Changing a problem culture:
A. is never a short-term exercise.
B. is always a short-term exercise.
C. requires a determined effort by a limited number of employees.
D. is usually easier than it is to instill a strategy-supportive culture from scratch.
E. can be achieved by an overnight transformation.
Which of the following pizza firms competing in a crowded market likely offers the
best value proposition to its customers, based on the following sales pitches?
A. Firm A: “The Tastiest Pizza You’ve Ever Had.”
B. Firm B: “Get fresh, hot pizza, delivered under 20 minutes€or it’s free.”
C. Firm C: “Get your pizza at your doorstep€absolutely free delivery, anywhere.”
D. Firm D: “One pizza, 5 points: to be redeemed with a pan pizza upon reaching 50
points.”
E. Firm E: “Open you pizza box and find a free gift. Hurry! Free gifts for 100 lucky
customers.”
Which of the following is NOT one of the strategy options for competing in the markets
of foreign countries?
A. A profit sanctuary strategy
B. An international strategy
C. A global strategy.
D. A multidomestic strategy
E. A transnational strategy
Studies done on the correlation of between good corporate behavior and good financial
performance have generally found:
A. no correlation
B. a small positive correlation
C. a small negative correlation
D. a large positive correlation
E. a large negative correlation
The keys to maintaining a broad differentiation strategy are to:
A. stress constant innovation to stay ahead of imitative rivals and to concentrate on a
few differentiating features.
B. charge a premium price that more than covers the extra costs of differentiating
features and to convince customers to be brand loyal.
C. out-innovate and out-advertise rivals.
D. emphasize personalized customer service and to add as many differentiating features
as possible.E. keep prices close to the average of all rivals and to spend heavily on new
product R&D.
Strategies to restructure a diversified company’s business lineup involve:
A. revamping the value chains of each of a diversified company’s businesses.
B. focusing on restoring the profitability of its money-losing businesses and thereby
improving the company’s overall profitability.
C. revamping the strategies of its different businesses, especially those that are
performing poorly.
D. divesting low-performing businesses that do not fit and acquiring new ones where
opportunities are more promising to put a new face on the company’s business makeup.
E. broadening the scope of diversification to include a larger number of smaller and
more diverse businesses.
Which of the following is NOT a typical option that companies have to consider to
tailor their strategy to fit the circumstances of emerging country markets?
A. Prepare to compete on the basis of low price.
B. Modify aspects of the company’s business model to accommodate local
circumstances (but not so much that the company loses the advantage of global scale
and global branding).
C. Change the local market to better match the way the company does business
elsewhere.
D. Develop a strategy for the short-term and forget about a long-term strategy because
conditions in emerging country markets change so rapidly.
E. Stay away from those emerging markets where it is impractical or uneconomic to
modify the company’s business model to accommodate local circumstances.
Which of the following does NOT describe the standard type of structural form of
organization?
A. A functional structure where function is a major step in the firm’s value chain
B. A simple structure where all major decisions and oversight are a duty of the central
executive
C. A multidivisional structure where each division of the firm is an independent profit
center
D. A matrix structure where there are two or more divisions organized to enhance
cross-communication
E. A network structure where independent organizations are involved in a common
undertaking
What is the foremost question in running a business enterprise?
A. What must managers do, and do well, to make a company a winner in the
marketplace?
B. What can employees do, and do well, to ensure customer satisfaction?
C. What can shareholders do, and do well, to ensure a profitable company?
D. What do customers do, how to profile customers who buy a company’s product, and
tailor sales strategy around them?
E. What do suppliers do, and how to get supplies at the lowest cost to build a profitable
business?
Troopline Inc., an online laptop retailer, sells laptops of similar range and features as
other online laptop retailers. Which of the value propositions would NOT benefit the
company?
A. Providing free delivery of purchased laptops
B. Allowing customers to pay through gift coupons
C. Updating the site with better high-resolution pictures of laptops
D. Providing mobile friendly version of the site and compatible apps for mobile users
E. Establishing a comparison feature tab that allows customers to compare offerings
from other online retailers
Under what circumstances might a diversified firm choose to divest one of its
businesses?
Explain the difference between ethical universalism and integrated social contracts
theory. Which school of thought is most inclusive? Explain the reasons for your answer.
Explain in detail what a company’s business model entails.
It is often said that benchmarking is the backbone of the process of identifying,
studying, and implementing best practices. Explain the role of benchmarking.
Alonzo, the CEO of ActiveMinds, a business consulting service, decides to express the
essence of his organization’s vision with the help of a slogan. How does this help him?
Strategic offensives should, as a general rule, be grounded in a company’s strategic
assets and employ a company’s strengths to attack rivals. Define and discuss the term
strategic assets and its significance in gaining a competitive advantage.
Identify and briefly discuss four disadvantages of a vertical integration system.
Identify three conditions that tend to make potential entry a strong competitive force.