True or False? (3 points each) 1. The process of creating goods and services in which organizational resources are transformed into outputs is called production. 2. Internal development is not an option for implement ing growth strategies. 3. A cross-functional team is a group of individuals from various functional departments who work together on product or process development. 4 Benchmarking is the search for best practices inside or outside an organization. 5. The SWOT analysis points to the strategic issues organizational decision makers need to address in their pursuit of sustainable competitive advantage. 6. Competitive advantage is what sets an organization apart from other firms in its industry. 7. The term generic strategy refers to the fact that any type or size organization in any type or size industry can pursue it. 8. The differentiation strategy is when an organi zation pursues either a cost leadership or a differentiation strategy but in a limited (narrow) customer group or segment. 9. One disadvantage of the differentiation strategy is the difficulty in being able to remain unique to the customer. 10. Companies that use an Analyzer strategy are usual ly pioneers in their industry, putting lots of money into developing new products that no one else has. 11. Offensive moves are when an organization attempts to exploit and strengthern its competitive position through attacks on a competitor's position. 12. The cost leader will market products aimed at the "average" customer. 13. An organization' s competitive advantage can be eroded easily by competitor' s actions. 14. Competitive strategy is a choice of how an organization or business unit is going to compete in its particular industry or market. 15. One aspect of an organization's product strategies is he organization approaches new product development. how 16. The reactor strategy is characterized by continually innovating and exploiting new products and market opportunities. Short Answer (10 points each) 17. Explain the organizational requirements necessary for a differentiation versus a cost leadership strategy. Be sure to explain what steps the organization must take in order to compete using each strategy