BUS 237 FINAL || ACTUAL QUESTIONS WITH A+
GRADED SOLUTIONS!!
Porter's Five Competitive Forces correct answers Bargaining power of customers
Threat of substitutions
Bargaining power of suppliers
Threat of new entrants
Rivalry among existing firms
Porter's Four Competitive Strategies correct answers Cost leadership across industry
Cost leadership focused on particular industry segment
Differentiation across industry
Differentiation focused on particular industry segment
Value Chain correct answers Network of value-creating activities.
Primary Activity correct answers Directly adds value to products/services.
Support Activity correct answers Indirectly responsible for benefits to customers.
Productivity correct answers Efficiency + effectiveness
Efficiency correct answers Business processes can be accomplished more quickly and/or with
fewer resources and facilities
Effectiveness correct answers Company offers new/improved goods/services
Sustaining Technologies correct answers Changes in technology that maintain the rate of
improvement in customer value
Eg. Wired mouse vs wireless mouse, cassette tape vs music CD
Disruptive Technologies correct answers Introduces new attributes to accepted mainstream
products
Eg. Voice-only cellphone vs iPhone (smartphone), music CD vs iTunes (download)
Companies can create new competitive advantage via: correct answers Products and Business
Processes
Competitive Advantage via products correct answers 1. New,
2. enhanced, and
3. differentiated
products/services
Competitive Advantage via business processes correct answers 1. Lock in customers (high
switching costs)
2. Lock in suppliers (easy to connect/work with organization)
3. Create entry barriers (hard for new competition to enter market)
, 4. Establish alliances (standards, product awareness)
5. Reduce costs (increase profitability)
Business Process correct answers Describes set of activities necessary to complete a response
to a stimulus applied to an organization.
Stimulus -> set of activities -> response
Composed of activities, resources, facilities, and information.
Activities correct answers Transformers. Changes resources/information of one type into
resources/info of another type. Follow rules and procedures; can be manual, automated, or a
combo
Resources correct answers Value items. Used to provide value for its customers/successful
outcomes for owners.
Facilities correct answers Structures used within business process, where resources are
stored.
Information (business process) correct answers Tracking. Activities use information to
determine how to transform inputs received into outputs performed
Business Process Design correct answers Approaches to improving organizational
performance.
1. Business Process Automation (BPA)
2. Business Process Improvement (BPI)
3. Business Process Transformation (BPT)
Business Process Automation (BPA) correct answers Involves automating some aspect of a
business process through application of info tech.
Leaves manual system unchanged, but automates processes to make more efficient. Impacts
how fast they are accomplished, not way things are done
Eg. Reduce library checkout lineup by adding computerized checkout station
Business Process Improvement correct answers Evolutionary view - no radical changes, but
constant search for improvements. Changes are made to the way things are done via both
computers and business processes
Eg. Reduce library checkout lineup by allowing the use of computers to search catalog, check
out books, and have them delivered via campus mail (changes both computer system and the
way you do business!)
Business Process Transformation correct answers Requires analysis strategy and more
information about alternatives (via activity based costing, benchmarking). High level of
intensity of automation - radical/fundamental rethinking of business processes currently used.
Looking for dramatic improvements (high risk/increased time)
GRADED SOLUTIONS!!
Porter's Five Competitive Forces correct answers Bargaining power of customers
Threat of substitutions
Bargaining power of suppliers
Threat of new entrants
Rivalry among existing firms
Porter's Four Competitive Strategies correct answers Cost leadership across industry
Cost leadership focused on particular industry segment
Differentiation across industry
Differentiation focused on particular industry segment
Value Chain correct answers Network of value-creating activities.
Primary Activity correct answers Directly adds value to products/services.
Support Activity correct answers Indirectly responsible for benefits to customers.
Productivity correct answers Efficiency + effectiveness
Efficiency correct answers Business processes can be accomplished more quickly and/or with
fewer resources and facilities
Effectiveness correct answers Company offers new/improved goods/services
Sustaining Technologies correct answers Changes in technology that maintain the rate of
improvement in customer value
Eg. Wired mouse vs wireless mouse, cassette tape vs music CD
Disruptive Technologies correct answers Introduces new attributes to accepted mainstream
products
Eg. Voice-only cellphone vs iPhone (smartphone), music CD vs iTunes (download)
Companies can create new competitive advantage via: correct answers Products and Business
Processes
Competitive Advantage via products correct answers 1. New,
2. enhanced, and
3. differentiated
products/services
Competitive Advantage via business processes correct answers 1. Lock in customers (high
switching costs)
2. Lock in suppliers (easy to connect/work with organization)
3. Create entry barriers (hard for new competition to enter market)
, 4. Establish alliances (standards, product awareness)
5. Reduce costs (increase profitability)
Business Process correct answers Describes set of activities necessary to complete a response
to a stimulus applied to an organization.
Stimulus -> set of activities -> response
Composed of activities, resources, facilities, and information.
Activities correct answers Transformers. Changes resources/information of one type into
resources/info of another type. Follow rules and procedures; can be manual, automated, or a
combo
Resources correct answers Value items. Used to provide value for its customers/successful
outcomes for owners.
Facilities correct answers Structures used within business process, where resources are
stored.
Information (business process) correct answers Tracking. Activities use information to
determine how to transform inputs received into outputs performed
Business Process Design correct answers Approaches to improving organizational
performance.
1. Business Process Automation (BPA)
2. Business Process Improvement (BPI)
3. Business Process Transformation (BPT)
Business Process Automation (BPA) correct answers Involves automating some aspect of a
business process through application of info tech.
Leaves manual system unchanged, but automates processes to make more efficient. Impacts
how fast they are accomplished, not way things are done
Eg. Reduce library checkout lineup by adding computerized checkout station
Business Process Improvement correct answers Evolutionary view - no radical changes, but
constant search for improvements. Changes are made to the way things are done via both
computers and business processes
Eg. Reduce library checkout lineup by allowing the use of computers to search catalog, check
out books, and have them delivered via campus mail (changes both computer system and the
way you do business!)
Business Process Transformation correct answers Requires analysis strategy and more
information about alternatives (via activity based costing, benchmarking). High level of
intensity of automation - radical/fundamental rethinking of business processes currently used.
Looking for dramatic improvements (high risk/increased time)
