Question 1

Which of the following directly reflects the impact of scale economies on the five forces:

Group of answer choices

A. Lowers the entry barriers

B. Increases supplier power

C. Increases buyer power

D. Raise the entry barriers

Question 2

Resources and capabilities are unable to provide a sustainable competitive advantage if they...

Group of answer choices

A. Are in the form of a new patented drug

B. Reflect a tight strategic fit among firm activities

C. Are widely shared and available in the industry

D. Provide a higher willingness to pay for customers

Question 3

A HHI of .9 means ____________ than an HHI of .5.

Group of answer choices

A. Greater synergy

B. Greater diversification

C. Less diversification

D. Less synergy

Question 4

On average, M&A deals generate

Group of answer choices

A. Highly positive return

B. Positive return

C. Zero return

D. Highly negative return

Question 5

A learning curve of .85 means ____________ than a learning curve of .95.

Group of answer choices

A. Smaller slope (beta coefficient in learning curve formula)

B. More learning

C. Higher cumulative production

D. More synergy

Question 6

An activity in a firm's value chain should be outsourced if which of the following is TRUE:

Group of answer choices

A. There is a cost advantage of vertical integration, it is a core activity and transaction costs are low.

B. There is a cost advantage of vertical integration, it is not a core activity and transaction costs are low.

C. There is a cost advantage of outsourcing, it is not a core activity and transaction costs are high

D. There is a cost advantage of outsourcing, it is not a core activity and transaction costs are low

Question 7

In S-curve analysis, which of the following is a key success factor in the introduction phase?

Group of answer choices

A. Sales capabilities

B. Industry consolidation

C. Standardization

D. Process innovation