Exam 3: Organizational Strategy information Systems and Competitive Advantage

Organizations analyze the structure of their industry,and,using that analysis,they formulate a competitive strategy.

Each value chain is supported by one or more business processes.

A business with a cost strategy will add cost to an activity only as long as the activity has a positive margin.

Supporting activities contribute to a margin and are easier to calculate than primary activities.

A business that selects a differentiation strategy would always structure itself around least-cost activities.

Which of the following is a process implementation principle of competitive advantage?

In Porter's five factor model,each of the three competitive forces concerns the danger of ________.

No matter what competitive strategy is being used,the value chain activities remain the same.

As Porter says,the processes and systems in an organization pursuing differentiation strategy must ________ to avoid negative margins.

Receiving,storing,and disseminating inputs to the product falls under the operation function of primary activity.

Porter's definition of technology is narrow,as it only includes research and development.

How did Porter define technology,human resources and firm infrastructure?

Porter defined ________ as the amount of money that a customer is willing to pay for a resource,product,or service.

The strength of bargaining power forces does not depend on the availability of substitutes.

A business that selects a differentiation strategy would ________.

Support activities are business functions that relate directly to the production of the organization's products or services.

What is a value chain? List the primary activities in a value chain.

The difference between the value that an activity generates and the cost of the activity is called the ________.

Which of the following is least likely to be an outcome of organizations forming alliances with each other?

Porter originally developed the five forces model in order to understand organizations' competitive environment.