11.One noncontroversial issue with strategic groups is:
a.Stability of strategic groups.
b.Mobility barriers between strategic groups.
c.The requirement for large quantities of objective data.
d.All of the above are controversial issues.
e.None of the above is controversial.
12.The industry-based view recommends:
a.Backward integration as a way to defend against the power of suppliers.
b.Backward integration as a way to defend against the power of buyers.
c.Forward integration as a way to defend against the power of suppliers.
d.Forward integration as a way to defend against the power of buyers.
e.Backward or forward integration as a way to defend against the power of suppliers and buyers.
13.Which is a reason for integration as opposed to outsourcing?
a.Greater expense.
b.Strategic flexibility is enhanced.
c.Those within the firm are often more competitive.
d.The activity is crucial to the core business.
e.All of the above.
14.Which is a reason for outsourcing as opposed to integration?
a.Less expense.
b.Strategic flexibility is enhanced.
c.Those outside the firm are often more competitive.
d.The activity is not crucial to the core business.
e.All of the above.
15.Which of the following is NOT true regarding supplier relationships?
a.Supplier relationships that are too close may introduce rigidities, including loss of flexibility.
b.In Japan suppliers may become trusted members of the keiretsu.
c.In Japan, instead of treating suppliers as adversaries, they are treated as collaboration partners.
d.In view of A through C above, supplier relationships in Japan tend to be ineffective.
e.In view of A through C above, close supplier relationships are not necessarily good or bad.
16.Porter’s five forces framework:
a.Identifies relevant variables but fails to ask the needed questions.
b.Identifies only questions to ask.
c.Identifies both relevant variables and questions to ask.
d.Eliminates the need for other frameworks to add insight about firm performance.
e.None of the above.
17.A systematic foundation for industry and competitor analysis is best provided by:
a.The industry-based view.
b.Resource-based view.
c.Historical view.
d.Macro analysis.
e.None of the above.
18.An industry-based view provides some answers to which of the following questions?
a.Why do firms differ?
b.How do firms behave?
c.What determines the scope of the firm?
d.What determines the international success and failure of firms?
e.All of the above.
19.Maximizing opportunities and minimizing threats presented by the five forces provides some answers to which of the following questions?
a.Why do firms differ?
b.How do firms behave?
c.What determines the scope of the firm?
d.What determines the international success and failure of firms?
e.All of the above.
20.The relative bargaining power of the focal firm and (according to the traditional view) the degree of integration helps answer which of the following questions?
a.Why do firms differ?
b.How do firms behave?
c.What determines the scope of the firm?
d.What determines the international success and failure of firms?
e.All of the above.
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