Management homework help.

  1. A highly capable brick and mortar electronics retailer with a loyal regional customer base (such as Fry’s) should adopt which of the following medium term strategies?
  “50% off” sale every month
  Niche or harvest
  Invest in R&D


  1. Amazon’s strategy involves offering expanded variety but at very competitive prices. This is primarily achieved through
  Economies of scope
  Focus on international markets
  Economies of scale
  Innovative products


  1. Uber is an example of industry chaining in which of the following ways?
  Economies of scale for service providers
  Economies of scope for customers
  Improving access and reduced search costs for customers and service providers
  Lower wages for service providers and lower prices for customers


  1. Shareholder returns are primarily derived from
  Growth in share value and dividend payments
  dividend payments only
  Growth in company profits
  Growth in the share value only


  1. Strategy is defined best as:
  A unique value proposition supported by sound financial decisions
  A unique value proposition supported by synergies in operations
  A unique value proposition supported by aggressive marketing
  A unique value proposition supported by a complex supply chain
  1. The cost of attracting new customers is the highest with which of the following groups?
  Early adopters
  Late majority
  1. In the context of the Differentiation (Quality) vs Efficiency trade-off curve, the efficient frontier refers to:
  The company that provides maximum quality for a given cost
  The company that provides minimum cost
  The company that provides maximum quality
  The company that maximizes efficiency
  1. Nike hiring sports stars to be brand ambassadors is an example of which of the following mechanisms?
  Market development
  Customer segmentation
  Product development
  Market penetration
  1. Which of the following is an indication of strategic committment of a company in an industry
  Lowering wages of the workforce
  Increased technology investment
  Acquiring real-estate in an urban location of demand
  Increased divident payments for two years in a row
  1. A pharma company with a deep roster of capable engineers and scientists and that is the market leader is best advised to begin development of a new drug as:
  A partnership with smaller competitors
  License its innovation from other laboratories
  An independent venture
  Smaller scale effort
  1. The most valuable competency in the declining phase of an industry is:
  1. There is often limited capacity relative to demand in the early growth period of an industry because:
  Capacity is very expensive in the later stages of an industry
  Only few companies have products or technologies in a budding industry
  Prices tend to be low in the embryonic stage
  Many companies compete for early advantage in an emerging industry
  1. If the willingness to pay of a customer for an automobile is $18000, and the cost to produce that automobile is $14000, the consumer surplus is:
  Less that $4000
  Cannot be determined with data provided
  More than $4000
  1. A short term profit maximizing strategy for a monopoly would focus on:
  Giving slightly greater surplus than the competitor
  Maximizing consumer surplus
  Minimizing consumer surplus
  Ensuring the lowest possible cost of the product
  1. Which of the following companies best exemplifies broad cost leadership?
  1. Tesla’s business model can be best described as:
  Electric vehicles and services for the technology savvy drivers with advanced engineering and in-house manufacturing
  Electric vehicles and services for the technology savvy drivers with an outsourced model of design and manufacturing
  Electric vehicles and services for the technology averse drivers with advanced engineering and in-house manufacturing
  Electric vehicles and services for the budget conscious drivers with advanced engineering and in-house manufacturing
  1. Network amplifiers are critical in establishing a standard (in a technology context) because:
  Higher end customers have a greater voice
  Vertical integration is no longer a feasible option for most companies
  Rate of adoption is a critical factor
  Ease of use is paramount for any technology
  1. Incumbents typically have a cost advantage as compared to new entrants becuase:
  Incumbents typically have a technogical edge compared to new entrants
  Incumbents have deeper connections to government and regulatory bodies
  Incumbents have greater fixed costs but lower variable relative to new entrants typically
  Incumbent market shares lead to greater economies of scale
  1. Porter’s Five forces helps with all of the following objectives except:


  Evaluate the attractiveness of an industry
  Decide entry or exit from an industry
  Evaluate the strengths and weaknesses of a firm
  Evaluate opportunities and threats
  1. In the context of the Differentiation (Quality) vs Efficiency trade-off curve, Amazon is best described as a company:
  Just below and to the left of the efficient frontier
  On the same frontier but a different position compared to brick and mortar competitors
  A company that values quality over price every single day
  That has been a value innovator
  1. Which of the following best describes a mission statement?


  An objective for a company to be debt free in 5 years
  A children’s clothing store aiming to make a difference in their customer’s lives
  An energy company wanting to be the most sustainable company on the planet
  A car company wanting to change customers’ behavior into to a more sustainable lifestyle
  1. According to the Mintzberg model of strategy development:
  Most unplanned strategies lead to failures on a global scale
  Most realized strategies are serendipitous and in response to evolving markets
  Startups often engage in planning emergent strategies
  Most realized strategies are carefully planned and executed in advance
  1. The most valuable competency in the embryonic phase of an industry is:
  1. Which of the following companies best exemplifies broad differentiation?
  1. Which of the following provides longer term competitive advantage when it comes to efficiency:
  Experience effect
  Economies of scale
  Relentless focus on lowering labor related costs
  Learning effect
  1. An equation that best describes customer valuation is:
  Quality/Procuct Price
  Quality/Procuct Cost
  Product Cost x Quality
  1. The best possible context within which to apply Porter’s Five Forces model is for:
  Market segment
  Strategic group
  1. The biggest impediment to an industry’s consolidation is:
  Lack of scale economies
  Lack of adequate demand
  Poor management
  Lack of skilled resources
  1. The efficient frontier has a concave shape (i.e. a bulging shape) because:
  Greater levels of efficiency come at a steep cost but only for high-end segments
  It costs progressively more for every increment in quality levels
  Quality is free at lower levels of quality
  There is a quadratic relationship between higher quality and efficiency
  1. High-tech companies can be distinguished from low-tech companies primarily based on:
  Level of fixed cost committment
  Higher price premiums for high-tech firms
  Extent of digital or on-line business transactions
  Price to earnings ratios
  1. Subway restaurants is able lower variety related costs primarily through :
  Modular design of its service
  Choosing franchise partners carefully
  Extensive franchising
  Allowing customers to customize their sandwich
  1. Strategy formulation and execution is ultimately a service to:


  Government regulators
  1. Effective marketing directly contributes to a firm’s efficiency objective by
  Reducing the cost of serving the average customer
  Providing insight into customer expectations
  Improving the market share among higher-end customers
  Increasing the willingness to pay of customers
  1. Which of the following companies best exemplifies focus differentiation?
  1. Which of the following companies best exemplifies a blue ocean strategy?
  1. A key feature of the cereal industry in recent years has been:
  National as opposed to global competition
  Lower prices to attract customers
  Fewer store brand competitors
  Product proliferation
  1. Which of the following best exemplifies a capability for a company?
  Low price
  Supply chain management
  Financial reserves
  Ideal positioning
  1. Absolute cost advantages for incumbents (over new entrants to an industry) typically derive from:


  Higher levels of experience
  Control of inputs
  Economies of scale from market share
  All of the above
  1. com is a great example of a company that has consistently delivered:
  Spectacular profit growth
  Profits year over year
  Above average return on investment
  Above average share value appreciation
  1. Costco’s strategy with respect to pricing of its products and services can best be described as:
  Ensuring the lowest total cost of the product within the market
  Increasing consumer surplus no matter the segment or product
  Reducing consumer surplus even at the expense of quality
  Charging higher prices to boost marginal profits


Management homework help