BUSI 4940 EXAM 1 - 2 QUESTIONS & ANSWERS
A situation where there is a single buyer of the firm's products or service and the buyer
is forcing the seller to sell its product/service below a normal competitive price is known
as a
A. Monopoly
B. Monocracy
C. Monopsony
D. Oligopoly - Answer -C
Budget Rental Car rents vehicles to customers who drive themselves around, usually
for a period of 1 - 7 days. Uber is a company that primarily responds to customers'
requests for immediate pick-up and delivery between two locations with the owner of the
car doing the driving. From Budget Rental Car's perspective, which of Porter's Five
Forces best describes where budget would categorize its analysis of Uber?
A. Barriers to Entry
B. Threat of New Entry
C. Rivalry
D. Supplier Power
E. Threat of Substitutes - Answer -E
The textbook (p. 9) describes two specific factors as being the primary drivers of
hypercompetition. These two are ____ and ____.
A. Rising global income inequality; increased inflation
B. The emergence of a global economy; rapid technological change
C. Increased global extremism; decreased tariffs
D. Increased availability of capital; increased competition - Answer -B
According to the in-class lecture and the narrated PowerPoint lectures, a "proportional
win-lose" outcome is most closely associated with a(n) ____ type of event in game
theory.
A. Zero Sum
B. Positive Sum
C. Negative Sum
D. Reciprocating Sum - Answer -A
An analysis of the political/legal segment of the external environment would include all
of the following EXCEPT:
A. child labor regulations
B. corporate tax codes
,C. immigration policies regarding high-tech employees
D. public disclosure requirements for publicly traded companies
E. All of the above are a part of the political/legal segment of the external environment -
Answer -E
Per the discussion in the supplemental lecture on Strategic Management, which of the
following is the first of the Primary Objectives of Organizational Strategy?
A. Sustainable Competitive Advantage
B. Competitive Advantage
C. Competitive Parity
D. Survival - Answer -D
During its most recent strategic planning process, Kubota Tractor Corporation USA (a
subsidiary of Kubota Tractor Corporation) considered taking advantage of new
advances in robotic control systems to increase the number of robots and robotic
aluminum press machines on its factor floor. As a smaller secondary benefit, the new
equipment should also help to lower the company's employee costs. The primary
component of analysis in the PEST-DEG model where this option was considered is
mostly likely the ____ component.
A. Global
B. Environmental
C. Economic
D. Technological - Answer -D
All of the following are resources of an organization EXCEPT:
A. The skill of an hourly production employee that allows him/her to catch subtle quality
defects in products.
B. Oil drilling rights in a promising region.
C. Weak competitors in the industry.
D. A company's reputation among its customers. - Answer -C
All of the following are core assumptions of the resource-based model EXCEPT:
A. Firms acquire different resources and develop unique capabilities based on how they
combine and use resources.
B. Firms' performances across time are due primarily to their unique resources and
capabilities rather than the industry's structural characteristics.
C. Competencies are formed when capabilities are turned into resources.
D. Differences in resources and capabilities between firms are the basis of competitive
advantage. - Answer -C
, From the textbook and lecture, we know that stakeholders are typically broken into three
basic groups. One of those groups is called "Capital market stakeholders." Capital
market stakeholders include which of the following specific type(s) of constituents?
A. Unsecuritized debt holders
B. Preferred shareholders
C. Common shareholders
D. First mortgage securitized debt holders
E. All of the above - Answer -E
According to the supplemental PowerPoint lecture "What is Strategic Management,"
which of the following types of statements is primarily supposed to answer the question,
"What do we want to accomplish in the future and by when?"
A. Objective Statement
B. Mission Statement
C. Values Statement
D. Vision Statement - Answer -D
According to the textbook, the term ____ is commonly defined as an investor's
uncertainty about the economic gains or losses that will result from a particular
investment.
A. Insurance
B. Volatility
C. Resistance
D. Risk - Answer -D
____ innovation is a term used to describe how rapidly and consistently new,
information-intensive technologies replace older ones.
A. Perpetual
B. Disruptive
C. Preemptive
D. Diffusion - Answer -A
Organizational cultures is defined in the textbook as ____.
A. An integrated and coordinated set of commitments and actions designed to exploit
core competencies and gain a competitive advantage.
B. How a firm acquires, uses, and develops its various people-related resources and
capabilities.
C. A set of capabilities used to respond to various demands and opportunities existing
in a dynamic and uncertain competitive environment.
D. The complex set of ideologies, symbols, and core values that are shared throughout
the firm. - Answer -D
A situation where there is a single buyer of the firm's products or service and the buyer
is forcing the seller to sell its product/service below a normal competitive price is known
as a
A. Monopoly
B. Monocracy
C. Monopsony
D. Oligopoly - Answer -C
Budget Rental Car rents vehicles to customers who drive themselves around, usually
for a period of 1 - 7 days. Uber is a company that primarily responds to customers'
requests for immediate pick-up and delivery between two locations with the owner of the
car doing the driving. From Budget Rental Car's perspective, which of Porter's Five
Forces best describes where budget would categorize its analysis of Uber?
A. Barriers to Entry
B. Threat of New Entry
C. Rivalry
D. Supplier Power
E. Threat of Substitutes - Answer -E
The textbook (p. 9) describes two specific factors as being the primary drivers of
hypercompetition. These two are ____ and ____.
A. Rising global income inequality; increased inflation
B. The emergence of a global economy; rapid technological change
C. Increased global extremism; decreased tariffs
D. Increased availability of capital; increased competition - Answer -B
According to the in-class lecture and the narrated PowerPoint lectures, a "proportional
win-lose" outcome is most closely associated with a(n) ____ type of event in game
theory.
A. Zero Sum
B. Positive Sum
C. Negative Sum
D. Reciprocating Sum - Answer -A
An analysis of the political/legal segment of the external environment would include all
of the following EXCEPT:
A. child labor regulations
B. corporate tax codes
,C. immigration policies regarding high-tech employees
D. public disclosure requirements for publicly traded companies
E. All of the above are a part of the political/legal segment of the external environment -
Answer -E
Per the discussion in the supplemental lecture on Strategic Management, which of the
following is the first of the Primary Objectives of Organizational Strategy?
A. Sustainable Competitive Advantage
B. Competitive Advantage
C. Competitive Parity
D. Survival - Answer -D
During its most recent strategic planning process, Kubota Tractor Corporation USA (a
subsidiary of Kubota Tractor Corporation) considered taking advantage of new
advances in robotic control systems to increase the number of robots and robotic
aluminum press machines on its factor floor. As a smaller secondary benefit, the new
equipment should also help to lower the company's employee costs. The primary
component of analysis in the PEST-DEG model where this option was considered is
mostly likely the ____ component.
A. Global
B. Environmental
C. Economic
D. Technological - Answer -D
All of the following are resources of an organization EXCEPT:
A. The skill of an hourly production employee that allows him/her to catch subtle quality
defects in products.
B. Oil drilling rights in a promising region.
C. Weak competitors in the industry.
D. A company's reputation among its customers. - Answer -C
All of the following are core assumptions of the resource-based model EXCEPT:
A. Firms acquire different resources and develop unique capabilities based on how they
combine and use resources.
B. Firms' performances across time are due primarily to their unique resources and
capabilities rather than the industry's structural characteristics.
C. Competencies are formed when capabilities are turned into resources.
D. Differences in resources and capabilities between firms are the basis of competitive
advantage. - Answer -C
, From the textbook and lecture, we know that stakeholders are typically broken into three
basic groups. One of those groups is called "Capital market stakeholders." Capital
market stakeholders include which of the following specific type(s) of constituents?
A. Unsecuritized debt holders
B. Preferred shareholders
C. Common shareholders
D. First mortgage securitized debt holders
E. All of the above - Answer -E
According to the supplemental PowerPoint lecture "What is Strategic Management,"
which of the following types of statements is primarily supposed to answer the question,
"What do we want to accomplish in the future and by when?"
A. Objective Statement
B. Mission Statement
C. Values Statement
D. Vision Statement - Answer -D
According to the textbook, the term ____ is commonly defined as an investor's
uncertainty about the economic gains or losses that will result from a particular
investment.
A. Insurance
B. Volatility
C. Resistance
D. Risk - Answer -D
____ innovation is a term used to describe how rapidly and consistently new,
information-intensive technologies replace older ones.
A. Perpetual
B. Disruptive
C. Preemptive
D. Diffusion - Answer -A
Organizational cultures is defined in the textbook as ____.
A. An integrated and coordinated set of commitments and actions designed to exploit
core competencies and gain a competitive advantage.
B. How a firm acquires, uses, and develops its various people-related resources and
capabilities.
C. A set of capabilities used to respond to various demands and opportunities existing
in a dynamic and uncertain competitive environment.
D. The complex set of ideologies, symbols, and core values that are shared throughout
the firm. - Answer -D
