front 1 A company's "macroenvironment" refers to | back 1 All the relevant forces and factors outside a company's boundaries⎯general economic conditions, population demographics, societal values and lifestyles, technological factors, governmental legislation and regulation and closer to home, the industry and competitive arena in which it operates |
front 2 Which one of the following is not part of a company's macroenvironment? | back 2 The company's resource strengths, resource weaknesses and competitive capabilities |
front 3 Which of the following is not a major question to ask in thinking strategically about the industry and competitive conditions in a given industry? | back 3 How many companies in the industry have good track records for revenue growth and profitability? |
front 4 Using the five-forces model of competition to determine what competition is like in a given industry involves | back 4 Building the picture of competition in three steps: (1) identifying the specific competitive pressures associated with each of the five competitive forces; (2) evaluating how strong the pressures comprising each competitive force are; and (3) determining whether the collective impact of all five competitive forces is conducive to earning attractive profits |
front 5 What makes the marketplace a competitive battlefield is | back 5 The constant jockeying of industry members to strengthen their standing with buyers and win a competitive edge over rivals |
front 6 Rivalry among competing sellers is generally more intense when: | back 6 rivals are active in making fresh moves to lower prices, introduce new products, increase promotional efforts and advertising, and otherwise gain sales and market share. |
front 7 The lower the user's switching costs, the: | back 7 more intense the competitive pressures posed by substitute products. |
front 8 Evaluating the industry's driving forces, as a whole, requires understanding their influence on the attractiveness of industry environment and generally are: | back 8 defined in ways that will strengthen or weaken market demand, competition, and industry profitability in future years. |
front 9 Not all buyers of an industry's product have equal degrees of bargaining power with sellers, because: | back 9 some sellers may be less sensitive than others to price, quality, or service differences. |
front 10 An industry contains one strategic group when all sellers: | back 10 pursue essentially identical strategies and have similar market positions. |
front 11 Which of the following is NOT a good example of a substitute product that triggers stronger competitive pressures? | back 11 Coca-Cola as a substitute for Pepsi |
front 12 The strength of competitive pressures that suppliers can exert on industry members is MAINLY a function of: | back 12 whether needed inputs are in short supply and whether suppliers provide differentiated input that enhances performance of the product. |
front 13 Strategic group mapping is a visual technique for displaying: | back 13 the different market or competitive positions that rival firms occupy in an industry and for identifying each rival's closest competitors. |
front 14 Which of the following is NOT a question asked to deduce a marketing-related key success factor? | back 14 What are the industry product R&D capabilities and expertise in product design? |
front 15 Competitive pressures stemming from buyer bargaining power tend to be weaker in which of the following circumstances? | back 15 The investment banking industry offers highly differentiated products. |
front 16 The task of driving-forces analysis is to: | back 16 identify the driving forces, assess whether their impact will make the industry more or less attractive, and determine what strategy changes are needed to prepare for the impacts of the driving forces. |
front 17 A company's strategy is increasingly effective the more it can match the company strategy to competitive conditions, so the firm can: | back 17 shift the competitive battle in favor of the firm by altering the underlying factors driving the five forces. |
front 18 The "driving forces" in an industry: | back 18 are major underlying causes of changing industry and competitive conditions and have the biggest influences in reshaping the industry landscape and altering competitive conditions. |
front 19 A strategic group: | back 19 is a cluster of industry members with similar competitive approaches and market positions in the market. |
front 20 Competitive pressures associated with the threat of entry are greater in all of the following situations, EXCEPT when: | back 20 customers have low brand preferences and low degrees of loyalty to seller. |
front 21 Which of the following factors is NOT a relevant consideration in determining the strength of buyer bargaining power? | back 21 The degree to which the seller is a manufacturer of goods and services in substantial quantities |
front 22 The competitive pressures from substitute products tend to be stronger when: | back 22 good substitutes are readily available. |
front 23 When an industry member is a major customer of the supplier, and the relationship (partnership) is unusually effective and mutually advantageous: | back 23 there is a strong likelihood such partnerships will put increased competitive pressure on those industry members who lack productive collaborative relationships with their suppliers. |
front 24 Whether supplier-seller relationships in an industry represent a strong or weak source of competitive pressure is a function of: | back 24 whether demand for supplier products is high and they are in short supply. |
front 25 The bargaining leverage of suppliers is greater when: | back 25 the suppliers' products/services account for a small percentage of industry members' costs. |
front 26 Rivalry among competing sellers is generally more intense when: | back 26 rivals are active in making fresh moves to lower prices, introduce new products, increase promotional efforts and advertising, and otherwise gain sales and market share. |
front 27 The lower the user's switching costs, the: | back 27 more intense the competitive pressures posed by substitute products. |
front 28 Evaluating the industry's driving forces, as a whole, requires understanding their influence on the attractiveness of industry environment and generally are: | back 28 defined in ways that will strengthen or weaken market demand, competition, and industry profitability in future years. |
front 29 Not all buyers of an industry's product have equal degrees of bargaining power with sellers, because: | back 29 some sellers may be less sensitive than others to price, quality, or service differences. |
front 30 An industry contains one strategic group when all sellers: | back 30 pursue essentially identical strategies and have similar market positions. |