Question 1

Your boss,Kerry Miller,has asked you to analyze the soft drink industry using Porter's Five Forces model.Which of the following represents a substitute product in the soft drink industry?
A) Pepsi requires stores that carry Pepsi products to commit to minimum orders of 1,000 cases.
B) Walmart negotiates a lower cost per bottle from Coke in exchange for premium shelf space in every Walmart store.
C) Zevia Natural Diet Soda begins selling directly over the Internet.
D) Vitamin water,fruit juice,coffee

Accepted Answer

Vitamin water,fruit juice,or coffee are all substitute products to a soft drink.

Question 2

Imagine you are creating a new product to sell in an up-and-coming market.Which of the below statements indicates that it would be easy for you as the new entrants to compete in this market?
A) The threat of new entrants' force is high in the up-and-coming market.
B) The threat of new entrants' force is low in the up-and-coming market.
C) The threat of new entrants' force is impossible to define in the up-and-coming market.
D) All of these choices,depending on the time of year.

Accepted Answer

The threat of new entrants is high when it is easy for new competitors to enter a market and low when there are significant entry barriers to joining a market.

Question 3

Imagine you are creating a new product to sell in an up-and-coming market.Which of the below statements indicates that it would be difficult for you to enter this new market?
A) The threat of new entrants' force is high in the up-and-coming market.
B) The threat of new entrants' force is low in the up-and-coming market.
C) The threat of new entrants' force is high during the summer months in the up-and-coming market.
D) All of these choices,depending on the time of year.

Accepted Answer

The threat of new entrants is high when it is easy for new competitors to enter a market and low when there are significant entry barriers to joining a market.

Question 4

Your boss,Kerry Miller,has asked you to analyze the soft drink industry using Porter's Five Forces model.Which of the following represents a threat of a new entrant in the soft drink industry?
A) Pepsi requires stores that carry Pepsi products to commit to minimum orders of 1,000 cases.
B) Walmart negotiates a lower cost per bottle from Coke in exchange for premium shelf space in every Walmart store.
C) Zevia Natural Diet Soda begins selling directly over the Internet.
D) Vitamin water,fruit juice,coffee.

Accepted Answer

Zevia Natural Diet Soda represents a new entrant in the soft drink industry.

Question 5

What is one of the most common ways a company can decrease supplier power?
A) Charge lower prices
B) Charge higher prices
C) Use MIS to find and create alternative products
D) Companies cannot impact supplier power

Accepted Answer

Using MIS to find alternative products is one way of decreasing supplier power.

Question 6

Which one of Porter's Five Forces is high when it is easy for new competitors to enter a market and low when there are significant entry barriers to joining a market?
A) Threat of new entrants
B) Threat of substitute products or services
C) Threat of buyer power
D) Supply chain competition

Accepted Answer

Threat of new entrants is one of Porter's Five Forces,high when it is easy for new competitors to enter a market and low when there are significant entry barriers to joining a market.

Question 7

Amazon.com uses a customer profiling system whenever a customer visits its website.Using this system,Amazon can offer products tailored to that particular customer's profile and buying pattern.What is Amazon using to achieve this competitive advantage?
A) Rivalry
B) Buyer power
C) Product differentiation
D) Substitute product

Accepted Answer

Product differentiation is an advantage that occurs when a company develops unique differences in its products with the intent to influence demand.

Question 8

Which of the following offers an example where Porter's Five Forces are mostly strong and competition is high?
A) A dog walking business
B) A ski resort
C) A professional hockey team
D) All of these choices

Accepted Answer

With Porter's Five Forces model,these are all examples of strong forces,where it increases competition: 1)a single consumer purchasing milk,2)a company that makes pencils,3)coffee from McDonalds,4)a dog walking business,and 5)a coffee shop.

Question 9

How can a company reduce the threat of substitute products or services?
A) Market the product to less than ten customers
B) Ignore competitive forces
C) Offer additional value through wider product distribution
D) Offer less value making the product far more generic and similar to the competition

Accepted Answer

One way a company can reduce the threat of substitute products or services is to offer additional value through wider product distribution.

Question 10

John Cleaver is the CEO of Tech World,which is a retail store that sells computers,monitors,cameras,televisions and many other electronic products.John and his executive team are meeting to brainstorm new ideas on how to grow the business.One idea is to mimic a competitor's product that is attempting to sell a new product in a different industry.After performing a Porter's Five Forces analysis John determines that all of the forces are high in this new industry.What should John do?
A) Explode into the market with an overflow of the product.
B) Contemplate other products to introduce at the same time in this new market.
C) Compare the competitor's prices and offer his product lower in this new market.
D) Not introduce the product because all Five Forces are strong and this would be a highly risky business strategy.

Accepted Answer

When the Five Forces are all strong or high it is a poor business strategy,when the forces are low,this is a great time to execute the business strategy.

Question 11

Your boss,Ty Jacob,has asked you to analyze the music industry using Porter's Five Forces model.Which of the following represents the threat of substitute products or services in the music industry?
A) Established record labels like EMI,Sony,Universal
B) Independent record labels
C) Game systems like Wii,social networks like Facebook
D) Taylor Swift,Beyoncé,The Beatles,The Stones

Accepted Answer

Game systems like Wii and social networks offer alternatives or substitute products to purchasing music for a consumer.

Question 12

Your boss,Ty Jacob,has asked you to analyze the music industry using Porter's Five Forces model.Which of the following represents buyer power in the music industry?
A) Established record labels like EMI,Sony,Universal
B) Walmart,Target,iTunes
C) Independent record labels
D) Game systems like Wii,social networks like Facebook

Accepted Answer

Buyer power in the music industry includes Walmart,Target,and iTunes who purchase music from record labels to sell online and in their stores.

Question 13

Your boss,Kerry Miller,has asked you to analyze the soft drink industry using Porter's Five Forces model.Which of the following represents buyer power in the soft drink industry?
A) Pepsi requires stores that carry Pepsi products to commit to minimum orders of 1,000 cases.
B) Walmart negotiates a lower cost per bottle from Coke in exchange for premium shelf space in every Walmart store.
C) Zevia Natural Diet Soda begins selling directly over the Internet.
D) Vitamin water,fruit juice,coffee.

Accepted Answer

Buyer power in the soft drink industry is represented by Walmart.

Question 14

Your boss,Kerry Miller,has asked you to analyze the soft drink industry using Porter's Five Forces model.Which of the following represents supplier power in the soft drink industry?
A) Pepsi requires stores that carry Pepsi products to commit to minimum orders of 1,000 cases.
B) Walmart negotiates a lower cost per bottle from Coke in exchange for premium shelf space in every Walmart store.
C) Zevia Natural Diet Soda begins selling directly over the Internet.
D) Vitamin water,fruit juice,coffee.

Accepted Answer

Supplier power in the soft drink industry is represented by Pepsi.

Question 15

Some industries' competition is much more intense than others.Retail grocery stores such as Kroger,Safeway,and Albertson's in the United States experience fierce competition and offer similar marketing campaigns to compete.What is an example of in terms of Porter's Five Forces?
A) Rivalry among new entrants
B) Rivalry among existing competitors
C) Threat of substitute products or services
D) Buyer power

Accepted Answer

Some industries' competition is much more intense than others.The retail grocery stores such as Kroger,Safeway,Albertson's,and Ralph's in the United States have fierce competition and similar programs to compete with each other.

Question 16

Which of the following offers an example where Porter's Five Forces are mostly weak and competition is low?
A) An international hotel chain purchasing milk
B) A coffee shop
C) A single consumer purchasing milk
D) A dog walking business

Accepted Answer

With Porter's Five Forces model,these are all examples of weak forces,where it decreases competition: 1)an international hotel chain purchasing milk,2)a company that makes airline engines,3)cancer drugs from a pharmaceutical company,4)a professional hockey team,and 5)department of Motor Vehicles.

Question 17

What is a feature of a product or service that customers have come to expect and entering competitors must offer the same if they want to survive?
A) Significant barrier
B) Entry barrier
C) Product differentiation
D) Entry chain

Accepted Answer

Entry barrier is a feature of a product or service that customers have come to expect and entering competitors must offer the same for survival.

Question 18

Your boss,Ty Jacob,has asked you to analyze the music industry using Porter's Five Forces model.Which of the following represents supplier power in the music industry?
A) Established record labels like EMI,Sony,Universal
B) Walmart,Target,iTunes
C) Game systems like Wii,social networks like Facebook
D) Taylor Swift,Beyoncé,The Beatles,The Stones

Accepted Answer

An example of supplier power in the music industry includes established record labels like EMI,Sony,and Universal.

Question 19

If a supplier has high power what can it do to influence its industry?
A) Charge higher prices
B) Shift costs to industry participants
C) Limit quality or services
D) All of these choices

Accepted Answer

If the supplier power is high,the supplier can influence the industry by,1)charging higher prices,2)limiting quality or services,and 3)shifting costs to industry participants.

Question 20

Which of the following represents a typical supply chain?
A) Company - customers - suppliers
B) Company - suppliers - customers
C) Suppliers - company - customers
D) Suppliers - customers - company

Accepted Answer

A traditional business supply chain operates like this: supplier - company - customers.

Quiz 1: Management Information Systems: Business Driven MIS

Your boss,Kerry Miller,has asked you to analyze the soft drink industry using Porter's Five Forces model.Which of the following represents a substitute product in the soft drink industry?

Imagine you are creating a new product to sell in an up-and-coming market.Which of the below statements indicates that it would be easy for you as the new entrants to compete in this market?

Imagine you are creating a new product to sell in an up-and-coming market.Which of the below statements indicates that it would be difficult for you to enter this new market?

Your boss,Kerry Miller,has asked you to analyze the soft drink industry using Porter's Five Forces model.Which of the following represents a threat of a new entrant in the soft drink industry?

What is one of the most common ways a company can decrease supplier power?

Which one of Porter's Five Forces is high when it is easy for new competitors to enter a market and low when there are significant entry barriers to joining a market?

Amazon.com uses a customer profiling system whenever a customer visits its website.Using this system,Amazon can offer products tailored to that particular customer's profile and buying pattern.What is Amazon using to achieve this competitive advantage?

Which of the following offers an example where Porter's Five Forces are mostly strong and competition is high?

How can a company reduce the threat of substitute products or services?

Your boss,Ty Jacob,has asked you to analyze the music industry using Porter's Five Forces model.Which of the following represents the threat of substitute products or services in the music industry?

Your boss,Ty Jacob,has asked you to analyze the music industry using Porter's Five Forces model.Which of the following represents buyer power in the music industry?

Your boss,Kerry Miller,has asked you to analyze the soft drink industry using Porter's Five Forces model.Which of the following represents buyer power in the soft drink industry?

Your boss,Kerry Miller,has asked you to analyze the soft drink industry using Porter's Five Forces model.Which of the following represents supplier power in the soft drink industry?

Some industries' competition is much more intense than others.Retail grocery stores such as Kroger,Safeway,and Albertson's in the United States experience fierce competition and offer similar marketing campaigns to compete.What is an example of in terms of Porter's Five Forces?

Which of the following offers an example where Porter's Five Forces are mostly weak and competition is low?

What is a feature of a product or service that customers have come to expect and entering competitors must offer the same if they want to survive?

Your boss,Ty Jacob,has asked you to analyze the music industry using Porter's Five Forces model.Which of the following represents supplier power in the music industry?

If a supplier has high power what can it do to influence its industry?

Which of the following represents a typical supply chain?