Test Bank Complete_
Strategic Management 6th Edition, (2026 Updates)
By Frank T. Rothaermel
All Chapter 1-12| Latest Version| Verified Answers| Rated A+
From: [Bestmaxsolutions.Stuvia
,Chapter 1. What Is Strategy? ____________________________________________________ 3
Answer Key _______________________________________________________________________ 48
Chapter 2. Strategic Leadership: Managing The Strategy Process _____________________ 50
Answer Key _______________________________________________________________________ 88
Chapter 3. External Analysis: Industry Structure, Competitive Forces, And Strategic Groups 94
Answer Key ______________________________________________________________________ 129
Chapter 4. Internal Analysis: Resources, Capabilities, And Core Competencies __________ 134
Answer Key ______________________________________________________________________ 173
Chapter 5. Shared Value And Competitive Advantage ______________________________ 178
Answer Key ______________________________________________________________________ 214
Chapter 6. Business Strategy: Differentiation, Cost Leadership, And Blue Oceans ________ 220
Answer Key ______________________________________________________________________ 256
Chapter 7. Business Strategy: Innovation, Entrepreneurship, And Platforms ____________ 261
Answer Key ______________________________________________________________________ 296
Chapter 8. Corporate Strategy: Vertical Integration And Diversification _______________ 300
Answer Key ______________________________________________________________________ 337
Chapter 9. Corporate Strategy: Strategic Alliances, Mergers, And Acquisitions __________ 342
Answer Key ______________________________________________________________________ 380
Chapter 10. Global Strategy: Competing Around The World _________________________ 385
Answer Key ______________________________________________________________________ 424
Chapter 11. Organizational Design: Structure, Culture, And Control___________________ 428
Answer Key ______________________________________________________________________ 464
Chapter 12. Corporate Governance, Business Ethics, And Business Models _____________ 469
Answer Key ______________________________________________________________________ 509
,Chapter 1. What Is Strategy?
Frank T. Rothaermel: Strategic Management 6th Edition, Test Bank
Student Name: _________________________________
1) Juan Wants To Open His Own Hot Dog Restaurant But Doesn’t Know Anything
About Business. He Needs Help Determining Who His Competition Is, How He Should
Craft His Strategy To Compete And How He’ll Implement His Strategy To Achieve A
Competitive Advantage. He’s Hired You To Help Him Get Started. As A Result, You
Will Probably Use Which Of The Following?
A) Afi Strategy Framework
B) Red Queen Effect
C) Competitive Benchmarking
D) Stakeholder Impact Analysis
ANS. A)
The Afi (Analyze, Formulate, Implement) Strategy Framework Is Designed To Help
Businesses Identify Competitors, Craft Strategies, And Implement Them To Achieve
Competitive Advantage. It Provides A Structured Approach For Beginners Like Juan To
Understand The Competitive Landscape And Build A Sustainable Plan. The Other
Options Are Narrower Concepts: The Red Queen Effect Refers To Constant Competition,
Benchmarking Compares Performance, And Stakeholder Analysis Focuses On
Stakeholder Needs Rather Than Overall Strategy.
2) Roberta Is Interested In The Concept Of Strategy And Decides To Create Her Own. As
A Result, Roberta Says That Her Strategy Is To Focus On Competitive Benchmarking To
Achieve Competitive Advantage. Which Is The Best Evaluation Of Roberta’s Statement?
A) Roberta’s Strategy Is Clear, But She Should Provide More Detail.
B) Roberta’s Strategy Reveals A Clear Strategic Position And Tradeoff, So She Should
Proceed.
, C) Roberta Should Reevaluate Her Statement Because It Fails To Mention More Than
One Strategy.
D) Roberta Should Reevaluate Her Statement Because It Fails To Meet The Principles Of
What A Strategy Should Be.
ANS. D)
A True Strategy Must Define A Clear Position, Include Trade-Offs, And Provide A
Roadmap For Achieving Competitive Advantage. Simply Stating "Competitive
Benchmarking" Is Not A Strategy—It’s A Tool. Roberta’s Statement Lacks The Essential
Elements Of A Strategy, Such As Differentiation, Long-Term Goals, And
Implementation Plans.
3) Tony’s Pizza Shop Is Able To Net $10,000 A Week; This Makes The Shop Profitable.
Its Number One Competitor, Leo’s Pies, Is Also Profitable, Netting $12,000 A Week. Lil
Anthony’s Pizza Palace Nets $13,000 A Week. Since Tony’s Pizza Shop Is Profitable,
We Can Conclude That It Has A Competitive Advantage In Its Industry.
A) True—Competitive Advantage Is Achieved Through Profitability Alone.
B) True—Competitive Advantage Is Achieved Since Tony Has A Positive Net Income.
C) False—Competitive Advantage Is Only Achieved By Generating Above Average
Returns, Relative To Competition.
D) False—Tony More Than Likely Has A Sustained Competitive Advantage Since He’s
Been In Business Longer.
ANS. C)
Profitability Alone Does Not Equal Competitive Advantage. Competitive Advantage
Requires Outperforming Rivals Consistently. Since Tony’s Pizza Shop Earns Less Than
Its Competitors, It Is Profitable But Does Not Have A Competitive Advantage.
Competitive Advantage Is Measured Relative To Industry Peers, Not Just By Being
Profitable.
Strategic Management 6th Edition, (2026 Updates)
By Frank T. Rothaermel
All Chapter 1-12| Latest Version| Verified Answers| Rated A+
From: [Bestmaxsolutions.Stuvia
,Chapter 1. What Is Strategy? ____________________________________________________ 3
Answer Key _______________________________________________________________________ 48
Chapter 2. Strategic Leadership: Managing The Strategy Process _____________________ 50
Answer Key _______________________________________________________________________ 88
Chapter 3. External Analysis: Industry Structure, Competitive Forces, And Strategic Groups 94
Answer Key ______________________________________________________________________ 129
Chapter 4. Internal Analysis: Resources, Capabilities, And Core Competencies __________ 134
Answer Key ______________________________________________________________________ 173
Chapter 5. Shared Value And Competitive Advantage ______________________________ 178
Answer Key ______________________________________________________________________ 214
Chapter 6. Business Strategy: Differentiation, Cost Leadership, And Blue Oceans ________ 220
Answer Key ______________________________________________________________________ 256
Chapter 7. Business Strategy: Innovation, Entrepreneurship, And Platforms ____________ 261
Answer Key ______________________________________________________________________ 296
Chapter 8. Corporate Strategy: Vertical Integration And Diversification _______________ 300
Answer Key ______________________________________________________________________ 337
Chapter 9. Corporate Strategy: Strategic Alliances, Mergers, And Acquisitions __________ 342
Answer Key ______________________________________________________________________ 380
Chapter 10. Global Strategy: Competing Around The World _________________________ 385
Answer Key ______________________________________________________________________ 424
Chapter 11. Organizational Design: Structure, Culture, And Control___________________ 428
Answer Key ______________________________________________________________________ 464
Chapter 12. Corporate Governance, Business Ethics, And Business Models _____________ 469
Answer Key ______________________________________________________________________ 509
,Chapter 1. What Is Strategy?
Frank T. Rothaermel: Strategic Management 6th Edition, Test Bank
Student Name: _________________________________
1) Juan Wants To Open His Own Hot Dog Restaurant But Doesn’t Know Anything
About Business. He Needs Help Determining Who His Competition Is, How He Should
Craft His Strategy To Compete And How He’ll Implement His Strategy To Achieve A
Competitive Advantage. He’s Hired You To Help Him Get Started. As A Result, You
Will Probably Use Which Of The Following?
A) Afi Strategy Framework
B) Red Queen Effect
C) Competitive Benchmarking
D) Stakeholder Impact Analysis
ANS. A)
The Afi (Analyze, Formulate, Implement) Strategy Framework Is Designed To Help
Businesses Identify Competitors, Craft Strategies, And Implement Them To Achieve
Competitive Advantage. It Provides A Structured Approach For Beginners Like Juan To
Understand The Competitive Landscape And Build A Sustainable Plan. The Other
Options Are Narrower Concepts: The Red Queen Effect Refers To Constant Competition,
Benchmarking Compares Performance, And Stakeholder Analysis Focuses On
Stakeholder Needs Rather Than Overall Strategy.
2) Roberta Is Interested In The Concept Of Strategy And Decides To Create Her Own. As
A Result, Roberta Says That Her Strategy Is To Focus On Competitive Benchmarking To
Achieve Competitive Advantage. Which Is The Best Evaluation Of Roberta’s Statement?
A) Roberta’s Strategy Is Clear, But She Should Provide More Detail.
B) Roberta’s Strategy Reveals A Clear Strategic Position And Tradeoff, So She Should
Proceed.
, C) Roberta Should Reevaluate Her Statement Because It Fails To Mention More Than
One Strategy.
D) Roberta Should Reevaluate Her Statement Because It Fails To Meet The Principles Of
What A Strategy Should Be.
ANS. D)
A True Strategy Must Define A Clear Position, Include Trade-Offs, And Provide A
Roadmap For Achieving Competitive Advantage. Simply Stating "Competitive
Benchmarking" Is Not A Strategy—It’s A Tool. Roberta’s Statement Lacks The Essential
Elements Of A Strategy, Such As Differentiation, Long-Term Goals, And
Implementation Plans.
3) Tony’s Pizza Shop Is Able To Net $10,000 A Week; This Makes The Shop Profitable.
Its Number One Competitor, Leo’s Pies, Is Also Profitable, Netting $12,000 A Week. Lil
Anthony’s Pizza Palace Nets $13,000 A Week. Since Tony’s Pizza Shop Is Profitable,
We Can Conclude That It Has A Competitive Advantage In Its Industry.
A) True—Competitive Advantage Is Achieved Through Profitability Alone.
B) True—Competitive Advantage Is Achieved Since Tony Has A Positive Net Income.
C) False—Competitive Advantage Is Only Achieved By Generating Above Average
Returns, Relative To Competition.
D) False—Tony More Than Likely Has A Sustained Competitive Advantage Since He’s
Been In Business Longer.
ANS. C)
Profitability Alone Does Not Equal Competitive Advantage. Competitive Advantage
Requires Outperforming Rivals Consistently. Since Tony’s Pizza Shop Earns Less Than
Its Competitors, It Is Profitable But Does Not Have A Competitive Advantage.
Competitive Advantage Is Measured Relative To Industry Peers, Not Just By Being
Profitable.
