89) Explain why a company’s strategy cannot be completely planned out in advance and why
crafting a company’s strategy cannot be a one-time, once-and-for-all managerial exercise.
Identify at least three factors that account for why company strategies evolve.
90) Explain in detail what a company’s business model entails.
91) What factors determine whether a strategy can be called a winning strategy?
92) How can a manager tell a winning strategy from a strategy that is mediocre or a loser?
93) Why is sustainable competitive advantage so important to a winning business strategy?
94) Why is it appropriate to argue that good strategy-making combined with good strategy
execution are valid signs of good management?
95) Mediocre execution of a powerful strategy is a proven recipe for winning in the marketplace.
True or false? Explain your answer.
96) Good strategy plus good strategy execution equals good management. True or false? Justify
and explain your answer.
97) Apple Inc.’s strategy, outlined in Chapter 1, represents a managerial commitment to an
integrated array of considered choices about how it should compete. What are the hallmarks of
Apple Inc.’s strategy?
98) A new entrant in a market dominated by established players introduces itself with copycat
products of another competitor. Would this strategy work in the long-term for the firm? Justify
your answer.
99) An established manufacturer and marketer of apparel and equipment for competitive sports is
fast losing market share to companies that not only offer similar products, but also are upgrading
their research and development capabilities to produce better products. List a few general actions
and approaches that would help the established company revive its position.
100) A well-established brewery offers lower-priced beer to powerful supermarket buyers at
widespread locations and has loyal distributors that supply mass goods to supermarket retailers.
With fewer ways to achieve differentiation in the market, most new microbrewery entrants offer
similar products but lack sufficient funding to compete against the well-established brewery.
Which strategy could new microbrewers employ? Explain your answer.
101) A mobile phone manufacturing and marketing company acquires an overseas display
manufacturing company to gain a strong market position. Which of the five generic strategies
has the mobile phone manufacturer used to gain competitive advantage?
102) A mobile on-demand transportation company with an established brand name uses a unique
mobile app and GPS mapping technology to reduce the time for drivers to pick up passengers
and take them to their destinations. It then gives the mobile apps away free to all riders. Which of
the five generic strategies is this company using?
103) A dining facility with multiple branches caters to newlywed couples only. The ambience,
special live music arrangements for each couple, and privacy of the dining sections have become
a rage among newlyweds. Which of the five generic strategies has the company used?
104) LinkedIn specializes in social networking for businesses and recruiters. Which of the five
generic strategies is LinkedIn employing?
105) An electronic chip manufacturer has a quarterly release of its products. What can you say
about its strategy?
106) A data storage company realizes that its facilities are used most by financial institutions. It
capitalizes on the opportunity and starts storing specific financial information only and is now
one of the most sought-after financial databases. What strategy has the company employed?
107) An established company in a market decides to donate a part of its profits to a children’s
charity to improve its market image. Soon after, it launches a website that offers new clothes,
accessories, and books that could be donated to various children’s charities by interested parties.
The company gained positive publicity and its sales went up. What would you say about this
strategy?
108) Keurig, a coffee machine manufacturer, sells high-quality espresso machines at a very low
price but provides low-cost refills of varietal coffee pods at a relatively higher price than rivals.
Explain this business model.
109) A pizza maker manufactures thin-crust pizzas and offers free soft drinks with a pack of four
pan pizzas. What can you say about its Value-Price-Cost Framework?
110) A new entrant into the mobile phone market imitates its rivals’ cellphones feature for
feature, but offers its products at a 20 percent discount over its rivals’ prices. What can you say
about the new entrant’s prospects for long-term success?
111) A fashion magazine plans to cut down on its fashion-related content and provides the space
instead for high-priced advertisements, but somehow fails to convince giant fashion brands to
advertise in its magazine. What do we understand from this failure?
112) Explain why some companies get to the top of industry rankings and stay there, while
others do not.