Business Strategy Exam 1 questions from Connect

What choices must managers consider when committing to a company strategy for competing against rival companies? Select all that apply - how to attract customers - how to hide the company's structural weakness -how to respond to market conditions - how to capitalize on growth opportunities - answer-- how to attract customers - how to respond to market conditions - how to capitalize on growth opportunities What are basic approaches in company strategy to improve chances of success in competing against rivals? Select all that apply - establish a position in an uncroweded market - soften ethical guidelines - always aim for a low-cost strategy - clearly differentiate a company from its rivals - answer-- establish a position in an uncrowded market - clearly differentiate a company from its rivals In what ways does a competitive advantage benefit a business? select all that apply - smaller payroll - larger profits - greater success in the marketplace - more extensive product line - answer-- larger profits - greater success in the marketplace What are the two basic ways that companies achieve competitive advantage over their business rivals? - deliver higher perceived value to customers - design more effective advertisements - appeal to a larger target market - produce products or services at a lower cost - answer-- deliver high perceived value to customers. - produce products or services at a lower cost What are three of the most reliable ways a company can distinguish itself in the marketplace, build customer loyalty and achieve a competitive advantage? - broad imitation strategy -forced low-cost strategy - low-cost provider strategy - broad differentiation strategy - answer-- forced low-cost strategy - low-cost provider strategy - broad differentiation strategy What are some of the ways that companies typically implement a competitive strategy? - by diversifying product lines - by isolating the managerial staff - by delivering superior customer service - by focusing on quality - answer-- by delivering superior customer service - by focusing on quality A sound company is essentially about ___________ in comparison to company rivals. - carrying less debt - competing differently - being faster to market - having a better trained workforce - answer-- competing differently Which three companies have broad differentiation strategies that have allowed them to maintain long-term competitive advantages? - Johnson & johnson - walmart - apple - BMW - answer-- johnson & johnson - apple - BMW When a business is more successful than its rival at attracting customers and handling competition, it is said to have an _____________ advantage. - long-term -marketing -competitive - organizational - answer-- competitive What aspect of a company's operations is usually the easiest thing for competitors to duplicate? - expertise of the company's personnel - the company's experience - attributes of the company's product or services - specialized capabilities that the company has developed - answer-- attributes of the company's products or services The key for a company to achieve competitive advantage is either to provide superior value to customers or to deliver value more _________. - efficiently - subtly - collaboratively - forcefully - answer-- efficiently A strategy that changes in response to new market conditions and challenges is known as - answer-An Evolving Strategy What is one key characteristic of a focused low-cost strategy? - answer-It seeks to sell to a narrow market niche. A typical company's strategy is often both ______, meaning that it plans ways to improve the company's competitiveness, and ______, meaning that it responds to unforeseen market conditions. - answer-proactive; reactive What choices must managers consider when committing to a company strategy for competing against rival companies? - answer-- how to capitalize on growth opportunities - how to respond to market conditions - how to attract customers What are two characteristics of a broad differentiation strategy? - answer-- Appealing to a wide range of consumers - Offering products or services that are difficult to imitate Actions taken in response to new strategic maneuvers by rival firms or other unanticipated market circumstances make up a company's ______ strategy. - answer-emergent strategy True or false: It is easier for rivals to imitate a company's product line than it is for them to duplicate its capabilities. - answer-True Which strategic actions fall into the "should not do" category and are probably unethical? - answer-- They have a negative effect on customers, employees, and the surrounding community. - They cause a public backlash and accusations of being irresponsible. - They make the company look bad. Which circumstances commonly require the modification of a company's strategy? - answer-- technological advances - new market opportunities - a shift in buyer needs