Undifferentiated resources are difficult to purchase through normal supply chain
channels.
The value curve is a convenient tool to help managers visualize how new disruptions
might be targeted.
The two primary dimensions on which alliances can be categorized are the nature of the
time commitment and the respective investment commitment.
Managers must understand who owns the company and what their interests are.
To address the strategic element of arenas, a firm must understand what geographic
areas it will enter internationally.
The ultimate success of an organization depends solely on the lead entrepreneur.
Social influences are stable from country to country.
The multidivisional structure can encourage undesirable competition between business
units.
Corporate new venturing is the creation of new businesses by established firms.
“Lean” manufacturing process improvement is typically implemented by small scale
manufacturers.
Because most of the capital costs are picked up by the franchisor, the franchise model
enables a firm to grow rapidly.
When industries overlap, there is a reduction in the level of mergers and acquisitions in
the intersecting industries.
A business plan provides the entrepreneur with a vehicle for sharing goals and
objectives with members of the entrepreneurial team.
When an adjacent segment is profitable, it is always a good area for a firm to enter.
The automobile industry is a commodity market.
Selection and retention are both areas dealt with in the external relations perspective of
a strategy map of the balanced scorecard.
_____ is an outcome of successful strategic change in the context of an established
business.
A) Corporate renewal
B) New-venture creation
C) IPO
D) Entrepreneurship
All of the following put pressure on conglomerates to reorganize except ________.
A)multiple strategic options
B)shareholder dissatisfaction
C)possible hostile takeover attempts
D)the desire to become more manageable
Industry incumbents can ally with ________ to diversify and co-opt a future potential
rival.
A)rivals
B)new entrants
C)suppliers
D)substitutes
The role of managers is so critical that some experts include managerial human capital
among a firm’s ________.
A)liabilities
B)resources
C)static capabilities
D)financial assets
_____ strategies are designed to enable a firm that’s created a new market to grow into a
dominant player in a new but huge industry.
A) New-market creation
B) New-market disruption
C) Low-end disruption
D) High-end disruption
A complementary business is one that ________.
A)has a non-compete agreement with another firm
B)makes another firm’s product obsolete
C)competes with another firm’s product
D)increases the sale of another product
According to Michael Porter’s theory, which of the following factors influences whether
firms achieve competitive advantage?
A.adopting strategies that will make their current industries more attractive
B.possessing superior capabilities
C.bundling together complementary resources
D.having greater resources compared to competitors
Industries that used increases in scale that were unconventional at the time in their
industries include all except ________.
A)funeral
B)library
C)waste management
D)adult education
Corporate governance is defined as ________.
A)a corporation’s group of decision makers
B)the roles of owners, directors, and managers in making corporate decisions
C)the styles and ways in which corporations are led by CEOs, managers, and
supervisors
D)lower, middle, and upper level management personnel within a company or
organization
All of the following are questions that corporate strategists must answer except
________.
A)In which business arenas should a company compete?
B)How many different strategic options are available?
C)How can we add value to our various lines of business?
D)How will entry into a new industry help us compete in our other businesses?
The concentration ratio is a useful tool that represents the combined revenues of the
largest industry participants as a ratio of total industry ________.
A)losses
B)profits
C)costs
D)sales
The ________ has not opened up new temporal and geographic accessibility for many
businesses.
A)Internet
B)airline industry
C)dry cleaning industry
D)grocery store industry
All of the following are phases in the industry life cycle except ________.
A)embryonic
B)growth
C)maturity
D)erosion
An IPO provides which of the following?
A) access to additional capital
B) opportunity to add professional management
C) opportunity for growth
D) all of the above
A licensor/franchisor encounters many specific risks including all of the following
except the licensee ________.
A)violates the terms of the agreement
B)decides to move into the domestic market
C)steals the intellectual property
D)refuses to pay royalties or fees
Normal reasons for embracing Lean process improvement manufacturing practices
include all except which of the following?
A) to increase capacity
B) to decrease lead times
C) to reduce costs
D) to better satisfy customers
With ________ controls, rewards are tied to narrowly defined financial criteria.
A) financial
B) strategic
C) outcome
D) behavioral
A dimension of cultural differences that pertains to a focus on future rewards or concern
about the maintenance of the stability related to the past and the present is called
________.
A)individualism
B)uncertainty avoidance
C)masculinity or predominant values
D)long- or short-term orientation
In the fast-food industry, real estate and site location skills are examples of a(n)
________.
A)strength and a weakness
B)resource and a capability
C)opportunity and a threat
D)competence and a tradeoff
Vertical alliances help partners leverage their resources and capabilities in order to meet
all of the following goals except ________.
A)to help firms overcome political obstacles
B)to create more value for the end customer
C)to lower total production costs along the value chain
D)to help respond more quickly to market changes
Which of the following would not lead to an unsuccessful change effort?
A) There is no guiding vision.
B) There is no execution plan.
C) The wrong incentives are in place.
D) The organization accommodates the intended change.
A firm that competes on a small, specialized segment of the market that demands
unique product features is called a ________.
A)focused differentiator
B)broad differentiator
C)focused low-cost leader
D)broad low-cost leader
Resources can be considered ________.
A)both tangible and intangible
B)both rare and valuable
C)both stocks and flows
D)all of the above
Name some of the possible sources of synergy.
Explain the four structures for handling innovation.
What are strategic implementation levers?
What is transnational configuration?
What is an acquisition premium and how does it relate to a firm’s new situation?