Quiz_Chapter 4_SFI

Which of the following is NOT a component of evaluating a company's resources, capabilities, and competitive position?

• Evaluating how well the present strategy is working

• Scanning the environment to determine a company's best and most profitable customers

• Assessing whether the company's costs and prices are competitive

• Evaluating whether the company is competitively stronger or weaker than key rivals

Identifying and assessing a company's resource strengths and weaknesses and its external opportunities and threats is called

• competitive positioning analysis

• strategic resource assessment

• SWOT analysis

• company resource mapping

SWOT analysis is a powerful tool for

• gauging whether a company has a cost competitive value chain

• sizing up a company's resource capabilities and deficiencies, its market opportunities, and the external threats to its future well-being

• evaluating whether a company is in the most appropriate strategic group

• determining a company's competitive strength vis-à-vis close rivals

Which of the following most accurately reflect a company's resource strengths?

• Its human, physical and/or organization assets; its skills and competitive capabilities; and achievements or attributes that enhance the company's ability to compete effectively

• Whether it has more primary activities in its value chain than close rivals and a better overall value chain than these rivals

• The sizes of its unit sales, revenues, and market share vis-à-vis those of key rivals

• The sizes of its profit margins and return on investment vis-à-vis those of key rivals

When a company is good at performing a particular internal activity, it is said to have

• a competitive advantage over rivals

• a competitive capability

• a company competence

• a core competence

When a company has real proficiency in performing acompetitively importantvalue chain activity, it is said to have

• a distinctive competence

• a core competence

• a key value chain proficiency

• a competitive advantage over rivals

V-R-I-N stands for

• Valuable - Rare - Inimitable - Normal

• Valuable - Rare - Impossible - Nonsubstituable

• Valuable - Ratified - Inimitable - Nonsubstitutable

• Valuable - Rare - Inimitable - Nonsubstitutable

A company's value chain

• consists of the primary activities that it performs in seeking to deliver value to shareholders in the form of higher dividends and a higher stock price

• consists of two broad categories of activities: the primary activities that create customer value and the requisite support activities that facilitate and enhance the performance of the primary activities

• depicts the internally performed activities associated with creating and enhancing the company's competitive assets

• concerns the basic process the company goes through in performing R&D and developing new products

A much-used and potent managerial tool for determining whether a company performs particular functions or activities in a manner that represents "the best practice" when both cost and effectiveness are taken into account is

• competitive strength analysis

• activity-based costing

• benchmarking

• resource cost mapping

Doing a competitive strength assessment entails

• determining whether a company has a cost-effective value chain

• identifying a company's core competencies and distinctive competencies

• analyzing whether a company is well positioned to gain market share and be the industry's profit leader

• ranking the company against major rivals on each of the important factors that determine market success and ascertaining whether the company has a net competitive advantage or disadvantage versus major rivals