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WorksheetsSM Chapter 5: Competitive Dynamics
Total questions: 10
Worksheet time: 3mins
Competitive dynamics refer to?
The ongoing set of competitive actions and responses occurring between competitors
Firms competing against each other in several product or geographic markets
The set of competitive actions and competitive responses the firm takes to build or defend its competitive advantages and to improve its market position
The total set of actions and responses taken by all firms competing within a market
A firm strategy's success is determined by all of the following EXCEPT
How well the firm anticipates and responds to its competitors’ initial actions
The number of markets with which a firm and a competitor are jointly involved
The firm’s initial competitive actions
How well it anticipates competitors’ responses to them
Competitive rivalry has the most effect on the firm's ____________ strategies than the firm's other strategies.
international
business-level
corporate-level
acquisition
Multimarket competition occurs when firms
sell different products to the same customer
have a high level of awareness of their competitors' strategic intent
compete against each other in several product or geographic markets
simultaneously enter into an attack strategy
Intensified rivalry within an industry results in
decreased average profitability across the industry
increased hiring across the industry
increased total revenues across the industry
increased entries into the industry
Research suggests that a firm with greater multimarket contact is _________ likely to initiate and attack, and __________ likely to respond aggressively when attacked,
more; more
less; more
less; less
more; less
________ relates to the gains or losses a firm will experience if it attacks a rival or responds to an attack by a rival.
Motivation
Awareness
Responsiveness
Ability
Firms with few competitive resources are more likely to
not respond to competitive actions
respond quickly to competitive actions
delay responding to competitive actions
respond to strategic actions, but not to tactical actions
Both ___________ and _____________ affect the awareness and motivation of a firm to undertake actions and responses
first-mover advantages; corporate size
market commonality; resource similarity
management capabilities; competitive analysis
speed of management decisions; management actions
Which of the following is the tactical action/response?
A market-based move that involves a significant commitment of organizational resources and is difficult to implement and reverse
A market-based move that is taken to fine-tune a strategy, usually involves fewer resources and is relatively easy to implement and reverse
