BADM 449 EXAM 1 LATEST UPDATE REAL QUESTIONS AND
VERIFIED ANSWERS |100% CORRECT | ALREADY GRADED
A
What is competitive advantage? Ans✓✓✓ superior performance relative
to competitors
What is sustainable competitive advantage? Ans✓✓✓ occurs when a
firm implements a value-creating strategy of which other companies are
unable to duplicate the benefits or find it too costly to imitate
What is strategy? Ans✓✓✓ goal-directed actions to gain and sustain
competitive advantage. Not necessarily a zero-sum game; includes win-
win scenarios and co-opetition
Co-opetition Ans✓✓✓ collaborative efforts among competitors for
mutual gain
Trade-offs Ans✓✓✓ must be made for strategic positioning. examples:
low cost vs. upscale; or low cost vs. stuck in the middle
What are the similarities and differences in the three classic definitions
of strategy by Schelling, Chandler, and Quinn? Ans✓✓✓ Schelling's
definition is focused on competition. Chandler's definition is focused on
internal factors. Quinn's definition encompasses internal, external, and
competition
,What four elements are involved in the strategic management process?
Ans✓✓✓ 1. Analysis
2. Formulation
3. Implementation
4. Feedback
What is our textbook's definition of strategy? Ans✓✓✓ the quest to
create, capture, and sustain competitive advantage
What should the firm seek in its activities? Ans✓✓✓ a set of activities
to stake out a unique position
What kind of commitments are needed for a firm to seek out its strategy?
Ans✓✓✓ long term commitments that are not easily reversible
What are the three key drivers of economic value? Ans✓✓✓ 1. Cost
2. Revenue
3. Risk
Industry vs. firm effects, which tend to be stronger? Ans✓✓✓ in
performance, firm effects are ~15% stronger than industry effects
Firm effects Ans✓✓✓ astute managers create superior performance by
making important trade-offs
, What is the key question for corporate strategy? Ans✓✓✓ Where to
compete?
What is the key question for business strategy? Ans✓✓✓ How to
compete?
What is the key question for functional strategy? Ans✓✓✓ How to
implement?
Examples of corporate level strategy Ans✓✓✓ vertical integration,
diversification, strategic alliances, acquisitions, new ventures,
restructuring
Examples of business level strategy Ans✓✓✓ cost leadership,
differentiation, focus
Examples of functional level strategy Ans✓✓✓ manufacturing,
materials management, human resources, marketing, R&D, operations
management
What evidence is there that technological change is indeed accelerating?
Ans✓✓✓ 84 years for over half of US families to own a car
28 years for half to own a TV
19 years for half to own a PC
VERIFIED ANSWERS |100% CORRECT | ALREADY GRADED
A
What is competitive advantage? Ans✓✓✓ superior performance relative
to competitors
What is sustainable competitive advantage? Ans✓✓✓ occurs when a
firm implements a value-creating strategy of which other companies are
unable to duplicate the benefits or find it too costly to imitate
What is strategy? Ans✓✓✓ goal-directed actions to gain and sustain
competitive advantage. Not necessarily a zero-sum game; includes win-
win scenarios and co-opetition
Co-opetition Ans✓✓✓ collaborative efforts among competitors for
mutual gain
Trade-offs Ans✓✓✓ must be made for strategic positioning. examples:
low cost vs. upscale; or low cost vs. stuck in the middle
What are the similarities and differences in the three classic definitions
of strategy by Schelling, Chandler, and Quinn? Ans✓✓✓ Schelling's
definition is focused on competition. Chandler's definition is focused on
internal factors. Quinn's definition encompasses internal, external, and
competition
,What four elements are involved in the strategic management process?
Ans✓✓✓ 1. Analysis
2. Formulation
3. Implementation
4. Feedback
What is our textbook's definition of strategy? Ans✓✓✓ the quest to
create, capture, and sustain competitive advantage
What should the firm seek in its activities? Ans✓✓✓ a set of activities
to stake out a unique position
What kind of commitments are needed for a firm to seek out its strategy?
Ans✓✓✓ long term commitments that are not easily reversible
What are the three key drivers of economic value? Ans✓✓✓ 1. Cost
2. Revenue
3. Risk
Industry vs. firm effects, which tend to be stronger? Ans✓✓✓ in
performance, firm effects are ~15% stronger than industry effects
Firm effects Ans✓✓✓ astute managers create superior performance by
making important trade-offs
, What is the key question for corporate strategy? Ans✓✓✓ Where to
compete?
What is the key question for business strategy? Ans✓✓✓ How to
compete?
What is the key question for functional strategy? Ans✓✓✓ How to
implement?
Examples of corporate level strategy Ans✓✓✓ vertical integration,
diversification, strategic alliances, acquisitions, new ventures,
restructuring
Examples of business level strategy Ans✓✓✓ cost leadership,
differentiation, focus
Examples of functional level strategy Ans✓✓✓ manufacturing,
materials management, human resources, marketing, R&D, operations
management
What evidence is there that technological change is indeed accelerating?
Ans✓✓✓ 84 years for over half of US families to own a car
28 years for half to own a TV
19 years for half to own a PC
