WPC 480 ASU ch. 5 quiz Exam 2026
Questions and Answers
Competitive Dynamics - Correct answer-Competitive actions and responses taken
by all firms competing in the market.
market commonality - Correct answer-the degree to which two companies have
overlapping products, services, or customers in multiple markets.
resource similarity - Correct answer-the extent to which the firm's tangible and
intangible resources are comparable to a competitor's in terms of both type and
amount
Drivers of Competitive Behavior - Correct answer-awareness, motivation, ability
competitive awareness - Correct answer-• info on competition
• who's competing
• what marketplace they're in
Competitive Motivation - Correct answer-
competitive ability - Correct answer-ability to outcompete other companies
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, Competitive Action - Correct answer-a strategic or tactical action the firm takes to
build or defend its competitive advantages or improve its market position
An example of tactical action by a company - Correct answer-pricing
Competitive Response - Correct answer-a strategic or tactical action the firm takes
to counter the effects of a competitor's competitive action
Often the best competitive response is - Correct answer-to patiently wait to see
what happens. There is a bias toward action, make sure you consider this bias when
making decisions.
first-mover advantage - Correct answer-Occurs when an organization can
significantly impact its market share by being first to market with a competitive
advantage
First movers allocate funds for: - Correct answer--product innovation and
development
-aggressive advertising
-advanced research and development
First movers can gain: - Correct answer--market share
-loyalty of customers
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Questions and Answers
Competitive Dynamics - Correct answer-Competitive actions and responses taken
by all firms competing in the market.
market commonality - Correct answer-the degree to which two companies have
overlapping products, services, or customers in multiple markets.
resource similarity - Correct answer-the extent to which the firm's tangible and
intangible resources are comparable to a competitor's in terms of both type and
amount
Drivers of Competitive Behavior - Correct answer-awareness, motivation, ability
competitive awareness - Correct answer-• info on competition
• who's competing
• what marketplace they're in
Competitive Motivation - Correct answer-
competitive ability - Correct answer-ability to outcompete other companies
©COPYRIGHT 2025, ALL RIGHTS RESERVED 1
, Competitive Action - Correct answer-a strategic or tactical action the firm takes to
build or defend its competitive advantages or improve its market position
An example of tactical action by a company - Correct answer-pricing
Competitive Response - Correct answer-a strategic or tactical action the firm takes
to counter the effects of a competitor's competitive action
Often the best competitive response is - Correct answer-to patiently wait to see
what happens. There is a bias toward action, make sure you consider this bias when
making decisions.
first-mover advantage - Correct answer-Occurs when an organization can
significantly impact its market share by being first to market with a competitive
advantage
First movers allocate funds for: - Correct answer--product innovation and
development
-aggressive advertising
-advanced research and development
First movers can gain: - Correct answer--market share
-loyalty of customers
©COPYRIGHT 2025, ALL RIGHTS RESERVED 2
