SmartBook Assignment Wk 1 - Practice: Ch. 4, Internal Analysis
Identify the framework that allows managers to synthesize insights obtained from internal and external analysis
SWOT analysis
A firm's network of interconnected activities is referred to a strategic activity system because activities that are interconnected are very difficult for competitors to copy effectively.
True
According to the resource-based model, a firm is assumed to be a unique bundle of resources, capabilities, and competencies.
True
The ______ is a theoretical model that explains and predicts what resource attributes underpin competitive advantage. It identifies which types of resources are key to firm performance.
VRIO framework
"Time compression diseconomies" refers to the concept that ______.
attempting to get a good outcome in less time tends to be ineffective
The resource-based model views resources as ______
the main driver of firm performance
How are intangible resource stocks acquired?
through investments over time in intangible resources
A firm's attempts to shorten the length of time a process takes, may lead to disappointing outcomes because of ______.
time compression diseconomies
Which of the following is not considered an isolating mechanism?
uncertainty about future resource value
Intellectual property protection and social complexity are examples of________ mechanisms, which help a firm sustain a competitive advantage.
Blank 1: isolating or isolation
describes a situation where the cause and effect of a phenomenon are not readily apparent.
Causal ambiguity
Which of the following were resources and capabilities that helped Five Guys gain a competitive advantage and develop into a successful restaurant chain?
Focusing on such details as store layout and design Carefully choosing the supplier of the potatoes for their fries
What are the characteristics of a strategic activity system as it applies to firms?
It consists of interconnected activities. It is socially complex. It is causally ambiguous.
Which of the following best describes the core competency of the Five Guys Burgers and Fries company?
Making high-quality burgers without limiting costs
suggests that sometimes even random events may have a large impacts on an outcome.
Path Dependence
describes a process in which the options one faces in the current situation are limited by decisions made in the past.
Path dependence
The VRIO framework is used to evaluate a firm's resources. VRIO is an acronym for which of the following?
Rare Imitate Valuable
What do the best firms in an industry seek to identify and manage on an ongoing basis as sources to respond to their external environment?
core competencies capabilities resources
A(n) ______ is a unique strength, embedded deep within a firm, that is critical to gaining and sustaining competitive advantage.
core competency
For a firm to sustain any competitive advantage over time, the fit between its internal strengths and external environment needs to be ______.
dynamic
Enterprise Machinists is always improving upon its core competencies by training its machinists constantly so that they are equipped to deal with technological changes and advancements. Based on this information, this is an example of which concept?
dynamic capabilities
What are examples of intangible resource stock a company may have?
dynamic capabilities reputation for quality engineering expertise
If the problem with a business strategy results in causal ambiguity, managers will ______.
have a difficult time developing a theory to deal with the problem
Resource ______ and resource ______ are the key assumptions behind the resource-based model of the firm.
heterogeneity; immobility
Which of the following are examples of resources for a firm?
intellectual property buildings cash
The value chain describes ______ of a firm.
internal activities
Strategic leaders use internal and external analyses in tandem to create a customized fit between a company's ______.
internal resources and external environment
Core competencies of a business are generated by the interaction of ______
resources and capabilities
Unlike capabilities, resources can be both ______.
tangible and intangible
The resource-based view classifies all resources as ______.
tangible or intangible
A customized strategy that considers the unique resources of the company while considering the external environment creates ______.
a strategic fit between them
In performing a SWOT analysis to generate insights from external and internal analysis, internal strengths and weaknesses can be determined by applying ______ and external strengths can be evaluated in part by applying ______.
the VRIO framework; PESTEL
A core competency can help a company achieve which of the following?
to offer products of comparable value at lower cost than rivals can to differentiate its products and services to create higher value for the consumer
The ______ describes the internal activities a firm engages in when transforming inputs into outputs.
value chain