Question 1

Evaluate and comment on this statement: "No competitive advantage lasts forever."

Accepted Answer

Students will acknowledge that this stat

Question 2

Distinctive competencies are firm-specific strengths that allow a company to differentiate its products and achieve substantially lower costs than its rivals.

Accepted Answer

A) True 
 B)False

Question 3

Resources can be considered valuable if they enable a company to create a strong demand for its products or if it reduces the costs of producing its products.

Accepted Answer

A) True 
 B)False

Question 4

The ratio of net profit to invested capital is known as:

Accepted Answer

A) return on invested capital. 
B) return on sales. 
C) capital turnover. 
D) cost of goods sold. 
E) sales, general, and administrative expenses. 
A) return on invested capital. 
B) return on sales. 
C) capital turnover. 
D) cost of goods sold. 
E) sales, general, and administrative expenses.

Question 5

The building blocks of competitive advantage are efficiency,quality,innovation and customer responsiveness.

Accepted Answer

A) True 
 B)False

Question 6

The price a company charges for a good or service is typically more than the utility placed on that good or service by the customer.

Accepted Answer

A) True 
 B)False

Question 7

The most successful firms are those that constantly learn and adjust their distinctive competencies.

Accepted Answer

A) True 
 B)False

Question 8

Absorptive capacity refers to the ability of an enterprise to identify,value,assimilate,and use new knowledge.

Accepted Answer

A) True 
 B)False

Question 9

Benchmarking can be defined as the practice of:

Accepted Answer

A) monitoring activities related to the design, creation, and delivery of a product, its marketing, and its support and after-sales service. 
B) developing products that are new to the world or have superior attributes to existing products in the market. 
C) measuring the time that it takes for a good to be delivered or a service to be performed. 
D) measuring a company against the products, practices, and services of some of its most efficient global competitors. 
E) analyzing the financial position of a company and creating the income statements and the balance sheets. 
A) monitoring activities related to the design, creation, and delivery of a product, its marketing, and its support and after-sales service. 
B) developing products that are new to the world or have superior attributes to existing products in the market. 
C) measuring the time that it takes for a good to be delivered or a service to be performed. 
D) measuring a company against the products, practices, and services of some of its most efficient global competitors. 
E) analyzing the financial position of a company and creating the income statements and the balance sheets.

Question 10

The importance of reliability in building competitive advantage has increased dramatically over the past several decades.

Accepted Answer

A) True 
 B)False

Question 11

The ability of established competitors to imitate the competitive advantage of a rival is limited by factors such as existing strategic commitments and low absorptive capacity.

Accepted Answer

A) True 
 B)False

Question 12

The more utility a company creates for its customers,the more flexibility it has in determining prices.

Accepted Answer

A) True 
 B)False

Question 13

Resources:

Accepted Answer

A) are only the tangible assets available to a company. 
B) can be both tangible and intangible. 
C) are harder for a company to copy than capabilities are. 
D) do not include patents, copyrights, and trademarks. 
E) are considered valuable only if they increase a company's costs. 
A) are only the tangible assets available to a company. 
B) can be both tangible and intangible. 
C) are harder for a company to copy than capabilities are. 
D) do not include patents, copyrights, and trademarks. 
E) are considered valuable only if they increase a company's costs.

Question 14

The term value chain refers to the idea that a company is:

Accepted Answer

A) one of a series of units that comprise an industry segment. 
B) the producer of a series of customer-valued products that are linked together. 
C) a series of activities that transform inputs into products that customers value. 
D) one of a series of economic functions. 
E) a collection of various products and their attributes. 
A) one of a series of units that comprise an industry segment. 
B) the producer of a series of customer-valued products that are linked together. 
C) a series of activities that transform inputs into products that customers value. 
D) one of a series of economic functions. 
E) a collection of various products and their attributes.

Question 15

The primary activities of the value chain include the design,creation,and delivery of the product,the product's marketing,and its support and after-sales service.

Accepted Answer

A) True 
 B)False

Question 16

Research and development activities are concerned with:

Accepted Answer

A) design of products. 
B) distribution of goods. 
C) customer services. 
D) analyzing financial performance. 
E) marketing of products. 
A) design of products. 
B) distribution of goods. 
C) customer services. 
D) analyzing financial performance. 
E) marketing of products.

Question 17

Imitating a company's capabilities tends to be more difficult than imitating its basic and advanced factors of production.

Accepted Answer

A) True 
 B)False

Question 18

Which of the following best describes product innovation?

Accepted Answer

A) Transforming a quantity of inputs into a given output 
B) Identifying and satisfying a customer's needs 
C) Creating products that have superior attributes than existing products. 
D) Developing a new process that focuses on quantity rather than quality. 
E) Measuring the quantity of outputs produced per employee 
A) Transforming a quantity of inputs into a given output 
B) Identifying and satisfying a customer's needs 
C) Creating products that have superior attributes than existing products. 
D) Developing a new process that focuses on quantity rather than quality. 
E) Measuring the quantity of outputs produced per employee

Question 19

Which of the following is not a way that companies can avoid failure?

Accepted Answer

A) Benchmarking 
B) Continuous learning 
C) Developing distinctive competencies 
D) Exploiting luck 
E) Following rigid business processes 
A) Benchmarking 
B) Continuous learning 
C) Developing distinctive competencies 
D) Exploiting luck 
E) Following rigid business processes

Question 20

Ray,a toymaker,knits a stuffed unicorn for Belle.Which function of the value chain is illustrated in this scenario?

Accepted Answer

A) Marketing 
B) Distribution 
C) Research 
D) Production 
E) Sales 
A) Marketing 
B) Distribution 
C) Research 
D) Production 
E) Sales

Evaluate and comment on this statement: "No competitive advantage lasts forever."

Distinctive competencies are firm-specific strengths that allow a company to differentiate its products and achieve substantially lower costs than its rivals.

Resources can be considered valuable if they enable a company to create a strong demand for its products or if it reduces the costs of producing its products.

The ratio of net profit to invested capital is known as:

The building blocks of competitive advantage are efficiency,quality,innovation and customer responsiveness.

The price a company charges for a good or service is typically more than the utility placed on that good or service by the customer.

The most successful firms are those that constantly learn and adjust their distinctive competencies.

Absorptive capacity refers to the ability of an enterprise to identify,value,assimilate,and use new knowledge.

Benchmarking can be defined as the practice of:

The importance of reliability in building competitive advantage has increased dramatically over the past several decades.

The ability of established competitors to imitate the competitive advantage of a rival is limited by factors such as existing strategic commitments and low absorptive capacity.

The more utility a company creates for its customers,the more flexibility it has in determining prices.

Resources:

The term value chain refers to the idea that a company is:

The primary activities of the value chain include the design,creation,and delivery of the product,the product's marketing,and its support and after-sales service.

Research and development activities are concerned with:

Imitating a company's capabilities tends to be more difficult than imitating its basic and advanced factors of production.

Which of the following best describes product innovation?

Which of the following is not a way that companies can avoid failure?

Ray,a toymaker,knits a stuffed unicorn for Belle.Which function of the value chain is illustrated in this scenario?

Strategic Leadership: Managing the Strategy Making Process for Competitive Advantage

External Analysis: The Identification of Opportunities and Threats

Building Competitive Advantage Through Functional Level Strategies

Business Level Strategy

Business Level Strategy and the Industry Environment

Strategy and Technology

Strategy in the Global Environment

Corporate-Level Strategy: Horizontal Integration, Vertical Integration, and Strategic Outsourcing

Corporate Level Strategy: Related and Unrelated Diversification

Corporate Performance, Governance, and Business Ethics

Implementing Strategy Through Organization

Filters

Exam 3: Internal Analysis: Resources and Competitive Advantage

Evaluate and comment on this statement: "No competitive advantage lasts forever."

Distinctive competencies are firm-specific strengths that allow a company to differentiate its products and achieve substantially lower costs than its rivals.

Resources can be considered valuable if they enable a company to create a strong demand for its products or if it reduces the costs of producing its products.

The ratio of net profit to invested capital is known as:

The building blocks of competitive advantage are efficiency,quality,innovation and customer responsiveness.

The price a company charges for a good or service is typically more than the utility placed on that good or service by the customer.

The most successful firms are those that constantly learn and adjust their distinctive competencies.

Absorptive capacity refers to the ability of an enterprise to identify,value,assimilate,and use new knowledge.

Benchmarking can be defined as the practice of:

The importance of reliability in building competitive advantage has increased dramatically over the past several decades.

The ability of established competitors to imitate the competitive advantage of a rival is limited by factors such as existing strategic commitments and low absorptive capacity.

The more utility a company creates for its customers,the more flexibility it has in determining prices.

Resources:

The term value chain refers to the idea that a company is:

The primary activities of the value chain include the design,creation,and delivery of the product,the product's marketing,and its support and after-sales service.

Research and development activities are concerned with:

Imitating a company's capabilities tends to be more difficult than imitating its basic and advanced factors of production.

Which of the following best describes product innovation?

Which of the following is not a way that companies can avoid failure?

Ray,a toymaker,knits a stuffed unicorn for Belle.Which function of the value chain is illustrated in this scenario?

Strategic Leadership: Managing the Strategy Making Process for Competitive Advantage

External Analysis: The Identification of Opportunities and Threats

Building Competitive Advantage Through Functional Level Strategies

Business Level Strategy

Business Level Strategy and the Industry Environment

Strategy and Technology

Strategy in the Global Environment

Corporate-Level Strategy: Horizontal Integration, Vertical Integration, and Strategic Outsourcing

Corporate Level Strategy: Related and Unrelated Diversification

Corporate Performance, Governance, and Business Ethics

Implementing Strategy Through Organization

Filters