SEVI 3013 Exam 1 2025 QUESTIONS AND
ANSWERS
Strategy - ANS the set of decisions and actions of firm managers to ensure the future success
of the firm; integrated and coordinated set of commitments and actions designed to exploit
core competencies and gain a competitive advantage
Characteristics of a strategy - ANS focuses on future and success
Corporate strategy - ANS What industries should we compete in?
Business strategy - ANS How should we compete in our chosen industries?
Global Economy - ANS economy in which goods, services, people, skills, and ideas move
freely across geographic borders
Technological diffusion - ANS speed at which new technologies become available to firms
and when firms choose to adopt them
Knowledge intensity - ANS consists of information, intelligence, and expertise; basis of
technology and its application
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Page
Stakeholders - ANS individuals/entities who may be affected by or affect the firms outcomes
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, Strategic leaders - ANS people located in different levels of the firm to select actions that
help the firm achieve its vision and fulfill its mission; decisive and committed to creating value
Above average returns - ANS investors get yields that exceed what they expect from other
investments with similar risks
Key elements of Industrial Organizational (IO) model - ANS industry-based, external
environment, attractive industry, strategy formulation, assets and skills, strategy
implementation, superior returns
5 forces model - ANS threat of new entrants, rivalry among competing firms, bargaining
power of suppliers, bargaining power of buyers, threat of substitute products
Industry - ANS set of firms that produce similar products
Industry boundaries - ANS can change rapidly; helps executives determine the arena in which
their firm is competing
How strategic managers deal with changing industry boundaries - ANS be willing to change
your perception of industry and have multiple perceptions of your industry
Components of general environment - ANS ecological, economic, political, sociocultural,
legal, technological, global, demographic
Members of an industry - ANS industry and its buyers and suppliers
Suppliers of an industry - ANS set of firms that supplies raw materials to the industry
2
Page
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ANSWERS
Strategy - ANS the set of decisions and actions of firm managers to ensure the future success
of the firm; integrated and coordinated set of commitments and actions designed to exploit
core competencies and gain a competitive advantage
Characteristics of a strategy - ANS focuses on future and success
Corporate strategy - ANS What industries should we compete in?
Business strategy - ANS How should we compete in our chosen industries?
Global Economy - ANS economy in which goods, services, people, skills, and ideas move
freely across geographic borders
Technological diffusion - ANS speed at which new technologies become available to firms
and when firms choose to adopt them
Knowledge intensity - ANS consists of information, intelligence, and expertise; basis of
technology and its application
1
Page
Stakeholders - ANS individuals/entities who may be affected by or affect the firms outcomes
@COPYRIGHT BRAINBARTER 2025/2026
, Strategic leaders - ANS people located in different levels of the firm to select actions that
help the firm achieve its vision and fulfill its mission; decisive and committed to creating value
Above average returns - ANS investors get yields that exceed what they expect from other
investments with similar risks
Key elements of Industrial Organizational (IO) model - ANS industry-based, external
environment, attractive industry, strategy formulation, assets and skills, strategy
implementation, superior returns
5 forces model - ANS threat of new entrants, rivalry among competing firms, bargaining
power of suppliers, bargaining power of buyers, threat of substitute products
Industry - ANS set of firms that produce similar products
Industry boundaries - ANS can change rapidly; helps executives determine the arena in which
their firm is competing
How strategic managers deal with changing industry boundaries - ANS be willing to change
your perception of industry and have multiple perceptions of your industry
Components of general environment - ANS ecological, economic, political, sociocultural,
legal, technological, global, demographic
Members of an industry - ANS industry and its buyers and suppliers
Suppliers of an industry - ANS set of firms that supplies raw materials to the industry
2
Page
@COPYRIGHT BRAINBARTER 2025/2026
