Question 1 (1 point)
Corporate strategy is concerned with the manner in which an organization should compete in the market. Question 1 options:
1) True
2) False
Question 2 (1 point)
_____ means that the firm seeks to make its products or provide its services at the lowest cost possible relative to its competitors while maintaining a quality that is acceptable to consumers. Question 2 options:
1) Geographical scope
2) Differentiation
3) Offshoring
4) Costleadership strategy
5) Homesourcing
_____ means that the firm seeks to make its products or provide its services at the lowest cost possible relative to its competitors while maintaining a quality that is acceptable to consumers. Question 2 options:
1) Geographical scope
2) Differentiation
3) Offshoring
4) Costleadership strategy
5) Homesourcing
Question 3 (1 point)
Differentiation refers to: Question 3 options:
all the activities from the gathering of raw materials to the sale of 1) the finished product that a business goes through to make a product.
2) creating products or providing services at the lowest cost possible relative to its competitors while maintaining a quality that is acceptable to consumers.
creating unique value for the customer through advanced technology, 3) highquality ingredients or components, product features, and superior 4) delivery time.
the number of similar businesses or business activities at the same level of the value chain. 5) the cost advantages that a business obtains through expanding in size.
Differentiation refers to: Question 3 options:
all the activities from the gathering of raw materials to the sale of 1) the finished product that a business goes through to make a product.
2) creating products or providing services at the lowest cost possible relative to its competitors while maintaining a quality that is acceptable to consumers.
creating unique value for the customer through advanced technology, 3) highquality ingredients or components, product features, and superior 4) delivery time.
the number of similar businesses or business activities at the same level of the value chain. 5) the cost advantages that a business obtains through expanding in size.
Question 4 (1 point) Outsourcing involves: Question 4 options:
1) diversifying into a new business.
the sale of products or services in one country that are sourced in 2) another country. 3) the company delegating an entire process to the outsource vendor.
4) guiding the choice of markets that a firm competes in.
performing a service by staff from within an organization and also by 5) an external service provider.
1) diversifying into a new business.
the sale of products or services in one country that are sourced in 2) another country. 3) the company delegating an entire process to the outsource vendor.
4) guiding the choice of markets that a firm competes in.
performing a service by staff from within an organization and also by 5) an external service provider.
Question 5 (1 point) Which of the following are what drive potential customers to choose one firm’s
offerings over those of competitors? Question 5 options:
1) Differentiators
2) Arenas
3) Economic logic
4) Staging and pacing
5) Mission statement
offerings over those of competitors? Question 5 options:
1) Differentiators
2) Arenas
3) Economic logic
4) Staging and pacing
5) Mission statement
Question 6 (1 point)
_____ refers to the using of the organization’s strengths in a way that cannot
be easily duplicated by other firms or made less valuable by changes in the external environment. Question 6 options:
1) Offshoring
2) Strategy formulation
3) Strategic intent
4) Sustainable competitive advantage
_____ refers to the using of the organization’s strengths in a way that cannot
be easily duplicated by other firms or made less valuable by changes in the external environment. Question 6 options:
1) Offshoring
2) Strategy formulation
3) Strategic intent
4) Sustainable competitive advantage
Question 7 (1 point) An international strategy has to be adjusted to adapt, overcome, or exploit differences across countries and regions. Question 7 options:
1) True
2) False
Question 8 (1 point)
_____ refers to the most longrange planning, typically looking three years or
more into the future and setting a plan for how best to position the organization to compete effectively in the environment. Question 8 options:
1) Organizational design
2) Organizing
3) Operational planning
4) Strategic planning
1) True
2) False
Question 8 (1 point)
_____ refers to the most longrange planning, typically looking three years or
more into the future and setting a plan for how best to position the organization to compete effectively in the environment. Question 8 options:
1) Organizational design
2) Organizing
3) Operational planning
4) Strategic planning
Question 9 (1 point)
_____ refer(s) to the cost advantage that a business obtains through expanding
in size. Question 9 options:
_____ refer(s) to the cost advantage that a business obtains through expanding
in size. Question 9 options:
1) Economies of scope
2) Synergies
3) Network externality
4) Economies of scale
2) Synergies
3) Network externality
4) Economies of scale
Question 10 (1 point)
_____ refers to the constellation of business, corporate, and international strategy elements, which managers must consider when making decisions. Question 10 options:
1) Five Forces Analysis
2) Cluster model
3) Strategy diamond 4) Porter’s four corners model
5) Strategic grouping
_____ refers to the constellation of business, corporate, and international strategy elements, which managers must consider when making decisions. Question 10 options:
1) Five Forces Analysis
2) Cluster model
3) Strategy diamond 4) Porter’s four corners model
5) Strategic grouping
Question 11 (1 point)
In Holland, KFC makes a potatoandonion croquette, while in France it sells pastries alongside chicken. KFC: Question 11 options:
has centralized its business processes to enable it to provide the 1) services mentioned. 2) assumes that consumer needs and desires vary by country.
3) assumes that the world is flat.
4) sells the same products in the same way in every country.
5) is following the costleadership strategy.
In Holland, KFC makes a potatoandonion croquette, while in France it sells pastries alongside chicken. KFC: Question 11 options:
has centralized its business processes to enable it to provide the 1) services mentioned. 2) assumes that consumer needs and desires vary by country.
3) assumes that the world is flat.
4) sells the same products in the same way in every country.
5) is following the costleadership strategy.
Question 12 (1 point)
_____ refers to work that is contracted to a nondomestic third party. Question 12 options:
1) Homesourcing
2) International outsourcing
3) Opensourcing
4) Offshoring
5) Importing
_____ refers to work that is contracted to a nondomestic third party. Question 12 options:
1) Homesourcing
2) International outsourcing
3) Opensourcing
4) Offshoring
5) Importing
Question 13 (1 point)
Differentiators help one to determine which particular industry or geographic segments are a firm’s prime competitive arenas. Question 13 options:
1) True
2) False
Differentiators help one to determine which particular industry or geographic segments are a firm’s prime competitive arenas. Question 13 options:
1) True
2) False
Question 14 (1 point) Job design involves organizing jobs so that each position makes productive use
of an individual’s talents. Question 14 options:
1) True
2) False
of an individual’s talents. Question 14 options:
1) True
2) False
Question 15 (1 point)
_____ refer(s) to efficiencies gained from demandside changes, such as increasing the range of marketing and distribution. Question 15 options:
1) Scale
2) Value chain
3) Cost leadership
4) Economies of scope
_____ refer(s) to efficiencies gained from demandside changes, such as increasing the range of marketing and distribution. Question 15 options:
1) Scale
2) Value chain
3) Cost leadership
4) Economies of scope
Question 16 (1 point)
In _____, the company takes a function out of its home country and places the function in another country, generally at a lower cost. Question 16 options:
1) offshoring
2) cosourcing
3) importing
4) opensourcing
5) homesourcing
In _____, the company takes a function out of its home country and places the function in another country, generally at a lower cost. Question 16 options:
1) offshoring
2) cosourcing
3) importing
4) opensourcing
5) homesourcing
Question 17 (1 point)
Only the primary activities make up a firm’s value chain. Question 17 options:
1) True 2) False
Only the primary activities make up a firm’s value chain. Question 17 options:
1) True 2) False
Question 18 (1 point)
Strategy formulation is the process of performing all the activities necessary
to do what has been planned. Question 18 options:
1) True
2) False
Strategy formulation is the process of performing all the activities necessary
to do what has been planned. Question 18 options:
1) True
2) False
Question 19 (1 point)
_____ strategy maximizes local responsiveness by giving decentralizing decisionmaking authority to local business units in each country so that they
can create products and services optimized to their local markets. Question 19 options:
1) Differentiation
2) Multidomestic
3) Global
4) Costleadership
5) Transnational
_____ strategy maximizes local responsiveness by giving decentralizing decisionmaking authority to local business units in each country so that they
can create products and services optimized to their local markets. Question 19 options:
1) Differentiation
2) Multidomestic
3) Global
4) Costleadership
5) Transnational
Question 20 (1 point)
Dell found that it had to suspend its direct model in India for a temporary period because it needed local intermediaries to help develop both a base of business and acceptable levels of customer awareness and sophistication. This is an example of: Question 20 options:
1) an organization increasing its horizontal scope.
2) diversification.
3) a costleadership strategy.
4) international strategy accommodating local environments.
5) an organization operating in a flat world.
Dell found that it had to suspend its direct model in India for a temporary period because it needed local intermediaries to help develop both a base of business and acceptable levels of customer awareness and sophistication. This is an example of: Question 20 options:
1) an organization increasing its horizontal scope.
2) diversification.
3) a costleadership strategy.
4) international strategy accommodating local environments.
5) an organization operating in a flat world.
Question 21 (1 point) The U.S. fastfood chain Sonic will only open new outlets in states that are adjacent to states where it already has stores. This is an example of: Question 21 options:
1) differentiation.
2) increasing vertical scope.
3) diversification.
4) increasing geographic scope.
1) differentiation.
2) increasing vertical scope.
3) diversification.
4) increasing geographic scope.
Question 22 (1 point)
Economies of scope are similar in concept to economies of scale. Question 22 options:
1) True
2) False
Economies of scope are similar in concept to economies of scale. Question 22 options:
1) True
2) False
Question 23 (1 point)
Chad’s economy is dependent on oil reserves and is very sensitive to world economic cycles, commodity prices, and fluctuations in exchange rates. Hence, one could term this economy as an example of:
Chad’s economy is dependent on oil reserves and is very sensitive to world economic cycles, commodity prices, and fluctuations in exchange rates. Hence, one could term this economy as an example of:
Question 23 options:
1) an innovationdriven economy.
2) a factordriven economy.
3) bootstrapping.
4) venture capitalism.
5) an efficiencydriven economy.
2) a factordriven economy.
3) bootstrapping.
4) venture capitalism.
5) an efficiencydriven economy.
Question 24 (1 point)
Skype Limited developed the free Internet phone technology called voiceover Internet protocol and serves as an example of: Question 24 options:
1) a bornglobal firm. 2) intrapreneurship.
3) bootstrapping.
4) angel investment.
5) social entrepreneurship.
Skype Limited developed the free Internet phone technology called voiceover Internet protocol and serves as an example of: Question 24 options:
1) a bornglobal firm. 2) intrapreneurship.
3) bootstrapping.
4) angel investment.
5) social entrepreneurship.
Question 25 (1 point)
Intrapreneurship refers to a form of entrepreneurship that: Question 25 options:
1) allows the hostile takeover of one organization by another.
2) leads to the establishment of a new business.
3) helps in the merger of two existing businesses.
4) takes place in a business that is already in existence.
5) helps in the demerger of an existing business.
Intrapreneurship refers to a form of entrepreneurship that: Question 25 options:
1) allows the hostile takeover of one organization by another.
2) leads to the establishment of a new business.
3) helps in the merger of two existing businesses.
4) takes place in a business that is already in existence.
5) helps in the demerger of an existing business.
Question 26 (1 point)
A newly founded company that develops a revolutionary new way to do a particular activity and seeks to expand that new method nationally and internationally would be considered entrepreneurial. Question 26 options:
1) True
2) False
A newly founded company that develops a revolutionary new way to do a particular activity and seeks to expand that new method nationally and internationally would be considered entrepreneurial. Question 26 options:
1) True
2) False
Question 27 (1 point)
The entrepreneur: Question 27 options:
1) is typically the intraorganizational revolutionary.
2) has the backing of an organization.
3) challenges the status quo and fights to change the system from within.
recognizes opportunities and uses resources to implement innovative 4) ideas for new, thoughtfully planned ventures. 5) operates as the profit centre of an organization.
The entrepreneur: Question 27 options:
1) is typically the intraorganizational revolutionary.
2) has the backing of an organization.
3) challenges the status quo and fights to change the system from within.
recognizes opportunities and uses resources to implement innovative 4) ideas for new, thoughtfully planned ventures. 5) operates as the profit centre of an organization.
Question 28 (1 point)
Early adopters are those consumers who generally wait for others to buy a new technology before they make use of it.
Early adopters are those consumers who generally wait for others to buy a new technology before they make use of it.
Question 28 options:
1) True
2) False
2) False
Question 29 (1 point)
There are two phases of a global startup assessment, which consists of deciding whether a firm should become a global startup and what the firm needs to do to make that happen. Question 29 options:
1) True
2) False
There are two phases of a global startup assessment, which consists of deciding whether a firm should become a global startup and what the firm needs to do to make that happen. Question 29 options:
1) True
2) False
Question 30 (1 point)
_____ is defined as "the recognition of opportunities and the use or creation of resources to implement innovative ideas for new, thoughtfully planned ventures." Question 30 options:
1) Entrepreneurship
2) SWOT
3) Globalization
4) International business
5) Intrapreneurship
_____ is defined as "the recognition of opportunities and the use or creation of resources to implement innovative ideas for new, thoughtfully planned ventures." Question 30 options:
1) Entrepreneurship
2) SWOT
3) Globalization
4) International business
5) Intrapreneurship
Question 31 (1 point)
Owner financing, sweat equity, and minimization of the accounts receivable are
the different types of: Question 31 options: 1) bootstrapping.
2) venture capital financing.
3) angel funding.
4) hedge funding.
5) crowd funding.
Owner financing, sweat equity, and minimization of the accounts receivable are
the different types of: Question 31 options: 1) bootstrapping.
2) venture capital financing.
3) angel funding.
4) hedge funding.
5) crowd funding.
Question 32 (1 point)
Which of the following is an example of an innovationdriven economy? Question 32 options:
1) Argentina
2) Brazil
3) India
4) The United States
Which of the following is an example of an innovationdriven economy? Question 32 options:
1) Argentina
2) Brazil
3) India
4) The United States
Question 33 (1 point)
The traditional firm: Question 33 options:
develops strategies needed to expand abroad at the time of the firm’s 1) founding. 2) begins with a "borderless" view of the world.
operates in the home country for many years and gradually evolves into 3) international trade. focuses on achieving superior performance in international business 4) from the inception of the firm.
5) is defined as a business organization that, from inception, seeks to derive significant competitive advantage from the use of resources and the sale of outputs in multiple countries.
The traditional firm: Question 33 options:
develops strategies needed to expand abroad at the time of the firm’s 1) founding. 2) begins with a "borderless" view of the world.
operates in the home country for many years and gradually evolves into 3) international trade. focuses on achieving superior performance in international business 4) from the inception of the firm.
5) is defined as a business organization that, from inception, seeks to derive significant competitive advantage from the use of resources and the sale of outputs in multiple countries.
Question 34 (1 point)
An entrepreneur challenges the status quo and fights to change the system from
within. Question 34 options:
1) True 2) False
An entrepreneur challenges the status quo and fights to change the system from
within. Question 34 options:
1) True 2) False
Question 35 (1 point)
_____ typically enter established markets, providing a more traditional product or service to a local market. Question 35 options:
1) Smallbusiness owners
2) Entrepreneurs
3) Intrapreneurs
4) Angel investors
5) Venture capitalists
_____ typically enter established markets, providing a more traditional product or service to a local market. Question 35 options:
1) Smallbusiness owners
2) Entrepreneurs
3) Intrapreneurs
4) Angel investors
5) Venture capitalists
Question 36 (1 point)
Bornglobal firms follow the traditional pattern of businesses that operate in
the home country for many years and gradually evolve into international trade. Question 36 options:
1) True
2) False
Bornglobal firms follow the traditional pattern of businesses that operate in
the home country for many years and gradually evolve into international trade. Question 36 options:
1) True
2) False
Question 37 (1 point)
Newmarket disruption refers to: Question 37 options:
targeting noncustomers to create a new market that was previously 1) ignored by the dominant players of the existing market. disruptive technology that appears at the low end of an industry 2) offering. the propensity to act or decide without customary analysis or 3) sufficient information. 4) a formal statement of a set of business goals.
establishing organizations, either forprofit or nonprofit, whose focus 5) is to implement innovative solutions to societal problems.
Newmarket disruption refers to: Question 37 options:
targeting noncustomers to create a new market that was previously 1) ignored by the dominant players of the existing market. disruptive technology that appears at the low end of an industry 2) offering. the propensity to act or decide without customary analysis or 3) sufficient information. 4) a formal statement of a set of business goals.
establishing organizations, either forprofit or nonprofit, whose focus 5) is to implement innovative solutions to societal problems.
Question 38 (1 point) In order to operate effectively, businesses need to know that contracts are binding, that their property and intellectual property rights are protected,
and that there is a fair system for handling disputes. Question 38 options:
1) True
2) False
Question 39 (1 point)
JetBlue has focused on lowcost strategy and has been able to achieve the lowest cost position in the industry by eliminating many services. However, it
has also targeted overpriced but underserved markets. This is an example of: Question 39 options:
1) a newmarket disruption strategy.
2) venture capitalism.
3) an angel investment.
4) a hybriddisruption strategy.
and that there is a fair system for handling disputes. Question 38 options:
1) True
2) False
Question 39 (1 point)
JetBlue has focused on lowcost strategy and has been able to achieve the lowest cost position in the industry by eliminating many services. However, it
has also targeted overpriced but underserved markets. This is an example of: Question 39 options:
1) a newmarket disruption strategy.
2) venture capitalism.
3) an angel investment.
4) a hybriddisruption strategy.
Question 40 (1 point)
The firm treats intrapreneurial teams as a cost center rather than as a profit
center. Question 40 options:
1) True
2) False
The firm treats intrapreneurial teams as a cost center rather than as a profit
center. Question 40 options:
1) True
2) False
Question 41 (1 point)
A _____ refers to a formal statement of a set of business goals. Question 41 options:
1) strategic plan
2) servicelevel plan
3) proforma invoice 4) business plan
A _____ refers to a formal statement of a set of business goals. Question 41 options:
1) strategic plan
2) servicelevel plan
3) proforma invoice 4) business plan
Question 42 (1 point)
Which of the following statements is true about intrapreneurs? Question 42 options:
1) They are synonymous with entrepreneurs.
2) They have lesser resources than most new ventures.
3) They face the immediate risk of losing a paycheck.
They are protected from feeling the immediate impact of failures and 4) mistakes. They undertake projects that never lead to any kind of innovation in 5) product or service.
Which of the following statements is true about intrapreneurs? Question 42 options:
1) They are synonymous with entrepreneurs.
2) They have lesser resources than most new ventures.
3) They face the immediate risk of losing a paycheck.
They are protected from feeling the immediate impact of failures and 4) mistakes. They undertake projects that never lead to any kind of innovation in 5) product or service.
Question 43 (1 point) In their book "ReInventing the Corporation," John Naisbitt and Patricia Aburdene cited _____ as a way for established businesses to find new markets and new products.
Question 43 options:
1) venture capitalism
2) angel investment
3) intrapreneurship
4) smallbusiness ownership
5) bias for action
1) venture capitalism
2) angel investment
3) intrapreneurship
4) smallbusiness ownership
5) bias for action
Question 44 (1 point)
Innovationdriven economies are economies that are typical in countries that compete on the basis of: Question 44 options:
1) unskilled labor and natural resources.
2) cuttingedge technological knowhow.
3) business sophistication and innovation.
4) production processes and increased product quality.
5) advanced corporate infrastructure and business practices. B
Innovationdriven economies are economies that are typical in countries that compete on the basis of: Question 44 options:
1) unskilled labor and natural resources.
2) cuttingedge technological knowhow.
3) business sophistication and innovation.
4) production processes and increased product quality.
5) advanced corporate infrastructure and business practices. B
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