Management Final Exam
What is the starting awareness percentage of a new product
25%
You are charged a _______ brokerage fee to issue stock and _______ brokerage fee to retire stock
5% & 1.5%
You are charged a _________ brokerage fee to issue bonds and a ___________ brokerage fee if you retire bonds prior to their maturation date
5% & 1.5%
A company can produce up to _________ products
8
The Capstone courier is
A 12 page financial report from the past
The perceptual map is
A marketing tool used to compare performance against size
The 5 market segments learned in the Capstone guide are the following
High end, low end, traditional, performance, and size
Increasing a product's reliability will result in which of the following changes to production costs?
Higher material costs
As discussed in chapter 7, which of the following is the best question to ask when considering firms' international expansions
How much control can we afford to lose, and still confidently expect desired outcomes
Organizational performance is best measured by determining
How well the organization is reaching its goals
As discussed in chapter 5, Michael Porter popularized the consideration of two critical dimensions for defining a business-level strategy. Those two dimensions were ___________ and __________
Scope of operations and competitive advantage
R&D projects can drive a product's
Size, performance, reliability, and age
Which of the following is not a type of market segment in Capsim?
Standard
As discussed in chapter 4, the resource-based approach primarily affects SWOT analyses in the areas of _______________
Strengths and weaknesses
As discussed in chapter 9, how does structure affects firms' ability to execute its strategy
Structure, depending on agility needs, is more or less divided to support execution needs
As discussed in chapter 3, rivalry is generally lower when
Switching costs are high
In Capstone, pricing standards are set by
The customers in each market segment
The higher a company's automation level
The lower a company's labor cost and the more difficult it becomes to move a product long distances
When going to a new automation level
There is a 1 year lag
When a product is moved to a new location on the perceptual map, the perceived age is
divided in half
How many products does every team start with
One for each market segment (5)
As discussed in chapter 1, strategy can manifest itself through several fashions. Which of the following manifestations was NOT mentioned?
Probability
The account payable lag has implications for
Production
As discussed in chapter 4, SWOT analyses might be misleading if __________________
Resources are incorrectly categorized and strengths and weaknesses
What is the sales revenue and type of company used in Capsim?
$100 million electronic sensor company
How much is the electronic sensor company worth at the beginning of the year?
$100,000,000
What is the minimum amount of time that it takes to create a new product
1 year
Which automation rating requires the longest time to reposition a product?
10
At which point does the perceived age of a traditional product peak?
2
A production line with 1,000 units of capacity has a max production capability of
2,000
How can assembly lines double their capacity
Add a second shift
Dividends are paid to stockholders in
Annual installments at a rate per share that you establish at the beginning of the year
Capital needed for company activities cannot be acquired through
Arbitrarily firing employees
The promotion budget affects
Awareness
As discussed in chapter 8, a good example of _________ would be seen if Starbucks purchased a coffee bean farm
Backward vertical integration
R&D projects for existing products can
Change the MTBF specifications to match the needs of the segment, lower actual shelf life of products, and control product placement on the perceptual map
As discussed in chapter 1, strategic management at its simplest explanation is all about what
Choices
As discussed in chapter 5, which of the following tactics is NOT recommended when pursuing an overall cost leadership strategy
Competing based on uniqueness
As discussed in chapter 9, why are control mechanisms important?
Control mechanisms illustrate where firms should be
The finance department can use which of the following methods to acquire capital for company activities
Current debt, stock issues, bond issues, and profits
Time, quality, performance, service, and cost are sample metrics for assessing performance in the ____________ of the BSC
Customer perspective
As discussed in chapter 7, which of the following was NOT listed as a benefit of extending firms' operations to international presences
Decreased chance of fighter brands
As discussed in chapter 9, how do certain legal forms of business simplify/complicate execution of certain strategies?
Effects of decisions are amplified and/or divided based on where decisions are made (structure)
As discussed in chapter 7, international strategies typically stem from firms' decision to exchange _________ for ___________
Efficiency & responsiveness
As presented by the guest speaker in class, simply speeding up the OODA loop is not the most important concern. While speeding up the loop is important, quality of the decision matters too. Among many possible solutions to accomplish both priorities (speed and quality), what solution did the class offer to help with this problem?
Efficiently collect quality data so specialists can make decisions instead of process data
As discussed in chapter 3, rivalry is generally higher when
Exit barriers are high
As discussed in chapter 4, Barney (2001) said firms that build their strategies around tangible assets outperform firms that build strategies using intangible assets. True or False?
False
As discussed in chapter 7, firms benefit when domestic customers are perfectly willing to purchase inferior products. True or False?
False
As discussed in chapter 6, before making ______________ competitive move, a good question to ask is "can our firm establish dominance?"
First mover advantage
As discussed in chapter 6, all of the following answers were mentioned as examples of cooperative strategic moves except ____________
Footholds
As discussed in chapter 7, which of the following was NOT discussed as a concern for extending firms' operations to international precenses?
Forecasting risks
As discussed in chapter 10, several common decision-making errors were discussed. One such error exists when facts are presented positively or negatively, depending on the perspective of the person/group presenting the fact. This error is best described as ______________
Framing error
When an R&D effort started in 2001 completes on September 15, 2002 the product revision kicks in
Immediately upon completion
In Capstone, increasing performance and shrinking size does what to the material cost
Increases
Using the R&D spread sheet to design your products, you have which of the following projects to choose from
Invention, repositioning, and reliability adjustment
Why is it important to understand a firm's general environment
It shapes and influences firms' strategic decisions
Rapid movement of an existing product on the perceptual map requires
Low automation levels
As discussed in chapter 8, a good example of ___________ would be moving a sensor from one segment to another segment in Capstone
Market development
Which report found in the Capstone Courier contains numeric and graphical sales information for all products
Market share report
Your team will make decisions for
Marketing, finance, production, and research & development
A change in MTBF primarily affects
Material cost
As discussed in chapter 5, firms are considered ______________ when the firm sell products that cost too much to compete on price and lack differentiation to warrant higher costs
To be stuck in the middle
What are three of the five market segments
Traditional, low end, and performance
As discussed in chapter 8, acquisitions and mergers are good examples of horizontal integration. True or False?
True
As discussed in chapter 8, related diversification usually involved applying core competencies to other industries. True or False?
True
As discussed in chapter 6, blue ocean strategies only work if your firm follows a ____________ logic
Value innovation
Well-written mission statements answer the question ___________
Who are we