Business Policy multi questions 3

Firms achieve strategic competitiveness by:

. formulating and implementing a value-creating strategy.

Which of the following capabilities meets the criteria for being a core competency, in that it is rare, valuable, costly to imitate, and nonsubstitutable?

A company's history and brand

Which of the following is an intangible resource?

A firm's ability to come up with new and different ideas

Which of the following would be considered a product market stakeholder?

A local pipefitters union dealing with a plumbing contractor

Which of the following could be a part of the analysis stage of the strategic management process?

A review of a company's competitive landscape, identifying competitors, naming their differentiations, and detailing a profile of those competitors' customers

The senior managers of a grocery store chain have a disagreement over the direction of the company. One faction wants to leverage its capabilities and core competencies to take advantage of the opportunities provided by a stronger online presence, including online ordering with both at-store pickup and home delivery. The other faction feels that the company's strengths lie in small, convenient neighborhood stores and the customer service that accompany an in-store shopping experience. The online expansion would be a departure from what the company already knows how to do and would require a significant investment. Those in favor of the changes feel that the potential returns make the investment worthwhile. What concept are those in favor of change struggling against?

Core rigidity

Myspace, the social networking site, was a leader and innovator for modern social networking. However, not long after Myspace's peak, a new social networking site, Facebook, began gaining ground. Myspace quickly became obsolete because of Facebook's superior functionality, design, and features. Which of the following was Myspace lacking that resulted in the company losing its competitive advantage?

Costly-to-imitate capabilities because it became less expensive to start a social networking site

Check My Work Tockit is a children's toy developer that uses the resource-based model of above-average returns. Which of the following steps does it use in its business?

Determine the firm's capabilities.

Which of the following is an example of an operations activity?

Developing employees' work schedules

Analyzing the internal environment enables a firm to determine what it might do by identifying what opportunities and threats exist.

False

Firms should seek to continually develop new core competencies because all core competencies guarantee above-average profit.

False

Value is measured by the variable and fixed costs associated with the production and marketing of a particular product compared with the revenue and profits the product generates.

False

Which of the following company statements is a vision statement?

Habitat for Humanity: A world where everyone has a decent place to live.

Christopher is the manager of the development department for a large company. Recently, he scheduled a meeting with a challenging objective—to discuss a failing project with one of his product development teams. The project is costing a lot of time and money but does not appear to have any return on investment in sight. Which of the following approaches would demonstrate successful strategic leadership?

He should start by thanking the team for their hard work on the project so far but explain the company is no longer pursuing it. He should clearly articulate his vision for the future of the company and the team and set a meeting to debrief on the project.

A nonprofit organization is focused on providing mental health services to the homeless in its geographic area. It serves people by ensuring they receive the public assistance they are eligible for and then connects them with care providers that have expertise working with transient patients. The company's primary expenses are the salary and benefits for its staff of social workers, and it receives government funding to cover those. However, the organization does not have enough people to fill its open positions and has a waiting list of homeless people in need of case workers. Which of the following represents a weakness for the nonprofit organization?

Human resources

According to your textbook, which of the following would be considered an important step in the A-S-P strategic management process?

Identifying marketplace opportunities and threats in the external environment

Apple, a leader in mobile technology products, wasn't always focused on mobile technology. In 2007, the company changed its name from Apple Computers to Apple Inc. This change was indicative of a shift in the industry. Apple began introducing iPods, iPhones, iPads, iTunes, and the App Store. Apple recognized its core competencies in hardware design and software engineering should serve as the foundation of its future strategy. Which of the following tools did Apple use to determine its competitive advantage?

Internal analysis

A hospital system operates 22 physicians' offices, five skilled nursing facilities, and two hospitals. The system employs more than 500 people directly and is affiliated with more than 100 additional physicians. The system offers a wide breadth of medical services, including all of the major specialties. The system was recently recognized as the top cardiac hospital in the state. Which of the following represents the company's capabilities?

Its complete list of medical services

Companies must be aware of technological advances within their industry and make strategic management decisions that take into account perpetual innovation and disruptive technologies. Which of the following is an example of a company that did not respond strategically to technological changes?

Kodak revolutionized the automatic snapshot camera more than 100 years ago, making photography accessible to everyone. When innovators brought digital cameras to the marketplace, Kodak focused on making it easy for people to print their photos using this technology

Marquis is the international operations manager for an athletic clothing line. As part of his responsibilities, he regularly tours the factories of the company's suppliers. He recently took a tour of one of the most efficient plants that delivers low-cost clothing. This gives his company a greater profit margin. However, on the tour, he noticed an 8-year-old child operating one of the machines. Which of the following best describes how Marquis should report back to his CEO about the plant tour?

Marquis should bring this issue to the attention of the CEO and other top leadership immediately. He has a personal, ethical objection to child labor and believes that it is also inconsistent with the company's core values

TaylorTech, a high-quality metals finishing company, is struggling with its margins. TaylorTech has raw materials delivered to its foundry in Pittsburgh, where the company melts the metals into castings. The firm then polishes them as a value-added process before selling the custom castings to customers. Its unique polishing process is rare in the United States, is very secretive, and results in a more efficient cast that commands a premium price. Unfortunately, the casting process is becoming more expensive because of increased wage pressure from the workers specializing in casting. With these issues, TaylorTech has to make a decision. Which of the following is the most viable option for TaylorTech to increase its margins?

Outsource the casting process

Product market stakeholders often have very different priorities, but each can exert power and influence over a company. Which of the following correctly describes a way that a product market stakeholder exerted its power to the potential detriment of a company?

Protesters swarmed and picketed Hobby Lobby after it won a U.S. Supreme Court decision allowing it an exemption from covering employees' contraceptives on religious grounds.

A local community arts nonprofit organization is seeking to expand its programming and is considering putting just one new program in place this year. It may choose painting workshops for people with disabilities, summer camps for young children, a musical performing arts series for skilled musicians, or classes for seniors. The organization's most committed volunteer is a kindergarten teacher who has offered to be the leader of whichever new program the organization implements. If the nonprofit is utilizing the resource-based model of above-average returns, in which of the following ways should it expand its programming?

Summer camps for young children because the organization should use the knowledge of its passionate volunteer to its greatest advantage

A multidivisional corporation that manufactures large steel tanks is considering starting a new business unit to serve the transportation industry. The company is utilizing the industrial organization (I/O) model of above-average returns to develop its strategy. Which of the following decisions is consistent with this model?

The company's research into a new railcar guideline that requires all tanker cars to be replaced or retrofitted over the next five years leads its leaders to start a business that manufactures tanker cars to capitalize on the new demand.

Which of the following is a value-generating activity?

The core competencies that a company holds that make it possible for it to serve customers in a different way from its competitors

Which of the following is an example of the mobility of strategies and resources across firms in the mobile network industry?

The spread of 4G technology between Verizon, AT&T, and Sprint makes the high-speed network available to nearly all mobile phone customers.

Which of the following statements about tangible resources is true?

The value of tangible resources is constrained because they are hard to leverage.

Analyzing the internal environment enables a firm to determine what it can do by identifying resources, capabilities, and core competencies in the internal organization.

True

Creating customer value is the source of the firm's potential to earn above-average returns.

True

Firms achieve strategic competitiveness and earn above-average returns by acquiring, bundling, and leveraging their resources for the purpose of taking advantage of opportunities in the external environment in ways that create value for customers.

True

In today's global economy, some resources that were traditionally critical to firms' efforts to sell goods are now less likely to be a source of competitive advantage.​

True

Resources are the source of capabilities, some of which lead to the development of core competencies. In turn, some core competencies may lead to competitive advantage.

True

Technology has made it more difficult for companies to find ways to develop competitive advantages.

True

Understanding how to leverage the firm's unique bundle of resources and capabilities is a key outcome decision makers seek when analyzing the internal organization.

True

Walmart uses core competencies, such as information technology and distribution channels, to create value for its customers through its "everyday low prices."

True

Michael is the CEO of a manufacturer with plants in three countries. He currently has a product line that is manufactured only in the company's U.S. plant. That product has experienced a steady increase in its export sales to Europe over the last three years. The international sales director is recommending that the company expand manufacturing capabilities at the European plant to include this product line. Michael and his management team must consider whether to pursue this strategy. This is:

a decision that would benefit from using the entire strategic management process.

Value is measured by:

a product's performance characteristics and by its attributes for which customers are willing to pay.

Which of the following describes the relationship between Apple, the leading cell phone manufacturer and applications provider, and King, the developers behind the Candy Crush Saga app? a. Apple and King are complementors. b. King is a supplier to Apple. c. Apple is a customer of King. d. Apple and King are competitors.

a. Apple and King are complementors.

You are hired as a strategic analyst for a Fortune 500 company. Your first task is to develop a competitive intelligence report to find key insights on the rivals' latest actions, current capabilities, and potential future actions. Being new to this type of report and the ethical protocols, what should be your first action? a. Contact the Strategy and Competitive Intelligence Professionals association. b. Analyze the publicly released financial records from six months ago. c. Infiltrate the competitors' headquarters and plant devices to receive information. d. Call the competitors' CEO for an interview.

a. Contact the Strategy and Competitive Intelligence Professionals association.

A company is debating whether to enter a new industry. The first order of business is to conduct an analysis of the five forces. Why is this a crucial first step in the decision-making process of entering a new market or industry? a. If the barrier for entry is low, and suppliers and buyers have strong bargaining positions, the venture will most likely fail. b. If the barrier for entry is high, and suppliers and buyers have strong bargaining positions, the venture will most likely succeed. c. If the barrier for entry is low, and suppliers and buyers have strong bargaining positions, the venture will most likely succeed. d. If the barrier for entry is high, and suppliers and buyers have little bargaining power, the venture will most likely fail.

a. If the barrier for entry is low, and suppliers and buyers have strong bargaining positions, the venture will most likely fail.

In an external environmental analysis, there are two important elements that need to be identified. What are those two elements? a. Opportunities and threats b. Opportunities and weaknesses c. Strengths and weaknesses d. Threats and strengths

a. Opportunities and threats

Potential competitors may enter an industry and begin to take market share from existing companies. Which of the following is one of the largest challenges a new entrant needs to overcome to be successful when entering an industry? a. Production costs are high and require high volumes to achieve profitability. b. There may be a lack of products that go along with the product. c. Several powerful retailers provide the only access to customers. d. Very few customers are currently buying a product.

a. Production costs are high and require high volumes to achieve profitability.

Suppliers are most powerful when a company: a. would have switching costs if it went to a different supplier because the current supplier's products are unique. b. has multiple suppliers to choose from that produce similar components at similar quality. c. buys from a supplier in large quantities, making up 50 percent or more of the supplier's total sales. d. has the capability of producing the end product without the supplier.

a. would have switching costs if it went to a different supplier because the current supplier's products are unique.

Which of the following describes a company that has delivered above-average returns to its investors?

b. A tool manufacturer that announced it will increase its dividend payment—the highest dividend amongst all of its industry competitors—for the upcoming quarter due to market share gains in overseas markets

Car manufacturers have a large lead time on new products. If an idea for a feature on a vehicle is developed, it will likely be two years before consumers know about it and can decide if they want to buy it. Consumer trends are sometimes short lived as they are always evolving. Which external environmental analysis element is a primary focus of car manufacturers? a. Forecasting b. Assessing c. Scanning d. Monitoring

b. Assessing

Which of the following is NOT a concern of a competitor analysis? a. Intelligence about what the competitor believes about the industry, as shown by its assumptions b. Data on what the competitor's available funds are for innovation, as shown by its balance sheet c. Information about what the competitor is doing and can do, as revealed by its current strategy d. Information about what drives the competitor, as shown by its future objectives

b. Data on what the competitor's available funds are for innovation, as shown by its balance sheet

What are the possible repercussions of a company that performs unethically in order to receive competitive intelligence to gain an advantage? a. Significant prison sentences b. Possible jail time or fines, but not always c. No threat of legal action, as unethical actions are not necessarily illegal d. No threat, as unethical actions will be kept secret

b. Possible jail time or fines, but not always

What is a set of competitive firms emphasizing similar strategic dimensions and using a similar strategy? a. Collusion group b. Strategic group c. Complementors d. Business partners

b. Strategic group

What is the most likely outcome for a company if the executives never analyze a competitor's possible reaction to competitive actions the firm takes? a. The company will most likely fail due to unlawful actions that it was unaware of. b. The company will most likely fail because the competitor might neutralize its competitive advantage. c. The company will still succeed if it has effective marketing. d. The company will still succeed as long as it has an efficient corporate structure.

b. The company will most likely fail because the competitor might neutralize its competitive advantage.

In 2011, Apple and Samsung were in a legal battle over patenting. Apple and Samsung mutually accused each other of infringing on intellectual property, and each took action legally. Why would both parties want to spend the time and resources to reclaim their intellectual property? a. To distract the competition and hopefully gain a competitive edge in the meantime b. To neutralize a threat that could hinder strategic competitiveness c. To ruin the reputation of the other company d. To receive compensation, as both companies were struggling financially

b. To neutralize a threat that could hinder strategic competitiveness

A telecommunications company is impacted by government regulations of the wireless spectrum, cell tower locations, and Internet accessibility. The company decides to hire a lobbying firm to represent its interests with the U.S. government, specifically the FCC, FTC, and Congress. This is an example of a company managing _____ forces in the macroenvironment. a. technological b. political/legal c. global d. social

b. political/lega

A software company that is seeking a sustained competitive advantage will constantly be facing obsolescence because of environmental change. To generate a sustained competitive advantage, this company must:

be continually building its technological capabilities to develop new skills as technology advances so that it can offer constant upgrades to meet customers' needs.

An industrial tool manufacturer relies on a particular distributor network. This distributor network has the largest online outlet and store network, and its product lines are aimed at construction workers. The distributor network is seeking a manufacturer to provide it with private-label products, as it has decided to offer only its own product line in this category of industrial tools. Now, the industrial tool company must decide whether to agree to this proposition or lose this network as a customer. This is an example of which of the competitive forces at play in this industry? a. Rivalry among competing firms b. Industry competitive structure c. Bargaining power of buyers d. Bargaining power of suppliers

c. Bargaining power of buyers

General Electric (GE), the multinational conglomerate, is researching rivals in the appliance industry by analyzing the financials, current product offerings, and strategies of competitors in order to gain insight as to how to gain a competitive advantage. Which of the following is GE performing? a. Industry analysis b. External environmental analysis c. Competitor analysis d. General analysis

c. Competitor analysis

The executive leadership team of a large corporation is analyzing a report. The report's contents have information that can be used to better understand and anticipate a competitor's objectives, strategies, assumptions, and capabilities. Which of the following is the term for the report being analyzed? a. Internal analysis b. SWOT analysis c. Competitor intelligence d. External environmental analysis

c. Competitor intelligence

Through research and development (R&D), a cable company has found a way to use its existing network lines to serve customers with a new product offering—home security systems. The company is offering the service with a lower monthly fee than most other security companies. However, the sales force didn't see a lot of interest among its customers who had an existing security system from a competitor until they ran a promotion for reduced prices on equipment and free installation. Which of the competitive forces is at play? a. Bargaining power of suppliers b. Complementors c. Customer switching costs d. Cost conditions

c. Customer switching costs

Many large corporations have a presence in Washington D.C. in the form of lobbyists. These individuals attempt to have their voice, and the voice of the company they represent, heard. If there is a potential advantage to be had due to new legislation or implementation/abolition of laws and rules, it is the lobbyists' duty to ensure it is in their company's favor. Which of the following segments is this process referring to? a. Sociocultural segment b. Governmental segment c. Political/legal segment d. Economic segment

c. Political/legal segment

The term "white space" has become a very popular term over the last few years. This term describes a space in the competitive landscape that competitors are not occupying. Pricing, quality, and distribution channels are examples of what may be plotted along strategic dimensions to determine points of parity and points of difference. As a company, do you want to be in the "white space"? a. No, as the void in that space most likely is due to a disadvantage b. Yes, as you will be easily identifiable from the competition as having vastly different capabilities c. Possibly, as the "white space" could be a place that is competitive but has been neglected or could also be a space that is not competitive or profitable d. No, as you will not be associated with the competition

c. Possibly, as the "white space" could be a place that is competitive but has been neglected or could also be a space that is not competitive or profitable

Capabilities are the:

combination of tangible and intangible resources used to complete the organizational tasks required to produce, distribute, and service the goods or services the firm provides to customers.

A company has identified a core competency in providing telecommunications services for mid-sized businesses through a combination of simple technology and software, excellent customer service, and low-cost hardware. As competitors gain ground in competing for mid-sized companies, this core competency might become a core rigidity if the:

company doesn't keep up with advances in technology and customers begin to expect greater value from the technology.

Organizational culture is the:

complex set of ideologies, symbols, and core values that individuals throughout the firm share and that influence how the firm conducts business.

A company is analyzing its value chain to discover its value-creating activities. While formulating its strategy, the firm will:

consider the value chain activities and support functions to determine which activities contribute the greatest value in the product or service being sold to customers.

A core rigidity arises when a:

core competency generates inertia and stifles innovation, often because of conditions in the external environment.

Cisco is a technology company looking to diversify its portfolio and compete in a new market. After conducting a scan and forecast, the consultants hired by Cisco provide several options. In which of the following economic segments should Cisco seek to compete? a. A stable economy with a declining growth potential b. An unstable, new economy that has an attractively high growth potential c. A very stable economy with low growth potential d. A relatively stable economy with strong growth potential

d. A relatively stable economy with strong growth potential

Which of the following would be deemed unethical when developing competitor intelligence? a. Analyzing competitors' financial reports b. Attending trade shows solely to obtain knowledge of competitors' new products c. Obtaining court records in an attempt to find statements that may not be found anywhere else d. All of these actions are ethical.

d. All of these actions are ethical.

What is a competitor analysis? a. A robust analysis of one specific competitor b. A SWOT report of a competitor c. An internal report of what a competitor may discover if the competitor analyzed the company d. An analysis of companies with which a firm competes directly

d. An analysis of companies with which a firm competes directly

In the toy industry, Mattel is one of the world leaders, especially with their line of Barbie dolls. However, it has faced competition from MGA Entertainment, who has produced Bratz dolls since the 1990s. Which of the following statements is true about the strategic group in which these companies compete? a. The companies are dealing with the same competitive forces as all of the other companies in the toy industry. b. The two companies occupy different strategic groups and will likely have very different competitive forces and different strategies. c. Since they are both toy companies, they both have the ability to quickly pursue the toy truck market with minimal investment. d. By competing in the same strategic group, the two companies are dealing with customers who view their products as direct substitutes for each other.

d. By competing in the same strategic group, the two companies are dealing with customers who view their products as direct substitutes for each other.

What is the term that is concerned with a population's size, age structure, geographic distribution, ethnic mix, and income distribution? a. Political/legal segment b. Sociocultural segment c. Economic segment d. Demographic segment

d. Demographic segment

Procter & Gamble (P&G) is a consumer products company that is consistently implementing scanning systems of the environment. They want to identify early signals of environmental changes and trends. P&G's competitors also frequently utilize scanning systems but are not as competitive as P&G. Which of the following could be the reason for P&G's competitiveness? a. The competitors are not as educated as P&G's executives b. P&G's reports are more robust and contain insider information c. The competitors are less concerned with competitive advantages d. P&G's ability to take action on ambiguous, incomplete, or unconnected data

d. P&G's ability to take action on ambiguous, incomplete, or unconnected data

The country's largest landscape company is the result of a merger between two multistate firms, Brickman Group and ValleyCrest. Now called BrightView, the $2 billion firm was created in 2015. The company is operating in a fragmented industry dominated by small, local businesses. Which of the following identifies a relevant competitive force and a way the company might leverage it? a. Complementors: BrightView will need to collaborate with other companies to develop outdoor products because there are not enough complementary products in the marketplace to make homeowners value their landscaping. b. Bargaining Power of Buyers: BrightView can expect customers to purchase from it because of brand loyalty. c. Bargaining Power of Suppliers: BrightView will have difficulty leaving the landscape industry because of its investment in this merger and the cost of all of the landscape equipment included among both companies' assets. d. Threat of New Entrants: BrightView may be able to lessen the impact of this force in a low-barrier industry through economies of scale, specifically discounts on bulk purchases of raw material inputs.

d. Threat of New Entrants: BrightView may be able to lessen the impact of this force in a low-barrier industry through economies of scale, specifically discounts on bulk purchases of raw material inputs

Strategic groups exist because: a. government regulators have different rules for companies based on the size of the company, geographic headquarters, and number of employees. b. customers want variety in the products and services they select, and different brands can serve customers' needs differently. c. industries are one-dimensional, and all businesses within an industry utilize the same resources and same strategies to achieve their goals. d. companies within the same industry may position themselves differently regarding distribution channels, market segments, and other differentiators, and affects their strategies.

d. companies within the same industry may position themselves differently regarding distribution channels, market segments, and other differentiators, and affects their strategies.

The _____ environment is the set of factors that directly influences a firm and its competitive actions and responses within the industry. a. competitor b. political/legal c. internal d. industry

d. industry

The five competitive forces include all of the following forces that shape competition within an industry EXCEPT: a. threat of substitute products. b. threat of new entrants. c. bargaining power of suppliers. d. rate of innovation and change.

d. rate of innovation and change.

As an industry environment evolves over time, the: a. industry becomes more profitable. b. number of companies is reduced, and the environment becomes more consolidated. c. strategic groups become less attractive to new entrants. d. strength of the competitive forces in the industry change.

d. strength of the competitive forces in the industry change.

A sporting goods company developed an innovative material for the manufacture of baseball bats. For many years, the material and its process for manufacturing served as a rare and valuable capability, distinguishing it from competitors. Unfortunately, many of the baseball leagues have been changing their regulations to outlaw bats made of this material because they constitute an unfair advantage for players. As part of its internal analysis, its leaders might:

determine if the company's core competency is in research and development of different materials or only in working with this material specifically.

Cell phones and digital music files are examples of:

disruptive technologies.

An industrial fabrication firm has purchased a facility capable of housing large-scale projects—as long as 120 feet. The firm could develop this tangible resource into a capability by:

employing engineers who can design large projects and welders who have expertise in these projects.

An assumption of the industrial organization (I/O) model of above-average returns that supports the need for a firm to find the most attractive industry in which to compete is that:

firms possess the same types of resources with value and those resources are mobile across companies

The strategic management process is the:

full set of commitments, decisions, and actions firms take to achieve strategic competitiveness and earn above-average returns.

Logan is an entrepreneur and president of his own company that makes a new software product that manages benefits administration for large multinational corporations. His startup company grew quickly to a team of about 25. A new federal law recently passed by Congress will cause small-business owners to invest in software like his to manage employee health care. Logan announces that the company will be investing in training for employees to better understand small-business owners and research and development (R&D) to create a small-business version of the software. This is an example of:

having a strong strategic orientation and promoting innovation as a strategic leader.

A capability meets the criteria of being valuable when:

it helps a firm exploit opportunities in its external environment.

A resource or capability can be classified as a core competency that can be a source for a sustainable competitive advantage if:

it is different and better than the way a competitor is executing the same capability.

A capability is considered rare when:

it is possessed by few, if any, other firms.

An attorney has grown his law firm, gaining new clients in two diverse areas—estate law and immigration law. He's not sure which specialty will become his focus in the long run. At the same time, he believes he has enough work to support hiring a paralegal. However, he is having trouble hiring a paralegal who can manage both types of clients. He was able to find a freelance paralegal referral service that connects attorneys to paralegals who have experience in a variety of specialties. He might consider outsourcing through the referral service because:

it provides him with the flexibility to gain capabilities to serve both types of clients without making a long-term investment.

A firm should analyze its internal organization as part of the strategic management process because:

it provides the insights the firm requires to match what the firm can do with what the firm might do when formulating strategies.

Strategic leaders:

must have tenacity and a willingness to be brutally honest in order to be successful.

All of the following are analyzed during a SWOT analysis EXCEPT:

objectives

Which of the following is the most critical criterion in prioritizing stakeholders?

power

Outsourcing is the:

purchase of a value-creating activity or a support function activity from an external supplier.

The industrial organization (I/O) model of above-average returns:

puts emphasis on the external environment, which plays a role in determining a company's ability to achieve above-average returns.

A company owns a patent, with six more years of protection, on a prescription medication that is used by people around the world. This resource is:

rare and valuable.

Capital market stakeholders are most satisfied when a company's:

returns align with the amount of risk they incurred by investing in a company or lending the company money.

Hypercompetition describes a competitive landscape in which:

rivalry tends to occur among global competitors who innovate regularly and successfully.

A vision statement differs from a mission statement in that the vision statement:

speaks in broad terms of what the company wants to achieve.

If a U.S.-based automobile parts supplier were to apply a global mind-set to its internal analysis, it would:

study all of its internal resources with an understanding of which capabilities offer value to meet the needs of U.S., Japanese, European, and Korean automakers.

In the resource-based model of above-average returns, a capability is:

the capacity for a set of resources to perform a task or an activity in an integrative manner.

According to the resource-based model of above-average returns, differences in firms' performance across time can be attributed to the:

unique capabilities and resources of each company.

BlackBerry, a one-time leader in secure cell phones, lost its edge. Without significant upgrades or innovation, the company quickly lost market share to iPhones and Android devices. The company attempted to imitate these advances with the Blackberry Storm product, which flopped. Blackberry was criticized as trying to leverage capabilities beyond its core competencies. Which of the following tools should Blackberry use to regain a scope of its core competencies and determine potential sources of competitive advantage?

value chain analysis

A _____ is a picture of what the firm wants to be and, in broad terms, what it wants to achieve.

vision

In the process of conducting an internal analysis and making decisions, a manager faces the challenge of uncertainty:

while gathering complete information about the characteristics of the firm's general and industry environments and customers' needs.