ESTUDYR
MGT 449 VIDEO QUIZ QUESTIONS MOST TESTED QUESTIONS
AND ANSWERS GRADED A+ WITH RATIONALES
1. In comparison to defining strategy by product/market focus, value proposition, and core
activities, generic strategies are best described as:
a. More detailed and firm-specific
b. Focused only on operational efficiency
c. Broad and more general strategic categories
d. Limited to cost-based approaches
✅Correct Answer: C
Rationale: Generic strategies (e.g., cost leadership, differentiation) provide broad strategic
positions rather than firm-specific details.
2. While generic strategies are useful, when identifying the strategy of a specific firm, it
should still be defined in terms of product/market focus, value proposition, and core
activities.
a. False
b. True
c. Only for large firms
d. Only for startups
✅Correct Answer: B
Rationale: Generic strategies lack sufficient specificity for analyzing individual firms.
3. A low-cost strategy seeks to earn above-normal returns primarily by:
a. Charging premium prices
b. Matching competitor prices with higher costs
c. Charging prices similar to or slightly below rivals while maintaining significantly lower
costs
d. Offering highly customized products
✅Correct Answer: C
Rationale: Cost leaders rely on cost advantages rather than premium pricing.
, ESTUDYR
4. A differentiation strategy earns above-normal returns by:
a. Minimizing production costs
b. Offering identical products at lower prices
c. Charging prices above the industry average while maintaining similar costs
d. Competing only in niche markets
✅Correct Answer: C
Rationale: Differentiation allows firms to command price premiums due to perceived
uniqueness.
5. An integrated low-cost/differentiation strategy seeks to earn above-normal returns by:
a. Charging the lowest price in the industry
b. Charging premium prices with premium costs
c. Charging slightly above competitors while maintaining slightly lower costs
d. Avoiding competitive markets
✅Correct Answer: C
Rationale: This hybrid strategy balances efficiency and differentiation.
6. According to Mintzberg’s 5 P’s, Porter’s generic strategies best represent strategy as:
a. Plan
b. Pattern
c. Position
d. Perspective
✅Correct Answer: C
Rationale: Porter emphasizes how firms position themselves within an industry.
7. In Mintzberg’s 5 P’s, a strategy that reflects how managers think and adapt over time is
strategy as:
a. Plan
b. Position
c. Pattern
d. Perspective
MGT 449 VIDEO QUIZ QUESTIONS MOST TESTED QUESTIONS
AND ANSWERS GRADED A+ WITH RATIONALES
1. In comparison to defining strategy by product/market focus, value proposition, and core
activities, generic strategies are best described as:
a. More detailed and firm-specific
b. Focused only on operational efficiency
c. Broad and more general strategic categories
d. Limited to cost-based approaches
✅Correct Answer: C
Rationale: Generic strategies (e.g., cost leadership, differentiation) provide broad strategic
positions rather than firm-specific details.
2. While generic strategies are useful, when identifying the strategy of a specific firm, it
should still be defined in terms of product/market focus, value proposition, and core
activities.
a. False
b. True
c. Only for large firms
d. Only for startups
✅Correct Answer: B
Rationale: Generic strategies lack sufficient specificity for analyzing individual firms.
3. A low-cost strategy seeks to earn above-normal returns primarily by:
a. Charging premium prices
b. Matching competitor prices with higher costs
c. Charging prices similar to or slightly below rivals while maintaining significantly lower
costs
d. Offering highly customized products
✅Correct Answer: C
Rationale: Cost leaders rely on cost advantages rather than premium pricing.
, ESTUDYR
4. A differentiation strategy earns above-normal returns by:
a. Minimizing production costs
b. Offering identical products at lower prices
c. Charging prices above the industry average while maintaining similar costs
d. Competing only in niche markets
✅Correct Answer: C
Rationale: Differentiation allows firms to command price premiums due to perceived
uniqueness.
5. An integrated low-cost/differentiation strategy seeks to earn above-normal returns by:
a. Charging the lowest price in the industry
b. Charging premium prices with premium costs
c. Charging slightly above competitors while maintaining slightly lower costs
d. Avoiding competitive markets
✅Correct Answer: C
Rationale: This hybrid strategy balances efficiency and differentiation.
6. According to Mintzberg’s 5 P’s, Porter’s generic strategies best represent strategy as:
a. Plan
b. Pattern
c. Position
d. Perspective
✅Correct Answer: C
Rationale: Porter emphasizes how firms position themselves within an industry.
7. In Mintzberg’s 5 P’s, a strategy that reflects how managers think and adapt over time is
strategy as:
a. Plan
b. Position
c. Pattern
d. Perspective
