Question 1

How does the Internet typically impact price transparency and information asymmetry?

Accepted Answer

A)   Both price transparency and information asymmetry increase
B)   Both price transparency and information asymmetry decrease
C)   Price transparency increases while information asymmetry decreases
D)   Price transparency decreases while information asymmetry increases.

Question 2

Network externalities exist when a product or service becomes less expensive as more people use it.

Accepted Answer

A) True 
 B)False

Question 3

A decision situation where one party has more or better information than its counterparty is called a(n) _____.

Accepted Answer

informatio...

Question 4

A strong brand can be an exceptionally powerful resource for competitive advantage by lowering ________, proxying _____ and inspiring _____.

Accepted Answer

A)   price; strategy; innovation
B)   switching costs; quantity; performance
C)   expenses; marketing; respect
D)   search costs; quality; trust
E)   customer concern; investment; profits

Question 5

_____, also known as the Industry and Competitive Analysis, is a popular framework for examining a firm's competitive environment.

Accepted Answer

Porter's f...

Question 6

Dell, previously the world's number one PC manufacturer, has seen its market share shrink because of rivals copying its value chain and reducing the price advantage it enjoyed over rivals. Dell's present struggles:

Accepted Answer

A)   underscore the importance of continually assessing a firm's strategic position among changing market conditions.
B)   are a result of rivals adopting supply chain management of software products that have yielded competitive advantages.
C)   imply that publicly traded firms are at a disadvantage in the technology sector.
D)   highlight the fact that scale advantages of an established firm are a huge factor in discouraging newer entrants to a market.
E)   demonstrate that resource-based thinking can help firms avoid the trap of carelessly entering markets simply because growth is spotted.

Question 7

The degree to which complete information is available is known as _____.

Accepted Answer

A)   information assurance
B)   data proximity
C)   operational alertness
D)   price transparency
E)   data consolidation

Question 8

A(n)  _____ is the symbolic embodiment of all the information connected with a product or service.

Accepted Answer

A)   trademark
B)   copyright
C)   patent
D)   brand
E)   advertisement

Question 9

According to Michael Porter, the reason many firms suffer margin-eroding competition is because they have defined themselves according to strategic positioning rather than operational effectiveness.

Accepted Answer

A) True 
 B)False

Question 10

The paths through which products or services get to customers are known as _____.

Accepted Answer

A)   information pathways
B)   vertical markets
C)   distribution channels
D)   proxy networks
E)   horizontal markets

Question 11

Diagram and label the value chain, listing all primary and secondary components.

Accepted Answer

The answer of Diagram and label the value chain, listing...

Question 12

Consumers buying commodities are highly _____ since they have so many similar choices.

Accepted Answer

A)   quality-conscious
B)   price-focused
C)   brand-driven
D)   technologically discriminating
E)   loyal

Question 13

When technology can be matched quickly, it is rarely a source of competitive advantage.

Accepted Answer

A) True 
 B)False

Question 14

Which of the following represents one of the primary components of the value chain?

Accepted Answer

A)   Outbound logistics
B)   Firm infrastructure
C)   Human resource management
D)   Research and development
E)   Procurement

Question 15

Which of the following is not highlighted as a source of switching costs?

Accepted Answer

A)   Learning costs
B)   Information and data
C)   Search costs
D)   Viral marketing
E)   Loyalty programs

Question 16

A firm's financial performance that consistently outperforms its industry's peers is known as _____.

Accepted Answer

A)   comparative advantage
B)   absolute advantage
C)   sustainable competitive advantage
D)   first mover advantage
E)   operational efficiency advantage

Question 17

Apple's dominance of smartphone and tablet markets has allowed the firm to lock up 60 percent of the world's supply of advanced touch-screen displays, and to do so with better pricing than would be available to smaller rivals. This is an example of:

Accepted Answer

A)   network externalities that make Apple valuable.
B)   high switching costs for suppliers.
C)   a complex tech product establishing itself as a killer brand.
D)   a growing firm gaining bargaining power with its suppliers.
E)   low search costs associated with a famous brand.

Question 18

Netscape, which once controlled more than 80 percent of the market share in Web browsers, lost its dominant position when customers migrated to Internet Explorer, Microsoft's Web browser. Internet Explorer was easy to install and had no significant differences in terms of usability. This example serves to illustrate that:

Accepted Answer

A)   fast-following smaller firms are always ready with newer and possibly superior products.
B)   customers of technology companies are becoming increasingly savvy and more demanding.
C)   the open source nature of technology ensures that no firm can expect to monopolize a market.
D)   firms need to employ increasingly stringent intellectual property norms to guard against infringements from smaller, competitive rivals.
E)   firms with low switching costs can sometimes be rapidly overtaken by strong rivals with additional competitive advantages.

Question 19

Leveraging consumers to promote a product or service is known as _____.

Accepted Answer

A)   straddling
B)   affiliating
C)   long tailing
D)   crowdsourcing
E)   viral marketing

Question 20

Fast growing Groupon was able to dissuade rivals from entering its market because the firm's technology was so difficult to replicate.

Accepted Answer

A) True 
 B)False

Exam 2: Strategy and Technology: Concepts and Frameworks for Understanding What Separates Winners From Losers

How does the Internet typically impact price transparency and information asymmetry?

Correct Answer
verified

Diagram and label the value chain, listing all primary and secondary components.

Correct Answer
verified

Consumers buying commodities are highly _____ since they have so many similar choices.

Correct Answer
verified

A(n) _____ is the symbolic embodiment of all the information connected with a product or service.

Correct Answer
verified

_____, also known as the Industry and Competitive Analysis, is a popular framework for examining a firm's competitive environment.

Correct Answer
verified
Porter's f...
View Answer

Correct Answer
verified

Which of the following is not highlighted as a source of switching costs?

Correct Answer
verified

A firm's financial performance that consistently outperforms its industry's peers is known as _____.

Correct Answer
verified

The degree to which complete information is available is known as _____.

Correct Answer
verified

Network externalities exist when a product or service becomes less expensive as more people use it.

Correct Answer
verified

Dell, previously the world's number one PC manufacturer, has seen its market share shrink because of rivals copying its value chain and reducing the price advantage it enjoyed over rivals. Dell's present struggles:

Correct Answer
verified

According to Michael Porter, the reason many firms suffer margin-eroding competition is because they have defined themselves according to strategic positioning rather than operational effectiveness.

Correct Answer
verified

A strong brand can be an exceptionally powerful resource for competitive advantage by lowering ______, proxying _ and inspiring ___.

Correct Answer
verified

Which of the following represents one of the primary components of the value chain?

Correct Answer
verified

When technology can be matched quickly, it is rarely a source of competitive advantage.

Correct Answer
verified

Leveraging consumers to promote a product or service is known as _____.

Correct Answer
verified

The paths through which products or services get to customers are known as _____.

Correct Answer
verified

A decision situation where one party has more or better information than its counterparty is called a(n) _____.

Correct Answer
verified
informatio...
View Answer

Apple's dominance of smartphone and tablet markets has allowed the firm to lock up 60 percent of the world's supply of advanced touch-screen displays, and to do so with better pricing than would be available to smaller rivals. This is an example of:

Correct Answer
verified

Fast growing Groupon was able to dissuade rivals from entering its market because the firm's technology was so difficult to replicate.

Correct Answer
verified

Exam 2: Strategy and Technology: Concepts and Frameworks for Understanding What Separates Winners From Losers

How does the Internet typically impact price transparency and information asymmetry?

Correct AnswerverifiedShow Answer

Diagram and label the value chain, listing all primary and secondary components.

Correct AnswerverifiedShow Answer

Consumers buying commodities are highly _____ since they have so many similar choices.

Correct AnswerverifiedShow Answer

A(n) _____ is the symbolic embodiment of all the information connected with a product or service.

Correct AnswerverifiedShow Answer

_____, also known as the Industry and Competitive Analysis, is a popular framework for examining a firm's competitive environment.

Correct AnswerverifiedPorter's f...View AnswerShow Answer

Correct AnswerverifiedShow Answer

Which of the following is not highlighted as a source of switching costs?

Correct AnswerverifiedShow Answer

A firm's financial performance that consistently outperforms its industry's peers is known as _____.

Correct AnswerverifiedShow Answer

The degree to which complete information is available is known as _____.

Correct AnswerverifiedShow Answer

Network externalities exist when a product or service becomes less expensive as more people use it.

Correct AnswerverifiedShow Answer

Dell, previously the world's number one PC manufacturer, has seen its market share shrink because of rivals copying its value chain and reducing the price advantage it enjoyed over rivals. Dell's present struggles:

Correct AnswerverifiedShow Answer

According to Michael Porter, the reason many firms suffer margin-eroding competition is because they have defined themselves according to strategic positioning rather than operational effectiveness.

Correct AnswerverifiedShow Answer

A strong brand can be an exceptionally powerful resource for competitive advantage by lowering ________, proxying _____ and inspiring _____.

Correct AnswerverifiedShow Answer

Which of the following represents one of the primary components of the value chain?

Correct AnswerverifiedShow Answer

When technology can be matched quickly, it is rarely a source of competitive advantage.

Correct AnswerverifiedShow Answer

Leveraging consumers to promote a product or service is known as _____.

Correct AnswerverifiedShow Answer

The paths through which products or services get to customers are known as _____.

Correct AnswerverifiedShow Answer

A decision situation where one party has more or better information than its counterparty is called a(n) _____.

Correct Answerverifiedinformatio...View AnswerShow Answer

Apple's dominance of smartphone and tablet markets has allowed the firm to lock up 60 percent of the world's supply of advanced touch-screen displays, and to do so with better pricing than would be available to smaller rivals. This is an example of:

Correct AnswerverifiedShow Answer

Fast growing Groupon was able to dissuade rivals from entering its market because the firm's technology was so difficult to replicate.

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
Porter's f...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

A strong brand can be an exceptionally powerful resource for competitive advantage by lowering ______, proxying _ and inspiring ___.

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
informatio...
View Answer

Correct Answer
verified

Correct Answer
verified