11. Distinctive Competencies come from two sources, which are;

A. Resources & Capabilities

B. Resources & Responsibilities

C. Legal & Capabilities

D. Responsibilities & Capabilities

12. What is the definition for value chain?

A. Narrow competitive scope for limited products or only certain buyers or geographic areas

B. Broad competitive scope when many products and a large range of buyers are targeted

C. All the activities that a firm uses to design, produce, market, deliver, and support its product

D. None of the above

13. Generic strategies

A. Occur when a company can outmatch its rivals in attracting and maintaining its customers.

B. Represent basic ways that domestic and multinational companies keep and achieve competitive advantage.

C. Are all based on finding ways to provide superior value to the customer.

D. None of the above

14. Which of the following is a primary generic strategy?

A. Cross country subsidizing

B. Low Cost

C. Competitive pricing

D. Critical success factors

15. Differentiation leads to higher profits by

A. Charging a higher price than competitors.

B. Offering the customer better value.

C. Offering a product with more features and quality.

D. All of the above

16. A low cost strategy leads to higher profits by

A. Charging a higher price than competitors.

B. Offering the customer products with more features.

C. The cost savings that firms achieve.

D. Adding unique features to products.

17. Offensive strategies

A. Are examples of basic generic strategies.

B. Are direct targeting/attacking of rivals.

C. Are attempts to reduce the risk of being attacked.

D. Are used to convince other firms to seek other targets.

18. Defensive strategies include

A. Direct attacks, end-run offensive, and acquisitions.

B. The generic strategies.

C. Counter-parries.

D. None of the above

19. This is considered to be a popular and controversial way to address internal cost inefficiencies.

A. Insourcing

B. Outsourcing

C. Related diversification

D. Unrelated diversification

20. Key success factors are

A. Examples of defensive strategies.

B. Important characteristics of a company or its product that lead to success in an industry.

C. Similar to generic strategies.

D. The economic characteristics of countries that lead to success.