42.
Which of the following are
not
distinguishing features of a company’s successful best-cost
provider strategy?
43.
A firm pursuing a best-cost provider strategy
44.
The aim of the best-cost provider strategy is to create a competitive advantage by
45.
For a best-cost provider strategy to be successful, a company must have
46.
The target market of a best-cost provider is
47.
The greatest danger or risk of an unsound best-cost provider strategy is
48.
A company’s biggest vulnerability in employing a best–cost provider strategy is
5-41
49.
A company’s competitive strategy should
Short Answer Questions
50.
What are the five generic competitive strategies? Briefly describe each one and identify the
type of competitive advantage that each strategy is aimed at achieving.
51.
Identify cost drivers in a company’s value chain. Explain how these drivers impact a firm’s
generic strategy.
52.
Identify uniqueness drivers in a company’s value chain. Explain how these drivers impact a
firm’s generic strategy.
53.
What are the distinctive features of a focused low-cost strategy? How does a focused low–
cost strategy differ from a low-cost leadership strategy?
54.
What are the distinctive features of a broad differentiation strategy? Under what
circumstances is a broad differentiation strategy appealing?
55.
What are the distinctive features of a focused differentiation strategy? How is it different from
a broad differentiation strategy?
56.
In what market and competitive circumstances are focused low-cost and focused
differentiation strategies attractive?
5-47
57.
Which one of the five generic competitive strategies is most likely to be best suited for an
industry whose product is a commodity? Explain.
58.
One of the big dangers in crafting a competitive strategy is that managers, torn between the
pros and cons of the various generic strategies, will opt for “stuck in the middle” strategies
that represent compromises between lower costs and greater differentiation, and between
broad and narrow market appeal. True or false? Explain your answer.