Reference no: EM132155724
1. Why are modern firms generally not deeply vertically integrated?
Modern firms have less risky alternatives to manage buyers and supplier than full integration
Modern firms are trying to undo vertical integration from twenty years ago.
Modern firms prefer to outsource as much as possible to suppliers and buyers to cut costs.
Modern firms rarely have problems with buyers and suppliers.
None of these
2. For coca cola and pepsi cola, the huge amount of capital invested in bottling plants, trucks, labors, etc. means that tangible resources are more important than intangible resources in their competitive advantage
3. Who are stakeholders from a strategic management perspective?
Anyone that has an equity stake in the firm.
Anyone who is dependent upon the firm for critical goods.
Anyone that can materially affect the firm.
Anyone that cares about the firm.
Anyone for whom the firm is ethically responsible.
4. Which of the following is sufficient on its own to create a competitive advantage
Making tradeoffs
Fit between strategy and core competencies
Industry structure
None of these are sufficient on their own
Difficulty in competitors imitating a completive advantage
5. A firm is in an industry that has seen major changes that have led to plummeting profits for the firm. The CEO has decided to make radical change to the firm's strategy and go in an entirely new direction, changing from a differentiator strategy in the industry to a cost leadership strategy that has been successful for several firms during the change. Which is the best response to this proposed strategic change from the CEO?
Do it because a firm must make a radical change if the environment changes radically.
Do it because there are plenty of examples to imitate and make this strategy successful.
Do not do it because it is unlikely our firm can succeed against established cost leaders.
Do not do it because it is very risky to make any major change.
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