business Capstone exam one
the two most important parts of SWOT analysis are
1 drawing conclusions from the force wotless about the company's overall situation and to translating these conclusions into strategic actions and an overall strategy that matches the company's internal and external situation
and a weighted competitive strength assessment the some of the weight should add up to
1.0
typically, a company's strategy is
a blending of one proactive actions to improve the company's financial performance and secure a Competitive Edge and as needed reactions to unanticipated developments and fresh market conditions.
the term strategic group refers to
a cluster of Industry Rivals that employs similar competitive approaches, have product offerings that appeal to similar types of buyers, and thus occupy similar Market positions
a company's strategic Vision concerns
a company's long-term Direction and what product customer Market business mix seems optimal for the road ahead
when I company performs a competitively important activity better than Rivals and is said to have
a distinctive c o m p e t e n c e and Performing that activity
which of the following is most likely to represent a company's most potent resource or capability
a distinctive competency see in performing a competitively important you chain activity
which one of the following conditions act to intensify the competitive pressure associated with the threat of Entry
a general benefit on the part of Entry candidates that industry members are unwilling or unstable to strongly contest the efforts of newcomers to gain a market foothold
the difference between the concept of a company's mission statement and the concept of a strategic Vision is that
a mission statement typically concerns a company's present business scope and purpose whereas the principal concern of a strategic Vision as with the company's long-term Direction and Where We are going
in table 4.2 which of the following is not an example of a potential external threat to a company's future profitability
a shift and buyer needs and taste away from the industry product
In table 4.2 which one of the following is not an example of a potential Market opportunity that a company may have
a situation where several of the company's weakest competitors are acquired by one of the company's strong competitors thus making it easy to steal away customers of the week competitors
according to figure 1.1, which of the following is not something to look for in identifying a company's strategy?
actions to boost the company's credit rating and stock price
which of the following statements about company value chains is false
all the company has to do to determine whether it is cost competitive with Rivals as compare the cost of its internally formed value chain activities with a cost of internal activities performed by its rivals
good strategy combined with good strategy execution
are strongly correlated with how well the company performs both financially and in the marketplace
the driving forces in an industry
are the major underlying cause of changing industry and competitive conditions and have the biggest influence on how the industry landscape will be altered
in choosing among strategy Alternatives, company's managers
are well advised to embrace strategic actions that can pass the test of moral scrutiny it is not enough to just stay within the bounds of what is legal and is in compliance with prevailing government regulations
a company achieves sustainable competitive Advantage when
attractive number of buyers are drawn to purchase its products or Services rather than those of competitors, despite the efforts of competitors to know fully or overcome the appeal of its product offering.
the competitive pressures for substitute products tend to be weaker when
buyers have high cost and switching to substitutions
a set of stretch financial and strategic objectives
helps a company avoid ho-hum results
benchmarking involves
comparing how different companies perform various value chain activities and then making cross company comparisons of the cost of these activities
which of the following is not a factor to be considered in the Five Focus model of competition
competitive pressure created by shifting industry key success factors
which of the following is Central to the task of identifying the strategy related issues and problems that Merit the front burner attention of company managers
compiling a worryless and how to whether to and what to do about
a company with strategic intent is one that
concentrates the full focus of its resources and competitive actions on a long-term campaign to achieve and ambiguous strategic outcome
functional area strategies
concern the actions, approaches and practices to be employed in managing particular functions or businesses processes or Key activities within a business
a company's value chain
consists of two broad categories of activity is the primary activities for most and the company's scheme for creating and delivering value to customers and the requisite support activity is that facilitate and enhance the performance of the primary activities
in a diversified or multi-business company, the strategy making hierarchy consists of
corporate strategy, a business strategy for each business the company has Diversified into,, and functional and operating strategies within each business
the primary rules / obligations of a company's board of directors is the strategy making, strategy executing process including
critically appraising the company's Direction, strategy, and business approaches and evaluating the caliber of senior Executives strategy making and strategy executing skills
which one of the following is not part of conducting a SWOT analysis
determining whether the company's competitively important strikes are appropriately matched to the industries' key success factors
masterful strategies come from
doing things differently from competitors where it counts. out and evading them, being more efficient, being more imaginative, adopting faster rather than running with the herd.
a winning strategy is one that
fits and Enterprises internal and external situation, helps build sustainable competitive advantage, and improves company performance
business strategy, as distinct from corporate strategy is
focused on forging actions and approaches to complete successful and perform well in one specific line of business
which of the following are characteristics of an effectively worded strategic vision statement
graphic, Ford looking and directional and focused
the competitive power of a company's resource or competitive capability is in part determined by weather it
has competitive value in his hard for Rivals to copy
in table 4.2 which one of the following is not an example of a potential a weakness or competitive deficiency that a company may have
having a single unified functional strategy instead of several distinct functional strategies
effectively communicating the Strategic Vision to company Personnel is important because
if company Personnel do not understand or accept the need for redirection in organizational efforts they are prone to resist or be indifferent to the changes management wants to make
which of the following is not a means of lowering the otherwise High Cost of internally performed value chain activities
implementing an activity-based costing accounting system that identifies tie cost activities and then eliminating those activities with the highest cost from the company's value chain
which of the following is the best example of a well stated Financial objective
increase total profits by 10% annually
potential entrants are more likely to be deterred from actually entering an industry when
industry incumbents are willing and able to launch strong defense Maneuvers to maintain their position and make it harder for a newcomer to compete successfully and profitability
the Rivalry among competing sellers tend to be more intense when
industry members have too much inventory or significant amounts of Ideal production capacity, especially if the industry's product and Tails High storage cost or high fixed costs
a competitive environment where there is weak to moderate rivalry among sellers, High entry barriers, we competitive from substitute products, and little bargaining leverage on the part of both Sellers and customers
is conducive to industry members earning attractive profits
closely monitoring the strategies and situations of key Rivals and trying to prepare for the actions they are likely to take
is essential to competing efficiently against them and reduce the risk of being caught napping and suffering a damaging loss of sales and profits
competitive jockeying and Market maneuvering among industry rivals
is ever-changing as competing sellers indicate round after round of offense evandy's defensive moves and I am saying first one mix of competitive weapons and then another and efforts to improve their Market position and profitability
the two crucial elements of a company's business model are
it's customer value proposition and its profit proposition or profit formula
which one of the following statements about whether a company's strategy can be considered ethical is true
just keeping a company's strategic actions within the bounds of what is legal does not mean the strategy is ethical.
the value of doing a weighted competitive strength assessment is to
learn how the company ranks relative to rivals on each of the important factors that determine market success and ascertain whether the company has a net competitive advantage or disadvantage versus closet a Rivals
which one of the following does not account for why a company strategy evolves overtime, as shown in figure 1.2 and explained in the accompanying text discussion?
managerial preferences for keeping the life cycle of Any Given strategy short
in crafting a company's strategy,
managers need to come up with some distinctive aha quality that goes beyond merely attracting buyers attention but that more importantly delivers what buyers perceive as Superior value and converts them into loyal customers
according to figure 4.5 of company that does a first-rate job of managing its value chain activities relative to competitors
may be able to achieve competitive Advantage either from performing its value chain activities more efficiently than rivals
strategy making is
more of a collaborative group effort that involves, to some degree, all managers and sometimes key employees, as opposed to being the function and responsibilities of a few high-ranking executives
a company's strategy is it full power
only when it's many pieces are united, cohesive, and mutually reinforcing, fitting together like a jigsaw puzzle
perhaps the most reliable way for a company to improve its financial performance over time is to
pursue and Achieve strategic outcomes that boost the company's competitiveness and Market strength Visa V rivals, thereby enabling and empowering the company to achieve better Financial results from its operations
which of the following is not among the principal managerial tasks associated with implementing and executing a company's strategy
pushing employees to work hard, do their very best, and meet or beat the established performances employees that fall short of these criteria must be quickly weeded out
factors that weaken the Rivalry among competing sellers include
rapid growth in buyer determined, High buyer switching costs, and low seller inventories and or little ideal production capacity
which one of the following is not a part of determining whether a company's prices and costs are competitive
resource value analysis
a company's business model
sets forth how its strategy and operating approaches will create value for customers while at the same time generating ample revenues to cover costs and realize a profit
which of the following are part of a strategy making, strategy executing process shown in figure 2.1
setting objectives and using them as yardsticks for measuring the company's performance and progress
which of the following is not generally a driving force capable of producing fundamental changes in industry and competitive conditions
shifts upward or downward in interest rates the inflation rates in the unemployment rate
the concept of strategic groups is revelant to Industry and competitive analysis because
strategic group Maps help identify which industry members are close Rivals and which her distant rivals
the competitive moves and business approaches a company management is using to attract and please customers complete successful, pursue opportunities to grow the business respond to changing market conditions, conduct operations, and achieve the targeted financial and management performance is what defines a company's
strategy
the difference between a company's strategy and a company's business model is that
strategy relates broadly to a company's competitive moves and business approaches (which may or may not lead to profitabliity) while its business model relates to whether the company can execute its customer value proposition profitably
in which of the following circumstances are competitive pressures associated with the bargaining power of buyers not relatively strong
when buyer demand is growing rapidly and sellers product are strongly differentiated
which of the following is not a frequently used strategic approach to settling a company apart from Rivals, delivering Superior value, achieving competitive advantage, and converting buyers in the loyal buyers?
striving to be more profitable than Rivals and aiming for a Competitive Edge based on bigger profit margins
a company's values, or core values, concern
the beliefs, traits, and behavioral Norms that company Personnel are expected to display and conducting the company's business and pursuing its strategic vision and Mission
evaluating a company's resource capabilities relative cost position and competitive strength for Rivals and Tails examining weather
the company presents strategy is working well and identifying the company's competitively important resources and capabilities
according to figure 4.1, which of the following is not pertinent in identifying a company's present strategy
the company's strategic intent in the moves it has made to build an attractive value chain
which of the following is an accurate interpretation of the overall competitive strength scores that result from doing a competitive strength assessment
the higher a company's overall competitive strength score the stronger is its competitiveness and ability to complete successfully against rival industry members
the best test of whether potential and tree is a strong or a weak competitive forces is weather
the industry's growth and profit prospects are strongly attractive to potential entry candidates
which of the following are important considerations in evolve evolution whether an industry Outlook is conducive to good profitability
the industry's growth potential the anticipated growth of competitive forces and whether the industry and the company are being favorably or unfavorably impacted by macro environmental factors
which of the following is not one of the reasons that a company's strategy evolves over time?
the need on the part of company managers to make regular strategy adjustment so as to keep Rivals off-balance and always guessing about what move it will make next
which of the following is generally not considered as a barrier to entry
weak brand performances and low degrees of Customer Loyalty 2 existing Brands
which one of the following questions is not something companies managers should consider and thinking strategically about their company's directional path and developing a strategic vision
what business approaches and operating practices should we consider and trying to implement and execute our business model?
whether suppliers bargaining power represents a strong or weak source of competitive purpose is affected by
whether the item being supplied is a standard item or instead, whether certain suppliers provide a different and put that enhances the performance or quality of the industry's product
based on figure 3-4 which of the following is not a typical competitive weapon that a company can use to battle Rivals and attract buyers?
winning a bigger market share
which of the following is the best example of a well stated strategic objective
within two years, achieve cost per unit sold that are 10% below the current industry average of 4.75 per unit