Question : 51.A strategy that focuses primarily increasing the attractiveness of a : 1299416

51.A strategy that focuses primarily on increasing the attractiveness of a product is referred to as a _____ strategy. 

A. standardization

B. differentiation

C. target-identification

D. low-cost

E. profitability

52.According to Michael Porter, _____ and _____ are the two basic strategies for improving creating value and attaining a competitive advantage in an industry. 

A. differentiation; low-cost

B. value creation; generalization

C. one-size-fits-all; zero-sum

D. comparison; standardization

E. profitability; strategic fit

53.According to Michael Porter, superior portability goes to a firm that: 

A. creates similar products as their competitors.

B. keeps the gap between value and cost of production smaller than the gap attained by competitors.

C. drives down the cost structure of its business.

D. has the highest cost structure in the industry.

E. has the least valuable product in the industry.

54.Superior value creation relative to rivals requires that the firm: 

A. creates similar products as its competitors so that consumers do not have to pay a premium price.

B. has the highest cost structure in the industry.

C. creates the least valuable product in the eyes of consumers.

D. ensures that the gap between value and cost of production is greater than the gap attained by competitors.

E. drives up the cost structure of its business.

55.The _____ shows all of the different positions that a firm can adopt with regard to value creation and low cost assuming that its internal operations are configured adequately to support a particular position. 

A. demand-value model

B. experience curve

C. efficiency frontier

D. optimal output model

E. surplus curve

56.The efficiency frontier has a convex shape because of: 

A. a high-cost structure.

B. diminishing returns.

C. a significantly low product value.

D. low production costs.

E. high profit growth.

57.Which of the following statements is true of the efficiency frontier? 

A. To maximize its profitability, a firm should avoid a position that lies on the efficiency frontier.

B. Not all positions on the efficiency frontier are viable.

C. The efficiency frontier is a function of the cost and revenue of a product.

D. Positions inside the frontier are more efficient than the positions that are located on the frontier.

E. It is always concave in shape because of diminishing returns.

58.For a firm to maximize its profitability, it is necessary that it: 

A. creates products similar to the products of its competitors.

B. does not configure its internal operations to reduce costs.

C. minimizes the value of the consumer surplus

D. picks a position on the efficiency frontier that is viable.

E. strips all the value out of its product offering.

59.A firm maximizes its profitability when it: 

A. creates products similar to the products of its competitors.

B. minimizes the value provided by its products.

C. picks a position on the efficiency frontier that is not viable.

D. strips all the value out of its product offering.

E. configures its internal operations to support the position selected by it on the efficiency frontier.

60.A firm’s profitability maximizes when it: 

A. creates products similar to the products of its competitors.

B. strips all the value out of its product offering.

C. ensures that it has the right organization structure in place to execute its strategy.

D. picks a position on the efficiency frontier that is not viable.

E. does not configure its internal operations to reduce costs.