itm 4278 ch 2

An asymmetry exists whenever all participants in a market have equivalent resources.

False

________ and ___________ are typically the most easily identifiable aspects of a company's business model.

Revenue model; value proposition

All of the following may lead to a competitive advantage except:

fewer products.

A strategy designed to compete within a narrow market or product segment is called a ________ strategy.

focus

Organizations that typically provide an array of services to start-up companies along with a small amount of funding are referred to as:

incubators.

The existence of a large number of competitors in any one market segment may indicate:

the market is saturated.

A perfect market is one in which:

there are no competitive advantages or asymmetries because all firms have equal access to all the factors to production.

The basic value proposition of community providers is:

they offer a fast, convenient one-stop site where users can focus on their most important concerns and interests.

________ and ________ are typically the most easily identifiable aspects of a company's business model.

Value proposition; revenue model

The ability to retain user attention and engagement is an important attribute for which revenue model?

advertising revenue model

If you wished to leverage the ubiquitous nature of the Web to differentiate your product, you would:

enable individual customization of the product by consumers.

A firm's __________ model describes how a firm will produce a superior return on invested capital.

revenue

A firm's ________ describes how a firm will produce a superior return on invested capital.

revenue model

Portals primarily generate revenue in all of the following ways except:

sales of goods.

A(n) ________ strategy is a strategy to compete in all markets around the globe rather than merely in local, regional, or national markets.

scope

Which of the following are Amazon's primary value propositions?

selection and convenience

Which of the following factors is not a significant influence on a company's competitive environment?

the availability of supportive organizational structures

Which element of the business model addresses the question of why a customer should buy from the firm?

value proposition

All of the following can be considered a direct or indirect competitor of Amazon except:

Starbucks.

Which element of the business model relates to the power of customers and suppliers with respect to a business?

competitive environment

A(n) ________ marketplace supplies products and services of interest to particular industries.

vertical

Sharing economy companies are characterized by the free sharing of resources between the company and consumers.

False

Which of the following statements about Foursquare is not true?

Foursquare's business model faces significant intellectual property concerns.

E-commerce has increased price competition in nearly all markets.

True

Interactivity that enables product customization alters industry structure by reducing the threat of substitutes.

True

Social technologies change industry structure by shifting programming and editorial decisions to consumers and creating substitute entertainment products.

True

The Internet's universal standards can change industry structure by lowering barriers to entry and intensifying competition within an industry.

True