MBA 705 - Exam #1 Questions with Correct Answers
Business Unit - ✔✔An organizational entity with its own mission, competitors,
and industry.
Competitive Advantage - ✔✔A situation where a company's strategy is successful
and difficult for competitors to duplicate.
Generic Strategies - ✔✔Broad competitive approaches businesses use to compete
in the marketplace.
Strategic Group - ✔✔A group of companies within an industry that use the same
or similar competitive strategy.
Porter's Generic Strategies - ✔✔Framework explaining how businesses compete
based on cost and differentiation.
Low-Cost Strategy - ✔✔A company focuses on producing basic, no-frills products
or services for price-sensitive customers.
Focus-Low-Cost Strategy - ✔✔Emphasizes low costs for a specific market niche.
Differentiation Strategy - ✔✔Focuses on offering products or services that
customers see as unique.
Focus-Differentiation Strategy - ✔✔Targets a narrow market niche with highly
specialized or unique products.
, Low-Cost-Differentiation Strategy - ✔✔Attempts to combine both low cost and
differentiation.
Five Ways to Pursue Low-Cost-Differentiation - ✔✔Commitment to Quality,
Differentiation Based on Low Costs, Process Innovation, Product Innovation,
Value Innovation.
Focus-Low-Cost/Differentiation Strategy - ✔✔Combines focus, low cost, and
differentiation.
Multiple Strategies - ✔✔A company uses more than one strategy at the same
time for different customer groups.
Miles and Snow Strategy Framework - ✔✔Identifies four types of business
strategies: Prospectors, Defenders, Analyzers, Reactors.
Prospectors - ✔✔Seek innovation and first-mover advantages.
Defenders - ✔✔Seek stability and operate in predictable market segments.
Analyzers - ✔✔A middle ground between prospectors and defenders.
Reactors - ✔✔Lack a consistent strategy and usually perform poorly.
Business Unit - ✔✔An organizational entity with its own mission, competitors,
and industry.
Competitive Advantage - ✔✔A situation where a company's strategy is successful
and difficult for competitors to duplicate.
Generic Strategies - ✔✔Broad competitive approaches businesses use to compete
in the marketplace.
Strategic Group - ✔✔A group of companies within an industry that use the same
or similar competitive strategy.
Porter's Generic Strategies - ✔✔Framework explaining how businesses compete
based on cost and differentiation.
Low-Cost Strategy - ✔✔A company focuses on producing basic, no-frills products
or services for price-sensitive customers.
Focus-Low-Cost Strategy - ✔✔Emphasizes low costs for a specific market niche.
Differentiation Strategy - ✔✔Focuses on offering products or services that
customers see as unique.
Focus-Differentiation Strategy - ✔✔Targets a narrow market niche with highly
specialized or unique products.
, Low-Cost-Differentiation Strategy - ✔✔Attempts to combine both low cost and
differentiation.
Five Ways to Pursue Low-Cost-Differentiation - ✔✔Commitment to Quality,
Differentiation Based on Low Costs, Process Innovation, Product Innovation,
Value Innovation.
Focus-Low-Cost/Differentiation Strategy - ✔✔Combines focus, low cost, and
differentiation.
Multiple Strategies - ✔✔A company uses more than one strategy at the same
time for different customer groups.
Miles and Snow Strategy Framework - ✔✔Identifies four types of business
strategies: Prospectors, Defenders, Analyzers, Reactors.
Prospectors - ✔✔Seek innovation and first-mover advantages.
Defenders - ✔✔Seek stability and operate in predictable market segments.
Analyzers - ✔✔A middle ground between prospectors and defenders.
Reactors - ✔✔Lack a consistent strategy and usually perform poorly.
