Chapter 1

A company's approach to meeting or exceeding its customers' needs at a price they consider a good value is called the a) customer value proposition b) profit formula c) value-price-cost strategy. d) business model

A

The actions that a company takes in accordance with its established business practices make up its ___________ strategy, in contrast with actions the company takes in response to changing market conditions. A) deliberate B) Realized C) Emergent D) Differentiation

A

What is a company's strategy? A) it is a set of actions B) It is an analytical framework C) It is a set of managerial rules D) It is a set of guidelines

A

Components of a fit test, used to evaluate how well a company's strategy matches its situation, include which of the following? Check all that apply. A) Internal fit B) External fit C) Dynamic fit D) Aesthetic fit

A B C

Which three companies have broad differentiation strategies that have allowed them to maintain long-term competitive advantages? Check all that apply A) Johnson and Johnson B) Apple C) BMW D) Walmart

A B C

Broadly speaking, a company strategy is designed to do which three of the following? check all that apply. A) support growth B) outperform rivals C) reduce the role of management D) achieve superior profitability

A B D

Which of the following are impediments to a company's long term industry success? A) inadequate attempts to improve B) imitative strategies C) proactive strategy making D) illogical strategies

A B D

Why are crafting and executing strategy important managerial tasks? A) they lay out the means for pleasing customers. B) They define a company's best practices. C) They provide a path to competitive advantage D) They establish a formula for improving performance.

A C D

A blueprint that outlines the means for a company to deliver value to customers in a suitably profitable manner is known as its A) Proactive strategy B) Business model C) Strategic reaction D) Emergent strategy

B

What is one key characteristic of a focused low-cost strategy? A) it seeks to sell a broad market segment. B) it seeks to sell to a narrow market niche. C) It seeks to give customers the most value for their money by meeting key quality features or performance. D) It seeks to differentiate its products from those of rivals.

B

What performance indicators reveal the most about the merits of a company's strategy? A) Short-term competitive advantage B) Profitability and financial strength C) competitive strength and market standing D) resources and capabilities

B C

The general profit formula for fast food restaurants as invented by McDonald's involves which of the following? Check all that apply. A. commitment to corporate responsibility B. Standardized store design C. Strict specifications for ingredients D. Advertising and in-store promotions

B C D

What are some of the ways that companies typically implement a competitive strategy? A) By isolating the managerial staff B) By delivering superior customer service C) By focusing on quality D) By diversifying product lines

B C D

Which circumstances commonly require the modification of a company's strategy? A) Meeting financial targets B) Technological advances C) New market opportunities. D) A shift in buyer needs

B C D

A strategy that changes in response to new market conditions and challenges is known as A. A proactive strategy B. A static strategy C. An evolving strategy D. A differentiation strategy

C

Actions taken in response to new strategic maneuvers by rival firms or other unanticipated market circumstanes make up a company's _______ strategy. A) Proactive B) Deliberate C) Emergent D) abandoned

C

Which statement about the connection between good strategy and good execution is true? A) A company can enjoy long-term success with a weak strategy if the execution is strong and aggressive. B) The marker of good management is a solid strategy that focuses on customer value above all else. C) good management consists of good strategy and good strategy execution. D) As long as a company has a strong strategy, successful execution is a sure thing.

C

What are two basic approaches in company strategy to improve chances of success in competing against rivals? check all that apply. A. Soften ethical guidelines B. Always aim for a low-cost strategy. C. Clearly differentiate a company from its rivals. D. Establish a position in a uncrowded market.

C D

A typical company's strategy is often both ________, meaning that it plans ways to improve the company's competitiveness, and ______, meaning that it responds to unforeseen market conditions. A) emergent; proactive B) Reactive, proactive C) Reactive; deliberate D) Proactive; reactive

D

the key for a company to achieve competitive advantage is either to provide superior value to customers or to deliver value more A) collaboratively B) Subtly C) Forcefully D) effectively

D