Week 6 Questions Flashcards
Political, lega, economic, monetary, and institutional forces comprise the __________ of international business and influecne manager’s actions
environment
__________ is the framework that managers apply to determine the competitive moves and business approaches that run the company.
strategy
which of the following has the greatest potenetial to transform a industry’s structure?
the exit of a competitor from the industry
a __________ is a special outlook, skill, capability, or technology that runs through the firm’s operations, weaving together all value activities into an integrated value chain.
core competency
a strategy that focuses on lowering operating costs is reffered to as a __________ strategy
cost leadership
which of the following is the BEST example of a product disruption driving industry change?
introduction of Apple’s iPad
__________ are the two basic strategies for creating value and attaining a competitive advantage in an industry
cost leadership and differentiation
some companies that opt for the cost leadership strategy plan to sell products below the average industry prices in order to capture market share
true
a differentiation strategy works well in situations where there are many ways to differentiate a product or service and many buyers perceive these differences as having value
true
a useful way to understanding the purpose of strategy is to think of the firm as a(n) __________, composed of a series of distinct activities, including production, marketing, materials management, R&D, human resources, information systems, and the firm infrastructure.
value chain
which of the following is considered a primary activity in a company’s value chain?
product design
Johnson Enterprises manufactures computer chips used in cell phones. The MNE has long production runs that lower the per unit cost of each chip. The firm also purchases materials in bulk from its suppliers with whom Johnson has long-term contracts. Johnson is most likely benefiting from __________.
economies of scale
Zara creates, produces, and distributes most of its products form its headquarters in spain. Zara is most likely using a __________ configuration.
concentrated
A differentiation strategy works well in situations where there are many ways to differntiatie a product or service and many buyers perceive these differences as having value.
ture
