WorksheetsCompetitive Rivalry 2-3:30
Total questions: 20
Worksheet time: 8mins
Which of the following is not a driver of competitive behavior?
Strength
Ability
Motivation
Awareness
What is the first step a competing firm takes in predicting the extent and nature of its rivalry with other competitors?
Competitive Assumption
Competitor Analysis
Strategy Implementation
Both B and C
Which among the following least describes Market Commonality?
The extent to which the firm's intangible and tangible resources compare favorably to a competitor.
Concerned with the firm and a competitor are jointly involved and the degree of importance of individual markets to each.
Reduces the likelihood of competitive rivalry
Reduces the likelihood of firms initiating an attack
Which is false about Competitive rivalry?
Competitive rivalry is intensifying as the global market becomes more dynamic and complex.
Competitive rivalry influences a firm's ability to gain and sustain competitive advantage.
Competitive rivalry only affects only one type of strategy, which is corporate-level strategy.
. Competitors engage in competitive rivalry to gain an advantageous market position
Fill in the blanks: Competitive Dynamics is the total set of competitive ____ and _______ taken by all firms competing within a ____.
beliefs, responses, economy
actions, capabilities, market
actions, responses, market
resources, capabilities, industry
This driver tends to be greatest when firms have highly similar resources to use while competing against each other in multiple markets.
Awareness
Motivation
Ability
Resource Dissimilarity
Market commonality affects the firm’s perceptions and resulting motivation.
True
False
The ongoing competitive action/response sequence between a firm and a competitor does not affect the performance of both firms.
True
False
A strategic action or a strategic response is a market-based move that involves a significant _____ of organizational _____ and is difficult to implement and reverse.
resources; commitment
evaluation; chart
commitment; resources
responses; choices
When engaging rivals in competition, firms must recognize the differences between strategic and tactical actions and management and develop an ineffective balance between the two types of competitive actions and responses.
True
False
What do first movers emphasize as a path to develop innovate goods and services that customers will value?
Technological advancements
Financial investments
Research and development
Strategic competitiveness
The following are the benefits or gains earned by a first mover, except:
Loyalty of customers
Market share that can be easy for competitors to take
Greater survivability
Earnings of above-average returns
Which of the following statements is incorrect about the type of competitive action?
Strategic actions commonly receive strategic responses and tactical actions receive tactical responses.
Strategic actions elicit fewer competitive actions compares to tactical actions.
Either strategic actions or tactical actions that target a large number of a rival’s customers are likely to elicit strong responses.
If the effects of a competitor’s strategic action on the focal firm are significant a response is likely to be slow and cautious.
How does a firm become a first mover?
Have the readily available resources to invest in research
Rapidly and successfully render poor quality services
Investment in financial markets and cryptocurrency
Dismiss any organizational slack to increase efficiency
Which of the following statements refers to a second mover?
It studies the customers’ purchasing power
It finds any mistake the first mover made to prevent it
It either moves very fast or very slow
It is less cautious than first movers
A late mover’s success tends to be considerably low unless they find a way to develop a standard and easy way to enter the market and compete.
True
False
Which of the following is true?
a. the higher the market commonality and resource similarity, the higher the competition
the higher the market commonality and resource similarity, the lower the competition
the lower the market commonality and resource similarity, the higher the competition
none of the above
Larger firms are more flexible and nimble competitors who rely on speed and surprise to defend their competitive advantage.
True
False
The best example of competing firms with high resource similarity but low market commonality are:
McDonald’s and Jollibee
UPS and FedEx
Samsung and Apple
Philippines Airlines and Cebu Pacific
The predictions drawn from studying competitors in terms of _____, ______ and ______ are grounded in market commonality and resource similarity.
Competitive strategy, competitive advantage, market commonality
Ability, competitiveness, motivation
Awareness, motivation, ability
Awareness, motivation, competence
