Question 1

Activity-based costing is used to evaluate a company's cost-competitiveness and:

Accepted Answer

A)   determine whether the value chains of rival companies are similar or different.
B)   benchmark the costs of primary value chain activities against the costs of the support value chain activities.
C)   determine the costs of each primary and support activity comprising a company's value chain and thereby reveal the nature and makeup of a company's internal cost structure.
D)   determine the costs of each strategic action a company initiates.
E)   None of these.F) A) and D)
G) A) and C)

Question 2

What are the three parameters of conducting a SWOT analysis?

Accepted Answer

A SWOT analysis is a strategic planning ...

Question 3

Which of the following areas within a company's total value chain system can managers use to improve efficiency and effectiveness?

Accepted Answer

A)   A company's own internal activity segments,the suppliers' part,and the forward (distribution) channel portion of the value chain system
B)   A company's reinforced activities identified as efficiency measures for improved effectiveness
C)   A company's comparative disadvantages schedule identified with benchmarking practices
D)   None of these.
E)   All of these.F) B) and D)
G) B) and C)

Question 4

Benchmarking provides a company with which of the following?

Accepted Answer

A)   Hard evidence of cost competitiveness
B)   Proof of resource availability
C)   A company strategy
D)   Verification of total cost ownership
E)   Improvements to internal processesF) B) and D)
G) C) and D)

Question 5

A linked and closely integrated set of competitive assets centered around one or more cross-functional capabilities and closely integrated competitive assets is termed:

Accepted Answer

A)   organizational assets.
B)   a resource bundle.
C)   a resource capability.
D)   functional method compilation.
E)   integrated asset advantage.F) All of the above
G) B) and E)

Question 6

What two factors inhibit the ability of rivals to imitate a firm's most valuable resources and capabilities?

Accepted Answer

A)   Social ambiguity and causal uncertainty
B)   Social simplicity and causal complexity
C)   Collective complexity and causal ambiguity
D)   Social complexity and causal ambiguity
E)   Social simplicity and causal uncertaintyF) All of the above
G) C) and D)

Question 7

Assume a firm is at a cost disadvantage with rivals because of higher supplier-related costs than key rivals.Identify three strategic moves that it can make to restore cost parity.

Accepted Answer

The answer of Assume a firm is at a cost...

Question 8

The payoff of doing a thorough SWOT analysis is:

Accepted Answer

A)   identifying whether the company's value chain is cost-effective vis-à-vis the value chains of rivals.
B)   helping strategy-makers benchmark the company's resource strengths against industry key success factors.
C)   enabling a company to assess its overall competitive position relative to its key rivals.
D)   revealing whether a company's market share,measures of profitability,and sales compare favorably or unfavorably vis-à-vis key competitors.
E)   assisting strategy-makers in crafting a strategy that is well-matched to the company's resources and capabilities,its market opportunities,and the external threats to its future well-being.F) None of the above
G) B) and D)

Question 9

Identifying the primary activities and support activities that comprise a company's value chain:

Accepted Answer

A)   indicates whether a company's resource strengths will ultimately translate into greater value for shareholders.
B)   reveals whether a company's resource strengths are well-matched to the industry's key success factors.
C)   is the first step in understanding a company's internal cost structure since each activity in the value chain gives rise to costs.
D)   is called benchmarking.
E)   is called resource value analysis.F) None of the above
G) C) and D)

Question 10

The primary purpose of value chain analysis is to:

Accepted Answer

A)   segregate the company's operations into different types of functions.
B)   facilitate a comparison activity-by-activity of how effectively and efficiently a company delivers value to its customers,relative to its competitors.
C)   eliminate unproductive and obsolete functionality in the firm's operating strategy.
D)   compare cost structure efficiency with the operating effectiveness of rivals to determine the strategy content of rival firms.
E)   All of these.F) C) and D)
G) A) and E)

Question 11

What is meant by the term "best practices"? Why does it matter whether a company utilizes "best practices" in performing the activities comprising its value chain?

Accepted Answer

The answer of What is meant by the term "best...

Question 12

The value of doing competitive strength assessment is to:

Accepted Answer

A)   determine how competitively powerful the company's core competencies are.
B)   learn if the company's market opportunities are better than those of its rivals.
C)   learn whether a company has a distinctive competence.
D)   learn how the company ranks relative to rivals on each of the important factors that determine market success and ascertain whether the company has a net competitive advantage or disadvantage vis-à-vis key rivals.
E)   determine whether a company's resource strengths are sufficient to allow it to earn bigger profits than rivals.F) A) and E)
G) A) and D)

Question 13

Assume a firm is at a cost disadvantage with rivals because its internal costs are higher than rivals.Identify five strategic moves that it can make to restore cost parity.

Accepted Answer

1. Invest in technology and automation: ...

Question 14

Identifying and assessing a company's resource strengths and weaknesses and its external opportunities and threats is called:

Accepted Answer

A)   a SWOT analysis.
B)   a competitive asset/liability analysis.
C)   a competitive positioning analysis.
D)   a strategic resource assessment.
E)   a company resource mapping.F) A) and E)
G) A) and C)

Question 15

In a weighted competitive strength analysis,each strength measure is assigned a weight based on:

Accepted Answer

A)   its percentage share of total industry revenues.
B)   the importance of each competitive strength measure in building a sustainable competitive advantage.
C)   its perceived importance in determining a company's competitive success in the marketplace.
D)   its percentage share of total industry profits.
E)   what it takes to provide better analytical balance between the companies with high ratings and the companies with low ratings and thus get the sum of the weights to add up to 1.0.F) A) and B)
G) A) and C)

Question 16

A company's resource weaknesses can relate to:

Accepted Answer

A)   inferior or unproven skills,expertise,or intellectual capital in competitively important parts of the business.
B)   something that it lacks or does poorly in comparison to rivals.
C)   deficiencies in competitively important physical,organizational,or intangible assets.
D)   missing or competitively inferior capabilities in key areas.
E)   All of these.F) C) and E)
G) A) and C)

Question 17

Determining whether a company's overall prices and costs are competitive requires an entire value chain analysis,which typically demands:

Accepted Answer

A)   looking at the costs of a company's competitively relevant suppliers and forward channel allies (distributors/dealers) .
B)   considering the costs of a company's internally performed activities.
C)   the use of benchmarking the costs in a company's value chain system (the costs of its suppliers,its internally performed activities,the costs of its distributors/dealers) against the costs of the value chain systems employed by rival firms.
D)   the use of activity-based cost accounting.
E)   All of these.F) C) and D)
G) B) and E)

Question 18

An option for NOT remedying an internal cost disadvantage includes:

Accepted Answer

A)   investing in productivity-enhancing,cost-saving technological improvements.
B)   redesigning the product or some of its components to facilitate speedier and more economical manufacture or assembly.
C)   implementing the use of best practices throughout the company,particularly for high-cost activities.
D)   eliminating some cost-producing activities altogether by revamping the value chain.
E)   investing in best practices.F) A) and D)
G) B) and E)

Question 19

When a company has a proficiency in performing a strategically and competitively important value chain activity better than its rivals,it is said to have:

Accepted Answer

A)   a company competence.
B)   a core competence.
C)   a distinctive competence
D)   a key value chain proficiency.
E)   a competitive advantage over rivals.F) C) and D)
G) None of the above

Question 20

A company resource weakness or competitive deficiency:

Accepted Answer

A)   represents a problem that needs to be turned into a strength because weaknesses prevent a firm from being a winner in the marketplace.
B)   causes the company to fall into a lower strategic group than it otherwise could compete in.
C)   prevents a company from having a distinctive competence.
D)   usually stems from having a missing link or links in the industry value chain.
E)   are shortcomings that constitute competitive liabilities.F) A) and E)
G) A) and C)

Exam 4: Evaluating a Companys Resources, Capabilities, and Competitiveness

Determining whether a company's overall prices and costs are competitive requires an entire value chain analysis,which typically demands:

Correct AnswerverifiedShow Answer

A linked and closely integrated set of competitive assets centered around one or more cross-functional capabilities and closely integrated competitive assets is termed:

Correct AnswerverifiedShow Answer

What are the three parameters of conducting a SWOT analysis?

Correct AnswerAnswered by ExamLex AIA SWOT analysis is a strategic planning ...View AnswerShow Answer

Which of the following areas within a company's total value chain system can managers use to improve efficiency and effectiveness?

Correct AnswerverifiedShow Answer

What is meant by the term "best practices"? Why does it matter whether a company utilizes "best practices" in performing the activities comprising its value chain?

Correct AnswerverifiedShow Answer

An option for NOT remedying an internal cost disadvantage includes:

Correct AnswerverifiedShow Answer

Identifying the primary activities and support activities that comprise a company's value chain:

Correct AnswerverifiedShow Answer

The value of doing competitive strength assessment is to:

Correct AnswerverifiedShow Answer

Activity-based costing is used to evaluate a company's cost-competitiveness and:

Correct AnswerverifiedShow Answer

Benchmarking provides a company with which of the following?

Correct AnswerverifiedShow Answer

Identifying and assessing a company's resource strengths and weaknesses and its external opportunities and threats is called:

Correct AnswerverifiedShow Answer

A company's resource weaknesses can relate to:

Correct AnswerverifiedShow Answer

What two factors inhibit the ability of rivals to imitate a firm's most valuable resources and capabilities?

Correct AnswerverifiedShow Answer

The payoff of doing a thorough SWOT analysis is:

Correct AnswerverifiedShow Answer

The primary purpose of value chain analysis is to:

Correct AnswerverifiedShow Answer

Assume a firm is at a cost disadvantage with rivals because its internal costs are higher than rivals.Identify five strategic moves that it can make to restore cost parity.

Correct AnswerAnswered by ExamLex AI1. Invest in technology and automation: ...View AnswerShow Answer

Assume a firm is at a cost disadvantage with rivals because of higher supplier-related costs than key rivals.Identify three strategic moves that it can make to restore cost parity.

Correct AnswerverifiedShow Answer

When a company has a proficiency in performing a strategically and competitively important value chain activity better than its rivals,it is said to have:

Correct AnswerverifiedShow Answer

In a weighted competitive strength analysis,each strength measure is assigned a weight based on:

Correct AnswerverifiedShow Answer

A company resource weakness or competitive deficiency:

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
Answered by ExamLex AI
A SWOT analysis is a strategic planning ...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
Answered by ExamLex AI
1. Invest in technology and automation: ...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified