Review Test Submission: Exam 2 Spring 15

Content

Course

2015SP*MNGT*691*301
(Bus Policies and Proced)

Test

Exam
2 Spring 15

Question 1

Which of the
following processes is most representative of a less integrated firm on the
“buy” end of the make-or-buy continuum?

Question 2

TechSense was the
first company to introduce a GPS-enabled shoe into the market and shoe sales
are rapidly increasing. Which of the following is most likely to be true for
TechSense?

Question 3

Econimies and
diseconomies of scale explain:

Question 4

All
of the following are decisions that managers must make when formulating
corporate strategy EXCEPT:

Question 5

Research
indicates that when it comes to the diversification-performance relationship:

Question 6

If
a diversified firm had three businesses and these companies shared a common
marketing and service operation, as well as common technology and
development, this would be an example of which type of economy of scope?

Question 7

According to the
instructors’s notes two factors pressure industries to select a dominant
design. These factors are:

Question 8

The
more a technology is adopted,

Question 9

Transactions costs include
all of the following EXCEPT

Question 10

Which of the
following is TRUE regarding the effect of vertical integration:

Question 11

Firms
such as PepsiCo that operate a number of businesses around the world that
share a number of inputs, production technologies, or distribution channels
but none of whose businesses account for more than 70% of a firm’s revenues
are said to be implementing a

Question 12

A firm’s choice of
business level strategy depends on two important factors, which are——

Question 13

An effective
business strategy depends on the joint impact of

Question 14

Focused cost
leaders such as private lables companies can achieve low costs by_______.

Question 15

If
all of a firm’s businesses share the same core competencies, then that firm
has implemented a strategy of ________ diversification.

Question 16

The two dimensions
of business-level strategy are

Question 17

When
the value of the products or services a firm sells increases as a function of
the number of business that the firm operates in, ________ are said to exist.

Question 18

Two factors are fundamental
to the industry life cycle. One of these is:

Question 19

If
Dell computers were to open its own factory to manufacture the LCD
televisions it sells at its online store, this would be an example of

Question 20

A company that
produces toys is considering backward integration into the production of
rapeseed oil, an important component in making the rubber-like material
required for the toys. The rapeseed oil is traded in world commodity markets.
What would you advise this company to do regarding the rapeseed oil?

Question 21

When Apple, Inc. opened
retail stores to sell its computers and iPods, this was an example of

Question 22

An industry life
cycle:

Question 23

Firms seek to create value from operational economies of scope
through all of the following EXCEPT:

Question 24

According to ________ of when
vertical integration creates value, vertical integration is valuable when it
reduces threats from a firm’s suppliers or buyer due to any
transaction-specific investments a firm has made.

Question 25

While _________
focus(es) on the relationship between the volume of production and a given
point in time and average unit costs, the ________focus(es) on the
relationship between cumulative production (i.e., time) and average costs.

Question 26

Research
suggests that, in general, vertically integrating is ________ than not
vertically integrating.

Question 27

Firms
pursuing ________ have between 70% and 95% of their sales in a single product
market.

Question 28

Which of the
following sentences is true when the contract is up for renegotiation:

Question 29

Horizontal
integration can affect several of Porter’s five forces for the surviving
firms. Which of the following would this include?

Question 30

A ________ is a
technology or specification that is important for compatibility.

Question 31

Which of the
following processes is most representative of a vertically integrated firm on
the “make” end of the make-or-buy continuum?

Question 32

When are
winner-take-all markets good for consumers?

Question 33

A(n) ________ is any
investment in an exchange that has significantly more value in the current
exchange than it does in alternative exchanges.

Question 34

In general,
first-mover advantages can arise from any of these sources except

Question 35

The
only economy of scope that an unrelated firm can try to realize is

Question 36

In
order for corporate diversification to be economically valuable

Question 37

To
survive going into the Maturity phase of the industry life cycle a firm needs
to:

Question 38

Avon
has been able to raise the perceived value of its products while lowering
production costs. It has also been able to create more value in relationship
to its costs over rivals Revlon and L’Oreal. It can be said that:

Question 39

Which of the
following is a true argument regarding the make-or-buy decision process?

Question 40

If a firm decided to maintain
relationships with several different call center management companies, each
of which have adopted different technological solutions to the problem of how
to use call center employees to assist customers who are using very complex
products, to reduce the uncertainty of whether the people staffing the phone
can help the firm’s customers, this would be consistent with which
explanation of vertical integration?

Question 41

If a company is
able to lock in its technology as the dominant design of the market, it

Question 42

Actions firms take
to gain competitive advantages in a single market or industry are known as

Question 43

The transition of
an industry from its introduction to growth phase is reflected typically in

Question 44

Achieving
differentiation parity along with lower costs is important to a low-cost
leader because:

Question 45

________
exists when two or more diversified firms simultaneously compete in multiple
markets.

Question 46

What operational economies of scope did Honda seek to facilitate
entry into a variety of product including motorcycles, automobiles, lawn
mowers, Jet Engines, and snow blower

Question 47

Which of the
following is an advantage of being a late entrant into a market?

Question 48

Sharing core
competencies is one of the primary potential advantages of diversification.
in order for diversification to be most successful, it is important that

Question 49

Which of the
following scenarios describes the benefits of being a first-mover in the
market?

Question 50

In
general, as a source of capital a diversified firm has ________ information
about a business that it owns compared to external sources of capital.

Review Test Submission: Exam 2 Spring 15ContentCourse2015SP*MNGT*691*301
(Bus Policies and Proced)TestExam
2 Spring 15
Question 1Which of the
following processes is most representative of a less integrated firm on the
“buy” end of the make-or-buy continuum?
Question 2TechSense was the
first company to introduce a GPS-enabled shoe into the market and shoe sales
are rapidly increasing. Which of the following is most likely to be true for
TechSense?
Question 3Econimies and
diseconomies of scale explain:
Question 4All
of the following are decisions that managers must make when formulating
corporate strategy EXCEPT:
Question 5Research
indicates that when it comes to the diversification-performance relationship:
Question 6If
a diversified firm had three businesses and these companies shared a common
marketing and service operation, as well as common technology and
development, this would be an example of which type of economy of scope?
Question 7According to the
instructors’s notes two factors pressure industries to select a dominant
design. These factors are:
Question 8The
more a technology is adopted,
Question 9Transactions costs include
all of the following EXCEPT
Question 10Which of the
following is TRUE regarding the effect of vertical integration:
Question 11Firms
such as PepsiCo that operate a number of businesses around the world that
share a number of inputs, production technologies, or distribution channels
but none of whose businesses account for more than 70% of a firm’s revenues
are said to be implementing a
Question 12A firm’s choice of
business level strategy depends on two important factors, which are——
Question 13An effective
business strategy depends on the joint impact of
Question 14Focused cost
leaders such as private lables companies can achieve low costs by_______.
Question 15If
all of a firm’s businesses share the same core competencies, then that firm
has implemented a strategy of ________ diversification.
Question 16The two dimensions
of business-level strategy are
Question 17When
the value of the products or services a firm sells increases as a function of
the number of business that the firm operates in, ________ are said to exist.
Question 18Two factors are fundamental
to the industry life cycle. One of these is:
Question 19If
Dell computers were to open its own factory to manufacture the LCD
televisions it sells at its online store, this would be an example of
Question 20A company that
produces toys is considering backward integration into the production of
rapeseed oil, an important component in making the rubber-like material
required for the toys. The rapeseed oil is traded in world commodity markets.
What would you advise this company to do regarding the rapeseed oil?
Question 21When Apple, Inc. opened
retail stores to sell its computers and iPods, this was an example of
Question 22An industry life
cycle:
Question 23Firms seek to create value from operational economies of scope
through all of the following EXCEPT:
Question 24According to ________ of when
vertical integration creates value, vertical integration is valuable when it
reduces threats from a firm’s suppliers or buyer due to any
transaction-specific investments a firm has made.
Question 25While _________
focus(es) on the relationship between the volume of production and a given
point in time and average unit costs, the ________focus(es) on the
relationship between cumulative production (i.e., time) and average costs.
Question 26Research
suggests that, in general, vertically integrating is ________ than not
vertically integrating.
Question 27Firms
pursuing ________ have between 70% and 95% of their sales in a single product
market.
Question 28Which of the
following sentences is true when the contract is up for renegotiation:
Question 29Horizontal
integration can affect several of Porter’s five forces for the surviving
firms. Which of the following would this include?
Question 30A ________ is a
technology or specification that is important for compatibility.
Question 31Which of the
following processes is most representative of a vertically integrated firm on
the “make” end of the make-or-buy continuum?
Question 32When are
winner-take-all markets good for consumers?
Question 33A(n) ________ is any
investment in an exchange that has significantly more value in the current
exchange than it does in alternative exchanges.
Question 34In general,
first-mover advantages can arise from any of these sources except
Question 35The
only economy of scope that an unrelated firm can try to realize is
Question 36In
order for corporate diversification to be economically valuable
Question 37To
survive going into the Maturity phase of the industry life cycle a firm needs
to:
Question 38Avon
has been able to raise the perceived value of its products while lowering
production costs. It has also been able to create more value in relationship
to its costs over rivals Revlon and L’Oreal. It can be said that:
Question 39Which of the
following is a true argument regarding the make-or-buy decision process?
Question 40If a firm decided to maintain
relationships with several different call center management companies, each
of which have adopted different technological solutions to the problem of how
to use call center employees to assist customers who are using very complex
products, to reduce the uncertainty of whether the people staffing the phone
can help the firm’s customers, this would be consistent with which
explanation of vertical integration?
Question 41If a company is
able to lock in its technology as the dominant design of the market, it
Question 42Actions firms take
to gain competitive advantages in a single market or industry are known as
Question 43The transition of
an industry from its introduction to growth phase is reflected typically in
Question 44Achieving
differentiation parity along with lower costs is important to a low-cost
leader because:
Question 45________
exists when two or more diversified firms simultaneously compete in multiple
markets.
Question 46What operational economies of scope did Honda seek to facilitate
entry into a variety of product including motorcycles, automobiles, lawn
mowers, Jet Engines, and snow blower
Question 47Which of the
following is an advantage of being a late entrant into a market?
Question 48Sharing core
competencies is one of the primary potential advantages of diversification.
in order for diversification to be most successful, it is important that
Question 49Which of the
following scenarios describes the benefits of being a first-mover in the
market?
Question 50In
general, as a source of capital a diversified firm has ________ information
about a business that it owns compared to external sources of capital.