BMGT 301 Final Exam with verified
answers to pass
Operational Effectiveness - correct answer ✔✔performing the same tasks better than rivals
perform them
Strategic positioning - correct answer ✔✔performing different tasks than your rivals, or
performing the same tasks in a different way
Competitive advantage - correct answer ✔✔The ability for a firm to outperform its competitors
in financial measures
Sustainable competitive advantage - correct answer ✔✔A factor or set of factors can lead to
sustainable advantage if VRIS (valuable, rare, cannot imitate, and hard to substitute)
Resource Based View of Competitive Advantage - correct answer ✔✔the strategic thinking,
approach suggesting that if a firm is to maintain sustainable competitive advantage, it must
control an exploitable resource, or set of resources, that have four critical characteristics (VRIS)
Tangible Resources - correct answer ✔✔Factories, products, raw materials
Intangible Resources - correct answer ✔✔Reputation, technology (patents, copyrights)
Capabilities - correct answer ✔✔a subset of resources that enable a firm to take full advantage
of other resources
, Imitation-resistant value chain - correct answer ✔✔a strategic way of doing business that is
difficult for competitors to replicate
VRIS - correct answer ✔✔Valuable, rare, hard to imitate, hard to substitute
Switching Costs - correct answer ✔✔the cost a consumer incurs when moving from one product
to another
Differentiation - correct answer ✔✔Be the first one there (first mover advantage versus fast
follower), product differentiation
Vertical differentiation - correct answer ✔✔build a better product; products differ in quality
(Civic vs. Acura)
Horizontal differentiation - correct answer ✔✔Position yourself in "product space" away from
your competitors; used to appeal to distinct group of customers (red vs. blue cars)
Value chain - correct answer ✔✔the set of activities through which a product or service is
created and delivered to customers
Primary activities of the value chain - correct answer ✔✔Inbound logistics, operations,
outbound logistics, marketing & sales, service
Supporting activities of the value chain - correct answer ✔✔Firm infrastructure, human
resource management, technology development, procurement
Porter's Competitive Forces Model - correct answer ✔✔The intensity or rivalry among existing
competitors, threat of new entrants, bargaining power of customers, threat of substitutes,
bargaining power of suppliers
answers to pass
Operational Effectiveness - correct answer ✔✔performing the same tasks better than rivals
perform them
Strategic positioning - correct answer ✔✔performing different tasks than your rivals, or
performing the same tasks in a different way
Competitive advantage - correct answer ✔✔The ability for a firm to outperform its competitors
in financial measures
Sustainable competitive advantage - correct answer ✔✔A factor or set of factors can lead to
sustainable advantage if VRIS (valuable, rare, cannot imitate, and hard to substitute)
Resource Based View of Competitive Advantage - correct answer ✔✔the strategic thinking,
approach suggesting that if a firm is to maintain sustainable competitive advantage, it must
control an exploitable resource, or set of resources, that have four critical characteristics (VRIS)
Tangible Resources - correct answer ✔✔Factories, products, raw materials
Intangible Resources - correct answer ✔✔Reputation, technology (patents, copyrights)
Capabilities - correct answer ✔✔a subset of resources that enable a firm to take full advantage
of other resources
, Imitation-resistant value chain - correct answer ✔✔a strategic way of doing business that is
difficult for competitors to replicate
VRIS - correct answer ✔✔Valuable, rare, hard to imitate, hard to substitute
Switching Costs - correct answer ✔✔the cost a consumer incurs when moving from one product
to another
Differentiation - correct answer ✔✔Be the first one there (first mover advantage versus fast
follower), product differentiation
Vertical differentiation - correct answer ✔✔build a better product; products differ in quality
(Civic vs. Acura)
Horizontal differentiation - correct answer ✔✔Position yourself in "product space" away from
your competitors; used to appeal to distinct group of customers (red vs. blue cars)
Value chain - correct answer ✔✔the set of activities through which a product or service is
created and delivered to customers
Primary activities of the value chain - correct answer ✔✔Inbound logistics, operations,
outbound logistics, marketing & sales, service
Supporting activities of the value chain - correct answer ✔✔Firm infrastructure, human
resource management, technology development, procurement
Porter's Competitive Forces Model - correct answer ✔✔The intensity or rivalry among existing
competitors, threat of new entrants, bargaining power of customers, threat of substitutes,
bargaining power of suppliers
