Bus 445
Golden Harvest is a restaurant located inside a five-star hotel. It caters mainly to customers who are concerned about quality dining rather than the prices. In this scenario, which of the following will be a part of Golden Harvest's strategic group? A. a premium rooftop restaurant in the same city B. a mobile food cart parked opposite to the five-star hotel C. a food kiosk in an adjacent subway station D. a nearby fast-food restaurant
A. a premium rooftop restaurant in the same city
A strategic group will typically include A. firms within the same industry. B. customers belonging to a particular socioeconomic class. C. employees within a firm earning the same amount in salary. D. firms employing similar number of employees, irrespective of their industries.
A. firms within the same industry.
Eon Inc., Electravia Inc., and FC Inc., the three largest firms in the consumer electronics industry, hold close to 85 percent of the industry's market share. These companies mainly compete against each other by providing unique features in their products rather than pricing them low. These firms are interdependent, and each firm must consider the strategic actions of its competitors. Which of the following industry competitive structures does this scenario best illustrate? A. monopoly B. oligopoly C. perfect competition D. monopolistic competition
B- Oligopoly
Quick Market Inc. is a food supply company that wants to sell its products directly to consumers through mail order instead of going through supermarkets and other stores. However, supermarket chains want to make this transaction either illegal or more difficult for Quick Market. To accomplish this, they are using ________ to influence the political process. A. demographic research B. ecological factors C. lobbying forces D. interest rates
C Lobbying forces
The ________ allows the scanning, monitoring, and evaluating of changes and trends in a firm's macro environment. A. VRIO framework B. BCG matrix C. PESTEL framework D. SWOT analysis
C Pestel
In a firm's external environment, ________ primarily capture population characteristics related to age, gender, family size, ethnicity, sexual orientation, religion, and socioeconomic class. A. economic trends B. ecological trends C. political trends D. demographic trends
D Demographics
Economies of scale are cost advantages that accrue for firms with A. low employee turnover. B. high fixed costs. C. high capital risks. D. larger output.
D Larger Output
Which of the following is a primary feature of the five forces model? A. It is concerned exclusively about the intensity of rivalry among direct competitors. B. It takes into account a firm's internal resources, capabilities, and core competencies. C. It helps managers determine the changing speed of an industry or the rate of innovation. D. It views competition within an industry broadly to include forces such as buyers, suppliers, and the threat of substitutes.
D- It views competition within an industry broadly to include forces such as buyers, suppliers, and the threat of substitutes.
In which of the following situations is the power of suppliers high in an industry? A. Suppliers can credibly threaten to backward integrate into the industry. B. Suppliers offer products that are undifferentiated. C. Suppliers depend heavily on the industry for their revenues. D. Suppliers' industry is more concentrated than the industry it sells to.
D. Suppliers' industry is more concentrated than the industry it sells to.
In the aircraft manufacturing industry, at least for large commercial jets, Boeing and Airbus are the only competitors. There is not a significant threat of entry because A. entering the aircraft manufacturing industry means violating government policies. B. there is expected to be a huge return on investment within this industry. C. there is no credible threat of retaliation from the incumbents. D. entering the aircraft manufacturing industry requires huge capital investments.
D. entering the aircraft manufacturing industry requires huge capital investments.
