California State University-Fullerton MGMT 449 Exam 1 || Verified
for Accuracy.
Strategy correct answers set of actions that managers take to out perform competitors and
achieve superior profitability
What are the three aspects of good strategy? correct answers Analysis, formulation, and
implementation
Analysis correct answers - businesses's environment and industry conditions
- firm's financial and competitive capabilities
Formulation correct answers create a vision for the firm's future direction
Implementation correct answers crafting an action plan and doing it
How do firms compete differently from rivals? correct answers - do what they don't or do it
better
- do what they can't
- do things that attract customers and set it apart from competitors
- do what the firm must do and know what it must not do
Competitive advantage correct answers provide buyers with superior value or offers product at
same value to rival, but lower cost to firm
Sustainable competitive advantage correct answers basis for advantage persists despite best
efforts of competitors to match/surpass its advantage (ex: Apple)
Why do firms modify strategy? correct answers - market conditions change
, - advancing technology
- fresh moves of competitors
- shifting buyer needs
- emerging market opportunities
- new ideas for improving strategies
Business model correct answers how a strategy will create value for the customer while creating
revenue to cover costs and create a profit
What are some common examples of business models? correct answers - razor-razorblade
- subscription
- pay-as-you-go
- freemium
- wholesale
- agency
- bundling
Why is executing and crafting a strategy important? correct answers - prescription for doing
business
- roadmap to competitive advantage
- plan for pleasing customers
- long term-standout marketplace performance
What are the five stages of strategy making and execution process? correct answers 1. Develop a
strategic vision, mission statement, and a set of core values.
2. Set objectives.
3. Craft a strategy
4. Execute the strategy
for Accuracy.
Strategy correct answers set of actions that managers take to out perform competitors and
achieve superior profitability
What are the three aspects of good strategy? correct answers Analysis, formulation, and
implementation
Analysis correct answers - businesses's environment and industry conditions
- firm's financial and competitive capabilities
Formulation correct answers create a vision for the firm's future direction
Implementation correct answers crafting an action plan and doing it
How do firms compete differently from rivals? correct answers - do what they don't or do it
better
- do what they can't
- do things that attract customers and set it apart from competitors
- do what the firm must do and know what it must not do
Competitive advantage correct answers provide buyers with superior value or offers product at
same value to rival, but lower cost to firm
Sustainable competitive advantage correct answers basis for advantage persists despite best
efforts of competitors to match/surpass its advantage (ex: Apple)
Why do firms modify strategy? correct answers - market conditions change
, - advancing technology
- fresh moves of competitors
- shifting buyer needs
- emerging market opportunities
- new ideas for improving strategies
Business model correct answers how a strategy will create value for the customer while creating
revenue to cover costs and create a profit
What are some common examples of business models? correct answers - razor-razorblade
- subscription
- pay-as-you-go
- freemium
- wholesale
- agency
- bundling
Why is executing and crafting a strategy important? correct answers - prescription for doing
business
- roadmap to competitive advantage
- plan for pleasing customers
- long term-standout marketplace performance
What are the five stages of strategy making and execution process? correct answers 1. Develop a
strategic vision, mission statement, and a set of core values.
2. Set objectives.
3. Craft a strategy
4. Execute the strategy
