQM and Six Sigma all aim at improved efficiency, better product quality, and greater customer satisfaction. Business process reengineering involves pulling the pieces of strategy-critcal activities out of different departments and unifying their performance in a single department or cross-functional work group. Total quality management (TQM) is a philosophy of managing a set of business practices that emphasizes continuous improvement in all phases of operations, 100 percent accuracy in performing tasks, involvement and empowerment of employees at all levels, team-based work design, benchmarking, and total customer satisfaction.

Which three companies have broad differentiation strategies that have allowed them to maintain long-term competitive advantages? (Check all that apply.) Multiple select question.

Apple BMW Johnson & Johnson

Which of the following would likely have the greatest bargaining power over the sellers who supply them? Multiple choice question.

Best Buy stores

Which of the following should a manager do to implement a strategic plan?

Build and strengthen competitive capabilities Direct organizational change Motivate employees

Which of the following are ways by which rival sellers try to differentiate their products from those of competitors? (Check all that apply.) Multiple select question.

Building higher-performance products Providing improved customer service

Using five forces model of competition to determine the character and strength of the competitive forces within a given industry involve

Building the picture of competition in three steps 1. identify the different parties involved,along with specific factors that bring about competitive pressures 2. eveluate how strong the presssures stemming from each of the five forces are strong, moderate, or weak,and 3. determine whether the collective impact of the five competitive forces is conducive to earning attractive profits in the industry.

Which news networks have differentiated themselves by their ability to devote extensive airtime to major news events? Multiple select question.

CNN Fox News

Which of the following statements about corporate social responsibility (CSR) are true? Multiple select question.

CSR strategies are often linked to a company's core values. "Corporate citizenship" is a term commonly used to describe CSR initiatives. Many firms organize their CSR strategies around themes that are consistent with their production or marketing strategies. Need help? Review these concept resources.Read About the Concept Feedback Next Question Reading

Which of the following statements about corporate culture is true?

Company culture can be a powerful mechanism for communicating the degree to which a company is committed to its values.

Imagine that you have been hired by Bill Newlands, President and COO of Constellation Brands (CB), to review the beverage company's diversified portfolio of businesses. Based in Victor, New York, CB has about 40 facilities and approximately 9,000 employees. The company has more than 100 brands in its portfolio. Wine brands include Robert Mondavi, Wild Horse Winery, Clos du Bois, Franciscan Estates, Kim Crawford, Meiomi, Mark West, Ruffino, and The Prisoner. CB's beer portfolio includes imported brands such as Corona, Modelo Especial, Negra Modelo, Pacífico, as well as Ballast Point and Funky Buddha. Spirits brands include Black Velvet Canadian Whisky, Svedka Vodka, Casa Noble Tequila, and High West Whiskey. Your task is to quantitatively measure the competitive strength of each business in CB's portfolio and determining which business units are strongest and weakest. List the six steps involved in the process.

Conducting a quantitative appraisal of each of CB's business units' strengths and competitive positions in their respective industries (primarily wine, beer, and spirits) not only reveals each business unit's chances for industry success, but also provides a basis for ranking the units from competitively strongest to weakest. The steps include: (1) evaluating industry attractiveness, (2) evaluating business unit competitive strength, (3) determining the competitive value of strategic fit in diversified companies, (4) checking for resource fit, (5) ranking business units and assigning a priority for resource allocation, and (6) crafting new strategic moves to improve overall corporate performance are the six steps for evaluating a diversified company's strategy.

When management discovers that there are strategic conflicts among the various levels of an organization, what should management do? Multiple select question.

Consider which low-level strategies might be changed to accommodate high-level strategies. Ensure all conflicts are resolved. Adapt high-level strategies to incorporate more appealing ideas from lower levels.

Which of the following statements about the corporate culture of a company is true? Multiple choice question.

Corporate culture involves both the unwritten rules in a company and company documents that set guidelines for behaviors.

A decentralized organizational structure is more likely to further the cause of good strategy execution than is a centralized organization structure. True or false? Justify your answer.

Decentralized organizational structures have much to commend them. Delegating authority to subordinate managers and rank-and-file employees encourages them to take responsibility and exercise initiative. It shortens organizational response times to market changes and spurs new ideas, creative thinking, innovation, and greater involvement on the part of all company personnel. In worker-empowered structures, jobs can be defined more broadly, several tasks can be integrated into a single job, and people can direct their own work. Fewer managers are needed because deciding how to do things becomes part of each person's or team's job. Further, today's online communication systems and smart-phones make it easy and relatively inexpensive for people at all organizational levels to have direct access to data, other employees, managers, suppliers, and customers. They can access information quickly (via the Internet or company network), readily check with superiors or whomever else as needed, and take responsible action. Typically, there are genuine gains in morale and productivity when people are provided with the tools and information they need to operate in a self-directed way.

In terms of a company strategy based on differentiation, what are the risks of offering mostly insignificant improvements in quality or service? (Check all that apply.)

Decreased customer loyalty Lower company profits

What are the two basic ways that companies achieve competitive advantage over their business rivals?

Deliver higher perceived value to customers. Produce products or services at a lower cost.

What are the two basic ways that companies achieve competitive advantage over their business rivals? Multiple select question.

Deliver higher perceived value to customers. Produce products or services at a lower cost.

Which of the following statements about the evolution of company culture is true? Multiple choice questio

Diversification into new businesses can bring about change in company culture.

What are reasons why domestic companies often have an advantage over global companies? Multiple select question.

Domestic companies are familiar with the local labor force. Domestic companies are familiar with local culture and consumer needs.

Which of the following are the components of a fit test that help evaluate how well a company's strategy matches its situation? (Check all that apply.)

Dynamic fit External fit Internal fit

When a company strives to achieve an extreme stretch goal but fails because the goal was simply too difficult, what will most likely happen?

Employees will lose their motivation.

Which of the following are ways by which governments can discourage the import of specific items? (Check all that apply.) Multiple select question.

Enacting burdensome procedures and requirements regarding customs inspection for foreign goods Setting up import quotas Imposing a ban on importation

Which of the following are strengths of the concept of ethical universalism? Multiple select question.

Ethical universalism draws from the ethical views and traditions of numerous societies and cultures. The concept of ethical universalism helps multinational companies set ethical standards that apply to all personnel.

True or false: Access to widely available resources and capabilities is one source of a firm's competitive advantage. True false question.

False

True or false: Ethical principles in business differ substantially from general ethical principles in society. True false question.

False

True or false: In a given industry, all the driving forces push change in the same direction but by different amounts. True false question.

False

True or false: Participating in community service activities and donating to charities are the two main requirements of maintaining good corporate citizenship.

False

True or false: The crafting and implementing of company strategy is exclusively a function of the top management of an organization. True false question.

False

What are reasons that mergers and acquisitions sometimes fail?

Gains in competitive advantage materialize more slowly than was anticipated. Cost savings are less than anticipated.

Which statement about the connection between good strategy and good execution is true?

Good management consists of good strategy and good strategy execution.

Which company employs the differentiation strategies of wide selection and one-stop shopping? Multiple choice question.

Home Depot

A company mission statement should do which of the following? Multiple select question.

Identify the company's customers or markets. Specify what services and products the company offers. Establish the company's own identity.

Imagine you are the CEO of a regional ride-sharing company considering diversification into meal delivery services. How would you determine whether or not your diversification strategy would be successful?

Imagine you are the CEO of a regional ride-sharing company considering diversification into meal delivery services. How would you determine whether or not your diversification strategy would be successful?

What can a company do to make its products more economical for customers? Multiple select question.

Increase product reliability. Incorporate energy-efficient features.

Building production facilities in which countries presents a competitive advantage because of low-wage labor? Multiple select question.

India China

______ rarely have much bargaining power when negotiating price concessions, but ______ can have considerable bargaining power. Multiple choice question.

Individual consumers; business buyers

What is the importance of weighting the variables?

Industry and competitive analyses reveal the key success factors and competitive forces that separate industry winners from losers. Benchmarking data and scouting key competitors provide a basis for judging rivals' competitive strength on several factors such as cost, key product attributes, customer service, image and reputation, financial strength, technological skills, distribution capability, and other factors. Resource and capability analysis reveals which of these are competitively important, given the external situation, and whether the company's competitive advantages are sustainable. Weights are assigned to each of the measures of competitive strength based on their perceived importance. High-weighted competitive strength ratings signal a strong competitive position and possession of competitive advantage; low ratings signal a weak position and competitive disadvantage. In addition to showing how competitively strong or weak a company is relative to rivals, the strength ratings provide guidelines for designing wise offensive and defensive strategies. Based on these ratings, a clear picture emerges on exactly what strategic and competitive challenges confront the company, which of the company's competitive shortcomings need fixing, and what specific problems merit company managers' front-burner attention.

On a map of strategic groups, why are some groups more favorably positioned than others? Multiple choice question.

Industry driving forces favor some strategic groups and hurt others.

Which of the following are drawbacks of a transnational strategy? Multiple select question.

It can create a costly and time-consuming operation. It involves pursuing conflicting goals. It is a difficult strategy to implement.

Which of the following are likely to be the results of developing a strong company culture? (

It encourages continuous improvement from employees. It increases workforce productivity.

Which of the following occur when a company increases coordination with retailers? (Check all that apply.) Multiple select question.

It fills orders more accurately. It enhances buying experience. It improves the company's image.

Which of the following statements about the duration of the culture change process is true? Multiple choice question.

It often takes less time to build a new culture from scratch than to change an entrenched culture.

What is one key characteristic of a focused low-cost strategy?

It seeks to sell to a narrow market niche.

Which statements about a company's goal-setting process are true?

It should involve all organizational units within the company. It should coordinate the efforts of each organizational unit. It should be a top-down process.

Which of the following statements accurately reflect how ethical standards vary among different cultures? Multiple select question.

Japanese managers, in contrast to managers in other countries, are likely to highly value showing respect for the collective good of society. European managers, in contrast to Chinese managers, tend to emphasize business standards that protect workers' freedom of political opinion.

Which actions should be taken by organizational units within a company?

Know their strategic role within the company. See themselves as part of a team that includes the entire company. Produce results that help the company achieve its performance targets.

What are three of the most reliable ways a company can distinguish itself in the marketplace, build customer loyalty, and achieve a competitive advantage

Low-cost provider strategy Broad differentiation strategy Focused low-cost strategy

What are three of the most reliable ways a company can distinguish itself in the marketplace, build customer loyalty, and achieve a competitive advantage?

Low-cost provider strategy Broad differentiation strategy Focused low-cost strategy

In terms of a company strategy based on differentiation, what are the risks of offering mostly insignificant improvements in quality or service?

Lower company profits Decreased customer loyalty

Which of the following statements concerning the relationship between business and the environment is true? Multiple choice question.

Maintaining the finite supply of the world's natural resources is crucial to the long-term economic interests of corporations.

Why should the mission statement not focus on the company's goal of making a profit? Multiple select question.

Making a profit is best seen as a result of the company's actual mission. The mission statement should define "who we are and what we do." All commercial businesses aim to make a profit.

Which of the following statements about corporate social responsibility (CSR) are true? Multiple select question.

Many firms organize their CSR strategies around themes that are consistent with their production or marketing strategies. CSR strategies are often linked to a company's core values. "Corporate citizenship" is a term commonly used to describe CSR initiatives.

Although many people would agree that child labor is lamentable, others have noted that which of the following are true? Multiple select question.

Many poor families throughout the world require financial contributions from their children in order to survive. Labor opportunities for children are preferable to a life of begging, drug trafficking, or prostitution.

Which of the following statements is correct regarding successful culture change? Multiple choice question.

Middle managers and frontline supervisors play a key role in generating support for new behaviors.

Which of the following examples show how a commitment to environmental sustainability strategies can offer opportunities for a company to develop new products or increase sales of existing products? Multiple select question.

Nissan and Chevy created electric cars. General Electric expanded sales of wind turbines.

What must a best-cost provider do to remain competitive? Multiple choice question.

Offer consumers a more attractive value proposition.

In a market where buyer preferences are diverse, how can industry rivals differentiate their products? Multiple choice question.

Offer products that appeal to specific buyers

Which of the following are policies that governments adopt to stimulate business investment? (Check all that apply.) Multiple select question.

Offering low-cost business loans Providing government-sponsored job training

Which of the following is a typical course of action for companies that pursue low-cost leadership? Multiple choice question.

Offering lower prices than their rivals

What are two characteristics of a broad differentiation strategy?

Offering products or services that are difficult to imitate Appealing to a wide range of consumers

Which strategies are recommended for enhancing differentiation based on value drivers?

Pursue quality improvement. Create product features that appeal to a wide range of buyers. Strive to achieve technological advances.

Which of the following are criteria of VRIN tests for evaluating the competitive advantage of a resource or capability? (Check all that apply.)

Rarity Inimitability

Which company offers premium products and services to upscale buyers?

Rolls-Royce

Is it okay to simply make lists of the swot analysis

Simply making lists of the company's strengths, weaknesses, opportunities, and threats is not enough ; the pay off from swot analysis comes from conclusions about a company's situation and the implications for strategy improvement that flow from the four lists. The objective of the swot analysis is to translate the diagnosis of the company's situation into actions for improving the company's strategy and business prospects

Which of the following statements about correcting flawed company strategy are accurate? Multiple select question.

Sometimes poor performance is the result of flawed strategy rather than weak strategy execution. When a strategy is failing, it is the leader's responsibility to begin the process of correcting the problems.

A company mission statement should do which of the following? Multiple select question.

Specify what services and products the company offers. Establish the company's own identity. Identify the company's customers or markets.

Which statements concerning strategic alliances are accurate?

Strategic alliances are used by some companies to extend their scope of operations internationally. Strategic alliances are used by some companies as a way of managing outsourcing.

Which of the following statements about corporate subcultures are accurate? Multiple select question.

Subcultures are common in companies, especially in large organizations with numerous divisions and departments. Subcultures are likely to undermine company success when they promote different approaches to people management.

Which companies employ a focused low-cost strategy? Multiple select question.

Super 8 Sleep-Inn Motel 6

Which of the following are factors that affect the intensity of rivalry among competing sellers within an industry? (Check all that apply.) Multiple select question.

Suppliers New entrants Substitutes

Which companies have a well-defined market niche?

Tesla Motors (electric cars) Fox News Channel (cable television journalism) Blue Nile (online jewelry)

Which of the following statements is true concerning the thinking that the "business of business is business, not ethics"?

That type of thinking is dangerous because it increases the likelihood that a company will adopt unethical strategies. That type of thinking has been apparent in a number business scandals covered in the media.

Sometimes a company's CEO is the main person who develops the organization's strategy. This most often happens in which of the following situations?

The CEO is the founder of a company that grew into a larger corporation. The CEO is the owner and manager of a small company. The CEO has unusually strong strategic leadership skills.

In which of the following situations, an adjustment of a company's strategy is most likely needed?

The company faces a drop in its market position. The company faces repeated failure to achieve performance goals.

Which of the following statements best describes the Clorox company's corporate social agenda?

The company has linked its corporate social agenda with actions that support philanthropy and improve the quality of life.

A domestic company wishing to enter the international market may choose to license its products or services to a foreign company for which reason? Multiple choice question.

The company has no resources to enter a foreign market directly.

Which of the following are not likely to happen if a company's financial objectives are met or exceeded?

The company will go into bankruptcy. Senior executives will be fired. Revenues will decrease.

Which of the following are appropriate criteria to determine whether a company has good strategic leadership? (Check all that apply.)

The company's strategy is being executed competently. The company has a good strategy and business model. The company is meeting or beating targets.

Who is primarily responsible for crafting and implementing business strategy in a multibusiness organization?

The head of each business unit

A company with a tradition of executing environmentally sustainable strategies decides to expand operations into a country with lenient emissions standards. Which of the following are likely outcomes?

The management faces significant challenges in overcoming resistance to strategy execution. The company morale drops because employees may be reluctant to adopt behaviors that run counter to embedded company practices.

Which of the following statements about the consequences of pursuing unethical business strategies is true? Multiple choice question.

The more serious the ethical offense, the more costly the damage.

The process of recruiting and retaining capable employees is

The process of recruiting and retaining capable employees is

Which of the following statements is true concerning the process of strategy execution? Multiple choice question.

The process of strategy execution is continuous and requires regular looping back to fine-tune procedures and make adjustments.

Why do some companies state their core values but make little effort to ensure that individual personnel and the company in general will abide by them?

The statement about values serves only to make the company look good.

Which of the following statements about problem cultures are accurate? Multiple select question.

The undesirable traits of a problem culture should be eliminated as quickly as possible. The more entrenched a problem culture is the more likely that culture is to disrupt strategy execution.

When a industry member is a major customer of the supplier, the relationship is usually affective and mutually advantageous

There is a strong likelihood such partnerships will put increased competitive pressure on those industry members who lack productive collaborative relationship with their suppliers.

Which of the following situations would be associated with a company that expects personnel to abide by company norms? Multiple select question.

There is steady peer pressure to follow norms. Company values are widely shared by nearly all employees.

Which of the following are reasons for crafting and executing strategies to be important managerial tasks? (Select all that apply.) Multiple select question.

They lay out the means for pleasing customers. They establish a formula for improving performance. They provide a path to competitive advantage.

Investing in measures that improve the environment beyond the company's boundaries is an example of a company practicing good corporate citizenship to protect the environment. True false question.

True

Companies can provide superior customer value by offering products with features that

are cheaper for a consumer to use.

True or False: Practicing ethical relativism can lead to prosecution of both companies and individuals.

True

True or False: Practicing ethical relativism can lead to prosecution of both companies and individuals. True false question.

True

A global strategy embraces the theme "think-global, act-global," whereas a multidomestic strategy relies more on a "think-local, act-local" mentality. True or false? Explain.

True the think-global and act global refers to the global strategy because it is for companies who want to expand their companies globally and so, they have to examine global markets and the new industry territory they are trying to enter, like the different countries policies and rules on doing business. Multi- domestic strategy think local, act local they succedd locally and they do not have any plan on expanding globally because they are thinking of the right now and that is locally they are succeeding in the countries they are currently operating in. Essay Edit Unavailable True the think-global and act global refers to the global strategy because it is for companies who want to expand their companies globally and so, they have to examine global markets and the new industry territory they are trying to enter, like the different countries policies and rules on doing business. Multi- domestic strategy think local, act local they succedd locally and they do not have any plan on expanding globally because they are thinking of the right now and that is locally they are succeeding in the countries they are currently operating in.

Which companies are noted for their successful use of low-cost provider strategies?

Uber Bic Walmar

Which of the following are actions a company should take according to integrative social contracts theory?

Uphold a small number of universal ethical principles that are applicable in all situations. Adhere to local values and customs that define the boundaries of ethical behavior.

Which of the following are actions a company should take according to integrative social contracts theory? Multiple select question.

Uphold a small number of universal ethical principles that are applicable in all situations. Adhere to local values and customs that define the boundaries of ethical behavior.

Which of the following are elements that management should address to maintain the value of the company's resources and capabilities? (Check all that apply.)

Watch for the chance to develop new capabilities. Continually modify existing assets.

Which of the following statements about correcting flawed company strategy are accurate?

When a strategy is failing, it is the leader's responsibility to begin the process of correcting the problems. Sometimes poor performance is the result of flawed strategy rather than weak strategy execution.

In which situations do adept followers have an advantage over first movers?

When imitators can achieve the same benefits as pioneers with lower costs When market uncertainties make it difficult to predict which products will succeed When the first-mover's products do not perform well

Which conditions increase rivalry among competing sellers?

When the cost of switching brands is low. When buyer demand is growing slowly.

Which conditions increase rivalry among competing sellers? Multiple select question.

When the cost of switching brands is low. When buyer demand is growing slowly.

Standout traits at a company with a high-performance culture include which of the following? Multiple select question.

a "can-do" spirit a results-oriented work climate

What is a company slogan?

a brief phrase that summarizes the company's vision

The threat of ______ increases competitive pressure on incumbent firms.

a new entrant in an industry

What is a stretch objective? Multiple choice question.

a performance target that will require significant effort to achieve

A company may find cross-border resource sharing or transfers of capabilities fail to translate into a competitive advantage because Multiple choice question.

a rival firm in a foreign-country market has superior resources and technology.

Which of the following best describes corporate culture? Multiple choice question.

a set of attitudes, priorities, essential beliefs, and customs shared among those within a company that shape workplace behaviors.

Which of the following are developed during the first stage in crafting a company strategy?

a set of core values a strategic vision a mission statement

The environmental sustainability strategies of Ford and Green Mountain Coffee Roasters have shown that Multiple choice question.

a significant number of consumers will buy a company's products in part to encourage environmentally sustainable business practices.

The Global Reporting Initiative has created

a standard framework for comparing company efforts toward achieving corporate social responsibility.

Which of the following is an example of a story that could potentially help foster a positive corporate culture? Multiple choice question.

a story about an employee who kept the store open after hours so a customer could find a birthday present for a chronically ill parent.

What does a good strategy execution require?

a team effort with all managers having strategy executing responsibility in their areas of authority, and making all employees active participants in the strategy execution process Correct

The chief characteristic of an adaptive business culture is a willingness to Multiple choice question.

accept the challenge of implementing new strategies

A company that expands into a foreign market by pursuing the option of entering into a strategic alliance with a foreign partner can Multiple select question.

achieve cost savings. share technological know-how. share distribution facilities.

When correcting strategy execution in response to a crisis, managers need to Multiple choice question.

act quickly but also take the time to assess the situation, review data, and evaluate options.

A company that employs a best-cost strategy achieves profitability by Multiple choice question.

adding premium features to its products at a lower cost than rivals.

In a strategic alliance between companies, the decision-making process should Multiple choice question.

allow partners to keep pace with developments in the market.

Ethical universalism

allows for a single set of standards

A strategy that changes in response to new market conditions and challenges is known as

an evolving strategy.

Making corrections during the strategy execution process depends on

analyzing the situation. effective implementation of corrective measures. determining the necessary course of action.

Which of the following are short-term objectives? Multiple select question.

annual objectives quarterly objectives

Companies can create a differentiation-based competitive advantage by incorporating intangible features such as Multiple choice question.

appealing to buyer desires for prestige.

A measurement system that links financial performance goals with strategic goals is called a

balanced scorecard.

A company that is plagued by insular thinking is likely to Multiple choice question.

become overly reliant on in-house personnel to drive all facets of innovation.

When activist groups criticized Nike for the working conditions in the Asian factories that produced Nike footwear, company chairman Phil Knight Multiple choice question.

began to monitor working conditions in the factories that made Nike products.

Typically, a company's strategy making must

begin at the top of a company.

The corporate culture of Apple Electric is largely centered on Multiple choice question.

being high protective of company-developed technology.

Companies that focus on a certain locations can benefit from which of the following? Multiple select question.

better activities coordination superior resources well-trained personnel

ncompatible subcultures can undermine strategy execution by Multiple select question.

blocking collaboration and teamwork among departments. creating disparate approaches to strategy execution.

Offensive strategic moves involve all of the following except

blocking the avenues open to challengers

A crisis in the residential real estate market was caused in part by which of the following strategies by some banks and mortgage companies? Multiple select question.

boosting fees earned on home mortgages by lending to high-risk clients disguising the nature of the loans and repackaging them for sale to investors

What would likely be part of the value chain for a service-based business, such as a packaging-design firm? Multiple select question.

brainstorming new ideas delivering artwork to clients hiring creative talent

What would likely be part of the value chain for a service-based business, such as a packaging-design firm?

brainstorming new ideas hiring creative talent delivering artwork to clients

Which of the following are types of competitive strategies? Multiple select question.

broad differentiation focused low-cost broad low-cost

When managers have time to correct mistakes, most

broaden their understanding of the problem, strive for consensus, and pursue an agreed-upon course of action.

A company that employs a global strategy will do which of the following?

build a global brand coordinate efforts across country boundaries sell a standardized global product create a strong headquarters to oversee its global activities

A blueprint that outlines the means for a company to deliver value to customers in a suitably profitable manner is known as its Multiple choice question.

business model.

A company's products may have little value in certain foreign-market locations because Multiple select question.

buyer preferences and lifestyles vary from country to country. local brands may remain very popular no matter how well a competing brand is regarded internationally.

Creating a strategy for entering an international market can be more difficult than entering a domestic market because Multiple choice question.

buyer preferences in foreign markets force companies to customize their products.

A company with a value chain system that sells directly consumers is able to

bypass the costs of distributors

Currency exchange rates can pose a risk for businesses because they Multiple select question.

can change by more than 20% a year. vary unpredictability. affect a company's profit

Exporting goods may be a successful strategic option if the company

can maintain its cost competitiveness at home.

The ability of a company to perform competently in carrying out a particular internal activity, such as product innovation or development, is called a Multiple choice question.

capability.

Companies in successful business alliances understand that collaborative arrangements should be Multiple select question.

capable of responding to shifting market changes. flexible enough to keep pace with changing customer requirements.

Which methods help a company use cost drivers effectively? Multiple select question.

capturing all available economies of scale operating facilities at full capacity improving supply chain efficiency

To be successful, a think-global, act-global approach generally requires which of the following? Multiple select question.

centralized production and distribution a global brand name

Focusing carries several risks, one of which is the

chance that competitors will find effective ways to match the focused firm's capabilities in serving the target market.Correct

What mistakes do companies often make while implementing a differentiation strategy?

charging too high a price for differentiated products offering too many product features and options

Which of the following have been cited as reasons why a company has a moral obligation to act in a manner that benefits all stakeholders? Multiple select question.

civic-mindedness ordinary decency

Which of the following are indicators used to help rank companies in the Dow Jones Sustainability World Index for socially conscious investors?

climate change mitigation corporate governance labor practices

The final step in evaluating an industry and competitive environment is to Multiple choice question.

combine the results of each analytic framework to determine its prospects.

Which actions are often helpful for a company when it adopts a value statement?

combining its values, vision, and mission in one document posting the finished values statement on the company's website

Adherents of ethical universalism are likely to believe that Multiple choice question.

common agreement about right and wrong is the basis for ethical standards that apply to all businesspeople.

A company that employs a best-cost provider strategy is vulnerable to which of the following? Multiple select question.

companies that employ a high-end differentiation strategy companies that employ a low-cost strategy

A sound company strategy is essentially about ______ in comparison to company rivals. Multiple choice question.

competing differently

Buyers with strong bargaining power can exert strong ______ pressures and reduce industry profitability by demanding price concessions and additional features. Multiple choice question.

competitive

When a business is more successful than its rivals at attracting customers and handling competition, it is said to have a(n) ______ advantage.

competitive

When all five types of competitive forces are exerting strong pressure on an industry, the industry is said to be

competitively unattractive.

Strategic performance is measured by the rise and fall of a company's

competitiveness.

Which of the following are concepts or analytic tools for assessing a company's industry and competitive environment

competitor analysis the five forces framework

To produce a value statement for a new company, management will typically

consider feedback from employees. write an initial draft and have employees read it.

A company that employs a global strategy will do which of the following? Multiple select question.

coordinate efforts across country boundaries sell a standardized global product build a global brand create a strong headquarters to oversee its global activities

Honor, integrity, teamwork, superior customer service, and innovation are examples of company

core values.

Switching to a lower-cost item to save money is an example of Multiple choice question.

cost-efficient management.

Companies whose success depends on sustaining high morale are most likely to pursue CSR strategies that Multiple choice question.

create a culture in the workplace that inspires dedication.

Cultural norms at Enron Multiple choice question.

created ruthlessness among employees who undermined the company's stated values of integrity and respect.

Cultural pressure at a company to hit goals at all costs Multiple select question.

creates an environment in which workers have license to pursue any profitable strategy they can get away with. can cause even honorable employees to behave unethically. virtually ensures that unethical employees will minimize the importance of observing ethical standards.

Value statements and codes of ethics can contribute to culture-building by Multiple select question.

creating a work environment in which personnel share strongly held convictions about how the company should conduct business. providing guidance and communicating which behaviors are acceptable and which behaviors are unacceptable

Value statements and codes of ethics can contribute to culture-building by

creating a work environment in which personnel share strongly held convictions about how the company should conduct business. providing guidance and communicating which behaviors are acceptable and which behaviors are unacceptable.

One strategy associated with limiting the number of locations is to open a customer service center in a specific country in order to Multiple choice question.

cultivate close relationships with important clients.

Examples of important cost drivers in a company's value chain do not include

customer service.

A company's approach to meeting or exceeding its customers' needs at a price they consider a good value is called the

customer value proposition.

To compete in an international market, a basic decision companies must make is whether to ______ to accommodate cross-country differences in buyer tastes and preferences.

customize products and services

Low-cost providers need to be especially careful not to make the mistake of

cutting prices too aggressively.

Management can make a compelling case for culture change by

demonstrating why certain embedded practices impede strategy. convincing workers and managers that certain new behaviors will improve company performance.

The benefits of forward vertical integration include Multiple select question.

differentiating a company from its competitors. improving a company's market visibility. giving manufacturers better access to end users.

What are drawbacks of global strategies? Multiple select question.

difficulty addressing local needs higher transportation costs

A low-cost provider strategy is risky if a competitor

discovers a lower-cost value approach.

A low-cost provider strategy is risky if a competitor Multiple choice question.

discovers a lower-cost value approach.

Well concieved visions are and to a particular organization and they avoid generic feel- good statements that could apply to hundreds of organizations

distinctive; specific

To enhance customer value and revamp the value chain system, companies can coordinate with partners, such as

distributors. dealers.

A company can achieve which of the following by signaling would-be business challengers that retaliation is likely in the event of any strategic attack? Multiple select question.

diverting challengers to less threatening competition dissuading challengers from attacking altogether

The change agents with the biggest influences in reshaping an industry landscape are known as______________ forces.

driving

Which factors do managers consider when establishing performance objectives? Multiple select question.

economic conditions within the industry the company's internal capabilities competition from other businesses

The key for a company to achieve competitive advantage is either to provide superior value to customers or to deliver value more

efficiently.

Nucor Corporation eliminates many steps in the steel manufacturing process by using what equipment? Multiple choice question.

electric arc furnaces

Companies can reduce costs associated with a value chain system by Multiple choice question.

eliminating unnecessary steps.

Actions taken in response to new strategic maneuvers by rival firms or other unanticipated market circumstances make up a company's ______ strategy.

emergent

Managers seeking to develop high-performance cultures are likely to try to get the best out of employees by doing which of the following? Multiple select question.

emphasizing the value of learning from mistakes and moving forward attempting to match workers with the tasks they do best

When company culture is in conflict with company strategy, Multiple choice question.

employees may resist performing the actions that will enhance strategy execution.

Damage to a company's reputation that results from unethical behavior can Multiple select question.

encourage employees to leave the company. make creditors hesitant to loan funds to the company. create challenges for recruiting talented staff in the future.

Oft-repeated stories that develop company culture can Multiple select question.

encourage other employees to act in a way that continues company traditions. demonstrate to new employees the extent of the company's commitment to its core values.

Average performers in a company need to be Multiple choice question.

encouraged to deliver better results.

Top-level executives can engage the workforce by Multiple select question.

encouraging employees to act on their initiative and contribute ideas. delegating authority to managers below them.

Corporate social responsibility programs commonly include actions that Multiple select question.

enhance employee well-being. sustain the environment. promote diversity in the workforce.

Organizing and guiding a new business activity is called Multiple choice question.

entrepreneurship.

Who is the target audience of an organization's strategic vision statement? Multiple choice question.

everyone in the organization

A company's ultimate success or failure is fundamentally tied to how well its management team does which of the following?

facilitates internal operating excellence develops competitively effective strategies charts the company's direction

The profit _________________is the company's approach to determining a cost structure that will allow for acceptable profits, given the pricing tied to its customer value proposition.

formula

The corporate culture at Walmart is centered on which of the following? Multiple select question.

frugal operating practices a strong work ethic among employees

A toy-making business is part of a larger corporation that owns various other businesses. The toy-making business unit decides to increase its production of board games. This is an example of a(n)

functional-area strategy.

Companies with a reputation for social responsibility and sustainable business practices Multiple select question.

generally have lower costs for staff training and recruitment. enhance their ability to retain employees.

Focused low-cost strategies are common for companies that produce what? Multiple choice question.

generic goods that imitate name-brand products

Adherents of the concept of ethical relativism believe that Multiple select question.

given actions are ethically right or wrong depending on the ethical norms of the country in which they take place. holding a common template for judging the ethics of business actions everywhere is ethically problematic.

Integrative social contracts theory

gives managers clear guidance when considering differences in ethical standards among countries.

In what ways does a competitive advantage benefit a business

greater success in the marketplace larger profits

Which of the following is a culture aligned with company strategy more likely to accomplish? Multiple select question.

guide the decision making of employees enhance productivity and increase the likelihood of hitting targets energize employees and promote buy-in

In the business world, the term "sustainability" Multiple select question.

has been used interchangeably with the term "corporate social responsibility." is used to refer to the relationship of a company to its environment and its use of natural resources.

Price cutting can be an effective strategy for companies that

have already achieved a cost advantage.

Unrelated businesses

have dissimilar value chains and resource requirements with no competitively important cross-business commonalities at the value chain level.

Companies that are afflicted by politicized cultures Multiple select question.

have managers who pursue goals that may run counter to company goals. experience regular infighting.

Employees are more likely to produce new ideas if they Multiple select question.

have the autonomy to offer contributions. are given time to brainstorm. receive large and visible rewards for ideas that contribute to the company's success.

Which of the following techniques are generally agreed to be effective ways of embedding and perpetuating cultural norms in a company?

having leaders in the organization stress the importance of adhering to company norms evaluating personnel, in part, on how they display cultural norms in their approach to work honoring employees who have a proven track record of demonstrating company values

In terms of differentiation strategy, fast-paced technological change and quickly evolving product features can Multiple select question.

help companies set themselves apart with different products. increase buyer interest.

Setting stretch objectives does not provide an organization with the advantage of

helping clarify the company's strategic vision and strategic intent

Company culture is important because it Multiple choice question.

helps determines an organization's approach to business.

As part of a differentiation strategy, what signals tell customers that the company's products have superior value? Multiple select question.

higher-quality sales materials more appealing packaging than competing products ads emphasizing a product's notable attributes

What choices must managers consider when committing to a company strategy for competing against rival companies?

how to capitalize on growth opportunities how to attract customers how to respond to market conditions

What are some of the most important factors for determining a company's prospects for competitive success and attractive profits

how well the company's strategy delivers on the industry key success factors whether the company occupies a stronger market position than rivals

Which of the following are impediments to a company's long-term industry success?

illogical strategies imitative strategies inadequate attempts to improve

The most demanding and lengthy part of the strategy management process is

implementing the strategy.

Companies can create differentiation by investing in human resource management activities that Multiple choice question.

improve the skills of company employees.

A low-cost provider can use low prices to Multiple choice question.

persuade potential customers to switch brands.

For adaptive cultures to thrive in the face of ongoing change, it is crucial that organization members view proposed changes as which of the following? Multiple select question.

legitimate consistent with core values in the interests of stakeholders

A transnational strategy can enable a company to do which of the following? Multiple choice question.

leverage subsidiary skills and capabilities

What are the three approaches that companies can use to gain a competitive advantage? Multiple select question.

low-cost differentiation best-cost

CSR and corporate sustainability strategies can serve the long-term interest of shareholders by Multiple select question.

lowering costs. increasing productivity.

Which of the following allow a company to sell directly to customers effectively? Multiple select question.

maintaining a direct sales staff conducting sales through a company website

To discourage foreign companies from locating manufacturing facilities in a country, the country's government can do which of the following?

make a new facility's compliance with local environmental regulations very costly require partial ownership of the facilities by local companies or investors provide government financial assistance to domestic companies

Intel uses its ______ to give top priority to PC manufacturers that primarily use Intel chips. Multiple choice question.

market dominance

Strategic objectives are goals concerned primarily with an organization's

market standing. competitive position.

To create competitive advantage for a company, a differentiation strategy must

match the resources of the company.

What can companies reduce by positioning themselves near their suppliers? Multiple select question.

materials handling shipping costs

Multinational companies whose ethical standards vary from country to country Multiple choice question.

may be sending the message to employees that the company does not have ethical standards of its own.

Companies with a rich tradition

may find that they can rely heavily on word of mouth to embed cultural norms in the workplace.

When buyer preferences shift, a vertically integrated company Multiple choice question.

may have difficulty adjusting its product lines to meet new demand.

Companies with greed-driven cultures

may pursue overly ambitious financial targets

A well-designed strategic vision is important to an organization because it

motivates personnel at all levels to help achieve the vision. helps managers coordinate efforts toward common goals. helps top executives clarify their sense of direction.

When Company A's rivals have much higher competitive strength, Company A is said to have a

net competitive disadvantage

Which circumstances commonly require the modification of a company's strategy?

new market opportunities technological advances a shift in buyer needs

Examples of substitute products that lead to competitive pressure between industries include

newspapers and cable news sugar and Sweet 'N Low.

What entrepreneurial skills help managers craft and implement a successful company strategy?

noticing signs that the business climate is changing daring to be innovative adjusting the strategy as conditions shift

To motivate employees to do their part in the execution of strategy in a weak-culture company, managers should Multiple select question.

offer financial incentives for reaching company goals. strengthen systems of monitoring employee activity to ensure that their behavior is aligned with company strategy.

Best-cost providers differ from low-cost providers by Multiple choice question.

offering attractive features at a lower cost than competitors.

In the management of value chain activities, what would most likely increase worker productivity?

offering incentives

What can help a company compete successfully in developing-country markets? Multiple select question.

offering lower-priced, better products customizing its business model to suit local circumstances

To achieve a cost advantage in a market niche, companies must Multiple select question.

omit nonessential steps. use cost drivers to keep production costs low.

A manager of a plant owned by a food and beverage company for producing canned goods develops a strategy for updating its production lines while maintaining its quality controls. This is an example of a(n)

operating strategy.

Whole Foods Market employs a focused differentiation-based strategy by offering what products? Multiple select question.

organic, minimally processed foods locally grown foods high standards for food quality

What are lagging indicators?

performance measurements resulting from decisions and activities in the past

Stretch objectives are helpful because they Multiple select question.

prevent employees from settling for a comfortable level of performance. motivate employees to be more productive. help an organization perform at its full potential.

A company's realized strategy is a combination of

proactive and reactive elements.

Differentiation strategies can increase a company's profitability if

product prices can be raised sufficiently. increased sales are more than enough to cover the costs of differentiation.

Differentiation strategies can increase a company's profitability if Multiple select question.

product prices can be raised sufficiently. increased sales are more than enough to cover the costs of differentiation.

Companies that place little importance on operating in a socially responsible manner may be vulnerable to criticism from pressure groups whose tactics include Multiple select question.

promoting product boycotts. generating negative publicity in the media.

Ethical business managers

provide an example to other employees by consciously living by the company's business principles. understand that there is a difference between simply having a code of ethics and seeing that the company follows it.

A company that distributes its activities across multiple locations can seek which advantages? Multiple select question.

providing customers with timely service and technical support lowering distribution costs reducing the risks of fluctuating exchange rates

Which of the following practices demonstrate a sincere commitment to culture change?

providing financial incentives for employees who demonstrate desired new behaviors replacing managers who have resisted necessary cultural changes making new hires based in part on the extent to which candidates exhibit culturally desirable traits

Which of the following actions can be effective ways to stop companies that practice socially irresponsible behaviors? Multiple select question.

publicizing the bad behavior of companies boycotting the companies' products and services enacting legislation that makes the activity illegal

What are examples of ways that companies signal would-be challengers that retaliation is likely? Multiple select question.

publicly announcing a commitment to maintaining market share maintaining cash reserves and marketable securities to fund countermeasures

Which of the following are types of marketing tactics? Multiple select question.

rebates sales promotions

Examples of environmental sustainability strategies include efforts to

reduce the use of pesticides and fertilizers. not threaten the stock of edible fish in the oceans.

For domestic manufacturers, positive aspects of a weak domestic currency include Multiple select question.

reduced domestic demand for foreign-made goods. lower prices for domestic products.

Attempts to use low-cost advantage to attack rival companies with lower product prices can result in which of the following? Multiple select question.

reduced profits a price war among several rivals retaliatory price cuts

A weak domestic currency can result in a favorable exchange rate shift for domestic companies by Multiple choice question.

reducing the cost advantage for foreign companies.

When conditions outside or inside the company change enough to cause substantial disruptions, managers should Multiple choice question.

reevaluate the organization's direction and strategy.

In order to create and maintain a high-performance culture, managers should consider Multiple choice question.

reinforcing constructive behaviors.

Employees at various levels within an organization are best served by performance objectives that Multiple choice question.

relate specifically to what their departments are doing.

In order to mobilize the effort for excellence in strategy execution, managers who consistently fail to deliver results should be

replaced with a more effective manager.

A competitive asset owned or controlled by a company is referred to as a(n) Multiple choice question.

resource

A competitive strength assessment would most likely use information obtained through

resource and capability analysis. SWOT analysis. benchmarking.

Which indicators of a rival's potential strategic moves are found in the SOAR Framework for Competitor Analysis? Multiple choice question.

resources and capabilities

Although successful low-cost providers continually look for ways to save money, they also understand the importance of spending money on Multiple choice question.

resources that further eliminate costs.

Which of the following factors would lead to higher entry barriers for new industry entrants?

restrictive trade policies high capital requirements

Attempts to use low-cost advantage to attack rival companies with lower product prices can result in which of the following?

retaliatory price cuts a price war among several rivals reduced profits

Companies that pursue a focused differentiation strategy are at risk from

rivals with more brands or great expertise and capabilities.

Companies that pursue a focused differentiation strategy are at risk from Multiple choice question.

rivals with more brands or great expertise and capabilities.

A company that pursues a focused strategy must have the resources to _____. Multiple choice question.

satisfy the needs of its niche market

Governments wishing to create a favorable business climate for foreign companies will typically Multiple choice question.

seek advice from business leaders.

Performance targets should be set for the organization's

separate businesses. product lines. individual work units.

What are the best tactics to convince lower-level managers and employees to support the company's strategic vision?

sharing updates and progress reports explaining why the company is taking a particular direction

Examples of Unilever's sustainable business practices include Multiple select question.

showing overseas suppliers farming methods that reduce the use of pesticides and maximize annual yields. tracking agricultural indicators in the food-processing division of the corporation.

What factor is necessary for the success of a generic strategy? Multiple choice question.

skillful execution of the strategy

Focusing on a single market niche is an attractive strategy for what type of firm? Multiple choice question.

small companies that lack the resources to pursue a broader customer base

Differences in which of the following cause variations in ethical standards across cultures

social customs core values religious beliefs

Which of the following components form part of a company's macro-environment? Multiple select question.

sociocultural forces legal/regulatory conditions political factors

Revamping the value chain by coordinating with suppliers can be expected to Multiple select question.

speed up new product development cycles. speed delivery to end customers

A company's strategy consists of action plan managemant takes to

stake out a unique market position and achieve superior profitability

Industry members with similar competitive approaches and positions in the market are known as a(n)_______________ group.

strategic

When setting objectives, which types of performance targets must be established? Multiple select question.

strategic financial

The most reliable leading indicators are Multiple choice question.

strategic outcomes that measure competitiveness and market position.

A sense of "where we are going" is called the company's Multiple choice question.

strategic vision

Equifax, a credit-reporting agency, disclosed that it had suffered a massive data breach affecting as many as 143 million people. Hackers had gained unauthorized acess to sensitive personal-date social security numbers, birth dates, and home addresses for nearly half of the reports that it's executives had sold an unusual amount of stock before the breach was publicly disclosed. Effective corporate governance requires equifax board of directors to

strengthen it's oversight of the company's strategic direction, evaluate the caliber of senior executive skills handle executive compaensation, and oversee financial reporting practices

Business strategy, in contrast to corporate strategy, involves which of the following?

strengthening the market position of individual business units improving the performance of individual business units

A company may find it easier to operate in one country than in others because of the country's Multiple select question.

strong economic conditions. favorable political conditions. advantages for specific value chain activities.

Companies that focus on a certain locations can benefit from which of the following? Multiple select question.

superior resources well-trained personnel better activities coordination

Ethical strategies are good business because they are likely to Multiple select question.

sustain the reputation of the company. win the approval of suppliers, employees, and investors.

A manager in a company with an adaptive culture is likely to Multiple select question.

take prudent risks and fund new initiatives. encourage new ideas and suggestions.

Patents and copyrights are types of resources that are part of a company's

technological resources.

Changes in what factors contribute to the erosion of a company's competitive advantage over time?

technology distribution channels customer preferences

Changes in what factors contribute to the erosion of a company's competitive advantage over time? Multiple select question.

technology distribution channels customer preferences

Effective culture change leaders tend to be good at

telling stories that connect new values to everyday practices.

Who is ultimately responsible for the results that a company strategy produces?

the chief executive officer (CEO)

A corporate social responsibility strategy can be defined as Multiple choice question.

the combination of socially responsible endeavors a company elects to pursue.

A company's culture does NOT specifically mention

the company's strategic vision, strategic intent, and culture strategy.

Which of the following strongly influence a company's culture?

the company's traditions and the stories that get repeated the core values and beliefs that executives espouse the "personality" that permeates the work environment

A company's business model is comprised of which of the following

the customer value proposition the profit formula

Which two issues do companies commonly encounter when undergoing international expansion?

the demand to customize products to suit local preferences the cost-effectiveness of providing a standardized product globally

Which of the following are losses from pursuing unethical business strategies that are difficult to measure? Multiple choice question.

the dissatisfaction of employees with a damaged company reputation

What factors determine how serious the threat of entry is for a particular market?

the effect of barriers to entry the likelihood that existing firms will retaliate against new entrants

When analyzing industry dynamics, before taking action to prepare for industry and competitive changes, companies must first diagnose Multiple choice question.

the forces driving industry change.

A company that employs a focused differentiation strategy may experience intense competition if Multiple choice question.

the market segment becomes too attractive.

Who would be most often involved in the crafting and implementation of functional strategies?

the people in charge of each function the general manager of the business

While developing a strategic vision, a company's managers might change which of the following?

the products the company will offer the markets in which the company will compete the type of customers the company will serve

The contentions that (1) many of the same standards of what's ethical and what's unethical resonate with peoples of most societies regardless of local traditions and cultural norms and (2) to the extent there is common moral agreement about right and wrong actions, common ethical standards can be used to judge the conduct of personnel at companies operating in a variety of country markets and cultural circumstances, are defining beliefs of which of the following?

the school of ethical universalism but not the school of ethical relativism

Which document spells out the direction a company will take as it anticipates future developments? Multiple choice question.

the strategic vision

Which of the following are key features of a company's corporate culture? Multiple select question.

the way that the company treats external stakeholders a generally understood idea of "how we do things are around here" the impact that peer pressure has on employee behavior

In a company with a weak culture, Multiple select question.

there is little compulsion to abide by company norms. there may be less emotional commitment to achieving company objectives.

Company personnel are most likely to embrace new work practices if

they understand how they will benefit from those changes.

A company that aggressively pursues an online sales strategy risks Multiple choice question.

threatening crucial relationships with distribution allies.

What is the purpose of the fit test?

to determine how well a strategy matches the company's situation

When a company considers whether to pursue an emerging market opportunity aggressively or cautiously, the company needs

to determine whether the race to market leadership will be a marathon or a sprint. to bear in mind that any first-mover advantages can be fleeting.

Why do companies designate a set of core values?

to encourage certain beliefs, traits, and behavioral norms to guide the behavior of personnel to guide the company as it pursues its vision and mission

When charting a company's direction, why do managers set objectives? Multiple choice question. to

to establish performance targets that the managers hope to achieve, using the company's mission and vision

What purposes are served by a company slogan?

to help employees maintain focus on the company's purpose to motivate personnel to overcome obstacles to define the organization's direction Need help? Review these concept resources.Read About the Concept Feedback Next Question Reading

What purposes are served by a company slogan? Multiple select question.

to motivate personnel to overcome obstacles to define the organization's direction to help employees maintain focus on the company's purpose

What is the role of a company's board of directors?

to oversee top executives and ensure that they craft and implement an effective strategy to ensure that the company is operating in the best interests of shareholders and other stakeholders

Which of the following is a reason for a business to establish an ethical business strategy? Multiple choice question.

to provide a competitive advantage, serving the self-interest of shareholders

Which mission statement is written in the most effective manner?

to provide nutritious food at an affordable price, served with a smile"

What is the purpose of a company's strategic vision?

to steer the company toward long-term growth and profits

An effective long-term method for motivating employees to make productive contributions to the strategy execution process is Multiple choice question.

to take measures to establish a strong culture in the company

Companies use differentiation strategies when consumers' preferences are _____. Multiple choice question.

too diverse for a standardized product offering

According to the concept of ethical universalism, fundamental concepts of right and wrong Multiple choice question.

transcend culture, society, and religion.

What option do companies have for translating a low-cost advantage into profit performance? Multiple choice question.

underpricing competitors

The basis for leading the strategy execution process successfully is Multiple choice question.

understanding the requirements of good strategy execution.

Core value statements and codes of ethics can contribute to a positive and productive company culture if the company Multiple choice question.

undertakes a sustained effort to put its values and ethics into practice.

The last step in changing an unhealthy company culture is Multiple choice question.

undertaking forceful actions that demonstrate a commitment to changing the culture.

Red Bull and Listerine employ a differentiation strategy centered on

unique taste

Which set of standards takes precedence in integrative social contracts theory? Multiple choice question.

universal ethical norms

A business strategy becomes unethical when it involves what elements?

unreasonable damage to the environment deceitfulness disreputable behavior

Self-dealing refers to instances when managers

use their position to promote their own private interests rather than the interests of the firm

The most systematic approach to achieving differentiation is to focus on Multiple choice question.

value drivers

Best-cost providers target which consumer groups?

value-conscious buyers

Top executives can unify the various strategies within a company by telling lower managers and other personnel about the organization's Multiple select question.

vision. major components of the corporate strategy. objectives.

Short-termism at a company can do which of the following?

weaken the company's brand undermine activities that promote long-term success

An activity that a company performs poorly in comparison to its competitors is an example of a competitive deficiency, or

weekness

Which circumstances would increase the bargaining power of buyers? Multiple select question.

when buyers are comparatively large and few when the cost for buyers to switch brands is low

Differentiation strategies fail when which of the following occur?

when buyers don't value a product or brand's uniqueness when competitors match a company's differentiation strategy