Chapter 2

What are the two main categories in a value chain analysis? Primary value activities and secondary value activities. Primary value activities and support value activities. Primary value activities and strengthening value activities. None of these.

Primary value activities and support value activities.

Amazon.com uses a customer-profiling system whenever a customer visits its website. Using this system, Amazon can offer products tailored to that particular customer's profile and buying pattern. What is Amazon using to achieve this competitive advantage? Product differentiation. Rivalry. Buyer power. Substitute product.

Product differentiation.

Your boss, Ty Jacob, has asked you to analyze the music industry using Porter's five forces model. Which of the following represents supplier power in the music industry? Established record labels like EMI, Sony, Universal. Walmart, Target, iTunes. Game systems like Wii, social networks like Facebook. Taylor Swift, Beyonce, The Beatles, The Stones.

Established record labels like EMI, Sony, Universal.

Your boss, Kerry Miller, has asked you to analyze the soft drink industry using Porter's Five Forces Model. Which of the following represents a substitute product in a soft drink industry? Zevia Natural Diet Soda begins selling directly over the internet. Walmart negotiates a lower cost per bottle from Coke in exchange for premium shelf space in every Walmart store. Pepsi requires stores that carry Pepsi products to commit to minimum orders of 1,000 cases. Vitamin water, fruit juice, and coffee.

Vitamin water, fruit juice, and coffee.

A business strategy achieves a specific set of goals, which includes ________. attracting new customers and developing new products or services developing new products or services and attracting new competition increasing costs and attracting new competition all of these

attracting new customers and developing new products or services

Which of the following represents a reason why competitive advantages are typically temporary? The competitor seeking ways to duplicate your business operations. The competitor acquiring new technology. All of these. The competitor hiring your key employees.

All of these.

Your boss, Ty Jacob, has asked you to analyze the music industry using Porter's five forces model. Which of the following represents the threat of substitute products or services in the music industry? Established record labels like EMI, Sony, Universal. Independent record labels. Game systems like Wii, social networks like Facebook. Taylor Swift, Beyonce, The Beatles, The Stones.

Game systems like Wii, social networks like Facebook.

If a business is following a focused strategy then its competitive scope is _______. Broad market Narrow market Broad range products Broad range of services

Narrow market

Which of the below is similar to focused strategy versus broad strategy? Large market versus leadership. Large market versus uniqueness. Niche market versus large market. Niche market versus generic.

Niche market versus large market.

Imagine you are creating a new product to sell in an up and coming market. Which of the following statements indicates that it would be easy for you, as the new entrant, to compete in this market? The threat of new entrants is low in the up and coming market. The threat of new entrants force is impossible to define in the up-and-coming market. The threat of new entrants force is high in the up-and-coming market. All of these depending on the time of year.

The threat of new entrants force is high in the up-and-coming market.