MGT 498: Strategic Management week 5
UPDATED ACTUAL Exam Questions and
CORRECT Answers
Which of the following are business strategies JetBlue pursued in order to gain a competitive
advantage? - CORRECT ANSWER -differentiation and cost-leadership
A Blank______ outlines the steps a manager will take to achieve competitive advantage in a
single product market. - CORRECT ANSWER -business-level strategy
The perceived value that a company creates for consumers less the company's costs to create the
value equals Blank______. - CORRECT ANSWER -the economic value created
Which type of strategy is being used if a company offers a product at a lower cost than its
competitors? - CORRECT ANSWER -cost-leadership strategy
A manufacturer of electronic components can use its manufacturing machines to produce many
different components such as semiconductors, sensors, and capacitors. In this case, the firm
benefits from an economy of _______, reducing overall production costs by finding multiple
uses for its components and facilities. - CORRECT ANSWER -scope
The most significant challenge JetBlue faced in implementing its business strategy was
Blank______. - CORRECT ANSWER -reconciling the trade-offs between cutting costs
and providing superior service
Two important features that managers can adjust in an effort to improve the firm's strategic
position are Blank______. - CORRECT ANSWER -product features and customer service
Business-level strategy addresses which overarching question? - CORRECT ANSWER -
How should we compete?
, Unique features and attributes that differentiate a product from competitors' offerings allow the
firm to Blank______. - CORRECT ANSWER -charge premium pricing
Select all that apply
Which two of the following variables can managers primarily manipulate in order to answer the
question, "How should we compete?" - CORRECT ANSWER -cost
value
The Ritz-Carlton provides a personalized customer experience based on sophisticated analysis of
data gathered about each guest. This focus on Blank______ allows the hotel to increase its
perceived value. - CORRECT ANSWER -customer service
A Blank______ strategy aims to create higher value for customers by offering products with
unique features but a similar level of costs to those of competing products. - CORRECT
ANSWER -differentiation
Bundling of products and services that are consumed in tandem to create value is an example of
Blank______. - CORRECT ANSWER -complements
Economies of Blank______ are the savings that come from producing two or more different
outputs at a lower cost than producing each output individually. - CORRECT ANSWER -
scope
Select all that apply
What are the three most important value drivers that managers can use to create a competitive
advantage? - CORRECT ANSWER -complements
customer service
product features
UPDATED ACTUAL Exam Questions and
CORRECT Answers
Which of the following are business strategies JetBlue pursued in order to gain a competitive
advantage? - CORRECT ANSWER -differentiation and cost-leadership
A Blank______ outlines the steps a manager will take to achieve competitive advantage in a
single product market. - CORRECT ANSWER -business-level strategy
The perceived value that a company creates for consumers less the company's costs to create the
value equals Blank______. - CORRECT ANSWER -the economic value created
Which type of strategy is being used if a company offers a product at a lower cost than its
competitors? - CORRECT ANSWER -cost-leadership strategy
A manufacturer of electronic components can use its manufacturing machines to produce many
different components such as semiconductors, sensors, and capacitors. In this case, the firm
benefits from an economy of _______, reducing overall production costs by finding multiple
uses for its components and facilities. - CORRECT ANSWER -scope
The most significant challenge JetBlue faced in implementing its business strategy was
Blank______. - CORRECT ANSWER -reconciling the trade-offs between cutting costs
and providing superior service
Two important features that managers can adjust in an effort to improve the firm's strategic
position are Blank______. - CORRECT ANSWER -product features and customer service
Business-level strategy addresses which overarching question? - CORRECT ANSWER -
How should we compete?
, Unique features and attributes that differentiate a product from competitors' offerings allow the
firm to Blank______. - CORRECT ANSWER -charge premium pricing
Select all that apply
Which two of the following variables can managers primarily manipulate in order to answer the
question, "How should we compete?" - CORRECT ANSWER -cost
value
The Ritz-Carlton provides a personalized customer experience based on sophisticated analysis of
data gathered about each guest. This focus on Blank______ allows the hotel to increase its
perceived value. - CORRECT ANSWER -customer service
A Blank______ strategy aims to create higher value for customers by offering products with
unique features but a similar level of costs to those of competing products. - CORRECT
ANSWER -differentiation
Bundling of products and services that are consumed in tandem to create value is an example of
Blank______. - CORRECT ANSWER -complements
Economies of Blank______ are the savings that come from producing two or more different
outputs at a lower cost than producing each output individually. - CORRECT ANSWER -
scope
Select all that apply
What are the three most important value drivers that managers can use to create a competitive
advantage? - CORRECT ANSWER -complements
customer service
product features
