Strategic Management 5th Edition By Frank
Rothaermel Latest Test Bank Q&A
Contour Inc., a vendor, regularly supplies capacitors to All Purpose Electronics for
use in its products. Therefore, Contour Inc. is All Purpose Electronics': -
ANSWER>>External Stakeholder
is best described as an integrative management field that combines analysis,
formulation, and implementation in the quest for competitive advantage: -
ANSWER>>Strategic Management
Through ________, a firm puts its guiding policy into practice by employing a set
of coherent actions - ANSWER>>Strategy implementation
John is a bit confused about the difference between stakeholders and
stockholders. You meet with John and inform him that the main difference is that
- ANSWER>>Stakeholders can be both internal and external while stockholders
own shares of a firm and are classified as internal to the firm
A firm is required by society and its shareholders to meet its ethical and
philanthropic responsibilities - ANSWER>>False
While creating its AFI strategy framework, Gordon's Consultants decided what
markets the firm should compete in. By doing this, what type of strategy did the
company devise? - ANSWER>>Corporate Strategy
Is best described as a set of goal-directed actions a firm takes to gain and sustain
superior performance relative to competitors - ANSWER>>Strategy
Bill's Auto & Airplane Repair shop is able to generate a positive net income of
$10,000 a week; this is the industry average. We can conclude that since he has a
, positive net income, he also has a competitive parity in the industry -
ANSWER>>competitive parity is achieved by generating average returns, relative
to competition in a given industry
A good strategy is a set of actions that enables a firm to achieve its own internal
goals without regard to the external environment - ANSWER>>False
If Modern Furniture LLC obtains an 18 percent return on invested capital, which of
the following will help determine if it has a competitive advantage over other
pharmaceutical companies? - ANSWER>>Comparing the return to the return on
invested capital obtained by other firms in the industry
Tony's Pizza Shop is able to net $10,000 a week; this makes his shop profitable.
His number one competitor, Leo's Pies is also profitable, netting $12,000 a week.
Lil Anthony's Pizza Palace nets $13,000 a week. Since Tony's Pizza Shop is
profitable, we can conclude that he has a competitive advantage in the industry -
ANSWER>>False—competitive advantage is only achieved by generating above
average returns, relative to competition
The interaction between a firm and its diverse internal and external stakeholders
is best described as a(n): - ANSWER>>exchange relationship.
Once a strategy has been formulated and implemented, it is important that the
firm sticks to it no matter what happens - ANSWER>>False
The three tasks of the AFI strategy framework are to Assemble a prototype, Find a
buyer, and Incorporate feedback - ANSWER>>False
Industrial Drills, a company that manufactures industrial tools, incurs higher costs
because of its refusal to outsource its manufacturing to countries where labor
costs are lower. This reflects Industrial Drills' ________ responsibility. -
ANSWER>>Ethical
Rothaermel Latest Test Bank Q&A
Contour Inc., a vendor, regularly supplies capacitors to All Purpose Electronics for
use in its products. Therefore, Contour Inc. is All Purpose Electronics': -
ANSWER>>External Stakeholder
is best described as an integrative management field that combines analysis,
formulation, and implementation in the quest for competitive advantage: -
ANSWER>>Strategic Management
Through ________, a firm puts its guiding policy into practice by employing a set
of coherent actions - ANSWER>>Strategy implementation
John is a bit confused about the difference between stakeholders and
stockholders. You meet with John and inform him that the main difference is that
- ANSWER>>Stakeholders can be both internal and external while stockholders
own shares of a firm and are classified as internal to the firm
A firm is required by society and its shareholders to meet its ethical and
philanthropic responsibilities - ANSWER>>False
While creating its AFI strategy framework, Gordon's Consultants decided what
markets the firm should compete in. By doing this, what type of strategy did the
company devise? - ANSWER>>Corporate Strategy
Is best described as a set of goal-directed actions a firm takes to gain and sustain
superior performance relative to competitors - ANSWER>>Strategy
Bill's Auto & Airplane Repair shop is able to generate a positive net income of
$10,000 a week; this is the industry average. We can conclude that since he has a
, positive net income, he also has a competitive parity in the industry -
ANSWER>>competitive parity is achieved by generating average returns, relative
to competition in a given industry
A good strategy is a set of actions that enables a firm to achieve its own internal
goals without regard to the external environment - ANSWER>>False
If Modern Furniture LLC obtains an 18 percent return on invested capital, which of
the following will help determine if it has a competitive advantage over other
pharmaceutical companies? - ANSWER>>Comparing the return to the return on
invested capital obtained by other firms in the industry
Tony's Pizza Shop is able to net $10,000 a week; this makes his shop profitable.
His number one competitor, Leo's Pies is also profitable, netting $12,000 a week.
Lil Anthony's Pizza Palace nets $13,000 a week. Since Tony's Pizza Shop is
profitable, we can conclude that he has a competitive advantage in the industry -
ANSWER>>False—competitive advantage is only achieved by generating above
average returns, relative to competition
The interaction between a firm and its diverse internal and external stakeholders
is best described as a(n): - ANSWER>>exchange relationship.
Once a strategy has been formulated and implemented, it is important that the
firm sticks to it no matter what happens - ANSWER>>False
The three tasks of the AFI strategy framework are to Assemble a prototype, Find a
buyer, and Incorporate feedback - ANSWER>>False
Industrial Drills, a company that manufactures industrial tools, incurs higher costs
because of its refusal to outsource its manufacturing to countries where labor
costs are lower. This reflects Industrial Drills' ________ responsibility. -
ANSWER>>Ethical
