ch.6 management

When using a focus strategy, a company tries to create a product that will appeal to the broadest possible customer base.

false

when conducting a SWOT analysis, info about turnover, profit margins, and staff quality can be used to identify

company strengths & weaknesses

1. A company that uses tight cost controls is likely to use a low-cost leadership strategy.

false

Differentiation strategies can reduce the bargaining power of large buyers.

true

The---- is influenced by all of the other competitive forces.

rivalry among competitors

According to Michael Porter, the fact that people could easily watch TV or a movie instead of watching a YouTube video is an example ----- , which in this case------

the threat of substitutes, high

when a company's resources are valuable, rare, imperfectly imitable, and nonsubstitutable, it has a

sustainable competitive advantage

when refferring to a SWOT analysis, the letter T stands for ---- and it refers to factors that are ---- to the organization

threats, external

when a company purchases another business that does something different from what the purchasing company does... strategy?

unrelated diversification

one of the 4 components of a sustainable competitive advantage---- ressources is impossible/ extremely costly or difficult for other firms to duplicate

an imperfectly imitable

CLM is a leading cable operator. The company has recently declared bankruptcy and it needs to restructure its processes to attain more flexibility and allow it to raise capital. Since CLM has identified its need for strategic change, what would be CLM's next step in the strategy-making process?

conducting a situational analysis

Verizon and T-mobile have ---market commonality and---- resource similarity.

high

Stars have----market shares and are in---- growth markets.

high, high

Pretend that you own a small coffee shop. You have decided that this year is a good time to grow your business, and you have chosen to do so by acquiring another coffee shop one town over. This is an example of

related diversification