Quiz 1 for Business Strategy 405
1) All firms have almost entirely emergent strategies.
True
False
2) Activity ratios are ratios with some measure of profit in the numerator and some measure of firm size or assets in the denominator.
Answer
True
False
3
Consolidation strategy is a good option in what type of industry?
Answer
| | Mature | | | Emerging | | | Fragmented | | | Declining |
4) A(n) ________ is any individual, group, or organization outside a firm that seeks to reduce the level of that firm's performance.
Answer
| | environmental threat | | | environmental opportunity | | | environmental equalizer | | | competitive advantagepg 205 A firm's mission defines both what it wants to be in the long run and what it wants to avoid in the meantime.Answer True
False6 A competitive advantage that lasts a very short period of time is known as a ________ competitive advantage.Answer | | temporary | | | sustained | | | transient | | | perpetual | 7 Green Frog is an environmentally friendly firm in the cosmetics industry. If during the strategic planning process Green Frog tried to determine the critical threats and opportunities in its competitive environment, it would be performing a(n)Answer | | internal analysis. | | | external analysis. | | | WACC analysis. | | | economic analysis. | 8 | | Diseconomies of scale exist in an industry when a firm's costs fall as a function of that firm's volume of production.Answer True
False9A firm's general environment consists of broad trends in the context within which the firm operates that can have an impact on the firm's strategic choices.Answer True
False10 Emergent strategies are theories of how to gain competitive advantage in an industry that emerge over time or that have been radically reshaped once they are initially implemented.Answer True
False | | | | |
11 Firms in industries characterized by ________ can expect to earn only competitive parity.
True
False
2) Activity ratios are ratios with some measure of profit in the numerator and some measure of firm size or assets in the denominator.
Answer
True
False
3
Consolidation strategy is a good option in what type of industry?
Answer
| | Mature | | | Emerging | | | Fragmented | | | Declining |
4) A(n) ________ is any individual, group, or organization outside a firm that seeks to reduce the level of that firm's performance.
Answer
| | environmental threat | | | environmental opportunity | | | environmental equalizer | | | competitive advantagepg 205 A firm's mission defines both what it wants to be in the long run and what it wants to avoid in the meantime.Answer True
False6 A competitive advantage that lasts a very short period of time is known as a ________ competitive advantage.Answer | | temporary | | | sustained | | | transient | | | perpetual | 7 Green Frog is an environmentally friendly firm in the cosmetics industry. If during the strategic planning process Green Frog tried to determine the critical threats and opportunities in its competitive environment, it would be performing a(n)Answer | | internal analysis. | | | external analysis. | | | WACC analysis. | | | economic analysis. | 8 | | Diseconomies of scale exist in an industry when a firm's costs fall as a function of that firm's volume of production.Answer True
False9A firm's general environment consists of broad trends in the context within which the firm operates that can have an impact on the firm's strategic choices.Answer True
False10 Emergent strategies are theories of how to gain competitive advantage in an industry that emerge over time or that have been radically reshaped once they are initially implemented.Answer True
False | | | | |
11 Firms in industries characterized by ________ can expect to earn only competitive parity.