1.The craft beer industry is becoming a dominate force in the industry, leading to a decline in sales of larger domestic beers. This turn of events is a direct result of the:
A.general environment.
B.competitor analysis.
C.industry environment.
D.competitor environment.
2.the craft beer industry has been able to capture 11% of overall beer sales, while occupying only 6% of the market. This financial review of the external environment is which step in the environmental analysis A.process?
A.Scanning
B.Monitoring
C.Forecasting
D.Assessing
3.In an effort to gain better control of the market,a possible $20 billion merger between Anheuser-Busch and the brewer of the popular Mexican beer Corona. This would be an example of a force within the political/legal segment. Why is the U.S. Justice Department trying to stop the deal?
A.The deal could automatically shut down craft beer breweries to make space for the merging breweries.
B.The deal could result in less competition by limiting smaller brewers’ access to the market.
C.The deal could lead to lower prices and more products.
D.The deal could lead to smaller breweries being bought out by their larger competitors.
4.When Bill Butcher of Port City Brews discusses shelf space and the way that a merger could increase the leverage of potential large brewers, he is discussing which competitive force?
A.Bargaining Power of Buyers
B.Rivalry Among Established Companies
C.Complementors
D.Substitute Products
5.Consider the competitive force of risk of entry by potential competitors. Large brewers, such as Anheuser-Busch InBev, benefit from which of the following?
A.Customer switching costs
B.Economies of scale
C.Lack of substitute products
D.Government regulations
6.The notion of a strategic group can be used for diagnosing a firm’s competition, positioning and profitability in the industry. What is the plan at Port City Brews to stay ahead in their strategic group?
A.To lower their prices
B.To emphasize quality over quantity
C.To emphasize quantity over quality
D.To distribute their product to more retail chains
