Bad 4013 Test #2 Dr. Bartkoski Questions Answered Correctly Latest Update 2026

BAD 4013 TEST #2 DR. BARTKOSKI QUESTIONS ANSWERED CORRECTLY LATEST UPDATE 2026 Competitive Strategies - Answers Industry life cycle - Answers Introduction, Growth, Maturity, Decline Introduction - Answers - Low growth - Few segments - High focus on product design - Low emphasis on process design - Focus on R&D - Try to grow market awareness Growth - Answers - Very large growth - Some segments - Increasing intensity of competition - High focus on product design - Low to moderate emphasis on process design - Focus on sales and marketing - Try to create consumer demand Maturity - Answers - Low to moderate growth - Many segments - Very intense competition - Low to moderate focus on product design - High emphasis on process design - Focus on production - Trying to defend market share and extend product life cycle Decline - Answers - Negative growth - Few segments - Changing competition - Low focus on product design - Low emphasis on process design - Focus on general management and finance - Try to consolidate, maintain, harvest, or exit Competition - Answers Focus on future objectives, current strategy, assumptions, and capabilities Competitors - Answers Firms operating in the same markets, offering similar products, and targeting the same consumers Competitive dynamics - Answers - competitive activities amongst similar competitors. - The new competitive actions and responses from competitors. Competitor Dynamic characteristics - Answers - Competitor Analysis - Drivers of competitive behavior - Interfirm rivalry - Outcomes Competitor Analysis - Answers - Market Commonality: The extent to which competitors are vying for the same consumers or same markets. - Resource Similarity: The extent to which rivals draw from the same types of strategic resources. Drivers of Competitive Behavior - Answers - Awareness: The extent to which competitors recognize their mutual interdependence - Motivation: Firm's incentive to take action or respond to a competitor's attack - Capability: Role and market position of a competitor Interfirm rivalry - Answers - likelihood of attack: increases with lower market commonality and lower resource similarity - likelihood of response: Increases with a higher market commonality and higher resource similarity Competitive Actions - Answers Tactical and Strategic Tactical - Answers - Price cutting - Product/Service enhancements - Increased Marketing Efforts - New distribution channels Strategic - Answers - Enter markets - New product introductions - Changing production capacity - Mergers or Alliances Why no response to competitor moves - Answers - Firms could be in different markets - Response could hurt the firms comp. adv. - inadequate resources - Firm may be trying to create a mutual forbearance play - May be trying to encourage tacit collusion Strategic Implementation - Answers Organizational Structure - Answers - Diagram that depicts a firm structure - Designed to reduce processing requirements on individuals by dividing info into manageable blocks Division of labor - Answers Process of dividing up a task into smaller tasks performed by specialists vertical linkages - Answers relationships present up and down the org. chart Horizontal linkages - Answers relationships between equals within the org. chart Formal Linkages - Answers relationships that show up on org. charts Ex. employee to supervisor Informal Linkages - Answers Unofficial relationships that do not appear on organization charts Informational processing requirements - Answers - Increased by org. complexity - Affected by bound rationality and need for satisfying Types of structures - Answers Simple, Functional, Multidivisional, Matrix Simple - Answers - Doesn't rely on formal division of labor - One person performs all tasks - Small businesses Functional - Answers - Employees divided into departments related to functional areas - efficiencies through division of labor - CEO has an enterprise-wide perspective - CEO is responsible for strategy and coordination of functions Multidivisional - Answers - Employees divided into departments based on product/geographical areas - Functions are replicated through each division as appropriate which allows for the sharing of activities - info is filtered through levels - CEO balances coordination/competition through divisions Matrix - Answers - Rely on horizontal relationships - firms who engage in projects with limited duration - employees are put on different teams to maximize creativity and idea flow Agency problem - Answers - Managers operating opportunistically or in their own self-interests - separation between principals and agents - possible distortion in managerial perks and risk-taking - composition of the board is critical because of how important the board is in resolution of the problem Board of directors - Answers - elected individuals - duty to ensure that the firm runs in the long-term interests of owners - responsible for top managers' behavior Institutional investors - Answers - Institutions like mutual and pension funds - control large blocks of stock