4. In a network flow problem, the values assigned to ________ typically represent distance, time, or cost.

A. nodes

B. edges

C. source

D. sink

5. A company plans to determine a route for a delivery truck. The truck will begin from DC(distribution center), visit each customer, and return to DC. Cost is proportional to distance traveled. The type of network model that best represent this situation is ________.

A. shortest route

B. minimal spanning tree

C. maximal flows

D. minimal cut

6. In PERT, the critical path is the __________ path through the project network.

A. optimal

B. minimal

C. shortest

D. longest

7. In AHP, if the CI/RI ratio is ________, then the pairwise comparison matrix can be regarded as consistent. A. more than 0.10 B. not more than 0.10 C. more than 0.90 D. not more than 0.90

8. A firm's ________ is its long-term purpose that defines both what it aspires to be in the long run and what it wants to avoid in the meantime.

A. mission

B. strategy

C. objective

D. goal

9. When a firm is able to create more economic value than rival firms it is said to have a(n) A. comparative advantage. B. competitive advantage. C. residual advantage. D. economic advantage.

10. In many ways, the difference between traditional economics research and strategic management research is that the former attempts to explain why ________, while the latter attempts to explain ________.

A. competitive advantages should not persist; when they can

B. competitive advantages should persist; when they can

C. competitive advantages should persist; why they should not

D. competitive parity should not persist; why they should

11. ________ exist when a firm's costs rise as a function of its volume of production.

A. Economies of scale

B. Economies of scope

C. Diseconomies of scale

D. Learning curve effects

12. In general, first-mover advantages can arise from any of these sources except

A. technological leadership.

B. preemption of strategically valuable assets.

C. the creation of customer switching costs.

D. using an imitative strategy to introduce improved versions of competitors' new products.