WPC 480 Quizzes with Complete Solutions

WPC 480 Quizzes with Complete Solutions Ch. 1: Upper management at Softstep Inc., a manufacturer of insoles for shoes, wants to work on improving the product lines it already has without taking on other challenges at this time. Which of the following vision statements reflects that goal? A. Softstep Inc. wants to provide the best benefits for employees in the insole industry. B. Softstep Inc. wants to be the best manufacturer of insoles in the industry. C. Softstep Inc. wants to adapt their insoles to the changing demands of consumers. D. Softstep Inc. wants to always satisfy the consumers who purchase insoles. - ANSWER B. Softstep Inc. wants to be the best manufacturer of insoles in the industry. Because it of its goals, Softstep would choose a product-oriented vision statement, which focuses employees on improving existing products and services without consideration of underlying customer or employee problems to be solved. Ch 1: Silver Screen Cinemas Inc. and Digi Now Inc. are two companies that own and run movie theaters in malls and other commercial areas. While Silver Screen Cinemas Inc. pursues a cost-leadership strategy, Digi Now Inc. adopts a differentiation strategy. Which of the following statements is most likely true of this scenario? A. Digi Now and Silver Screen Cinemas will not be direct competitors to each other, and their customer segments will overlap very little. B. Silver Screen Cinemas will charge a premium price for its customers, while Digi Now will implement everyday low pricing. C. Digi Now will keep its customer service at an acceptable level, while Silver Screen Cinemas will provide superior customer service. D. Silver Screen Cinemas and Digi Now will use a similar approach to create value for customers by attempting to offer everything to everybody. - ANSWER A. Digi Now and Silver Screen Cinemas will not be direct competitors to each other, and their customer segments will overlap very little. Although these companies are in the same industry, their customer segments will most likely overlap very little, and they will not be direct competitors. That is because each firm has chosen a distinct but different strategic position; both can win if they have a distinct and well-executed competitive strategy. Ch 1: A firm that achieves superior performance relative to other firms in the same industry or the industry average has a(n) A. competitive advantage. B. equity leverage. C. balanced scorecard. D. power position. - ANSWER A. competitive advantage. A firm that achieves superior performance relative to other competitors in the same industry or the industry average has a competitive advantage. Ch. 1: Which of the following is an element of good strategy? A. an approach that underestimates the competition B. a guiding policy to address employee satisfaction C. a summary of the firm's history within its industry D. a set of coherent actions to implement the firm's guiding policy - ANSWER D. a set of coherent actions to implement the firm's guiding policy