MNGT 4800 - Exam 2 Questions With 100% Correct Answers

MNGT 4800 - Exam 2 Questions With 100% Correct Answers The goal-directed actions managers take in their quest for competitive advantage when competing in a single product market. - answerBusiness-level strategy The size—narrow or broad—of the market in which a firm chooses to compete. - answerScope of competition Same as the cost-leadership strategy except with a narrow focus on a niche market - answerFocused cost-leadership strategy Same as the differentiation strategy except with a narrow focus on a niche market - answerFocused differentiation strategy Generic business strategy that seeks to create the same or similar value for customers at a lower cost - answerCost-leadership strategy Generic business strategy that seeks to create higher value for customers than the value that competitors create, while containing costs. - answerDifferentiation strategy Denotes decreases in cost per unit as output increases - answerEconomies of scale Increases in cost per unit when output increases - answerDiseconomies of scale Savings that come from producing two (or more) outputs at less cost than producing each output individually, despite using the same resources and technology. - answerEconomies of scope Output range needed to bring down the cost per unit as much as possible, allowing a firm to stake out the lowest-cost position that is achievable through economies of scale - answerMinimum efficient scale (MES)