SEVI 3013 test 1
A firm is said to gain a competitive advantage when it accomplishes which of the following?
provides products similar to its competitors, but at lower prices
Scanning the general environment would identify information on
the aging population and ethnic shifts
Which of the following scenarios illustrates a firm that has a sustainable competitive advantage?
Bill and Ted Corp. was able to hold its market share of 68 percent in the social networking industry for more than three years.
The ________Blank effect involves studying and copying the competition, which results in unsuccessful efforts to gain a competitive advantage.
Red Queen
In assessing its primary activities, an airline would examine
baggage handling
Underperformance relative to other firms in the same industry or the industry average results in a(n) ________Blank for a firm.
competitive disadvantage
All of the following are external stakeholders except which of the following? Customers, creditors, alliance partners, competitors
competitors
Environmental analysis requires continual questioning of all these assumptions except
continual updating of enviornmental knowledge
Most consumers and investors today want the firms they do business with to look beyond just the profit motive. In fact, they want firms that behave legally and ethically while also giving back to their communities via philanthropic activities. The framework that attempts to reconcile these wants is known as
corporate social responsibility
The goal of a good strategy is focused primarily on
creating superior value while containing costs
Regarding the value-chain concept, the most important stakeholder interrelationship is between ________ and the organization.
customers
Perceptual acuity requires the ability to ________ early warning signals of ________ changes.
detect; environmental
The bargaining power of suppliers is enhanced under which following market condition?
dominance by a few suppliers
This is an input process for forecast development
environmental monitoring
A successful strategy details a set of goal-directed actions that managers make to gain and sustain a competitive advantage; in order to create this strategy, managers must focus on three pillars. Which of the following below is not one of these pillars? Formulation, execution, implementation, analysis
execution
In the resource-based view of the firm, examples of tangible resources include
financial resources, physical resources, and technological resources
Which of the following terms describes the guiding policy to address the competitive challenge, and uses corporate- and business-level strategy?
formulation
The best example of a firm's external stakeholder is a(n)
government agency that regulates the prices of products manufactured by the firm
In strategic management, strategists engage in three pillars. These three pillars include the ________Blank of major goals and objectives.
implementation
According to value-chain analysis, ________Blank would be considered part of the general administration in a firm.
information systems
Financial ratio analysis involves identifying how a firm is performing according to all but which of the following?
innovation
In general, the threat of substitutes is heightened because the Internet
introduces new ways to accomplish the same task
The threat of new entrants is high when there are
low economies of scale
In the general environment, which of the following is not a demographic trend?
more women in the workforce
A resource is valuable and rare but neither difficult to imitate nor without substitutes. This should enable the firm to attain
only a temporary competitive advantage
In the SWOT framework, ________ are the same for all firms in the same competitive environment.
opportunities and threats
Using ________ to build sustainable advantage, Ashley Furniture controls all steps of its distribution systems, developing specific competencies that are difficult to match.
path dependency
A competitive advantage based on inimitability can be sustained for at least some time, if it has the following characteristics:
physical uniqueness, path dependency, causal ambiguity, and social complexity.
Complements are products or services that have a ________ impact on the ________ of the products or services of that company.
potential; value
Which of the following three important stakeholder attributes should managers pay special close attention to in order to better understand stakeholder impact analysis?
power, legitimacy, and urgency
n comparing your firm with all other firms in your industry you assess the ________ performance.
relative
As the legal owners, ________Blank have the most legitimate claim on a company's profits.
shareholders
Strategic groups consist of firms that are more _______ to each other than firms that are not.
similar
If a company wants to gain a competitive advantage in a highly competitive industry, it should ideally
stake out a unique position within the industry.
Sean, a retired CEO, invests capital in a start-up company that creates budgeting software. He mentors the entrepreneur and the employees of the company because he wants the company to perform well and survive in the market. Thus, Sean is the start-up company's
stakeholder
To better achieve a competitive advantage, firms must now adopt a holistic approach towards satisfying multiple stakeholders opposed to focusing on the needs of their shareholders. What term is used for this approach?
stakeholder strategy
According to AFI strategy framework, in which of the following tasks of strategic management does a firm identify the roles strategic leaders play?
strategy analysis
In ________Blank, a firm frames a guiding policy to address the competitive challenge.
strategy formulation
Which of the following stages in the AFI strategy framework involves designing a business, corporate, and global strategy?
strategy formulation
SWOT analysis is a framework for analyzing the internal and external environment of a company. It consists of strengths, weaknesses, opportunities, and threats. According to a SWOT analysis, a company should ________ the ________ presented by the environment.
take advantage of; opportunities
The three key types of resources that are central to the resource-based view of the firm are
tangible resources, intangible resources, and organizational capabilities
The bargaining power of the buyer is greater than that of the supplier when
the buyer profit margin is low
The resource-based view (RBV) of the firm combines the following two perspectives:
the internal analysis of the firm and the external analysis of the industry and competitive environment.
For a firm that operates in an industry where competition is high, which of the following practices will result in inferior performance?
trying to be everything to everybody by combining different competitive strategies
Intangible resources are typically embedded in ________ routines and practices that have evolved and accumulated over time.
unique
Inbound logistics include which of the following?
warehousing and inventory control