Ch. 5 Quiz Answers

strategy formulation answers the question:
what should be our strategy?
a firms strategy includes which of the following?
captures how vision and mission will be achieved
Characteristics of MBO include
systematic and organized approach
examples of business strategy includes all of the following EXCEPT
looking at the organization as a portfolio
goals and objectives serve to accomplish all of the following EXCEPT:
align goals with objectives
This is essentially about understanding choices organizations make in order to achieve specific goals and objectives to fulfill a firm’s mission and vision:
strategic management
superiority in competitive advantage refers to all of the following factors EXCEPT:
Low cost
for a differentiation strategy to be effective, the product difference should NOT be based on:
Price
Straddling strategies as an approach to strategic management is not recommended for which reason:
it is an indication that the firm’s managers have not made necessary choices about the business and its strategy.
Using Porter’s analysis, firms are likely to generate higher profits if the industry includes which of the following?
Difficult to enter
Strategic Management process is the coordinated means by which an organization chooses its mission and vision
FALSE
Not all organizations need to survive and thrive
FALSE
One approach to focusing is to service either industrial buyers or consumers, but not both
TRUE
A cost-focus strategy is a low-cost, narrowly focused market strategy.
TRUE
A firm that possesses a valuable and rare resource will not gain a competitive advantage unless it can actually put that resource to effective use
TRUE