chapter 8 quiz

_____ refers to factors that prevent new firms from successfully competing in the industry.

Barriers to entry

Garden Tools, Inc. (GTI) offers customers its product or service at a lower price than its rivals can. GTI can be described as utilizing which of the following strategy?

Cost-leadership strategy

Which term best describe a group of firms all making similar products or similar services?

Industry

Intellectual property rights are part of which element of PESTEL?

Legal

Which of the following SWOT factors are external to the firm?

Opportunities and threats

Demographic trends and market diversity are part of which element of PESTEL?

Sociocultural

Which term describes the process that firms use to study and understand the many different layers and aspects of their competitive environment?

Strategic analysis

Which of the following SWOT factors are internal to the firm?

Strengths and weaknesses

ABC Products is good at marketing its sports products. This describes ABC's

strengths

"R" in VRIO refers to which of these?

Rarity

A firm's ______ environment includes components inside the firm and outside the firm.

competitive

A(n) ________ is a potential situation that a firm is equipped to take advantage of.

opportunities

While ________ are things a firm has to work with, such as equipment, facilities, raw materials, employees, and cash, _____ are things a firm can do, such as deliver good customer service or develop innovative products to create value.

resources; capabilities

In the context of Porter's model, a(n) ____ is any other product or service that can satisfy the same need for a customer as an industry's offerings.

substitute

When a Sally assesses the external competitive environment facing her firm, she labels anything that would make it harder for her firm to be successful as a(n) _______.

threats