Crafting and Executing Strategy: Concepts Test Bank 23rd Edition | All Chapters | Thompson, Peteraf & Gamble

TEST BANK
Crafting and Executing Strategy Concepts
Arthur A. Thompson, Margaret Peteraf, John E. Gamble

23rd Edition

,Crafting and Executing Strategy Concepts 23rd Edition by
Thompson, Thompson, Peteraf, and Gamble
ANSWERS ARE LOCATED IN THE SECOND PART OF THIS DOCUMENT

MULTIPLE CHOICE - Choose the one alternative that best completes the statement or
answers the question.
1) Managers of all types of business organizations must develop a clear answer for which of
the following questions?
1)


A) What approaches do we need to take in order to gain a competitive advantage in
the marketplace?
B) What is the set of actions that we need to take to outperform competitors and
achieve superior profitability?
C) Where are we now?
D) Where do we go from here?
E) When will we know that we are there?



Question Details
Difficulty : 1 Easy
Topic : Strategy and the Strategic Management Process
Learning Objective : 01-01 Understand what is meant by a company’s strategy and why it needs to diffe
Bloom's : Remember
AACSB : Knowledge Application
Accessibility : Keyboard Navigation
Gradable : automatic




2) Sanofi, a pharmaceutical company selling prescription drugs in France for the past 10
years, has had moderate sales in a crowded market while its rivals manufacture and market
drugs having similar efficacy and safety precautions, but with superior market share. This
particular pharmaceutical company's greatest challenge is to increase prescriptions of their
drugs by French doctors. What would be the most effective strategy for Sanofi to improve sales
performance in its existing market?
2)




1

,Crafting and Executing Strategy Concepts 23rd Edition by
Thompson, Thompson, Peteraf, and Gamble

A) modifying marketing communication to increase brand familiarity within key
physician segments
B) relocating all the existing drug manufacturing facilities to developing countries
to reduce operational costs
C) employing hiring plans that aim at acquiring drug designers from rival companies
D) exiting the market and entering a new unexplored geographical location
E) engaging in new contract talks with suppliers about price breaks



Question Details
Topic : Strategy and the Strategic Management Process
Learning Objective : 01-01 Understand what is meant by a company’s strategy and why it needs to diffe
Accessibility : Keyboard Navigation
Difficulty : 3 Hard Bloom's
: Apply
AACSB : Analytical Thinking Gradable :
automatic




3) You have been hired as a consultant by SandCloud, a venture-backed established
company in the beachwear and toweling markets. SandCloud’s owners are weighing a
decision to donate a part of its profits to a children's charity to improve its market image. Your
advice to SandCloud regarding strategy is that it will consist of the action plan management
takes to
3)



A) develop a more appealing business model than rival beachwear and
toweling companies.
B) compete against rivals in the beachwear and toweling industry and establish
a transitory competitive advantage.
C) concentrate on improving its existing product offering irrespective of its decision
to donate a percentage of its profits to a children’s charity.
D) stake out a unique market position in beachwear and toweling markets and
achieve superior profitability.
E) identify its strategic vision, its strategic objectives, and its strategic intent.




2

, Crafting and Executing Strategy Concepts 23rd Edition by
Thompson, Thompson, Peteraf, and Gamble

Question Details
Topic : Strategy and the Strategic Management Process
Learning Objective : 01-01 Understand what is meant by a company’s strategy and why it needs to diffe
AACSB : Knowledge Application
Accessibility : Keyboard Navigation
Bloom's : Apply
Difficulty : 2 Medium
Gradable : automatic




4) Keurig, the coffee machine manufacturer, sells high-quality espresso machines at a very
low price and also provides low-cost refills of varietal coffee pods at a relatively higher price
than rivals. The action steps that Keurig’s managers take to outperform the company's
competitors and achieve superior profitability are known as its
4)



A) strategy.
B) mission statement.
C) strategic intent.
D) value-cost-price framework.
E) market visioning statement.



Question Details
Topic : Strategy and the Strategic Management Process
Learning Objective : 01-01 Understand what is meant by a company’s strategy and why it needs to diffe
Bloom's : Remember
AACSB : Knowledge Application
Accessibility : Keyboard Navigation
Difficulty : 2 Medium
Gradable : automatic




5) Strategy, at its essence, is about
5)




3