MNG quizzes

Which of the following is a philanthropic responsibility of a firm?

Exhibiting corporate citizenship

Which of the following statements about competitive advantage is not true?

A firm's competitive advantage is always absolute, not relative.

A diagnosis of the competitive challenge, an element of a good strategy, is primarily accomplished through strategy

Analysis

Which of the following groups is most likely to be considered a firm's internal stakeholder?

Board members

The annual net profit after taxes for Tele Corp., a multinational conglomerate, is $5.5 billion. As legal owners, which of the following stakeholder groups has the most legitimate claim on this profit?

Shareholders

Which of the following does a firm possess when it can outperform other firms in the same industry or the industry average over a prolonged period of time?

Sustainable competitive advantage

Which of the following statements will effectively guide a strategist?

The principles of strategic management can be applied universally to all organization

Why are black swan events such as accounting scandals and the global financial crisis perceived as caused by cheap credit and subprime mortgages offered by financial institutions, bad for business?

They erode the implicit trust between the corporate world and society.

When a firm integrates the competitive strategies of cost-leadership and differentiation, it will most likely result in

Trade offs that work against each other

A good strategy should be able to provide products and services to customers at an attractive price point while maintaining internal costs, resulting in

Value creation

Which of the following statements related to a firm's stakeholders is not true

While external stakeholders are those who make contributions toward the firm, internal stakeholders are those who reap all the benefits.

In which of the following cases was a company at a major competitive disadvantage?

Without a clear strategic position, Sears tried to be too many things for too many types of customers.

The greater the difference between value creation and cost, the

greater a firms economic contribution

A firm is likely to have a competitive advantage when it

provides services that consumers will value more than those of its rivals.

Which of the following is a stakeholder attribute that managers should consider at every step in a stakeholder impact analysis?

Legitimacy

EatNow is a fast-food restaurant that has recently entered the hospitality industry. Since most of its competitors are pursuing a low-cost position and doing well, EatNow also wants to adopt the same strategy. Which of the following will be a likely implication of this decision?

Low profit potential