Question 1

Angela and Jeff are co-owners of five specialty cupcake and dessert bakeries in their region.Which of the following questions would not help them to predict the next strategic moves and countermoves of their rivals?

Accepted Answer

Understanding the mode of transport used by a rival's supplier is less directly related to predicting strategic business moves or countermoves compared to understanding customer preferences, order fulfillment capabilities, delivery strategies, and product popularity.

Question 2

Evaluating whether an industry presents a sufficiently attractive business opportunity usually does not involve a consideration of which of the following factors?

Accepted Answer

The differentiation of the industry's product is not a significant factor in evaluating the business opportunity. The other factors are important in assessing the attractiveness of the industry.

Question 3

In identifying an industry's key success factors,strategists should

Accepted Answer

Option B correctly identifies the factors that strategists should consider in identifying an industry's key success factors. These factors include customer preferences, resources and capabilities needed for competitive success, and potential weaknesses that can put a company at a disadvantage. Option A is too narrow in scope, option C is not directly related to identifying key success factors, and option D focuses only on overtaking competitors rather than understanding industry success factors. Option E is related to understanding driving forces but does not cover all key success factors.

Question 4

The payoff of good scouting reports on rivals is improved ability to

Accepted Answer

Good scouting reports on rivals can help a company predict the strategic moves of rivals, prepare defensive countermoves and develop strategies to exploit their missteps. This can improve a company's ability to compete effectively in the marketplace. The other options are not directly related to the payoff of good scouting reports on rivals.

Question 5

Identify five factors that tend to weaken the intensity of competitive rivalry among an industry's member firms.

Accepted Answer

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Question 6

In seeking to predict the next moves of close or key rivals,it is not useful to consider which of these questions?

Accepted Answer

While having a strong management team can be important for a rival's success, it is not necessarily a useful factor to consider when predicting their next moves. The other options are all relevant to understanding a rival's potential strategic moves.

Question 7

Having good competitive intelligence about rivals' strategies,latest actions and announcements,resource strengths and weaknesses,and moves to improve their situation is important because it

Accepted Answer

Having good competitive intelligence about rivals' strategies, latest actions, and announcements, resource strengths and weaknesses, and moves to improve their situation is important because it helps a company to anticipate what moves rivals are likely to make next and to craft its own strategic moves. By analyzing your competitors, you can develop a better understanding of their strengths and weaknesses and decide how to react to their moves. This knowledge helps a company to stay ahead of its rivals by crafting effective strategies.

Question 8

What are the key questions that form the framework of thinking strategically about a company's industry and competitive environment?

Accepted Answer

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Question 9

Which of the following is not a good example of a marketing-related key success factor (KSF)?

Accepted Answer

High utilization of fixed assets is not directly related to marketing, but rather to operations and production efficiency. The other choices are more directly related to marketing success factors.

Question 10

Which of the following factors should a company consider when determining if an industry offers good prospects for attractive profits?

Accepted Answer

A company should consider the industry's growth potential, competition, driving forces, its competitive position, and proficiency in performing key success factors when determining if an industry offers good prospects for attractive profits. Option B, C, D, and E also include some relevant factors to be considered, but they are not as comprehensive as option A.

Question 11

In doing driving forces analysis,is it sufficient to simply identify the driving forces that are operating to alter industry and competitive conditions? Why or why not? If not,then explain what else is required for a complete driving forces assessment.

Accepted Answer

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Question 12

What is the analytical value of studying competitors and trying to predict what moves rivals will make next?

Accepted Answer

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Question 13

Which of the following is a good example of a manufacturing-related key success factor?

Accepted Answer

High labor productivity is a key factor for success in manufacturing because it directly impacts the cost of production. If the production process contains high labor content, high productivity will result in lower production costs and increased competitiveness.

Question 14

Which of the following factors usually is not a consideration involved with evaluating whether an industry presents a sufficiently attractive business opportunity?

Accepted Answer

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Question 15

Explain the meaning and significance of each of the following:
a.driving forces
b.PESTEL analysis
c.strategic group mapping
d.key success factors

Accepted Answer

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Question 16

Identify and briefly explain any four of the factors that influence the strength or intensity of competitive rivalry among an industry's member firms.

Accepted Answer

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Question 17

An industry's key success factors

Accepted Answer

Key success factors can be determined through a comprehensive analysis of the industry's economic characteristics, competitive forces, driving forces, market positions, and the anticipated moves of rivals, as outlined in choice C.

Question 18

Identify five factors that tend to intensify competitive rivalry among an industry's member firms.

Accepted Answer

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Question 19

Identify at least three benefits of constructing a strategic group map.

Accepted Answer

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Question 20

The key success factors in an industry

Accepted Answer

Key success factors refer to the crucial elements that determine an industry member's ability to succeed in the market. These factors include a company's strategy elements, intangible assets, and competitive capabilities. Therefore, option (A) is the correct answer. Option (B) refers to driving forces, which shape the industry's structure, whereas options (C) and (D) discuss strategic groups within an industry. Option (E) only mentions the number of firms and market shares, which are part of the industry analysis but not key success factors.

Quiz 3: Evaluating a Companys External Environment