Kyle Turner Exam 2 Trivia Slides

Low cost, cost leader

A _____________ strategy is more focused on efficiency than unique value.

False, also REACTIONS not just ACTIONS

TRUE/FALSE: Competitive rivalry is focused solely on the initial actions of firms as they maneuver for an advantageous market share.

Diversification

Growing into new business areas with the purpose of creating value using excess resources is __________________.

Exporting

____________ is generally the easiest mode for organizations to go international.

Lagavulin

What is the name of Ron Swanson's favorite distillery?

differentiation

An organization with a particular focus on innovation and a large R&D budget is likely to employ a ___________ strategy.

Loss of operational control, loss of IP or valuable secrets, being taken advantage of by partner

What is a potential risk associated with cooperative relationships among firms?

Horizontal

Buying companies that compete in a similar market, have a similar strategy, or produce a similar product is considered ____________ integration.

Inorganic

Acquisitions are considered to be what type of growth?

Stars, cash cows, question marks, and dogs

What are the 4 types of business units represented in the BCG matrix?

Moderately diverse

In terms of corporate level strategy, how diverse should a corporation's portfolio of strategic business units be (in general)?

Demand conditions

Within the diamond model, the concept of _________ __________ refers to the size and nature of a firm's domestic customer base.

coopetition

Early in Toyota's US market penetration, they chose to engage in a strategic alliance with GM focused on automotive technology development. This supply chain collaboration between end market rivals is indicative of what type of competitive dynamics interaction between firms?

Buyers and suppliers

The goal of vertical integration is to minimize the power of ______________.

Mutual forbearance

In the context of multimarket competition, what is it called when 2 organizations choose to avoid competing with one another in specific markets with the hope of minimizing direct competition and price wars across multiple markets?

Related diversification

Honda's ability to sell engines for automobiles, personal watercraft, motorcycles, and other applications is an example of:​

Forward vertical integration​

Market penetration​

Related diversification​

Market development

Corporate level strategy

The central purpose of a _________________ strategy is to create more value as a whole unit than the organizations would be worth separate or under other ownership.

Licensing

What is it called when a firm grants another company the right to create/manufacture a company's product in exchange for a fee?

Core competencies

What should drive the decision to employ a low-cost or differentiation strategy?

Focused cost leadership

Frontier Airlines focuses on ultra low-cost fares by servicing a smaller market segment than their broad market competitors. This is an example of what business level strategy?

Multidomestic (generic strategy—differentiation, benefit—local responsiveness, disadvantage—difficulty in synergies across business units), global strategy (generic strategy—cost leadership, benefit—economies of scale/synergies, disadvantage—lack of local responsiveness)

As the new top management team at GE, you and your team need to determine the best way to manage your international business units. List the main two internationalization choices from class, which generic strategy most aligns with each international strategy, and provide the main advantage/disadvantage associated with each choice.