GMU BUS 498 Midterm questions well
answered already passed
Which of the following does a firm possess when it can outperform other firms in the same
industry or the industry average over a prolonged period of time? - correct answer
✔✔Sustainable Competitive Advantage
Too Fast Inc., a motorcycle company, is the market leader due to its superior engine technology
and service orientation. These unique qualities have helped the company generate revenues
that are consistently higher than other firms in the same industry. Which of the following can be
concluded about Too Fast Inc. from this scenario? - correct answer ✔✔It has a competitive
advantage over the other firms.
A diagnosis of the competitive challenge, an element of a good strategy, is primarily
accomplished through strategy - correct answer ✔✔Analysis
Which of the following statements about competitive advantage is not true? - correct answer
✔✔A firm's competitive advantage is always absolute, not relative.
A firm is likely to have a competitive advantage when it - correct answer ✔✔provides services
that consumers will value more than those of its rivals.
The greater the difference between value creation and cost, the - correct answer ✔✔greater a
firm's economic contribution.
When a firm integrates the competitive strategies of cost-leadership and differentiation, it will
most likely result in - correct answer ✔✔trade-offs that work against each other.
,How has Walmart staked out a unique strategic position? - correct answer ✔✔by cutting costs
to offer lower prices than competitors
Which of the following has contributed to Tesla's competitive advantage in terms of stock
appreciation? - correct answer ✔✔reinvesting profits to continually design and produce better
electric vehicles
EatNow is a fast-food restaurant that has recently entered the hospitality industry. Since most of
its competitors are pursuing a low-cost position and doing well, EatNow also wants to adopt the
same strategy. Which of the following will be a likely implication of this decision? - correct
answer ✔✔EatNow will face low profit potential.
Which of the following statements is true of strategy? - correct answer ✔✔Actions that allow a
firm to address a competitive challenge are strategy.
Which of the following statements will effectively guide a strategist? - correct answer ✔✔The
principles of strategic management can be applied universally to all organizations.
A good strategy should be able to provide products and services to customers at an attractive
price point while maintaining internal costs, resulting in - correct answer ✔✔Value creation
All of the following are examples of internal stakeholders except. - correct answer ✔✔Suppliers
All of the following below are examples of external stakeholders except - correct answer
✔✔Employees
________ is an important tool because it allows a manager to recognize, prioritize and address
the needs of various stakeholders. - correct answer ✔✔Stakeholder impact analysis
, Why are black swan events such as accounting scandals and the global financial crisis perceived
as caused by cheap credit and subprime mortgages offered by financial institutions, bad for
business? - correct answer ✔✔They erode the implicit trust between the corporate world and
society.
Gadgets n' Stuff Inc. is a vendor who supplies machine parts to an appliance manufacturing
company. In return, Gadgets n' Stuff Inc. relies on the company for its revenue and is affected by
any decisions taken by the company. In this scenario, Gadgets n' Stuff Inc. is a(n) _________ for
the appliance manufacturing company. - correct answer ✔✔external stakeholder
Which of the following groups is most likely to be considered a firm's internal stakeholder? -
correct answer ✔✔Board members
Which of the following groups will not be considered a company's internal stakeholder? -
correct answer ✔✔Suppliers
________ is best described as executives' use of power and influence to direct the activities of
others when pursuing organizational competitive advantage. - correct answer ✔✔Strategic
leadership
According to the upper-echelons theory, - correct answer ✔✔organizational outcomes reflect
the values of the top management team.
Which of the following statements does the upper-echelons theory support? - correct answer
✔✔Executives interpret situations through the lens of their unique perspectives, shaped by
personal circumstances, values, and experiences.
According to the Level-5 leadership pyramid, the Level 2 manager is a(n) - correct answer
✔✔contributing team member.
answered already passed
Which of the following does a firm possess when it can outperform other firms in the same
industry or the industry average over a prolonged period of time? - correct answer
✔✔Sustainable Competitive Advantage
Too Fast Inc., a motorcycle company, is the market leader due to its superior engine technology
and service orientation. These unique qualities have helped the company generate revenues
that are consistently higher than other firms in the same industry. Which of the following can be
concluded about Too Fast Inc. from this scenario? - correct answer ✔✔It has a competitive
advantage over the other firms.
A diagnosis of the competitive challenge, an element of a good strategy, is primarily
accomplished through strategy - correct answer ✔✔Analysis
Which of the following statements about competitive advantage is not true? - correct answer
✔✔A firm's competitive advantage is always absolute, not relative.
A firm is likely to have a competitive advantage when it - correct answer ✔✔provides services
that consumers will value more than those of its rivals.
The greater the difference between value creation and cost, the - correct answer ✔✔greater a
firm's economic contribution.
When a firm integrates the competitive strategies of cost-leadership and differentiation, it will
most likely result in - correct answer ✔✔trade-offs that work against each other.
,How has Walmart staked out a unique strategic position? - correct answer ✔✔by cutting costs
to offer lower prices than competitors
Which of the following has contributed to Tesla's competitive advantage in terms of stock
appreciation? - correct answer ✔✔reinvesting profits to continually design and produce better
electric vehicles
EatNow is a fast-food restaurant that has recently entered the hospitality industry. Since most of
its competitors are pursuing a low-cost position and doing well, EatNow also wants to adopt the
same strategy. Which of the following will be a likely implication of this decision? - correct
answer ✔✔EatNow will face low profit potential.
Which of the following statements is true of strategy? - correct answer ✔✔Actions that allow a
firm to address a competitive challenge are strategy.
Which of the following statements will effectively guide a strategist? - correct answer ✔✔The
principles of strategic management can be applied universally to all organizations.
A good strategy should be able to provide products and services to customers at an attractive
price point while maintaining internal costs, resulting in - correct answer ✔✔Value creation
All of the following are examples of internal stakeholders except. - correct answer ✔✔Suppliers
All of the following below are examples of external stakeholders except - correct answer
✔✔Employees
________ is an important tool because it allows a manager to recognize, prioritize and address
the needs of various stakeholders. - correct answer ✔✔Stakeholder impact analysis
, Why are black swan events such as accounting scandals and the global financial crisis perceived
as caused by cheap credit and subprime mortgages offered by financial institutions, bad for
business? - correct answer ✔✔They erode the implicit trust between the corporate world and
society.
Gadgets n' Stuff Inc. is a vendor who supplies machine parts to an appliance manufacturing
company. In return, Gadgets n' Stuff Inc. relies on the company for its revenue and is affected by
any decisions taken by the company. In this scenario, Gadgets n' Stuff Inc. is a(n) _________ for
the appliance manufacturing company. - correct answer ✔✔external stakeholder
Which of the following groups is most likely to be considered a firm's internal stakeholder? -
correct answer ✔✔Board members
Which of the following groups will not be considered a company's internal stakeholder? -
correct answer ✔✔Suppliers
________ is best described as executives' use of power and influence to direct the activities of
others when pursuing organizational competitive advantage. - correct answer ✔✔Strategic
leadership
According to the upper-echelons theory, - correct answer ✔✔organizational outcomes reflect
the values of the top management team.
Which of the following statements does the upper-echelons theory support? - correct answer
✔✔Executives interpret situations through the lens of their unique perspectives, shaped by
personal circumstances, values, and experiences.
According to the Level-5 leadership pyramid, the Level 2 manager is a(n) - correct answer
✔✔contributing team member.
