INTB 1203 Final Study
Porter's Strategy theory correct answersFirms need:
1. Strategy
2. Operations
3. Organization
Strategy correct answerswhere V&C is balanced and support
strategic choice Operations correct answersconfigure operations to
support position
Organization correct answershave correct organizational structure to
execute strategy Porter's Two Strategies correct answers1. low cost
strategy
2. differentiation strategy
low cost strategy correct answerscompany creates more value by lower
production costs
differentiation strategy correct answerscompany increases V by
improving product Operations correct answersactivities that increase
value in a product
Primary activities correct
answersR&D Production
marketing
customer
service
Organizational architecture correct answerstotality of a firms org,
including formal structure, org culture
Global expansion benefits correct answers1. market expansion
2. location economies
3. cost economies
4. leverage skills from foreign operations to back home
Pressures for cost reduction:
force firms to lower costs correct answers1. universal needs
5. low cost locations
6. powerful consumers and low switching costs
Porter's Strategy theory correct answersFirms need:
1. Strategy
2. Operations
3. Organization
Strategy correct answerswhere V&C is balanced and support
strategic choice Operations correct answersconfigure operations to
support position
Organization correct answershave correct organizational structure to
execute strategy Porter's Two Strategies correct answers1. low cost
strategy
2. differentiation strategy
low cost strategy correct answerscompany creates more value by lower
production costs
differentiation strategy correct answerscompany increases V by
improving product Operations correct answersactivities that increase
value in a product
Primary activities correct
answersR&D Production
marketing
customer
service
Organizational architecture correct answerstotality of a firms org,
including formal structure, org culture
Global expansion benefits correct answers1. market expansion
2. location economies
3. cost economies
4. leverage skills from foreign operations to back home
Pressures for cost reduction:
force firms to lower costs correct answers1. universal needs
5. low cost locations
6. powerful consumers and low switching costs
