exam 2

Organizations can achieve a competitive advantage by using their resources to
Click the card to flip 👆
1 / 40
Terms in this set (40)
Organizations can achieve a competitive advantage by using their resources to
provide greater value for customers than competitors can
Which of the following conditions must be met if a firm's resources are to be used to achieve a sustainable competitive advantage
The resources must be valuable , rare , and nonsubstitutable .
When looking at portfolio strategy , the purchase of one company by another company is known as
acquisition
Which of the following statements is true of the BCG matrix ?
It is used to categorize a corporation's businesses by growth rate and relative market share .
Basic Electric has three strategic business units ( SBUS ) -smartphones , healthcare , and accounting . Its smartphone unit is its most profitable unit and is the current market leader in the rapidly growing industry . In the context of the BCG matrix , which of the following categories of SBUS best describes the smartphones unit ?
Stars
Looking at Porter's five industry forces , the threat of new entrants can be defined as a
measure of the degree to which barriers entry make it easy or difficult for new companies to get started in an industry
Which of the following best defines cost leadership ?
It is the positioning strategy of producing a product or service of acceptable quality at consistently lower production costs than competitors can so that a firm can offer the product or service at the lowest price in the industry
their income coming from agricultural products . In the context of industry - level Delta Green manufactures agricultural equipment . Its agricultural equipment is very popular in countries that have a majority of strategy , Delta Green is most likely using a ( n )
Focus strategy
HBO dominated cable / satellite TV for four decades . However , it largely missed the dramatic shift to TV streaming services . This is an example of________
competitive inertia
Quip electric toothbrushes , Allbirds brands like Gillette and Unilever by significantly cutting product prices . This scenario represents which of the five industry Warby Parker glasses are all examples of direct - to - consumer companies that took $ 17 billion in sales away from big consumer sneakers , ThirdLove bras , Ritual vitamins , Glossier makeup , Farmer's Dog pet food , and forces ?
Threat of new entrants
When analyzing the number and the intensity of external factors in the environment that affect organizations , which of the following is defined as an environment with few environmental factors ?Simple environmentaloe vera soaps , and this affects the company's income . In the context of changing environments , which of the following does this ingredient of the company's best - selling aloe vera soaps , has reduced . As a result , the company Organic Clean is a company that manufactures herbal soaps . Over the years , the availability of aloe vera pulp , which is the key has to slow down its production of scenario best illustrate ?Resource scarcityWhich of the following is a component of the general environment that indirectly affects all organizations ?Political / legal trendsWhen Online Wallet , a start - up , used the e - wallet system to develop an application for easy cashless transactions , a majority of people completely switched to online banking . As a result , a number of organizations that relied on hard cash transactions began to lose their business . In the context of the general environment , this scenario best illustrates the effect of thetechnological component on organizationsCowabunga Inc. is a company that regularly provides dairy products and meat to a fast - food chain . In this scenario , Cowabunga Inc. is a ( n )supplierWhen concerned citizens who band together to try to influence the business practices of specific industries , businesses , and professions , they are known as ?Advocacy groupsThe managers at Gorilla Glue are closely observing trends in the industry . They are trying to identify factors that might have a significant influence on Gorilla Glue's business operations . Which of the following concepts is illustrated in the scenario ?Environmental scanningThe Leader Call , a daily newspaper , follows a formal arrive at work by 9 a.m. every day . All the employees are required to stay for a structure with little flexibility . The team managers of the company are required to ensure that their team members minimum of 45 hours in office per week . This scenario best illustrates the Leader - Call'sorganizational cultureWhich of the following statements is generally true of a shrinking economyLess people are working and wages are staying consistent ; therefore , consumers have relatively less money to spendAfter talking with customers at different Ikea stores regarding the accessibility of shopping , CEO Jesper Brodin noticed a need for change . Ikea bought TaskRabbit , put lockers outside existing stores for after - hours pickup , and located smaller stores in city centers that focus only on kitchens or living rooms . This is an example ofreactive customer monitoringWhich of the following is defined as the process of choosing a goal and developing a method or strategy to achieve that goal ?PlanningCarolanne runs a cake shop . Her primary goal is to set up the largest chain of cake shops in the city . Another goal of Carolanne's is to sell 400 cakes in December . In this scenario , Carolanne's goal of selling 400 cakes in December is an example of aproximal goalPlastics - R - Us , a company that manufactures and supplies plastic bottles , wants to acquire a smaller company . It plans to invest in two smaller plastic manufacturing companies and buy the one that it finds yields better returns . In this scenario , Plastics - R - Us is most likely usingoptions - based planningAnthony is part of the top management of a bank . He formulates a plan on how the bank will deal with its competitors and serve its customers for the next five years . In this scenario , Anthony has most likely contributed to developing the bank'sstrategic planTechKnowledgy Inc. , a software company , has a standing plan that details the specific set of steps to be undertaken when an employee delivers consistently poor performance during his or her probation period . Given this information , the standing plan in this scenario can be referred to as a ( n )procedurestanding plans describe what they should and should not do . They also detail how to deal with the situation . Given this information , the standing plans in this when any of the machinery used for production stops functioning . These The production team members of SoilPurpose , an agricultural machinery manufacturer , are expected to follow standing plans scenario can best be referred to asrules and regulationsWhen thinking about decision - making , a gap between a desired state and an existing state is known as aproblemRegis has started a small cookie company . He has a tight budget and does not want the best equipment at the moment , so he is using equipment that is good enough to work with . In this scenario , Regis is____ .satisficingA barrier to good decision - making caused by pressure within a group for members to agree with each other is ?GroupthinkOf the following decision - making methods , which is one that can be used to create c - type conflict by assigning an individual or a subgroup the role of critic ?Devil's advocacy approachSoftware Skills Corp. , a software manufacturing firm in Spain , a European country , bought Compusoft Corp. , a software manufacturing firm in India , an Asian country . This scenario is an example of_______direct foreign investmentWhich of the following best defines a tariff ?It is a direct tax on imported goods .Which of the following is an example of the process of exporting ?FootSoul , a U.S. - based shoe manufacturing company selling its shoes in the United States , Germany , and FranceLandshark Fitness , a large U.S. - based fitness center , receives royalty payments from Fit - For - Life , a small Canadian company , for using its name and gym equipment . The Landshark Fitness brand is well known across the world , and many fitness centers use its brand to attract customers . This form of agreement is an example oflicensingAllAbord Corp. and Tracktion Corp , will be combining their resources to build the largest railway system in the world . Both companies will equally share costs and profits from this venture . This form of global business is an example of astrategic allianceWhich of the following is the extent to which people in a country accept that authority is distributed unequally in society and organizations ?Power distanceWhich of the following can be considered expatriates ?The Chinese employees of a company based in Shanghai , China , who are transferred to the United States for a special assignmentThe United States - Mexico - Canada Agreement replaces which of the following trade agreements ?North American Free Trade AgreementHarley - Davidson is headquartered in Milwaukee , Wisconsin , and has U.S. assembly plants in Pennsylvania , Missouri , and Wisconsin . It also has manufacturing plants in Australia , Brazil , India , and Thailand and regional offices in 21 countries . Harley Davidson is considered aMultinational corporationMcDonald's serves waffle fries in Austria , cheesy bacon fries in Belgium , and potato wedges Indonesia to best serve global palates . This is an example oflocal adaptation