Management Final

Blue Ocean strategies always involve increasing the price of the product or service.

False

The primary reason Ringling Brothers Circus went out of business was because of Cirque Du Soleil's success.

False

Which of the following is NOT a strategic decision by Ford?

Changing steel suppliers to get a less expensive price for steel

Google and Apple are serious threats to Ford.

True

Which of the following is not a good example of a disruptive technology?

Uber

Which of the following is NOT part of evaluating a firm's business model?

Understanding how a firm expects raise money for acquistions.

Southwest has a strong business model because:

Value, manages costs, Competitive advantage

Media content has moved from paper, tape, and film to a digital world based on Internet technology. From the perspective of the five forces model, which force is most relevant here?

substitutes

Which of the following is NOT true About Blue ocean?

Finding a Blue Ocean Strategy is relatively low risk

Why is Blue Ocean strategy important?

It provides an alternative to traditional Competitive Strategy models and creates new ways to think about a business

All of the following are effective ways that large companies use to manage disruptive innovation EXCEPT:

Putting more money into advertising and promoting their products

Companies can make profits without having a Vision or Mission statement. A well thought out Mission/Vision statement can help a company achieve above average returns.

True

Corporate-level strategy is concerned with and how to manage these businesses.

what product markets and businesses the firm should be in

Which of the following is NOT true?

It is uncommon to find false information on someone's resume

Components of a Performance Focused Culture ?

- Clear Expectations, Goals, and Deadlines - Detailed Appraisal of Employee Performance - Clear Feedback on Performance - Manager and Employee Training as Needed - Consequences for Performance

Dr. Morris Massey is well known for his work on Value Programming. How many transition "Periods" does a person experience by age 21?

3

Google acquired Motorola in 2011 for $12.5 Billion. This was what type of transaction?

Acquisition

Which of the following is the best example of Low-end Disruption?

AirBnB

MoviePass is the firm that created a monthly movie pass for $19.95 that consumers could use to see as many movies at the theater as they wanted each month. What was the problem with its business model?

All 3 of these were problems for MoviePass.

A problem that can occur with an acquisition is:

All of the above

Situational Leadership by Ken Blanchard:

All of these

Which of the following is important to conducting an effective PESTEL analysis:

Brainstorming, precision, assessing, and Prioritizing

Which acquisition would be considered the LEAST related?

An upscale "white-tablecloth" restaurant chain acquires a travel agency.

According to a 2016 Gallup Survey, "Engaged" employees will NOT

Be 50% more creative than their peers

Disruptive Innovation Leaders are good at all of the following EXCEPT:

Being humble when necessary

Which of the following is NOT important when considering whistle blowing?

Being personally motivated by the action

Blood banks are highly dependent on donors. In the terminology of industry analysis, which statement of donors is accurate?

Blood donors are suppliers and are powerful because of the critical nature of what they provide to the blood bank.

Which of the following is not a reason to make an acquisition?

CEO can earn more money

Which of the following steps toward making an ethical decision includes utilizing checks such as the Platinum Rule test and the Mom test?

Check your instincts

An external analyis of the macro environment does NOT include:

Competitive factors

Which one of the following is NOT a stakeholder in Enterprise purpose?

Competitor

According to Kotter, which one of the following is NOT a leadership attribute:

Controlling & Problem Solving

Which of the following steps to making an ethical decision follows the fact-gathering step?

Define the ethical issues

Which of the following can be used to determine how much to pay for a company?

EBITDA

Mission and Vision are the same thing. Many companies use them interchangeably and there is essentially no difference between the two.

False

Millennials/Generation Y were born between 1983-2000. Which of the following is NOT a preferred leadership approach?

Have the boss make decisions whenever possible

A company's mission can:

Help all employees focus on tasks that will be supportive of the company's goals and objectives.

Jim Collins believes it is important "Getting the Right People on the Bus". You can do this by :

Hire people who already share core values

The following are attributes of the "Comfort Zone" EXCEPT:

Honor

Which of the following industries is LEAST likely to be affected by the development of autonomous (self-driving) vehicles?

Housing

Which of the following is NOT a question that great managers ask themselves when making a tough ethical decisions?

How can I gain from this decision?

Porter and Lawler argue that

If rewards are adequate, high levels of performance may lead to satisfaction

A Company's Vision can:

Impact culture, retain talent, Create a purpose

Which of the following is an important competitve success factor for top performing companies?

Innovative products and services, Effective use of valuable competencies, Focusing on customer needs, Having and entrepreneurial mindset

Blue Ocean Strategy is most closely aligned with which of the following 5 business strategies from Michael Porter?

Integrated Cost Leadership/Differentiation

Which of the following is NOT an ethical decision-making myth?

It is hard to be ethical

Which of the following is NOT good advice about making ethical decisions?

It is important to come to quick decisions to resolve these important matters

Which of the following is part of strategy?

Making management decisions, Identifying and developing competitive long term advantage, Making decisions on what not to do, Generating above average returns and profits

Which of the following are links in the value chain that defines an aligned enterprise?

Management systems, resource architecture, business strategy, Organizational capability, Enterprise purpose

Which of the following is NOT one of the adjacent segments that Yellow Tail added to their target market as they expanded their Blue Ocean efforts

People who like Australian cuisine

Which one of the following is NOT one of the needs of the Clayton Alderfer theory?

Money

Employee performance requires the right combination of:

Motivation, Ability, Environment

David McClelland acquired framework states

Need for affiliation Need for Power, Need for Achievement, Needs are acquired, or learned, from cultural, societal, and family influences

Which of the following is not an entitlement compensation philosophy?

No raises for poor performing employees

Which one of the following is NOT an integral part of John Maxwell's 5 Levels of Leadership?

People follow you because of charisma and communication skills

Which of the following are components of Resource Architecture?

People, Culture, Structure, Process

Millennials:

Quick Learners, driven, Flexible, high expectations, can appear self-absorbed

Which of the following is not part of Blue Ocean strategy?

Reduce product quality

All of the following were key to Cirque Du Soleil's Blue Ocean Strategy EXCEPT:

Reduce the appeal to children

Applicant Sourcing can come from multiple channels. Which of the following channels has the shortest average time to hire?

Referrals

If Southwest Airlines employees lost their high enthusiasm and commitment to the company,

Southwest would have lost one of its competitive advantages and its performance would be threatened.

In the Apple case about creating a backdoor to the iPhone it is clear that

That this a Right vs. Right struggle where there is not easily found ethical solution.

Which of the following, identified in an analysis of the external environment, is an opportunity for an entrepreneur who wishes to open a business providing "Fitness for Life" physical conditioning services (strength, balance, and flexibility training) in a city of 100,000 people?

The average age of the population in his community is high.

Theory Y by Douglas McGregor states:

The average person has significant untapped capacity for creativity and ingenuity

The main reason Telsa has NOT perfected its business model is because:

The cost of running the company is very high causing uncertainty about the company and its ability to be profitable long-term.

A certain marble quarry provides a unique type of marble that is richly colored and strikingly veined. It has been used for churches and public buildings throughout the world. The architect of a new headquarters for a prestigious Fortune 500 firm has specified the use of this marble, and this marble only, for this project. Which of the following statements is most likely to be true?

The cost of the marble will be expensive because of the bargaining power of the supplier.

In the last few years, all of the following have had a major effect on strategic planning EXCEPT:

The difficulty in raising finanical capital

Which one of the following is NOT how Corporate Culture can affect acquisitions?

The type of industry you are in

Marvel could produce a movie for 30% less than other high end Hollywood Studios because of lower overhead.

True

Which of the following questions is NOT part of Organizational Capability?

What is the company's views towards corporate politics?

Which of the following questions does NOT apply to Business Strategy?

Who are your largest shareholders?

Wholesome Pet Food has successfully specialized for 20 years in high-quality pet food made from all-natural ingredients and organically raised lamb. This brand has a strong following and is recommended by veterinarians who practice in affluent neighborhoods. Wholesome's main supplier of lamb has announced that the price for lamb will be 15 percent higher next year.

Wholesome will probably be able to pass the cost on to its customers because they are less sensitive to price increases than the average buyer.

Yellow Tail wine was successful because it did all of the following EXCEPT:

Win prestigious medal awards for their wines

Frederick Taylor's research indicated that

Workers are motivated purely by money

According to Maslow's Hierarchy of Needs which of the following does NOT apply?

You can exist in multiple stages of the hierarchy at the same time

A cost leadership strategy provides goods or services with features that are

acceptable.

When a firm is able to produce nonstandardized (that is, distinctive) products for customers who value differentiated features more than they value low cost, the firm is successfully implementin

a differentiation strategy.

Looking at the business model of a firm is:

a key part to evaluating a firm's overall strategic efforts.

Moving into international markets is a particularly attractive strategy to firms whose domestic markets

are limited in opportunities for growth.

Which of the following is NOT an entry barrier to an industry?

bargaining power of suppliers

If you believe in Conscious Capitalism, you would agree with all of the following EXCEPT:

capitalism is the root of evil and little good comes from it

The differentiation strategy can be effective in controlling the power of rivalry with existing competitors in an industry because

customers are loyal to brands that are differentiated in meaningful ways.

A company pursuing the differentiation or focused differentiation strategy would tend to

develop flexible systems that allow rapid response to customers' changing needs.

A global corporate-level strategy emphasizes

economies of scale

Global warming and energy consumption trends are _________________ aspects of the that firms should monitor.

environmental

A U.S. manufacturer of adaptive devices for persons with disabilities is considering expanding internationally. It is a fairly small company, but it is looking for growth opportunities. This company should primarily consider the option of

exporting

Ikea offers young customers a selection of home furnishings featuring good design, function, and acceptable quality at low prices. Ikea is using which business-level strategy?

focused cost leadership

A transnational corporate-level strategy seeks to achieve

global efficiency and local responsiveness.

An analysis of the economic segment of the external environment would include all of the following EXCEPT:

income distribution

Customer loyalty programs such as airline frequent-flyer miles are an attempt to

increase customers' switching costs.

Zara has pioneered "cheap chic" in clothing apparel. Zara offers current and desirable fashion goods at relatively low prices. To implement the strategy, Zara uses sophisticated designers and effective means of managing costs. These are all characteristics of which business level strategy?

integrated cost leadership/differentiation

A company using a narrow target market in its business strategy is

limiting the group of customer segments served.

The Mars acquisition of the Wrigley assets was part of its related constrained diversification and added market share to the Mars/Wrigley integrated firm. It allowed Mars to gain _______________ because it could sell its products above the market level or reduce its costs below the market level.

market power

Backward integration occurs when a company

produces its own inputs

Ever-improving levels of efficiency enhance profit margins for a cost-leader. This effects which of the five forces of industry structure most directly?

potential entrants

Which of the following reasons for diversification is most likely to increase the firm's value?

reducing costs through business restructuring

Which of the following would NOT be identified in an analysis of the economic portion of the general environment?In a suburban community outside a city in Alabama, a retail store opened that specialized in dancewear for children and adults. It was moderately successful for five years until the local newspaper published an exposé that scanty lingerie stocked in the back of the store's showroom was selling briskly to a certain clientele. Afterward, the store lost most of its customers and nearly closed. Which segment of the environment did the store owners fail to take into account when they began selling the lingerie?

sociocultural segment

Utilitarian theory says

the best decision is the one that provides the greatest good for the greatest number

A multidomestic corporate-level strategy is one in which

the firm customizes the product for each country in which it competes.

Suppliers are powerful when

they offer a credible threat of forward integration

A firm successfully implementing a differentiation strategy would expect

to charge premium prices.

When selecting a business level strategy, the firm must determine all of the following EXCEPT

why should these customers' needs be satisfied?