1. Which of the following is a possible limitation of The Five Forces Model?

• It is difficult to understand
• It requires in-depth knowledge of econometrics
• It is impractical
• None of the above

1. Which of the following forces is commonly reducedthrough the use of a loyalty program?

• Buyer power
• Supplier power
• Threat of new entrants
• Rivalry among existing competitors

1. An industry is attractive for suppliers when the rivalry among existing competitors is:

• More
• Low
• High
• Less

1. What does Porter's five forces model determine?

• The relative attractiveness of an industry
• The competitive advantage of a competitor
• The distribution chain of a competitor
• The relative attractiveness of another business

1. Strategy involves which of the following:

• Allocating resources to take advantage of opportunities arising from the organization's external environment.
• Determining the long-term direction of the organization,
• Understanding the goals of the organization
• All of the above

1. PESTEL is an analytical tool which helps to undertake:

• An internal analysis
• An external analysis
• A competitor analysis
• A strategic analysis

1. An analysis of the external environment enables a firm to identify

• Strengths and opportunities
• Strengths and weaknesses
• Weaknesses and threats
• Opportunities and threats