90 Free Test Bank for Strategic Management 2nd Edition by Rothaermel

Giving student of management’s course the system question of various free textbook of management test bank to ensure that student who can practice easier and learn deeply the concepts and different topics to take better understanding and knowledge revision of this textbook. Test bank provides 90 Free Test Bank for Strategic Management 2nd Edition by Rothaermel multiple choice questions that you can do it as same online homework to become professional for your next examination. One top of that, practice free test bank questions that is one of best way to memorize the concepts and grown the critical thinking. Take your time to enjoy at test bank now.

Visit the link below to get full questions and answers:

https://testbank123.com/free-test-bank-for-strategic-management-2nd-edition-by-rothaermel.html

Which of the following stages of the strategic management process involves an evaluation of a firm's external and internal environments?

•  Strategy analysis
•  Strategy implementation
•  Strategy formulation
•  Strategy control

Which of the following statements accurately describes firm effects?

•  They attribute firm performance to the industry in which the firm competes.
•  They attribute firm performance to the actions managers take within a chosen industry.
•  They refer to the value-creation potential of a large, diversified enterprise.
•  They refer to the external circumstances surrounding all the firms in an industry.

_____ is best described as an integrative management field that combines analysis, formulation, and implementation in the quest for competitive advantage.

•  Supply chain management
•  Integrated technology management
•  Strategic management
•  Inventory management

Which of the following scenarios illustrates a firm that has a sustainable competitive advantage?

•  Newon Inc. generated a revenue of $300,000 this financial year, which is close to the industrial revenue average of $320,000.
•  SM Inc. almost doubled its sales to 8500 units this year compared to its previous year's sales of 5000 units, though the industry average is 10,000 units.
•  TrueLink Corp. was able to hold its market share of 68 percent in the social networking industry for more than three years.
•  Max Electrova Inc. was able to outperform its competitors with its new production system, in terms of revenue, for a brief period of four months.

When a firm adopts a differentiation strategy to attain competitive advantage, it focuses on:

•  delivering unique features to its customers.
•  providing the lowest prices to its customers.
•  maximizing its profits by providing minimal customer service.
•  lowering costs by employing low-skill employees.

Pink Couture Inc. and Pink Blush Inc. are two companies in the apparel industry. While Pink Couture Inc. focuses on providing unique product features and superior customer service, Pink Blush Inc. focuses on low prices and minimal customer service. Both companies have been able to gain a competitive advantage. This is most likely because:

•  the companies have executed integrated strategies.
•  the companies have entered into a cartel arrangement.
•  the companies have pursued distinct strategic positions.
•  the companies have engaged in direct imitation and substitution.

Exis Inc. and Stelma Inc. are two companies that have been manufacturing typewriters for almost 30 years. Due to the reduced demand for typewriters today, both companies' average return on invested capital is approximately -5 percent. The current industry average is 2 percent. In this scenario, Exis Inc. and Stelma Inc. most likely have:

•  competitive advantage over other firms in their industry.
•  competitive parity with each other.
•  strategic alliance with each other.
•  economies of scope instead of economies of scale.

New Communications Inc. is a newspaper publishing company whose average return on invested capital is approximately 5 percent. Because newspaper publishing is a declining industry, the industry average has been negative (-5 percent) for the last few years. In this scenario, New Communications Inc. has a _____.

•  competitive advantage
•  balanced scorecard
•  competitive disadvantage
•  power position

If a company wants to gain a competitive advantage in a highly competitive industry, it should ideally:

•  execute an integrated cost-leadership and differentiation position.
•  copy the strategies of other firms through competitive benchmarking.
•  provide goods or services similar to its competitors' at higher prices.
•  stake out a unique position within the industry.

A company wants to determine how industry effects have affected its profitability. Which of the following elements should the company focus on?

•  The barriers to entry and exit within the industry
•  The pricing method opted by the managers to face competition within the industry
•  The brand strategy the managers adopt to establish the firm in the industry
•  The strategic position the firm pursues within the industry

_____ is best described as a set of goal-directed actions a firm takes to gain and sustain superior performance relative to competitors.

•  Behavior modification
•  Strategy
•  Credo
•  Competency management

The average cost of production for a bottle of vitamin water in the industry is $4 while its average price is $7. StoreAll Inc. manufactures the same product for $3 per bottle and sells it for $7 per bottle. Which of the following statements is most likely true of StoreAll Inc. in this scenario?

•  It has a competitive advantage in the industry.
•  It has a competitive disadvantage in the industry.
•  It has competitive parity with other firms in the industry.
•  It has formed a strategic alliance with other firms in the industry.

Which of the following forces tends to be more important in determining a firm's performance?

•  The underlying economic structure
•  The entry barriers in the industry
•  The actions of managers within the firm
•  The number and size of other firms in the industry

Which of the following forces is most closely related to industry effects within the automobile industry?

•  The actions taken to improve employee productivity within a firm
•  The human resource strategy managers adopt to acquire the best talent from the industry
•  The types of products and the services offered within the industry
•  The decisions made within a firm regarding pricing of a product in the market

Through _____, a firm puts its guiding policy into practice by employing a set of coherent actions.

•  strategy control
•  strategy implementation
•  strategy formulation
•  strategy analysis

A firm that achieves superior performance relative to other firms in the same industry or the industry average has a(n) _____.

•  competitive advantage
•  balanced scorecard
•  power position
•  equity leverage

FindFor Inc. is an e-commerce retail firm that sells a variety of merchandise online. Through services like cash on delivery, easy return, and online tracking, the company has created more customer value than its competitors (brick-and-mortar businesses) at the same price. Also, the company's costs are substantially low due to minimal investment in operation and administration. In this scenario, FindFor Inc. has most likely been able to provide superior value and cost control through _____.

•  strategic parity
•  strategic profiling
•  strategic liquidation
•  strategic positioning

A firm is said to gain a competitive advantage when it can:

•  exceed its own previous performances.
•  provide products similar to its competitors, but at lower prices.
•  perform at the same level as that of its competitors.
•  minimize the difference between value creation and cost.

TakeFlight Airways is a new entrant to the airline industry. While most of its competitors are pursuing a cost-leadership strategy, TakeFlight Airways has decided to execute a differentiation strategy. Which of the following is the most likely implication of this decision?

•  TakeFlight Airways will not gain a competitive advantage in the airline industry.
•  TakeFlight Airways will gain a competitive advantage by reducing its prices.
•  TakeFlight Airways will face low profit potential by pursuing a different strategy.
•  TakeFlight Airways will create value for customers by delivering unique features.