BUS 498 Q1

Which of the following statements is true of strategy?

Actions that allow a firm to address a competitive challenge are strategy.

Which of the following has contributed to Tesla's competitive advantage in terms of stock appreciation?

Reinvesting profits to continually design and produce better electric vehicles

A company's vision primarily states

What the company wants to ultimately accomplish.

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

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

If a company chooses to keep its vision customer-oriented rather than product-oriented, what will be the implication of that decision?

The company will tend to be more flexible when adapting to changing environments.

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.

Product-oriented vision statements provide managers with

goals to improve service.

The greater the difference between value creation and cost, the

Greater a firm's economic contribution.

An organization's _____ describes what the organization actually does—the products and services it plans to provide, and the markets in which it will compete.

Mission

A firm is likely to have a competitive advantage when it

Provides services that consumers will value more than those of its rivals

How has Walmart staked out a unique strategic position?

By cutting costs to offer lower prices than competitors

Revved Rider Inc., a motorcycle company, is the market leader due to its superior engine technology and service orientation. These unique qualities have helped the company generate revenues that are consistently higher than other firms in the same industry. Which of the following can be concluded about Revved Rider Inc. from this scenario?

It has a competitive advantage over the other firms.

Quick Eats 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, Quick Eats also wants to adopt the same strategy. Which of the following will be a likely implication of this decision?

Quick Eats will face low profit potential.

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 organizations.

Which of the following statements is true of customer-oriented visions?

They define a business in terms of providing solutions to people's needs.Correct

Which of the following statements accurately brings out the difference between an organization's vision and mission?

Vision defines what the organization wants to accomplish ultimately, whereas the mission defines the means by which vision is accomplished.

Organizational core values are the answer to which of the following questions?

What commitments do we make to act both legally and ethically?

Which of the following actions of an automobile firm will be considered as a strategic commitment?

the firm investing eight years and $4 billion to develop a range of hybrid cars with which it will compete in the future

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

Analysis