MGT Test 1
false
It is helpful to break down strategy formulation and strategy implementation into 5 distinct areas
false
Sleeprite Mattresses Inc. wants to become the largest and most profitable mattress supplier in a 3 state area. blah blah blah
false
The autocratic strategic management process exhibited by the former head of Apple, Steve Jobs, is best described as an emergent strategy
true
Under the strategy as a planned emergence model, even entry-level employees can help generate strategic initiatives
true
A company that owns failing movie theaters could leverage existing assets by turning the buildings into performance spaces and conference sites
false
A firm is required by society and its shareholders to meet its ethical and philanthropic responsibilities
false
A firm's resource-allocation process (RAP) has very little effect on its realized strategy
false
A good strategy is a set of actions that enables a firm to achieve its own internal goals without regard to the external environment
false
A local manufacturer that wants to be a global manufacturer faces few mobility barriers because it has not yet invested in supply chains, which can become outdated and expensive
true
A mission describes how a firm will accomplish the broad goals set out in a vision statement
true
A small coffee shop faces significant potential competition because of the low capital requirements compared with business environments such as universities and laboratories
true
A surprise event that leads to a change in strategic initiatives, such as the accidental discovery of a new use for an existing product, is known as serendipity
true
A video-streaming service provider such as Netflix is a complement to a manufacturer of streaming video devices such as Roku
true
A vision describes in broad, inspirational terms what an organization hopes to accomplish in the future
true
An employee lacking some of the innate abilities to be a top-level manager can still become an effective strategic leader through hard work and experience
true
Because competitors in oligopolistic industries are so interdependent, it is especially important for managers in those firms to monitor and respond to changes their competitors make
false
Because they are a crucial component of a firm's success, customers are considered internal stakeholders
true
Core values provide ethical guidelines for how individual employees will behave
true
Executives whose visions and decisions help their companies achieve competitive advantage can be considered strategic leaders
false
Federal and regional laws prevent incumbent firms from dramatically lowering prices or otherwise retaliating when a new entrant joins an industry
false
Firms within the same industry automatically belong to the same strategic group
false
For-profit businesses operating in long-standing fields such as energy and transportation usually operate in an environment of price stability
false
Managers should create two sets of core values, one for employees and one for themselves
true
Questions asked during the strategy analysis stage of the AFI framework include, "How does the firm make money?" and "What effects do forces in the external environment have on the firm's potential to gain and sustain a competitive advantage?"
false
Once a strategy has been formulated and implemented, it is important that the firm sticks to it no matter what happens
false
Product-oriented vision statements are better suited than customer-oriented vision statements for helping companies adapt to changes in the external environment
false
Strategic leaders spend the majority of their time working alone to devise new strategies
false
The following statement by the chief executive of SunStar movie studio is an effective strategy: "We will produce the greatest films of the 21st century."
false
The three tasks of the AFI strategy framework are to Assemble a prototype, Find a buyer, and Incorporate feedback
true
When smartphone manufacturers began including cameras and voice recorders in their products, that was an example of industry convergence