Question 1

Induced strategic behaviour is a process that fosters product innovations that:

Accepted Answer

Induced strategic behaviour aims to foster product innovations that are closely aligned with a firm's current strategy and structure. This ensures that the innovations complement the existing business model, making it easier to implement and create value for the firm. A and D are incorrect because induced strategic behaviour is not intended to change a firm's strategic intent or mission and is not aimed at promoting products that are likely to fail. B is not always true as financial returns are not necessarily the primary focus of induced strategic behaviour.

Question 2

Transferring knowledge, a condition for innovativeness, can often be difficult because the receiving party needs to have the adequate ________ to learn the knowledge.

Accepted Answer

Absorptive capacity refers to the ability of an organization to acquire and learn new knowledge, which is essential for innovation. Without adequate absorptive capacity, knowledge transfer is unlikely to result in any significant innovation. Therefore, option A is the most appropriate choice. While options B, C, and D may also be important factors in the innovation process, they do not directly relate to the ability to absorb and learn new knowledge.

Question 3

Incremental innovations are ________ in nature while radical innovations are ________ in nature.

Accepted Answer

Incremental innovations are small improvements made on existing products or processes, typically with a linear progression. They are evolutionary in nature as they build upon existing ideas. Radical innovations, on the other hand, are completely new and groundbreaking ideas that disrupt and change the entire market. They are nonlinear and revolutionary in nature as they change the way things are done. Therefore, option D is the correct answer.

Question 4

Schumpeter argues that firms engage in three types of innovative activity, namely:

Accepted Answer

The answer of Schumpeter argues that firms engage in three...

Question 5

The strategic decisions that derive from strategic context:

Accepted Answer

The answer of The strategic decisions that derive from strategic...

Question 6

Which of the following is one of the barriers to effectiveness when using cross-functional teams to integrate organisational functions?

Accepted Answer

Organisational politics can create barriers to effectiveness in cross-functional teams as individual team members may prioritize their own department or agenda over the overall goal of the team, leading to conflicts and delays in decision-making. Dissension within the top management team, informal organisational processes, and the firm's strategic orientation can also affect cross-functional team effectiveness, but they are not specifically related to integrating organisational functions.

Question 7

In the context of internal corporate ventures, the patterns of interaction, coordination, communication and decision making that employees use to convert innovations into successful market entries describes a firm's:

Accepted Answer

The description provided in the question refers to organisational processes, which refer to the collection of routines, procedures, and customs that guide how employees work together to achieve goals. These processes often include decision-making protocols, communication channels, and coordination mechanisms, and they can have a significant impact on how effectively innovative ideas are developed, tested, and successfully commercialized within a firm. Therefore, the best answer choice is organisational processes (C). The other options are not as directly related to the description in the question, as venture design (A) refers to the planning and development of new business ventures, management structure (B) refers to the hierarchy and distribution of decision-making authority within a firm, and management technologies (D) refers to the tools and systems used to assist managers and employees in their work.

Question 8

Innovation is the:

Accepted Answer

The answer of Innovation is the:
...

Question 9

With regard to corporate entrepreneurship, a strategic leader's role is to:

Accepted Answer

A strategic leader's role in corporate entrepreneurship is to have an entrepreneurial mind-set. This means being willing to take risks, being innovative and creative, and being able to identify potential opportunities for growth and development. While taking advantage of economic opportunities and analysing product performance are important aspects of entrepreneurship, they are not the primary focus of a strategic leader's role in this context. Increasing organisational efficiency may be important, but it is not directly related to corporate entrepreneurship.

Question 10

Research shows that entrepreneurship declines as:

Accepted Answer

Research suggests that collectivism, which is the emphasis on group goals and norms over individual goals and interests, can discourage entrepreneurship. This is because collectivism tends to value stability and conformity over risk-taking and innovation, which are important traits for entrepreneurs. Therefore, as collectivism is emphasised, entrepreneurship tends to decline.

Question 11

Corporate entrepreneurship is defined as:

Accepted Answer

Corporate entrepreneurship refers to an organization's ability to create new ventures, innovate and develop new products and services, and explore new markets. It involves fostering a culture of innovation and risk-taking within the organization, encouraging employees to generate new ideas and pursue new opportunities. Option B, C, and D are not correct, as they do not relate to the concept of corporate entrepreneurship.

Question 12

Autonomous strategic behaviour is a(n) ________ process in which product champions pursue new ideas.

Accepted Answer

Autonomous means independent or self-governing. Strategic behaviour involves planning and decision making to achieve a goal. Product champions are individuals who advocate for a new idea or product. Bottom-up means that the initiative comes from individuals at lower levels in the organization rather than from management. Therefore, autonomous strategic behaviour fits best with the bottom-up process.

Question 13

Many firms are now using product development teams primarily to:

Accepted Answer

Product development teams integrate the activities associated with different organizational functions, such as engineering, marketing, and manufacturing. This allows for a more efficient and effective product development process.

Question 14

A product champion is a member of:

Accepted Answer

A product champion is typically an individual within a firm who believes in the potential of a product and takes initiative to promote it, often overcoming organizational resistance and securing resources to ensure its development and commercial success. They are not necessarily part of the top management team or a governmental body, but rather can be any employee with an entrepreneurial vision for the product.

Question 15

The level of innovation in a firm can be increased by:

Accepted Answer

Offering incentives to managers to be entrepreneurial is the best choice to increase the level of innovation in a firm as it encourages them to take risks and develop creative solutions. Restructuring the firm to centralize and expand the innovation function can also be helpful, but it may not always lead to increased innovation if the culture and mindset of the organization does not support it. Focusing teams on a single area of functional expertise and avoiding cooperative strategies can limit the diversity of ideas and perspectives needed for innovation.

Question 16

Through the work of cross-functional teams, product development stages are grouped into ________ processes.

Accepted Answer

Cross-functional teams allow for parallel or overlapping processes in product development stages, enabling different tasks to be done simultaneously or with some overlap, rather than strictly one after another. This approach can speed up development and enhance collaboration.

Question 17

What are the three keywords that are often associated with an entrepreneurial mind-set?

Accepted Answer

Uncertainty, opportunities and innovation are the three keywords that are often associated with an entrepreneurial mind-set. Entrepreneurs thrive in uncertain situations, are always searching for new opportunities, and are willing to innovate and take risks to achieve their goals.

Question 18

Innovation may be required to maintain or achieve ________ as well as a competitive advantage in many global markets.

Accepted Answer

Innovation is often necessary to maintain competitive parity, which means being on equal footing with competitors in terms of price, quality, and offerings. This is essential for staying relevant in the market and is a foundation for achieving a competitive advantage.

Question 19

When used effectively, cross-functional teams will often bring about:

Accepted Answer

Cross-functional teams bring together individuals with diverse skills and knowledge, which can lead to faster product development processes by utilizing the strengths of each team member.

Question 20

Entrepreneurial opportunities arise not because of:

Accepted Answer

Entrepreneurial opportunities often arise due to competitive imperfections in markets and factors of production, as well as asymmetric information distribution. However, liberalization as a result of globalization is not a direct cause of entrepreneurial opportunities; instead, it creates a broader environment or context in which opportunities might be identified or exploited.

Quiz 13: Strategic Entrepreneurship