Chapter #1 Quiz

  • When a firm works to gain a competitive advantage by providing better goods and services than its rivals, it is employing a differentiation strategy

  • A good strategy consists of three elements. The first element is accomplished through analysis of the firm's external and internal environments. We also call this: a diagnosis of the competitive advantage

  • A cost leadership strategy is defined as "offering similar goods and services at a lower price"

  • True or false: A strategic leader's job is to focus like a laser on shareholders.

  • Which of the following are primary strategy objectives? 

    • creating value correct

    • controlling costs

  • In a nutshell, strategy is the art and science of: success and failure

  • Strategic positioning allows managers to: provide customers value while controlling costs

  • a unique situation for itself in its industry that allows the company to not only provide excellent value to its customers but also control its costs. This is known as: strategic positioning