MGMT 4842 Chapter 1 questions

Which of the following statements about a company's strategy is true?

A company's strategy is typically a blend of proactive and reactive strategy elements.

Every strategy needs

a distinctive element that attracts customers and produces a competitive edge.

A company achieves sustainable competitive advantage when

a sufficiently large number of buyers have a lasting preference for its products or services as compared to the offerings of competitors

Strategy, at its essence, is about

developing lasting success that can support growth and secure the company's future over the long term.

A winning strategy is one that

fits the company's internal and external situation, builds sustainable competitive advantage, and improves company performance.

Managers of every company should be willing and ready to modify the strategy because

market conditions and circumstances are changing over time or the current strategy is clearly failing.

A company achieves a competitive advantage when it

provides buyers with superior value compared to rival sellers or offers the same value at a lower cost.

A company's strategy consists of the action plan management takes to

stake out a unique market position and achieve superior profitability.

A winning strategy must pass which three tests?

the Fit Test, the Competitive Advantage Test, and the Performance Test