ch3 Flashcards
The bargaining power of new entrants is one of the competitive forces identified by Porter.
F
Ford Automobiles’ contract with Goodyear for tires is a strong example of the bargaining power of customers
T
Beth goes into restaurant and asks for a soda. They offer to serve her another brand instead. This is an example of the threat of substitutions.
F
A pharmaceutical company that marketed a drug for a rare disease would be an example of a company that was providing product differentiation within an industry.
T
Inbound and outbound logistics are examples of support activities in Porter’s Value Chain.
F
Accounting functions like accounts receivables would be an example of supporting activities in Porter’s value chain model.
T
A manufacturing process transforms finished goods into cash.
F
A key competitive advantage is increasing margins by streamlining processes
T
Monty has decided to rent out only luxury cars, which is a differentiation strategy
T
Intel and Dell established an alliance to gain a competitive advantage
T
