Ch 5

In thinking about the VRIO framework, which of those letters could be used to explain a situation where a company has repeated failures, and they never seem to learn from the failures, let alone translate the learnings into a new strategy or resource that leads to a core competency or competitive advantage?

The balanced scorecard was created to offset some of the negatives of the traditional methods of evaluating firm performance. What is wrong with the traditional method of evaluating performance using shareholder value creation?

Make sense of these numbers and show you understand the principles at play: The cost to produce product A is $50. Product As value is $400. Product As price is $150. What can you say with some certainty?

COMPETITIVE ADVANTAGE: Make sense of these numbers and show you understand the principles at play. Suggestion: Draw this out. Products A and B are identical products sold by different companies. The cost to produce product A is $50. Product As value is $400. Product As price is $150. The cost to produce product B is $35. Product Bs value is $200. Product Bs price is $125. Assuming customers are considering purchasing the products in question, what can you say with some certainty about competitive advantage?

CONSUMER SURPLUS: Make sense of these numbers and show you understand the principles at play. Suggestion: Draw this out. Products A and B are identical products sold by different companies. The cost to produce product A is $50. Product As value is $400. Product As price is $150. The cost to produce product B is $35. Product Bs value is $200. Product Bs price is $125. Assuming customers are considering purchasing the products in question, what can you say with some certainty about consumer surplus?

COST: Make sense of these numbers and show you understand the principles at play. Suggestion: Draw this out. Products A and B are identical products sold by different companies. The cost to produce product A is $50. Product As value is $400. Product As price is $150. The cost to produce product B is $35. Product Bs value is $200. Product Bs price is $125. Assuming customers are considering purchasing the products in question, what can you say with some certainty related to the relative costs of producing the product?

CUSTOMER PERCEPTIONS: Make sense of these numbers and show you understand the principles at play. Suggestion: Draw this out. Products A and B are identical products sold by different companies. The cost to produce product A is $50. Product As value is $400. Product As price is $150. The cost to produce product B is $35. Product Bs value is $200. Product Bs price is $125. Assuming customers are considering purchasing the products in question, what can you say with some certainty about customer perceptions?

The balanced scorecard was created to offset some of the negatives of the traditional methods of evaluating firm performance. What is wrong with the traditional accounting methods of evaluating performance?

PRICING: Make sense of these numbers and show you understand the principles at play. Suggestion: Draw this out. Products A and B are identical products sold by different companies. The cost to produce product A is $50. Product As value is $400. Product As price is $150. The cost to produce product B is $35. Product Bs value is $200. Product Bs price is $125. Assuming customers are considering purchasing the products in question, what can you say with some certainty about the pricing strategies?

Why might one say that core competency and core rigidity could be two sides of the same coin?

In order to sustain competitive advantage or overcome core rigidities, a firm needs dynamic capabilities. Which of these is an example of a company with dynamic capabilities?

How can a firm achieve sustainable competitive advantage given the resources it has?

Strategy that is considered sustainable requires what type of an integrative approach?

Ch. 6

Which of these is not an example of a popular business model?

The answer is: Strategies that help a business achieve a competitive advantage by exploiting the companys core competencies in one or more markets or product groups. What is the question?

On the way to achieving competitive advantage, what two positions should a company evaluate

relative to competitors, as a means of assessing what type of business strategy to develop? It should evaluate

In class, why did we consider that paper clips could be a kind of blue ocean strategy?

How does Jiffy corn muffin mix maintain its cost leadership strategy?

What causes diseconomies of scale?

When we consider business strategies of cost leadership and differentiation, we can add the word, focused to those strategies. What does this imply?

A blue ocean strategy goes by another name. What is that name?

In class, in addition to discussing how he uses experience curve effects, we discussed how Dr. Devi Shettis Narayana Healthcare clinic realizes economies of scope. How does he do this?

How can the four questions related to business strategy be summed up?

Ch. 7 - NOTE: You must watch the pre-recorded lecture to be able to answer these questions.

What are the steps to innovation in simple terms?

Victor Mills and Art Fry are employees who exemplify all but which of the following?

What is the relationship between creativity and expertise?

What is a key difference between sustaining (incremental) and disruptive innovations?

A manager wants to foster creativity and innovation on her team. Which of these ideas is likely to help her do that?

What was the genius marketing idea for 3M post-it notes?

Where is the creativity in Arm & Hammer baking soda?

In the 1950s, the Procter & Gamble CEOs most profitable idea was a creative way of setting the companys brand identity for American households. What did he create?

Play Doh was a product that was created from wallpaper cleaner by a relative of the Kutol family who used it in her nursery school classroom for the kids to make Christmas ornaments, an idea she heard from other teachers. What does this demonstrate about the origins of creative product ideas? (Choose 2 Answers!)

Our textbook's author, Frank Rothaermel, writes that innovation is a novel and useful idea that is successfully implemented. What is he ironically missing in his definition?

Rothaermels definition of innovation (and Venn diagram) includes what other concept from the academic literature?