Question 1

The analysis of competitor supply chains makes firms become more efficient but rarely makes them into better competitors

Accepted Answer

Analyzing competitor supply chains can provide valuable insights into efficiencies, best practices, and innovative strategies that firms can adopt or adapt to improve their own operations, thereby enhancing their competitive position in the market.

Question 2

Market selection strategies tend to be based on which of the following criteria:

Accepted Answer

Market selection strategies consider a variety of criteria including market size, growth potential, competitor actions, and the political and economic environment of the market. These factors help in assessing the attractiveness and feasibility of entering a particular market.

Question 3

A US exporter sells to a broad range of foreign markets but feels that there are major import markets that US-based companies do not yet service. The exporter should check out which of the following data sources:

Accepted Answer

The United Nations Trade Data Yearbook volume 2 provides data on the import and export of goods and services by country and by commodity. This data can be used to identify potential markets for US-based companies.

Question 4

Analyses of industries on a worldwide scale include all of the following except:

Accepted Answer

All the options listed (A through D) are indeed components of worldwide industry analysis, encompassing aspects like market demand, industry change drivers, industry structure, and financial benchmarks.

Question 5

A company has determined that its primary rival has superior sources of supply and is more adept at serving customer needs through some innovative distribution channels. The company should analyze that competitor's:

Accepted Answer

Given the context that the rival has superior sources of supply and innovative distribution channels, analyzing the competitor's supply chain strategies (C) would provide insights into how they manage their supply sources and distribution, which is directly related to the company's concerns.

Question 6

Which of the following are political drivers of global industry change:

Accepted Answer

The WTO and IMF efforts to improve worldwide infrastructures, free trade, and payment mechanisms are political actions that influence global industry change by creating a more integrated and efficient global market.

Question 7

Privatization and deregulation trends in the water treatment industry has resulted in a few European and North American companies taking over many smaller water treatment companies around the world. These takeovers are affecting:

Accepted Answer

The takeovers are affecting the water treatment industry structure by consolidating it, leading to fewer, larger companies dominating the market.

Question 8

A US company is trying to locate which country to source a particular product from. The firm should use which of the following data sources:

Accepted Answer

The answer of A US company is trying to locate...

Question 9

A company finds that worldwide industry sales fluctuate by over 20 percent on a year-by-year basis, but that Latin America and Asia show steady growth, and that Brazil, Japan and China have shown spectacular growth over the past two years. These findings have resulted from a(n):

Accepted Answer

The answer of A company finds that worldwide industry sales...

Question 10

The objective of global competitor analyses is to:

Accepted Answer

The objective of global competitor analyses encompasses all the mentioned strategies: detecting marketplace changes quickly, being the first to introduce innovations, and outperforming rivals in market share, customer satisfaction, and reputation.

Question 11

A company learns that a primary competitor is putting major resources into selected markets in Eastern Europe and Africa and building portfolios of international and local brands in these areas. The firm has just performed which type of competitive analysis:

Accepted Answer

The company has performed a strategic initiative analysis by identifying the competitor's strategic moves in specific markets and their focus on building brand portfolios. This type of analysis looks at the broader strategic actions of competitors rather than just sales figures or supply chain strategies.

Question 12

When the UN's International Telecommunications Union pushes to establish global industry standards for the telecommunications sector, the industry would view this move as what type of industry change driver:

Accepted Answer

The establishment of global industry standards by the UN's International Telecommunications Union is viewed as a political driver because it involves regulatory or policy changes initiated by an international governing body, influencing how the telecommunications sector operates worldwide.

Question 13

A US manufacturer of high tech equipment only produces in the home market and exports to service foreign market needs. The appropriate method of evaluating worldwide demand for its products sold from the US would be:

Accepted Answer

The answer of A US manufacturer of high tech equipment...

Question 14

It has resulted in closer coordination between suppliers, manufacturers, distributors and customers and made asset ownership less necessary in the production of products; it has also increased data and information accessibility within corporations. It is:

Accepted Answer

The internet has revolutionized how businesses operate, enabling closer coordination among all parties in the supply chain and enhancing data accessibility, reducing the need for physical asset ownership.

Question 15

As nations industrialize, country priorities change and companies respond by emphasizing recycling, environmental issues, concern for local communities, and start to provide more services and amenities for citizens (autos, travel, conveniences). The driver responsible for these types of changes is:

Accepted Answer

The driver responsible for these types of changes is societal. As societies evolve and their values shift towards prioritizing sustainability, environmental protection, and community welfare, companies and governments respond by adapting their priorities and offerings to meet these new societal expectations.

Question 16

As developing nations industrialize, demand is created for educational materials, healthcare facilities and equipment, and labor-saving products and services. The driver responsible for changes in these sectors is:

Accepted Answer

The answer of As developing nations industrialize, demand is created...

Question 17

The impact of technological advances such as the internet and international media have had definite effects on all of the following except:

Accepted Answer

The correct answer is E because technological advances such as the internet and international media have had definite effects on all of the listed options (popular culture, education, country demographics, and religion).

Question 18

A rival to auto producer Ferrari has determined that Ferrari's reputation is based on combining very high performance with the ultimate in body styling and appearance. This describes Ferrari's:

Accepted Answer

Core competencies are what give a company one or more competitive advantages, in creating and delivering value to its customers in its chosen field. Ferrari's combination of high performance and ultimate body styling and appearance are indeed core competencies that distinguish it in the auto industry.

Question 19

In performing a competitor analysis, a company learns that this rival's aim is to dominate a particular technology and become the industry leader in its field. This would be the rival's:

Accepted Answer

Strategic intent refers to a company's aspirations to outperform its competitors and establish itself as a leader in a particular area, such as technology, which aligns with the scenario described.

Quiz 5: Analyzing Global Industries and Competitors