Question 1

By the shakeout stage of a product's life cycle,demand is

Accepted Answer

A) holding steady. 
B) decreasing rapidly. 
C) increasing slowly. 
D) increasing rapidly but showing signs of slacking off. 
E) increasing and decreasing in alternate cycles. 
A) holding steady. 
B) decreasing rapidly. 
C) increasing slowly. 
D) increasing rapidly but showing signs of slacking off. 
E) increasing and decreasing in alternate cycles.

Question 2

Market penetration involves the creation of new or improved products to replace existing ones.

Accepted Answer

A) True 
 B)False

Question 3

McDonald's created the first national chain of fast-food restaurants in a previously fragmented industry.This is called consolidation.

Accepted Answer

A) True 
 B)False

Question 4

Different strategies are often required to support and strengthen a company's business model as a market develops over time.

Accepted Answer

A) True 
 B)False

Question 5

Which of the following is a true statement?

Accepted Answer

A) All new markets develop at about the same rate. 
B) Market growth rates are getting shorter over time. 
C) Companies cannot do much to affect a market growth rate. 
D) The major influence on market growth rates is government regulation. 
E) Market growth is typically a smooth,unbroken,upward-climbing S-shape. 
A) All new markets develop at about the same rate. 
B) Market growth rates are getting shorter over time. 
C) Companies cannot do much to affect a market growth rate. 
D) The major influence on market growth rates is government regulation. 
E) Market growth is typically a smooth,unbroken,upward-climbing S-shape.

Question 6

In embryonic industries,customer demand is typically

Accepted Answer

A) high. 
B) low. 
C) growing rapidly. 
D) variable. 
E) slowly declining. 
A) high. 
B) low. 
C) growing rapidly. 
D) variable. 
E) slowly declining.

Question 7

Imagine that a new product becomes available to the public tomorrow¾a personal transportation device that can move individuals or cargo from place to place instantly (yes,just like Star Trek).Industries such as airlines,auto manufacturing,railroads,and delivery services would immediately enter a severe decline.What advice would you give the firms in those industries? What strategies should they pursue,and why?

Accepted Answer

The answer to this question depends on w

Question 8

The late majority refers to the customers who purchase a new technology or product only when it is clear it will be around for a long time.

Accepted Answer

A) True 
 B)False

Question 9

Innovators and early adopters are typically reached through specialized distribution channels,and products are often sold by word of mouth.

Accepted Answer

A) True 
 B)False

Question 10

A horizontal merger is a

Accepted Answer

A) consolidation of small firms from disparate industries. 
B) consolidation of suppliers in an effort to ensure availability of vital components. 
C) merger of firms within the same industry. 
D) conglomerate acquisition. 
E) violation of antitrust regulations. 
A) consolidation of small firms from disparate industries. 
B) consolidation of suppliers in an effort to ensure availability of vital components. 
C) merger of firms within the same industry. 
D) conglomerate acquisition. 
E) violation of antitrust regulations.

Question 11

In his book Crossing the Chasm,Geoffrey Moore discusses some of the issues involved in marketing technologically new products as markets develop through different stages.What groups does Moore identify and what must companies do if they are to successfully cross the chasm?

Accepted Answer

Moore's thesis is that different groups

Question 12

One characteristic of embryonic industries is poorly developed distribution channels.

Accepted Answer

A) True 
 B)False

Question 13

Market development finds new market segments for a company's products.

Accepted Answer

A) True 
 B)False

Question 14

Companies in a weak competitive position in the growth stage of the industry life cycle can use a market concentration strategy to find a viable competitive position.

Accepted Answer

A) True 
 B)False

Question 15

Most market demand and industry profits arise when

Accepted Answer

A) early adopters leave the market. 
B) innovators become regular users. 
C) initial users become regular customers. 
D) early and late majority users enter the market. 
E) none of these choices. 
A) early adopters leave the market. 
B) innovators become regular users. 
C) initial users become regular customers. 
D) early and late majority users enter the market. 
E) none of these choices.

Question 16

Factors leading to the slow growth of demand in embryonic industries include all of the following except the

Accepted Answer

A) poor quality of the first products. 
B) lack of complementary products. 
C) lack of venture capital for innovative products. 
D) high production costs of the products. 
E) lack of distribution channels for the products. 
A) poor quality of the first products. 
B) lack of complementary products. 
C) lack of venture capital for innovative products. 
D) high production costs of the products. 
E) lack of distribution channels for the products.

Question 17

Successful companies in a mature industry are most interested in

Accepted Answer

A) increasing entry barriers. 
B) reducing the power of suppliers. 
C) reducing the threat of substitute products. 
D) reducing entry barriers. 
E) reducing the power of buyers. 
A) increasing entry barriers. 
B) reducing the power of suppliers. 
C) reducing the threat of substitute products. 
D) reducing entry barriers. 
E) reducing the power of buyers.

Question 18

What advice would you give to a manager of a business in a fragmented industry about how to successfully compete? About how to achieve industry consolidation?

Accepted Answer

Students should recognize that a generic

Question 19

Which of the following strategies allows interdependent firms indirectly to coordinate their actions?

Accepted Answer

A) Cost cutting 
B) Vertical integration 
C) Preemption 
D) Price signaling 
E) Horizontal mergers 
A) Cost cutting 
B) Vertical integration 
C) Preemption 
D) Price signaling 
E) Horizontal mergers

Question 20

By their choices of competitive actions and decisions about product attributes,managers can speed up or slow down the rate of progress of an industry through the stages of the industry life cycle.

Accepted Answer

A) True 
 B)False

By the shakeout stage of a product's life cycle,demand is

Market penetration involves the creation of new or improved products to replace existing ones.

McDonald's created the first national chain of fast-food restaurants in a previously fragmented industry.This is called consolidation.

Different strategies are often required to support and strengthen a company's business model as a market develops over time.

Which of the following is a true statement?

In embryonic industries,customer demand is typically

The late majority refers to the customers who purchase a new technology or product only when it is clear it will be around for a long time.

Innovators and early adopters are typically reached through specialized distribution channels,and products are often sold by word of mouth.

A horizontal merger is a

In his book Crossing the Chasm,Geoffrey Moore discusses some of the issues involved in marketing technologically new products as markets develop through different stages.What groups does Moore identify and what must companies do if they are to successfully cross the chasm?

One characteristic of embryonic industries is poorly developed distribution channels.

Market development finds new market segments for a company's products.

Companies in a weak competitive position in the growth stage of the industry life cycle can use a market concentration strategy to find a viable competitive position.

Most market demand and industry profits arise when

Factors leading to the slow growth of demand in embryonic industries include all of the following except the

Successful companies in a mature industry are most interested in

What advice would you give to a manager of a business in a fragmented industry about how to successfully compete? About how to achieve industry consolidation?

Which of the following strategies allows interdependent firms indirectly to coordinate their actions?

By their choices of competitive actions and decisions about product attributes,managers can speed up or slow down the rate of progress of an industry through the stages of the industry life cycle.

Strategic Leadership: Managing the Strategy-Making Process for Competitive Advantage

External Analysis: The Identification of Opportunities and Threats

Internal Analysis: Distinctive Competencies, Competitive Advantage, and Profitability

Building Competitive Advantage Through Functional-Level Strategy

Building Competitive Advantage Through Business-Level Strategy

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 in Companies That Compete in a Single Industry

Implementing Strategy in Companies That Compete Across Industries and Countries

Filters

Exam 6: Business-Level Strategy and the Industry Environment

By the shakeout stage of a product's life cycle,demand is

Market penetration involves the creation of new or improved products to replace existing ones.

McDonald's created the first national chain of fast-food restaurants in a previously fragmented industry.This is called consolidation.

Different strategies are often required to support and strengthen a company's business model as a market develops over time.

Which of the following is a true statement?

In embryonic industries,customer demand is typically

The late majority refers to the customers who purchase a new technology or product only when it is clear it will be around for a long time.

Innovators and early adopters are typically reached through specialized distribution channels,and products are often sold by word of mouth.

A horizontal merger is a

In his book Crossing the Chasm,Geoffrey Moore discusses some of the issues involved in marketing technologically new products as markets develop through different stages.What groups does Moore identify and what must companies do if they are to successfully cross the chasm?

One characteristic of embryonic industries is poorly developed distribution channels.

Market development finds new market segments for a company's products.

Companies in a weak competitive position in the growth stage of the industry life cycle can use a market concentration strategy to find a viable competitive position.

Most market demand and industry profits arise when

Factors leading to the slow growth of demand in embryonic industries include all of the following except the

Successful companies in a mature industry are most interested in

What advice would you give to a manager of a business in a fragmented industry about how to successfully compete? About how to achieve industry consolidation?

Which of the following strategies allows interdependent firms indirectly to coordinate their actions?

By their choices of competitive actions and decisions about product attributes,managers can speed up or slow down the rate of progress of an industry through the stages of the industry life cycle.

Strategic Leadership: Managing the Strategy-Making Process for Competitive Advantage

External Analysis: The Identification of Opportunities and Threats

Internal Analysis: Distinctive Competencies, Competitive Advantage, and Profitability

Building Competitive Advantage Through Functional-Level Strategy

Building Competitive Advantage Through Business-Level Strategy

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 in Companies That Compete in a Single Industry

Implementing Strategy in Companies That Compete Across Industries and Countries

Filters