MBA CAPSTONE FINAL EXAM
2026–2027|||questions and answers
with rationales/graded A+/2026
update/100% correct /instant
download
Complete Questions & Verified Answers with Rationales
Total Questions: 85
Time Allowed: 3 hours
Passing Score: 70%
Instructions: Select the single best answer for each question.
SECTION A: STRATEGIC MANAGEMENT & COMPETITIVE ANALYSIS
(Questions 1–15)
1. A company with a competitive advantage that is difficult for rivals to copy or
substitute is said to have:
• A) Temporary advantage
• B) Sustainable competitive advantage
• C) Isolating mechanism
• D) First-mover benefit
Rationale: Isolating mechanisms (e.g., patents, brand loyalty, unique processes)
prevent imitation, sustaining advantage.
2. In Porter’s Five Forces, which force is most impacted by low switching costs for
buyers?
• A) Threat of new entrants
• B) Bargaining power of suppliers
, • C) Bargaining power of buyers
• D) Threat of substitutes
Rationale: Low switching costs increase buyer power because customers can
easily move to competitors.
3. According to the VRIO framework, a resource is a source of sustainable
advantage if it is Valuable, Rare, costly to Imitate, and:
• A) Transferable
• B) Tangible
• C) Organized to capture value
• D) Non-substitutable
Rationale: Organization (O) ensures the firm can exploit the resource effectively.
4. Which generic strategy focuses on serving a narrow target market at a lower
cost?
• A) Cost focus
• B) Differentiation focus
• C) Cost leadership
• D) Broad differentiation
Rationale: Cost focus combines low cost with a narrow market segment.
5. A company uses a balanced scorecard primarily to:
• A) Maximize short-term profits
• B) Comply with SEC regulations
• C) Link strategy to operational metrics across financial, customer,
internal, and learning perspectives
• D) Evaluate only financial outcomes
Rationale: Balanced scorecard translates strategy into measurable objectives
across four perspectives.
, 6. In a BCG matrix, a business unit with low market share in a high-growth market
is a:
• A) Star
• B) Cash Cow
• C) Dog
• D) Question mark
Rationale: Question marks require heavy investment to gain share; otherwise they
become dogs.
7. Blue ocean strategy emphasizes:
• A) Competing in existing market space
• B) Creating uncontested market space
• C) Low cost only
• D) Beating the competition
Rationale: Blue ocean focuses on value innovation to make competition irrelevant.
8. Which of the following is a primary activity in Porter’s value chain?
• A) Firm infrastructure
• B) Human resource management
• C) Inbound logistics
• D) Procurement
Rationale: Inbound logistics is a primary activity; HR and procurement are
support activities.
9. A firm pursuing a differentiation strategy would most likely:
• A) Minimize R&D spending
• B) Invest heavily in brand image and unique features
• C) Target the broad market with low prices
• D) Avoid advertising
2026–2027|||questions and answers
with rationales/graded A+/2026
update/100% correct /instant
download
Complete Questions & Verified Answers with Rationales
Total Questions: 85
Time Allowed: 3 hours
Passing Score: 70%
Instructions: Select the single best answer for each question.
SECTION A: STRATEGIC MANAGEMENT & COMPETITIVE ANALYSIS
(Questions 1–15)
1. A company with a competitive advantage that is difficult for rivals to copy or
substitute is said to have:
• A) Temporary advantage
• B) Sustainable competitive advantage
• C) Isolating mechanism
• D) First-mover benefit
Rationale: Isolating mechanisms (e.g., patents, brand loyalty, unique processes)
prevent imitation, sustaining advantage.
2. In Porter’s Five Forces, which force is most impacted by low switching costs for
buyers?
• A) Threat of new entrants
• B) Bargaining power of suppliers
, • C) Bargaining power of buyers
• D) Threat of substitutes
Rationale: Low switching costs increase buyer power because customers can
easily move to competitors.
3. According to the VRIO framework, a resource is a source of sustainable
advantage if it is Valuable, Rare, costly to Imitate, and:
• A) Transferable
• B) Tangible
• C) Organized to capture value
• D) Non-substitutable
Rationale: Organization (O) ensures the firm can exploit the resource effectively.
4. Which generic strategy focuses on serving a narrow target market at a lower
cost?
• A) Cost focus
• B) Differentiation focus
• C) Cost leadership
• D) Broad differentiation
Rationale: Cost focus combines low cost with a narrow market segment.
5. A company uses a balanced scorecard primarily to:
• A) Maximize short-term profits
• B) Comply with SEC regulations
• C) Link strategy to operational metrics across financial, customer,
internal, and learning perspectives
• D) Evaluate only financial outcomes
Rationale: Balanced scorecard translates strategy into measurable objectives
across four perspectives.
, 6. In a BCG matrix, a business unit with low market share in a high-growth market
is a:
• A) Star
• B) Cash Cow
• C) Dog
• D) Question mark
Rationale: Question marks require heavy investment to gain share; otherwise they
become dogs.
7. Blue ocean strategy emphasizes:
• A) Competing in existing market space
• B) Creating uncontested market space
• C) Low cost only
• D) Beating the competition
Rationale: Blue ocean focuses on value innovation to make competition irrelevant.
8. Which of the following is a primary activity in Porter’s value chain?
• A) Firm infrastructure
• B) Human resource management
• C) Inbound logistics
• D) Procurement
Rationale: Inbound logistics is a primary activity; HR and procurement are
support activities.
9. A firm pursuing a differentiation strategy would most likely:
• A) Minimize R&D spending
• B) Invest heavily in brand image and unique features
• C) Target the broad market with low prices
• D) Avoid advertising
