Question 1

Which of the following is a critical success factor for any business?

Accepted Answer

Meeting and exceeding customer needs is a critical success factor for any business because it drives customer satisfaction, loyalty, and repeat business. This, in turn, leads to sustained profitability and long-term success. While environmental friendliness and low employee turnover are important considerations for a business, they are not necessarily critical success factors. An increase in stock price may be a result of a successful business, but it is not a critical success factor in and of itself.

Question 2

In conducting a stakeholder analysis the two dimensions a company should assess of each stakeholder are which of the following?

Accepted Answer

The two dimensions a company should assess of each stakeholder are their potential to threaten the company and their potential to cooperate. This helps the company to understand the level of influence or power the stakeholder has, as well as their willingness to work towards the company's success.

Question 3

George has just graduated from college and has got his first full-time job.He needs a car to drive to his new job as it is not accessible by public transit.He still has student debt so he doesn't have a lot of money to spend,but wants something that is reliable.What is it that George is looking for in his purchase?

Accepted Answer

George wants something that is reliable but also affordable due to his student debt. He is looking for a car that provides value for the price, rather than just a deal or bargain. Quality is important, but not necessarily the top priority for someone in George's situation.

Question 4

Which of the following are affected by the decisions a business makes and therefore the business has a responsibility to consider them in those decisions?

Accepted Answer

The term "stakeholders" includes individuals or groups who are impacted by a business's decisions, such as employees, customers, suppliers, and the broader community. Therefore, businesses have a responsibility to consider the needs and interests of these stakeholders in their decision-making processes. The other options listed may be affected by a business's decisions, but they do not have the same inherent responsibility to consider their needs and interests.

Question 5

Going above the heads of sales people and customer service reps to complain is referred to as which of the following?

Accepted Answer

The answer of Going above the heads of sales people...

Question 6

Dave has a small clothing store.He wants to open a 2nd store but needs investors to finance his expansion.Investors will look at which of the following primary financial performance measurements to evaluate the store's performance?

Accepted Answer

Investors will primarily look at cash flow to evaluate the store's ability to generate cash, which is crucial for expansion and operational sustainability.

Question 7

For a company like Starbucks,what would their sustainable competitive advantage be?

Accepted Answer

Starbucks' sustainable competitive advantage is the experience they create for their customers. This includes the ambiance of their stores, the quality of their beverages, and the personalized service provided by their well-trained baristas. While they also have great suppliers, products, and employee training, these factors alone are not enough to set them apart from their competitors. It is the overall experience that keeps customers coming back and differentiates Starbucks in the market.

Question 8

The three most critical stakeholder groups of a corporation are which of the following?

Accepted Answer

Shareholders invest their money in the company and expect a return on their investment, making them critical stakeholders. Employees are responsible for the day-to-day operations of the company and their job satisfaction can affect the company's productivity and profitability. Customers are the source of revenue for the company and retaining them is crucial for the long-term success of the business. While the other choices also include important groups such as investors, politicians, and competitors, they are not as critical as shareholders, employees, and customers.

Question 9

When a company makes use of SWOT analysis,one of its objectives is to do which of the following?

Accepted Answer

SWOT analysis is used to identify the strengths, weaknesses, opportunities and threats for a company. The objective is to identify the things it does well as an organization and the things it needs to improve. A) is incorrect because SWOT analysis is not used to identify individual employees. B) is incorrect because short-term performance standards are not the primary purpose of SWOT analysis. C) is incorrect because evaluating the desirability of issuing stocks or bonds is a financial decision, not a strategic decision that SWOT analysis helps with.

Question 10

In measuring,if a company has met customer needs through gap analysis,what is the first step?

Accepted Answer

Determining the real gap that exists is the first step in measuring if a company has met customer needs through gap analysis, as it involves identifying the difference between the current state and the desired state or customer expectations.

Question 11

SWOT is the acronym for which of the following?

Accepted Answer

SWOT stands for strengths, weaknesses, opportunities, and threats. It is a strategic analysis tool used to identify and evaluate an organization's internal strengths and weaknesses, as well as external opportunities and threats.

Question 12

Which of the following is one of the ways to measure financial performance?

Accepted Answer

The answer of Which of the following is one of...

Question 13

What should a company do to build customer loyalty?

Accepted Answer

While loyalty points programs and discounts can be effective, they are often not enough to truly build strong customer loyalty. Inviting customers to special events can be a nice gesture, but it may not be practical or feasible for all companies. Reducing the effort a customer must go through to get a problem solved, however, can be a key factor in building long-term loyalty. When a company shows that it values its customers' time and makes it easy for them to resolve any issues quickly and efficiently, customers are more likely to stick around and recommend the company to others.

Question 14

AlumiPlate's SWOT analysis revealed that potential competitors would find it difficult to begin operations in this specialized metal-coating industry.Using the terminology of SWOT,this is an example of which of the following?

Accepted Answer

This is an example of a strength because it highlights an internal capability or advantage that AlumiPlate has, making it difficult for competitors to enter the market.

Question 15

What is the ultimate indicator that a company has met and exceeded customer needs?

Accepted Answer

Customer loyalty is the ultimate indicator that a company has met and exceeded customer needs. When customers not only continue to do business with a company but also recommend it to others, it shows that the company has not only met but also exceeded their expectations. This is a clear indication that the company has delivered a superior customer experience and is meeting customer needs at a high level. New customers, customer satisfaction rates, and minimal loss of customers are all important metrics for measuring success, but none of them are as strong of an indicator of customer satisfaction as customer loyalty.

Question 16

Jennifer is starting college in September and she needs a computer.She doesn't have a lot of money,but needs something that she can do all her assignments on.She wants value,which can be best described as which of the following?

Accepted Answer

Value can be defined as getting a quality product at a reasonable price, meaning that while Jennifer may not have a lot of money, she still wants a computer that can meet her needs without spending too much. Therefore, she should look for a product that balances performance and cost-effectiveness.

Question 17

Companies measure their ability to encourage creativity and innovation by which of the following?

Accepted Answer

The percentage of sales that came from new ideas is a direct measure of how effectively a company is turning creativity and innovation into profitable products or services.

Question 18

For a company like Starbucks,what would their distinctive competence be?

Accepted Answer

Starbucks' distinctive competence is in making great coffee into an experience. They focus on creating a welcoming atmosphere in their stores, promoting social interaction, and personalizing their customers' experiences. It is not necessarily about having the best or most expensive coffee, but about the overall experience that they provide. While providing good customer service is certainly important, it is not what sets them apart from other coffee chains. Likewise, while they may occasionally have musicians play in their stores, this is not a core part of their business model or distinctive competence.

Question 19

For a company like Starbucks,what would their core competency be?

Accepted Answer

Starbucks' core competency is making great coffee, as it is known for its high-quality coffee and coffee-related beverages, which is central to its brand identity and customer experience.

Question 20

A SWOT analysis is used to analyze which of the following about a company?

Accepted Answer

A SWOT analysis is used to analyze a company's Strengths, Weaknesses, Opportunities, and Threats, which are all related to the company's competitive position in the market. Internal controls, management structure, and budgetary position are important aspects of a company, but they are not the primary focus of a SWOT analysis.

Quiz 7: Analyzing the Business