Deck 4: Organizational Resources and Competitive Advantage

Question 1

Firms that enjoy a long-lasting advantage are said to have a(n) _____.

A) lead position
B) industry leadership
C) sustainable competitive advantage
D) market lead
E) superior posture

Answer 1

sustainable competitive advantage

Question 2

Organizational assets that are difficult to quantify, such as knowledge, are called _____.

A) capable resources
B) competitive resources
C) tangible resources
D) intangible resources competitive advantage

Answer 2

intangible resources competitive advantage

Question 3

Those resources that are most likely to lead to a competitive advantage are _____.

A) intangible resources tangible resources
B) capable resources
C) competitive resources
D) competitive advantage

Answer 3

intangible resources tangible resources

Question 4

As a developing country, in what domain is India's competitive advantage?

A) Natural resources
B) Labor intensive manufacturing
C) Low skill manufacturing
D) Wealth of market
E) Skill intensive tradable services

Question 5

Dividing organizational processes into distinct activities that create value for the customer is _____.

A) the value chain
B) core activities
C) operations
D) support activities
E) resource procurement

Question 6

In a budget hotel, activities associated with chain-level support are _____.

A) local advertising
B) check-in
C) legal
D) reservations
E) property maintenance

Question 7

In a hotel, activities associated with property-level support are _____.

A) information systems
B) housekeeping
C) in-room services
D) advertising
E) local purchasing

Question 8

Hotel activities associated with the chain-level core activities are _____.

A) check-out
B) reservations
C) local purchasing
D) marketing research
E) legal council

Question 9

Activities associated with the property-level core in a hotel are _____.

A) marketing research
B) legal council
C) check-out
D) accounting at property
E) property maintenance

Question 10

In a hotel context, core activities are _____.

A) local hiring
B) in-room services
C) maintenance
D) purchasing
E) all of the above are core activities

Question 11

In a hotel context, support activities are _____.

A) property maintenance
B) in-room services
C) check-out
D) check-in
E) housekeeping

Question 12

Which of the following is NOT an example of creating competitive advantage through superior linkages with stakeholders?

A) A restaurant that develops an exclusive relationship with a supplier
B) An airline that can link to the reservation system of a competitor through code sharing
C) A cruise line that devises special packages with a tour operator
D) A hotel that develops an express check-in service

Question 13

What is the first stage of visionary leadership?

A) Establishing core values
B) Assigning strategic leadership
C) Empowering followers to enact a vision
D) Envisioning the organization in the future
E) Communicating a vision to followers

Question 14

Underlying philosophies that guide the decisions and behavior of a firm are _____.

A) core values
B) social systems
C) effective leadership
D) reward administration
E) organizational communication

Question 15

According to one of the Hospitality Focus cases, the president of Day Hospitality Group developed a mandatory ninety-day paid sabbatical leave program for every general manager with five years tenure in his company. He then implemented this initiative by working with other managers to create an environment that would foster fulfillment of his vision. This effort is an example of _____.

A) change-style leadership
B) collaborative-style leadership
C) cultural-style leadership
D) crescive-style leadership
E) commander-style leadership

Question 16

Where the CEO formulates strategy and then directs top managers to implement it, this is a use of _____.

A) change-style leadership
B) collaborative-style leadership
C) cultural-style leadership
D) crescive-style leadership
E) commander-style leadership

Question 17

When the CEO formulates strategy and then plans the changes required to implement it, this is a use of _____.

A) commander-style leadership
B) change-style leadership
C) collaborative-style leadership
D) cultural-style leadership
E) crescive-style leadership

Question 18

The style of leadership where the CEO works with other managers to create a strategy uses _____.

A) commander-style leadership
B) change-style leadership
C) cultural-style leadership
D) collaborative-style leadership
E) crescive-style leadership

Question 19

The style of leadership where the CEO formulates a vision and strategy for the company and then works to create a culture that works to fulfill that vision uses _____.

A) commander-style leadership
B) change-style leadership
C) collaborative-style leadership
D) cultural-style leadership
E) crescive-style leadership

Question 20

The style of leadership where the CEO encourages lower-level managers to formulate and implement their own strategic plans while filtering out inappropriate programs uses _____.

A) commander-style leadership
B) change-style leadership
C) collaborative-style leadership
D) cultural-style leadership
E) crescive-style leadership

Question 21

When major changes to a firm's direction are needed, the resulting activities are referred to as _____.

A) low-cost strategies
B) organizational governance
C) radical restructuring
D) sustainable competitive advantage
E) differentiation strategies

Question 22

A board of directors that ensures that managerial behavior is consistent with shareholder interests is an example of _____.

A) organizational governance
B) differentiation strategy
C) radical restructuring
D) low-cost strategies
E) competitive advantage

Question 23

Which type of problem best describes managers who gain so much power that they are able to use the firm to further their own interests rather than those of shareholders?

A) Entrenchment
B) An agency problem
C) Conflict of interest
D) Competitive advantage
E) Profit problem

Question 24

One way to align CEO interests with the long-term interests in the organization is to _____.

A) increase compensation
B) provide stock options
C) link compensation to annual corporate performance
D) have the CEO report quarterly to the board
E) conduct strategic planning annually at year end

Question 25

When a relationship between CEO duality and performance is found, it typically supports the view that _____.

A) duality enhances corporate performance
B) duality has no effect on corporate performance
C) duality causes "rubber stamping"
D) duality hurts corporate performance
E) duality impacts only business units not corporations

Question 26

An executive from two companies sitting on each other's boards is referred to as a(n) _____.

A) facilitating the purchase of needed resources
B) establishing linkages
C) facilitating negotiations
D) supportive interests
E) interlocking directorate

Question 27

Quality is the primary goal of corporate culture in which type of orientation?

A) Craftsman-type culture
B) Builder-type culture
C) Pioneer-type culture
D) Salesman-type culture
E) Quality-type culture

Question 28

Growth is the primary goal of an organization with which type of culture?

A) Craftsman-type culture
B) Pioneer-type culture
C) Salesman-type culture
D) Quality-type culture
E) Builder-type culture

Question 29

New products and new technology development are the primary goals of an organization with which type of culture?

A) Craftsman-type culture
B) Builder-type culture
C) Pioneer-type culture
D) Salesman-type culture
E) Quality-type culture

Question 30

Pursuing aggressive advertising and innovative packaging are the primary goals of an organization with which type of culture?

A) Craftsman-type culture
B) Builder-type culture
C) Pioneer-type culture
D) Salesman-type culture
E) Quality-type culture

Question 31

The importance of intangible people skills and intellectual assets is referred to as _____.

A) core knowledge
B) integrative knowledge
C) knowledge economy
D) codified knowledge
E) tacit knowledge

Question 32

Scientific or technological knowledge that is associated with the actual creation of a product or service is _____.

A) core knowledge
B) integrative knowledge
C) knowledge economy
D) codified knowledge
E) tacit knowledge

Question 33

Knowledge that helps integrate various activities, capabilities, and products is _____.

A) core knowledge
B) integrative knowledge
C) knowledge economy
D) codified knowledge
E) tacit knowledge

Question 34

Knowledge that can be communicated by written means is _____.

A) core knowledge
B) integrative knowledge
C) knowledge economy
D) codified knowledge
E) tacit knowledge

Question 35

Knowledge that is difficult to articulate in a way that is meaningful and complete is _____.

A) core knowledge
B) integrative knowledge
C) knowledge economy
D) codified knowledge
E) tacit knowledge

Question 36

Fitzsimmons Hospitality Group offers a portfolio of travel services that are valued in the market and unique. In addition the organization has systems that allow realization of potential. The founder, Kayleen Fitzsimmons notes, "We are fully aware of our advantages and are actively realizing them." Many of Kayleen's partners believe that new firms could enter and easily imitate what Fitzsimmons' does so well. Based on the information provided, does this firm have a sustainable competitive advantage?

A) Yes, because its resources have value in the market and are unique.
B) No, the firm has the potential to lead to competitive advantage but the potential is not realized.
C) Yes, because other firms face a cost disadvantage in imitating Fitzsimmons
D) No, because the actual competitive advantage Fitzsimmons has may not be sustainable, although it does exist.
E) Yes, the core competencies are sustainable.

Question 37

A real estate investment trust (REIT) is an example of _____.

A) a special financial arrangement that can provide competitive advantage
B) a poor financial arrangement that will destroy competitive advantage
C) a form of culture creation
D) a core activity in the value chain
E) a type of organizational governance

Question 38

What six questions must be answered in order for a resource to lead to a sustainable competitive advantage?

Question 39

Discuss the ways in which an organization can develop competitive advantage. An organization can develop competitive advantage in one of three ways:

Question 40

Name five important responsibilities of strategic leadership.

Question 41

What are the three primary functions served by a board of directors?

Question 42

Discuss the tasks associated with internal knowledge creation and utilization.