SEVI 3013 Exam 1 Latest Update 2025
With Questions and Correct Answers
Graded A+|Assured Success
Why competitive advantage may/not diminish over time - CORRECT ANSWER-sustainable
competitive advantage must be valuable, rare, imperfectly inimitable, and non-substitutable
Value chain analysis - CORRECT ANSWER-allows the firm to understand the parts of its
operations that create value and those that do not
Value chain analysis key elements - CORRECT ANSWER-consists of primary and support
activities
Outsourcing - CORRECT ANSWER-purchase of a value-creating activity or support function
from an external supplier
Building blocks of a business level strategy (aka generic strategy) - CORRECT ANSWER-Which
customers will we serve? What needs of the target customers will be served? And how will those needs
be served?
, Reach - CORRECT ANSWER-access to customers
Richness - CORRECT ANSWER-depth and detail of communications with customers
Affiliation - CORRECT ANSWER-facilitation of customer relationship
Different generic business level strategies - CORRECT ANSWER-Cost Leadership,
Differentiation, Focused low cost, Focused differentiation, stuck in the middle, and integrated cost
differentiation strategies
Cost - CORRECT ANSWER-amount of money that a firm pays to deliver products or services to
the customer
Price - CORRECT ANSWER-what the customer pays to obtain the product/service
Different ways that companies can differentiate themselves - CORRECT ANSWER-unique
product features, unique product performance, exceptional services, new technologies, quality of
inputs, exceptional skill or experience, detailed Information
Differentiation strategy key steps - CORRECT ANSWER-value provided by unique feature and
value characteristics, command premium price, high customer service, superior quality, prestige or
exclusivity, rapid innovation
Cost leadership key steps - CORRECT ANSWER-relatively standardized products, features
acceptable to many customers, lowest competitive price
Global Economy and Technological Changes - CORRECT ANSWER-2 primary drivers of
hypercompetition
Buyers/customers of an industry - CORRECT ANSWER-set of entities who buy the products of
the said industry (consumers, rental agencies, retailers)
Cost leadership - CORRECT ANSWER-standardized products for typical customers; low cost
products with competitive levels of differentiation; focus on efficiency to keep costs lower than
With Questions and Correct Answers
Graded A+|Assured Success
Why competitive advantage may/not diminish over time - CORRECT ANSWER-sustainable
competitive advantage must be valuable, rare, imperfectly inimitable, and non-substitutable
Value chain analysis - CORRECT ANSWER-allows the firm to understand the parts of its
operations that create value and those that do not
Value chain analysis key elements - CORRECT ANSWER-consists of primary and support
activities
Outsourcing - CORRECT ANSWER-purchase of a value-creating activity or support function
from an external supplier
Building blocks of a business level strategy (aka generic strategy) - CORRECT ANSWER-Which
customers will we serve? What needs of the target customers will be served? And how will those needs
be served?
, Reach - CORRECT ANSWER-access to customers
Richness - CORRECT ANSWER-depth and detail of communications with customers
Affiliation - CORRECT ANSWER-facilitation of customer relationship
Different generic business level strategies - CORRECT ANSWER-Cost Leadership,
Differentiation, Focused low cost, Focused differentiation, stuck in the middle, and integrated cost
differentiation strategies
Cost - CORRECT ANSWER-amount of money that a firm pays to deliver products or services to
the customer
Price - CORRECT ANSWER-what the customer pays to obtain the product/service
Different ways that companies can differentiate themselves - CORRECT ANSWER-unique
product features, unique product performance, exceptional services, new technologies, quality of
inputs, exceptional skill or experience, detailed Information
Differentiation strategy key steps - CORRECT ANSWER-value provided by unique feature and
value characteristics, command premium price, high customer service, superior quality, prestige or
exclusivity, rapid innovation
Cost leadership key steps - CORRECT ANSWER-relatively standardized products, features
acceptable to many customers, lowest competitive price
Global Economy and Technological Changes - CORRECT ANSWER-2 primary drivers of
hypercompetition
Buyers/customers of an industry - CORRECT ANSWER-set of entities who buy the products of
the said industry (consumers, rental agencies, retailers)
Cost leadership - CORRECT ANSWER-standardized products for typical customers; low cost
products with competitive levels of differentiation; focus on efficiency to keep costs lower than
