Chapter 02 – Operations and Supply Chain Strategy
28. An ice cream manufacturer’s use of energy-efficient and natural hydrocarbon (HC)
freezers instead of commonly used hydroflurocarbon (HFC) freezers is an example of
29. A decision to maintain higher inventory levels represents a focus on which operations
objective?
30. A retailer that invests extensively in customer service training is most likely pursuing
which operations objective?
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31. Which of the following is NOT a tactic for competing through flexible operations?
32. Which of the following market conditions is best suited by a product innovator strategy?
33. Which of the following operations strategic decisions does NOT support a product
imitator strategy?
Chapter 02 – Operations and Supply Chain Strategy
34. Which of these statements concerning business strategy is true?
35. Which of these statements concerning distinctive competence is true?
36. Which of the following is NOT an example of an operations distinctive competence?
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40. Firms competing in an emerging market prioritize which of these supply chain
characteristics?
41. Which of the following would NOT be appropriate for the supply chain strategy of a
manufacturer of a generic chicken soup?
42. Which of the following should be the first step as operations embark on a sustainability
initiative?
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43. Which of the following would NOT be examined in a sustainable operations initiative?
True/False Questions
44. McDonald’s distinctive competence has changed over time from continuous improvement
of the transformation system and brand to the unique service and supply chain transformation
system.
45. A corporate strategy drives the business strategy, which in turn drives the operations
strategy in an organization.
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46. Business strategy can be derived from a firm’s distinctive competence that is difficult for
competitors to copy or imitate.
47. Imitative products have low profit margins and predictable demand.
Essay Questions
48. Think of an example of any manufacturing (e.g., 3M) or service (e.g., Southwest Airlines)
firm. Briefly discuss in your own words the operations mission, order winner, order qualifiers,
and distinctive competence of the chosen firm(s).
LO: 2.1, 2.4, 2.5
Topic: Operations Strategy Model, Cross-Functional Strategic Decisions, Distinctive Competence
Difficulty: 2 Moderate
AACSB: Reflective thinking, written communication
Bloom’s: Understand
Feedback: See below.
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49. What are five focused initiatives with which a company should start its sustainability
journey?
LO: 2.8
Topic: Environment and Sustainable Operations
Difficulty: 2 Moderate
AACSB: Reflective thinking, written communication
Bloom’s: Remember
Feedback: See below.
50. How do operations strategic decisions differ for a product imitator strategy versus a
product innovator strategy?
LO: 2.4
Topic: Cross-Functional Strategic Decisions
Difficulty: 2 Moderate
AACSB: Reflective thinking, written communication
Bloom’s: Understand
Feedback: See below.