KSU Mangt 595 Exam 1

Strategy

A set of goal-directed actions a firm takes to gain and sustain superior performance relative to customers

A firm's best _____ are best described as distinct and fine grained business processes such as order taking, physical delivery of products, or invoicing customers. Resource flows Capital gains Capabilities Activities

Activities

The concept of dynamic capabilities overcomes which of the shortcomings of the resource based view. Resources lead to capabilities Firm's resources cannot be modified Resources and capabilities constitutes core competencies

Firm's resources cannot be modified

A strategic group will typically include: Firms within the same industry Customers belonging to a particular socioeconomic class Firms employing similar number of employees, irrespective of their industries Employees within a firm earning the same amount of salaries

Firms within the same industry

Gaining and sustaining competitive advantage flow

Getting started External and internal analysis Formulation: business strategy Formulation: corporate strategy Implementation -repeat

Two critical assumptions of the resource based view are based on which of the following scenarios are applicable to a firm's resources. Homogeneous and immobile Heterogeneous and immobile Heterogeneous and mobile Homogeneous and mobile

Heterogeneous and immobile

Which of the following is a feature of a fragmented industry? It tends to generate high profitability It consists of many small firms It allows firms to set prices One large firm dominates the industry

It consists of many small firms

The ________ allows the scanning, monitoring, and evaluating of changes and trends in a firm's macro environment. VRIO framework SWOT analysis Five force's model PESTEL framework

PESTEL

External and internal analysis

Part 1: analysis External analysis: industry structure, competitive forces, and strategic groups Internal analysis: resources, capabilities, and core competencies Competitive advantage, firm performance, and business models

Getting started

Part 1: analysis What is strategy? Strategic leadership: managing the strategy process

Formulation: business strategy

Part 2: formulation Business strategy differentiation, cost leadership, and Blue Oceans Business strategy, innovation, entrepreneurship, and platforms

Formulation: corporate strategy

Part 2: formulation Corporate strategy: vertical integration and diversification Corporate strategy: strategic analysis, mergers, and acquisitions Global strategy competing around the world

Implementation

Part 3: implementation Organizational design, structure, culture, and control Corporate governance and business ethics

As a result of _____, a critical assumption in the resource-based model of a firm, the resource differences that exist between firms are difficult to replicate. A. resource immobility B. resource homogeneity C. resource perishability D. resource equality

Resource immobility

Competitive industry structure concerns which of the five forces in the Porter's model? Bargaining power of suppliers Bargaining power of buyers Rivalry among existing firms Threat of substitutes

Rivalry among existing firms

Which of the following statements about value chain is correct? Does not help managers to identify activities that adds maximum value Plays no role in gaining and sustaining competitive advantage Constitutes primary activities only Sequence of activities only

Sequence of activities from input to output stages

Which of the following forces was NOT originally a part of Michael Porter's five forces model? Threat of substitute products or services Bargaining power of buyers Rivalry among existing competitors Strategic role of complements

Strategic role of complements

If a firm's resources meet the V and R attributes, but do not meet the I and O attributes of a VRIO framework, then which of the following applies? The firm has sustained competitive advantage The firm has competitive disadvantage The firm is at a competitive parity with rivals The firm has temporary competitive advantage

The firm has temporary competitive advantage

Which of the following statements accurately brings out the distinction between a firm's resources and capabilities? While a firm's resources are always tangible, its capabilities are by their very nature intangible While resources reinforce core competencies, capabilities allow managers to orchestrate their core competencies Unlike resources, capabilities do not find their expression in the firm's structure, routines, and culture. Unlike capabilities, the resources of the firm cannot be imitated by its competitors.

While resources reinforce core competencies, capabilities allow managers to orchestrate their core competencies

_____ are best described as unique strengths, embedded deep within a firm, that allow a firm to differentiate its products and services from those of its rivals, creating higher value for the customer or offering products and services of comparable value at lower cost. Resource leverages Core competencies Capital gains Equity reserves

Core competencies

In a firm's external environment, _____ primarily capture population characteristics related to age, gender, family size, ethnicity, sexual orientation, religion, and socioeconomic class. A. political trends B. demographic trends C. ecological trends D. economic trends

Demographic trends

Companies in the same strategic group are _____ to each other. A. complementors B. direct competitors C. strategic partners D. shareholders

Direct competitors

The final step in industry analysis is to: Draw a strategic group map Identify the underlying drivers of the five forces Identify the key players in each of the five forces Define the relevant industry

Draw a strategic group map

Which of the following statements is true of strategy? Statements of desire, on their own, are strategy. Tactical tools that are a part of a firm's functional and global initiatives are strategy. Operational effectiveness and competitive bench-marking are strategy. Actions that allow a firm to address a competitive challenge are strategy.

Actions

Organizational and managerial skills that find their expression in a company's structure, routines, and culture are referred to as ________. Tangible resources Reserves Capital gains Capabilities

Capabilities

Which of the following type of industries are more profitable? Consolidated Monopolistic Fragmented Oligopolistic

Consolidated