BUSI 4940 Exam 1- Business Policy & Strategic
Management COMPLETE EXAM LATEST VERSION 2026-
2027 QUESTIONS AND ANSWERS
When developing a Response from a competitor analysis, which of the following is NOT a question that
is addressed?
a.What will our competitors do in the future?
b.What is the worst-case scenario if we take a status quo approach?
c.Where do we hold an advantage over our competitors?
d.How will this change our relationship with our competitors? - answer>>B
An appropriate guideline for competitor intelligence practices includes which of the following?
a.Respect the principles of common morality.
b.Reveal all information that has been verified by a second source.
c.If it is legal, it is ethical.
d.Include any information you have heard. - answer>>A
Limits to the formation of strategic groups include all of the following EXCEPT: a.high
mobility barriers.
b.lesser threats to each firm's profitability.
c.high rivalry.
d.low resources among the firms within an industry. - answer>>B
Deregulation philosophies address concerns in which segment of the general environment?
a.Technological
b.Sustainable physical environment
c.Political/legal
d.Economic - answer>>C
,When a company like Walmart announces that its goal is to produce zero waste and to use 100 percent
renewable energy to power its operations, it is referring to positive practices in its _____ segment.
a.global
b.demographic
c.sociocultural
d.sustainable physical environment - answer>>D
V
An effective vision statement tends to be:
a.long and detailed.
b.more concrete than a firm's mission.
c.short and concise.
d.founded from the firm's mission. - answer>>C
Walmart and Amazon are examples of organizations that earn above-average returns by using a _____
strategy.
a.cost leadership
b.focus
c.differentiation
d.consolidation - answer>>A
Toy Joy Company is a start-up toy company. Its owners have decided to use the industrial organization
(I/O) model to pursue strategic competitiveness and earn above-average returns. Toy Joy's first step in
using the model would be to:
a.locate an industry with high potential for above-average returns.
b.study the external environment, especially the industry environment.
c.identify the firm's resources.
d.identify a strategy. - answer>>B
Kristine Woods and her husband, Liam, own a café, Simply Healthy, in their hometown. Simply Healthy
offers only natural and healthy options on its menu and uses only locally grown food. It charges slightly
,higher prices than the other restaurants in town, but health-conscious customers are willing to pay a
premium. Simply Healthy operates using a _____ strategy.
a.differentiation
b.focus
c.cost leadership
d.consolidation - answer>>A
The quality of a firm's performance is reflected in its ability to:
a.achieve strategic competitiveness.
b.engage in perpetual innovation.
c.earn average returns.
d.achieve strategic flexibility. - answer>>A
Which of the following would NOT be considered a resource?
a.A patent
b.Finances
c.An employee's skills
d.A competitor's skills - answer>>D
_____ is a set of capabilities firms use to respond to various demands and opportunities existing in
today's dynamic and uncertain competitive environment.
a.Strategic flexibility
b.Strategic competitiveness
c.Perpetual innovation
d.Organizational culture - answer>>A
Motorvate is a start-up rental car company. Its owners have decided to use the resource-based model to
pursue strategic competitiveness and earn above-average returns. Motorvate's first step in using the
model would be to:
a.determine the firm's capabilities.
, b.locate an attractive industry.
c.study the external environment, especially the industry environment.
d.identify the firm's resources. - answer>>D
Guinness Enterprises is a multinational corporation (MNC) that was established 75 years ago. One of the
goals of Harry Walker, the new Chief Executive Officer (CEO), is to make the firm strategically flexible.
Harry should know that:
a.it is impossible to develop strategic flexibility in all areas of an organization's operations.
b.a firm's focus and past core competencies can help expedite strategic flexibility.
c.the most effective way to implement strategic flexibility is through intermittent training courses.
d.building strategic flexibility is not easy, largely because of inertia that can build over time. - answer>>D
According to the industrial organization (I/O) model, an attractive industry is one: a.with fierce
competition.
b.in which a company can use a focus strategy rather than a cost leadership or differentiation strategy.
c.with opportunities that can be exploited by the firm's resources and capabilities.
d.whose structural characteristics suggest above-average returns. - answer>>D
Ranger Landscaping's website states the following: "Ranger Landscaping is a service-oriented business
that provides lawn care and landscape design, installation, and maintenance. We are committed to a
professional approach to our business and to providing our customers with individualized attention and
100 percent satisfaction." This statement represents Ranger Landscaping's: a.tagline.
b.mission.
c.vision.
d.code of ethics. - answer>>B
The basis of competition has shifted from _____ to _____.
a.experience; tangible resources
b.customer satisfaction; management
c.tangible assets; intangible resources
d.employee skills; technology innovation - answer>>C
Management COMPLETE EXAM LATEST VERSION 2026-
2027 QUESTIONS AND ANSWERS
When developing a Response from a competitor analysis, which of the following is NOT a question that
is addressed?
a.What will our competitors do in the future?
b.What is the worst-case scenario if we take a status quo approach?
c.Where do we hold an advantage over our competitors?
d.How will this change our relationship with our competitors? - answer>>B
An appropriate guideline for competitor intelligence practices includes which of the following?
a.Respect the principles of common morality.
b.Reveal all information that has been verified by a second source.
c.If it is legal, it is ethical.
d.Include any information you have heard. - answer>>A
Limits to the formation of strategic groups include all of the following EXCEPT: a.high
mobility barriers.
b.lesser threats to each firm's profitability.
c.high rivalry.
d.low resources among the firms within an industry. - answer>>B
Deregulation philosophies address concerns in which segment of the general environment?
a.Technological
b.Sustainable physical environment
c.Political/legal
d.Economic - answer>>C
,When a company like Walmart announces that its goal is to produce zero waste and to use 100 percent
renewable energy to power its operations, it is referring to positive practices in its _____ segment.
a.global
b.demographic
c.sociocultural
d.sustainable physical environment - answer>>D
V
An effective vision statement tends to be:
a.long and detailed.
b.more concrete than a firm's mission.
c.short and concise.
d.founded from the firm's mission. - answer>>C
Walmart and Amazon are examples of organizations that earn above-average returns by using a _____
strategy.
a.cost leadership
b.focus
c.differentiation
d.consolidation - answer>>A
Toy Joy Company is a start-up toy company. Its owners have decided to use the industrial organization
(I/O) model to pursue strategic competitiveness and earn above-average returns. Toy Joy's first step in
using the model would be to:
a.locate an industry with high potential for above-average returns.
b.study the external environment, especially the industry environment.
c.identify the firm's resources.
d.identify a strategy. - answer>>B
Kristine Woods and her husband, Liam, own a café, Simply Healthy, in their hometown. Simply Healthy
offers only natural and healthy options on its menu and uses only locally grown food. It charges slightly
,higher prices than the other restaurants in town, but health-conscious customers are willing to pay a
premium. Simply Healthy operates using a _____ strategy.
a.differentiation
b.focus
c.cost leadership
d.consolidation - answer>>A
The quality of a firm's performance is reflected in its ability to:
a.achieve strategic competitiveness.
b.engage in perpetual innovation.
c.earn average returns.
d.achieve strategic flexibility. - answer>>A
Which of the following would NOT be considered a resource?
a.A patent
b.Finances
c.An employee's skills
d.A competitor's skills - answer>>D
_____ is a set of capabilities firms use to respond to various demands and opportunities existing in
today's dynamic and uncertain competitive environment.
a.Strategic flexibility
b.Strategic competitiveness
c.Perpetual innovation
d.Organizational culture - answer>>A
Motorvate is a start-up rental car company. Its owners have decided to use the resource-based model to
pursue strategic competitiveness and earn above-average returns. Motorvate's first step in using the
model would be to:
a.determine the firm's capabilities.
, b.locate an attractive industry.
c.study the external environment, especially the industry environment.
d.identify the firm's resources. - answer>>D
Guinness Enterprises is a multinational corporation (MNC) that was established 75 years ago. One of the
goals of Harry Walker, the new Chief Executive Officer (CEO), is to make the firm strategically flexible.
Harry should know that:
a.it is impossible to develop strategic flexibility in all areas of an organization's operations.
b.a firm's focus and past core competencies can help expedite strategic flexibility.
c.the most effective way to implement strategic flexibility is through intermittent training courses.
d.building strategic flexibility is not easy, largely because of inertia that can build over time. - answer>>D
According to the industrial organization (I/O) model, an attractive industry is one: a.with fierce
competition.
b.in which a company can use a focus strategy rather than a cost leadership or differentiation strategy.
c.with opportunities that can be exploited by the firm's resources and capabilities.
d.whose structural characteristics suggest above-average returns. - answer>>D
Ranger Landscaping's website states the following: "Ranger Landscaping is a service-oriented business
that provides lawn care and landscape design, installation, and maintenance. We are committed to a
professional approach to our business and to providing our customers with individualized attention and
100 percent satisfaction." This statement represents Ranger Landscaping's: a.tagline.
b.mission.
c.vision.
d.code of ethics. - answer>>B
The basis of competition has shifted from _____ to _____.
a.experience; tangible resources
b.customer satisfaction; management
c.tangible assets; intangible resources
d.employee skills; technology innovation - answer>>C
