SEVI 3013 Exam 2 ACTUAL Exam
Questions and CORRECT Answers
In choosing sides concerning CEO duality, two schools of thought exist. Which of the following
would not be a consideration for the agency theory school of thought? - CORRECT
ANSWER - Firm performance typically improves under CEO duality.
In evaluating the sustainability of the Atlas Door competitive advantages over the long run, it is
important to evaluate the ability of rivals to - CORRECT ANSWER - easily imitate its
strategy.
Recently, firms have emphasized agile compensation. The point of agile compensation is to spot
and _______ good performance at the moment it occurs. - CORRECT ANSWER - recognize
In addition to an annual base salary of 1.3 million USD and 10.4 million USD in stock
compensation and bonuses, Heather Bresch, CEO of Mylan Pharmaceuticals, also received 6.4
million USD in other compensation in 2015. This included 19,200 USD for the use of a
company-provided automobile and 310,000 USD in personal use of the company jet. Which of
the following statements is true regarding this situation? - CORRECT ANSWER - Top-level
managers may pursue their own interests over that of the company.
Zulily, an online retailer, competes with Amazon and other online retailers by - CORRECT
ANSWER - maintaining a large inventory of products.
Most turnarounds require a firm to carefully analyze its relevant environments. ________
analysis results in actions aimed at reduced costs and higher efficiency. - CORRECT
ANSWER - Internal
Which of these statements regarding the industry life cycle is true? - CORRECT ANSWER -
It is important for company generic strategies, functional areas, value-creating activities, and
overall objectives.
, Barnes and Noble lost its market share in book retailing to Amazon. It tried to regain market
share by offering a similar electronic reader, the Nook, to the Amazon Kindle series. This
demonstrates that Barnes and Noble lacked - CORRECT ANSWER - a sustainable
competitive advantage.
An overall low-cost position protects a firm against rivalry from competitors because ________
allow a firm to earn returns even if its competitors eroded their profits through intense rivalry. -
CORRECT ANSWER - lower costs
Rules and regulations, rather than culture or rewards, would be used for strategic control at
which type of company? - CORRECT ANSWER - manufacturer of mass produced products
Which of the following turnaround strategies is Nordstrom primarily using? - CORRECT
ANSWER - piecemeal productivity improvements
An acquisition that results in ________ commonly indicates that expectations were not met. -
CORRECT ANSWER - divestiture
Which of the following approaches to behavioral strategic control would be the least appropriate
for an organization in which there is a great need for innovation and a high degree of autonomy?
- CORRECT ANSWER - rules
In the contemporary approach to strategic control, adapting to and anticipating both internal and
external environmental change is an integral part. The relationships between ________,
________, and ________ are highly interactive. - CORRECT ANSWER - strategy
formulation; implementation; control
Casio, a giant electronic products producer, synthesizes it abilities in miniaturization,
microprocessor design, material science, and ultrathin precision castings to produce digital
watches. It uses the same skills to produce card calculators, digital cameras, and other small
electronics. These collective skills are - CORRECT ANSWER - core competencies.
Questions and CORRECT Answers
In choosing sides concerning CEO duality, two schools of thought exist. Which of the following
would not be a consideration for the agency theory school of thought? - CORRECT
ANSWER - Firm performance typically improves under CEO duality.
In evaluating the sustainability of the Atlas Door competitive advantages over the long run, it is
important to evaluate the ability of rivals to - CORRECT ANSWER - easily imitate its
strategy.
Recently, firms have emphasized agile compensation. The point of agile compensation is to spot
and _______ good performance at the moment it occurs. - CORRECT ANSWER - recognize
In addition to an annual base salary of 1.3 million USD and 10.4 million USD in stock
compensation and bonuses, Heather Bresch, CEO of Mylan Pharmaceuticals, also received 6.4
million USD in other compensation in 2015. This included 19,200 USD for the use of a
company-provided automobile and 310,000 USD in personal use of the company jet. Which of
the following statements is true regarding this situation? - CORRECT ANSWER - Top-level
managers may pursue their own interests over that of the company.
Zulily, an online retailer, competes with Amazon and other online retailers by - CORRECT
ANSWER - maintaining a large inventory of products.
Most turnarounds require a firm to carefully analyze its relevant environments. ________
analysis results in actions aimed at reduced costs and higher efficiency. - CORRECT
ANSWER - Internal
Which of these statements regarding the industry life cycle is true? - CORRECT ANSWER -
It is important for company generic strategies, functional areas, value-creating activities, and
overall objectives.
, Barnes and Noble lost its market share in book retailing to Amazon. It tried to regain market
share by offering a similar electronic reader, the Nook, to the Amazon Kindle series. This
demonstrates that Barnes and Noble lacked - CORRECT ANSWER - a sustainable
competitive advantage.
An overall low-cost position protects a firm against rivalry from competitors because ________
allow a firm to earn returns even if its competitors eroded their profits through intense rivalry. -
CORRECT ANSWER - lower costs
Rules and regulations, rather than culture or rewards, would be used for strategic control at
which type of company? - CORRECT ANSWER - manufacturer of mass produced products
Which of the following turnaround strategies is Nordstrom primarily using? - CORRECT
ANSWER - piecemeal productivity improvements
An acquisition that results in ________ commonly indicates that expectations were not met. -
CORRECT ANSWER - divestiture
Which of the following approaches to behavioral strategic control would be the least appropriate
for an organization in which there is a great need for innovation and a high degree of autonomy?
- CORRECT ANSWER - rules
In the contemporary approach to strategic control, adapting to and anticipating both internal and
external environmental change is an integral part. The relationships between ________,
________, and ________ are highly interactive. - CORRECT ANSWER - strategy
formulation; implementation; control
Casio, a giant electronic products producer, synthesizes it abilities in miniaturization,
microprocessor design, material science, and ultrathin precision castings to produce digital
watches. It uses the same skills to produce card calculators, digital cameras, and other small
electronics. These collective skills are - CORRECT ANSWER - core competencies.
