BMGT495 Final UPDATED ACTUAL
Questions and CORRECT Answers
Four fundamental questions that a good strategy needs to answer - CORRECT
ANSWER✔✔- 1) Where do we compete? 2) What unique value do we bring? 3) What
resources/capabilities do we utilize? 4) How do we sustain unique value?
T/F: A good strategy explains why a business is successful by clearly articulating what a
business does and does not do - CORRECT ANSWER✔✔- True
Strategy - CORRECT ANSWER✔✔- A firm's theory about how to compete
successfully/meet objectives
Dick Rumelt definition of strategy - CORRECT ANSWER✔✔- Rather, it is coherent action
backed by an argument. And the core of the strategists work is always the same: discover the
crucial factors in a situation and design a way to coordinate and focus actions to deal with
them."
Michael Porter definition of strategy - CORRECT ANSWER✔✔- Strategy is making trade-
offs in competing. The essence of strategy is choosing what not to do. Without trade-offs,
there would be no need for choice and thus no need for strategy. Any good ideas could and
would be quickly imitated.
What is not strategy? - CORRECT ANSWER✔✔- 1) benchmarking 2) operational efficiency
3) error correction 4) goals or vision 5) luck
T/F: A strategy will focus on a single aspect of the overall picture - CORRECT
ANSWER✔✔- false
T/F: The word strategy comes from the greek word strategos, which means the art of the
general - CORRECT ANSWER✔✔- true
T/F A strategy is often misinterpreted as a goal - CORRECT ANSWER✔✔- false
, According to Barney, _____ are all assets, capabilities, organizational processes, firm
attributes, information, knowledge, etc., controlled by a firm that enable the firm to conceive
of and implement strategies that improve its efficiency and effectiveness. Put it differently,
_____ are strengths that the firm can use to conceive of and implement their strategies. -
CORRECT ANSWER✔✔- firm resources
organizational assets - CORRECT ANSWER✔✔- Organizational routines and team-based
skills that find their expression in a company's structure, routines, and culture are referred to
as
Which of the following is an example of a firm's resources? - CORRECT ANSWER✔✔- a)
routine activities such as invoicing customers that can be contracted from other firms
b) assistance available from the government in the form of rules and regulations
c) assets such as land and buildings owned by a firm
d) liabilities such as bills payables and short-term debts
c
Which of the following are examples of firm's resources that are hardest for competitors to
replicate? - CORRECT ANSWER✔✔- organizational routines and organizational culture
Which framework can be used to evaluate a firm's resources (and capabilities)? - CORRECT
ANSWER✔✔- VRIO
Which of the following statements accurately brings out the difference between tangible and
intangible resources? - CORRECT ANSWER✔✔- Tangible assets can be bought on the open
market, whereas intangible assets cannot be easily purchased.
Gene Craft Inc. is the market leader in the pharmaceutical industry. Though most of its
resources are common to those of its competitors, a few resources have helped the company
gain and sustain a competitive advantage. Which of the following assets of Gene Craft Inc. is
most likely to be considered a rare and costly-to-imitate resource that has contributed to its
competitive advantage? - CORRECT ANSWER✔✔- a) the company's land and buildings
b) the company's plant and machinery
c) the company's raw material supplies
d) the company's chemical patents
Questions and CORRECT Answers
Four fundamental questions that a good strategy needs to answer - CORRECT
ANSWER✔✔- 1) Where do we compete? 2) What unique value do we bring? 3) What
resources/capabilities do we utilize? 4) How do we sustain unique value?
T/F: A good strategy explains why a business is successful by clearly articulating what a
business does and does not do - CORRECT ANSWER✔✔- True
Strategy - CORRECT ANSWER✔✔- A firm's theory about how to compete
successfully/meet objectives
Dick Rumelt definition of strategy - CORRECT ANSWER✔✔- Rather, it is coherent action
backed by an argument. And the core of the strategists work is always the same: discover the
crucial factors in a situation and design a way to coordinate and focus actions to deal with
them."
Michael Porter definition of strategy - CORRECT ANSWER✔✔- Strategy is making trade-
offs in competing. The essence of strategy is choosing what not to do. Without trade-offs,
there would be no need for choice and thus no need for strategy. Any good ideas could and
would be quickly imitated.
What is not strategy? - CORRECT ANSWER✔✔- 1) benchmarking 2) operational efficiency
3) error correction 4) goals or vision 5) luck
T/F: A strategy will focus on a single aspect of the overall picture - CORRECT
ANSWER✔✔- false
T/F: The word strategy comes from the greek word strategos, which means the art of the
general - CORRECT ANSWER✔✔- true
T/F A strategy is often misinterpreted as a goal - CORRECT ANSWER✔✔- false
, According to Barney, _____ are all assets, capabilities, organizational processes, firm
attributes, information, knowledge, etc., controlled by a firm that enable the firm to conceive
of and implement strategies that improve its efficiency and effectiveness. Put it differently,
_____ are strengths that the firm can use to conceive of and implement their strategies. -
CORRECT ANSWER✔✔- firm resources
organizational assets - CORRECT ANSWER✔✔- Organizational routines and team-based
skills that find their expression in a company's structure, routines, and culture are referred to
as
Which of the following is an example of a firm's resources? - CORRECT ANSWER✔✔- a)
routine activities such as invoicing customers that can be contracted from other firms
b) assistance available from the government in the form of rules and regulations
c) assets such as land and buildings owned by a firm
d) liabilities such as bills payables and short-term debts
c
Which of the following are examples of firm's resources that are hardest for competitors to
replicate? - CORRECT ANSWER✔✔- organizational routines and organizational culture
Which framework can be used to evaluate a firm's resources (and capabilities)? - CORRECT
ANSWER✔✔- VRIO
Which of the following statements accurately brings out the difference between tangible and
intangible resources? - CORRECT ANSWER✔✔- Tangible assets can be bought on the open
market, whereas intangible assets cannot be easily purchased.
Gene Craft Inc. is the market leader in the pharmaceutical industry. Though most of its
resources are common to those of its competitors, a few resources have helped the company
gain and sustain a competitive advantage. Which of the following assets of Gene Craft Inc. is
most likely to be considered a rare and costly-to-imitate resource that has contributed to its
competitive advantage? - CORRECT ANSWER✔✔- a) the company's land and buildings
b) the company's plant and machinery
c) the company's raw material supplies
d) the company's chemical patents
