Strategic Management Chapter 6 Exam
questions with Correct Answers 2023
Which of these are the two key variables in Porter's generic competitive strategies
model? - Answer-Strategic position and competitive scope
A successful blue ocean strategy requires simultaneously lowering _____ and
increasing _____ - Answer-cost, perceived consumer benefit
since competition is competition, business-level strategy can be just as effective in
dealing with porter's five forces as it is in dealing with competitors - Answer-True
The concept that combines learning by doing and process innovation is
_____________________. - Answer-differentiation
In an effort to skirt new U.N. restrictions intended to curtail its nuclear program, North
Korea stepped up its: - Answer-Efforts to steal bitcoins and other cryptocurrencies
When cost per unit increases as output increases, this reflects __________________. -
Answer-diseconomies of scale
A business is strategy is more likely to lead to a competitive advantage if it has a clear
strategic profile as: - Answer-a blue ocean
A complement is an example of a _______. - Answer-diseconomy of scale
The ______ is the basic component of the strategy canvas. - Answer-value curve
A differentiator primarily focuses on manipulating and maximizing ________ to achieve
a competitive advantage. - Answer-value
The Honda Accord offers a great combination of values for its customer. While it does
not provide the highest level of luxury or performance, it is clearly a step up from entry
level automobiles present in the market. As such, the Accord represents an example of
the execution of _________________________. - Answer-best cost/integration strategy
Wal-Mart uses its world famous distribution system to efficiently move various products
and product categories through its supply chain. Wal-Mart used this core competency to
gain competitive advantage in the retail, grocery, and pharmaceuticals industries,
thereby benefitting from: - Answer-economies of scope
, The fact that Southwest Airlines only flies one type of plane helps make it one of the
most efficient airlines in the industry. This approach maximizes the number of
repetitions crews get with the ground and airborne processes involved in flying and
turning around the single airframe and reach scale economies in the use of personnel
and equipment. As such, SWA has reached competitive advantage through
________________. - Answer-learning curve effects
Answering the fundamental question, "How will we compete in this industry?" is the
purview of: - Answer-business level strategy
For over 58 years, McDonald's has had a partnership with Coca-Cola to provide sodas
with its burgers and fries for people who couldn't imagine eating them any other way,
and creating a ___________ that enhances the dining experience of McDonald's
customers. - Answer-complement
The main difference between best-cost strategy and blue ocean strategy is
_____________. - Answer-innovation
With careful analysis, Tanner, Inc. discovered that their cost per unit on tennis balls
decreased at a consistent rate until production hit 50,000 balls. Those same costs
began to increase after production hit 500,000 tennis balls. The range between 50,000
and 500,000 tennis balls would best be described as: - Answer-minimum efficient scale
Imogen & Willie's of Nashville will make you a custom pair of jeans for about $300. At
Make Your Own Jeans.com, you can get an equally custom pair of jeans for around
$60. Why the huge difference in price? I&M makes your jeans individually by hand,
while MYOJ.com makes a pair that fits you like a glove using huge machines,
computers, and a process known as mass customization. The difference in price is
possible because of: - Answer-experience curve
Rolls Royce makes a car that is considered by many to be the height of luxury. Its
$400K price tag suggests that the company is using a ____________________
competitive strategy. - Answer-focused differentiation
Cost leadership in the DVD industry can protect a company from encroachment by Blu-
ray sellers by: - Answer-increasing the profit margin
The aspect that makes cost leadership superior to price leadership as a source of
sustainable competitive advantage is: - Answer-inimitability
In his practice, Dr. Mariota uses a dieocrillsalator, one of three such machines in the
western hemisphere. While his patients have first crack at the machine and its
wondrous powers, Dr. Mariota quickly realized that to earn a return on this very
expensive asset, he was going to have to let other physicians as well as some
practitioners outside the medical profession (the machine can also identify bacteria in
questions with Correct Answers 2023
Which of these are the two key variables in Porter's generic competitive strategies
model? - Answer-Strategic position and competitive scope
A successful blue ocean strategy requires simultaneously lowering _____ and
increasing _____ - Answer-cost, perceived consumer benefit
since competition is competition, business-level strategy can be just as effective in
dealing with porter's five forces as it is in dealing with competitors - Answer-True
The concept that combines learning by doing and process innovation is
_____________________. - Answer-differentiation
In an effort to skirt new U.N. restrictions intended to curtail its nuclear program, North
Korea stepped up its: - Answer-Efforts to steal bitcoins and other cryptocurrencies
When cost per unit increases as output increases, this reflects __________________. -
Answer-diseconomies of scale
A business is strategy is more likely to lead to a competitive advantage if it has a clear
strategic profile as: - Answer-a blue ocean
A complement is an example of a _______. - Answer-diseconomy of scale
The ______ is the basic component of the strategy canvas. - Answer-value curve
A differentiator primarily focuses on manipulating and maximizing ________ to achieve
a competitive advantage. - Answer-value
The Honda Accord offers a great combination of values for its customer. While it does
not provide the highest level of luxury or performance, it is clearly a step up from entry
level automobiles present in the market. As such, the Accord represents an example of
the execution of _________________________. - Answer-best cost/integration strategy
Wal-Mart uses its world famous distribution system to efficiently move various products
and product categories through its supply chain. Wal-Mart used this core competency to
gain competitive advantage in the retail, grocery, and pharmaceuticals industries,
thereby benefitting from: - Answer-economies of scope
, The fact that Southwest Airlines only flies one type of plane helps make it one of the
most efficient airlines in the industry. This approach maximizes the number of
repetitions crews get with the ground and airborne processes involved in flying and
turning around the single airframe and reach scale economies in the use of personnel
and equipment. As such, SWA has reached competitive advantage through
________________. - Answer-learning curve effects
Answering the fundamental question, "How will we compete in this industry?" is the
purview of: - Answer-business level strategy
For over 58 years, McDonald's has had a partnership with Coca-Cola to provide sodas
with its burgers and fries for people who couldn't imagine eating them any other way,
and creating a ___________ that enhances the dining experience of McDonald's
customers. - Answer-complement
The main difference between best-cost strategy and blue ocean strategy is
_____________. - Answer-innovation
With careful analysis, Tanner, Inc. discovered that their cost per unit on tennis balls
decreased at a consistent rate until production hit 50,000 balls. Those same costs
began to increase after production hit 500,000 tennis balls. The range between 50,000
and 500,000 tennis balls would best be described as: - Answer-minimum efficient scale
Imogen & Willie's of Nashville will make you a custom pair of jeans for about $300. At
Make Your Own Jeans.com, you can get an equally custom pair of jeans for around
$60. Why the huge difference in price? I&M makes your jeans individually by hand,
while MYOJ.com makes a pair that fits you like a glove using huge machines,
computers, and a process known as mass customization. The difference in price is
possible because of: - Answer-experience curve
Rolls Royce makes a car that is considered by many to be the height of luxury. Its
$400K price tag suggests that the company is using a ____________________
competitive strategy. - Answer-focused differentiation
Cost leadership in the DVD industry can protect a company from encroachment by Blu-
ray sellers by: - Answer-increasing the profit margin
The aspect that makes cost leadership superior to price leadership as a source of
sustainable competitive advantage is: - Answer-inimitability
In his practice, Dr. Mariota uses a dieocrillsalator, one of three such machines in the
western hemisphere. While his patients have first crack at the machine and its
wondrous powers, Dr. Mariota quickly realized that to earn a return on this very
expensive asset, he was going to have to let other physicians as well as some
practitioners outside the medical profession (the machine can also identify bacteria in
