Whitney Chapter 1 – Flashcards
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1. Which of the following questions ought to be used to distinguish a winning strategy from a mediocre or losing strategy?
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a. Is the strategy well-matched to the company's situation, helping the company achieve a sustainable competitive advantage, and resulting in better company performance?
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2. A winning strategy is one that
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a. fits the company's internal and external situation, builds sustainable competitive advantage, and improves company performance.
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3. The competitive moves and business approaches a company's management is using to grow the business, attract and please customers, conduct operations, and achieve organizational objectives is referred to as its
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Strategy
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4. Which of the following is not something a company's strategy is concerned with?
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a. How quickly and closely to copy the strategies being used by successful rival companies
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5. Which of the following is not a frequently used strategic approach to setting a company apart from rivals and achieving a sustainable competitive advantage?
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a. Striving to be more profitable than rivals and aiming for a competitive edge based on bigger profit margins
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6. A company's strategy consists of
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a. competitive moves and approaches that managers have developed to grow the business, attract and please customers, conduct operations, and achieve targeted objectives.
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7. A creative, distinctive strategy that sets a company apart from rivals and that gives it a sustainable competitive advantage
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a. is a company's most reliable ticket to above-average profitability.
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8. A company's business model
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a. clarifies (1) how the business will provide customers with value, (2) why the business will generate revenues sufficient to cover costs and produce attractive profits, and (3) whatever resources and processes are critical to the customer value proposition.
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9. The three elements of a company's business model are
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a. its customer value proposition, the profit formula, and an identification of key resources and processes necessary to create and deliver value to customers.
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10. A creative, distinctive strategy that delivers a sustainable competitive advantage is important because
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a. a strategy that yields a competitive advantage over rivals is a company's most reliable means of achieving above-average profitability and financial performance.
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1. Crafting a strategy involves
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a. Blending deliberate/planned initiatives with emergent/unplanned reactive responses to changing circumstances, while abandoning planned strategy elements that have failed in the marketplace.
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2. Proven approaches to winning a sustainable competitive advantage include which of the following?
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a. Strategies keyed to develop a cost-based advantage b. Strategies keyed to creating a differentiation-based advantage c. Focusing on a narrow market niche within an industry d. Developing unmatched competitively valuable resources and capabilities e. All the above
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3. A company's strategy is a "work in progress" and evolves overtime because of
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a. The ongoing need of company managers to react and respond to charging industry and competitive conditions.
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4. Which of the following statements about a company's realized strategy is true?
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a. A company's realized strategy is typically a blend of deliberate/planned initiatives and emergent/unplanned reactive strategy elements.
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5. Which of the following is an issue likely to be addressed by a company's business strategy?
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a. Actions to respond to changing economic and market conditions b. Actions to supplement the companys resources and capabilities through alliances and joint ventures. c. Reactions to offensive moves by rival sellers d. Actions and approaches used in managing the functional areas of the business e. All of the above are pertinent in identifying a companys strategy.
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7. A company's strategy is most accurately defined as
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a. management's game plan for growing the business, attracting and pleasing customers, conducting operations, and achieving financial and market performance objectives.
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8. Which of the following is not a frequently used strategic approach to settling a company apart from rivals and achieving a sustainable competitive advantage?
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Striving to be more profitable than rivals and aiming for a competitive edge based on bigger profit margins
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9. A company's business model
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a. Relates to the principle business components that will allow the business to generate revenues ample to cover costs and produce profit.
