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MQM 385 Actual Questions and Correct Answers

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MQM 385 Actual Questions and Correct Answers

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MQM 385
Course
MQM 385

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MQM 385 Actual Questions and Correct Answers



Q1
Flexibility
Answer: The value in waiting- reduction in uncertainty Real (strategic) options
analysis: assessing the value of waiting Key issues: reduction of uncertainty over time
Similar to second mover advantage




Q2
Commitment
Answer: The value in taking action- pre-emption Game Theory: assessing the value of
preemptive actions Key issue:




Q3
Corporate Level Strategy
Answer: An action taken to gain competitive advantage through the selection and
management of a mix of businesses competing in several industries or product market




Q4
Types of Corporate Strategy
Answer: Integration (horizontal and vertical) Diversification (related and unrelated)




Q5
Horizontal Integration
Answer: Bringing together entities that are engaging in the same or very similar
value-creating activities. Expands the width of part or all of the value chain
Motivation: economies of scale and market power




Q6
Vertical Integration
Answer: Taking control over upstream or downstream activities. Expands the length of
the value chain. Motivation: market power and efficiency/control gains
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