BA 453-Midterm questions with complete solutions

Competitive Advantage Correct Answer-superior performance relative to competitors Strategy Correct Answer-goal-directed actions to gain and sustain competitive advantage -create value while containing cost -about what to do, and what not to do -set of activities to stake out unique position -long term commitments What strategy is not.. Correct Answer--raking in every penny the firm can get. Profit is a consequence of good strategy, it is not the main goal -operational effectiveness -benchmarking Razor-blade model Correct Answer-a business tactic involving the sale of dependent goods for different prices - one good is sold at a discount, while the second dependent good is sold at a considerably higher price subscription model Correct Answer-a business model where a customer must pay a subscription price to have access to the product/service. 4 factors a business plan must address Co