Strategic Management Final

The McDonald's case, that we discussed in class, is a great illustration of the company that

• is a market leader.

• offers unhealthier food options than its competitors do.

• didn't do a good job in environmental scanning and monitoring.

• is well known for its accurate forecasting.

The three most common scenarios in business are

• democratic, neutral, and conservative.

• first, second, and third.

• draft, unpolished, and polished.

• best case, base case, and worst case.

What is criticism of Porter's Five Forces Model? 

• It is not competitive enough as the real life is far more competitive.

• It assumes a zero-sum game where a firm has to compete with its stakeholders.

• It considers the root causes of industry profitability.

• It analyzes an industry's structural underpinnings.

Which of the following is not an input process to develop forecasts?

• environmental scanning

• competitor intelligence

• stakeholder management

• environmental monitoring

_______________ tracks the evolution of environmental trends, sequences of events, or streams of activities.

• Environmental scanning

• Environmental monitoring

• Environmental surveying

• Competitive intelligence

Which of the following is not an example of corporate competitive intelligence?

• Consumers comparing product offers online.

• Banks tracking home loans.

• Airlines changing hundreds of fares daily in response to competitor tactics.

• Car manufacturers offering sales incentives based on rival offers.

In the SWOT framework, ______________ are internal factors that are specific to the company.

• strengths and opportunities

• strengths and threats

• threats and weaknesses

• strengths and weaknesses

In the movie about McDonald's, Ray Kroc 

• did not like the brand McDonald's and wanted to change it to McKroc's

• kept his last promise to the McDonald's brothers

• developed an efficient fast food preparation model

• played the key role in scaling up the business.

Classifying an industry into strategic groups involves judgment. If it is useful as an analytical tool, we must exercise caution in deciding what dimensions to use to map these firms. Dimensions can include all of the following except

• geographical expansion.

• breadth of product line-up.

• degree of vertical integration.

• leadership team personalities.

Strategic groups are clusters of firms that share ________ strategies.

• similar

• the same

• different

• emergent