test bank for economics

Test Bank Student: _ The types of skills that are required to prepare an effective strategic case analysis can benefit you in actual business situations True There are two capabilities that can be learned through case analysis—the ability to speculate and integrate True False Analytical tools such as value chain analysis and five forces analysis are useful tools to employ when conducting strategic analysis True False Writing down a problem statement is a needless waste of time when preparing a case True False The first step in becoming familiar with the material is to read quickly through the case to get an overall sense of the material True False The business plan framework is not effective for analyzing strategic cases True False The role of strategic decision maker is one that may be taken when analyzing a case True False Case analysis takes students through the whole cycle of activity a manager would face True False False The current ratio, quick ratio and cash ration are all measures of short-term solvency True False 10 The profit margin tells you how much investors are willing to pay per dollar of current earnings True False 11 The basic aim of case analysis is to find solutions True False 12 There are five basic rules for preparing an oral case presentation True False 13 According to the text, one of the reasons that case analysis is so enriching as a learning tool is that it draws on many resources and skills besides what is in the textbook True False 14 The case analysis process should focus strictly on the case itself and you should not be concerned about your own performance True False 15 According to the text, there are six rules for preparing a written case analysis True False 16 The word conflict has negative connotations True False 17 The illusion of unanimity is one of the symptoms of groupthink True False 18 The use of a devil's advocate causes conflict that is counterproductive True False 19 Dialectical inquiry is a technique whereby a problem is approached from two alternative points of view True False 20 To obtain synthesis, your analysis should ideally include the best components of each alternative True False 21 The analysis-decision-action cycle is the recommended method of case analysis True False 22 According to the text, the analysis-decision-action cycle should not include analysis of the external environment but only focus on the internal aspects of the organization True False 23 Three capabilities that can be learned through case analysis are A the ability to question, ponder, and answer B the ability to differentiate, speculate, and integrate C the ability to read, write, and perform mathematical calculations D the ability to be cruel, competitive and cut-throat 24 Being able to imagine different scenarios or contemplate the outcome of a decision are examples of the capability known as A intergration B differentiation C speculation D none of the answers is correct 25 In order to place yourself inside a case, you might adopt the position of A an outside consultant B a strategic decision maker C the board of directors D all of the answers are correct 26 People, opportunity, context, risk, and reward are all part of A the strategic groups approach B the contingency model C the business plan framework D the financial planning framework 27 When becoming familiar with a case it is recommended that you A skim the case only once B you take several days to read and digest the case C read it at night before bed and think about it in your sleep D skim it once, and read it a second time, in depth, making notes as you read 28 Sometimes problems in a case are not apparent until A after you the analysis B you read the case 12 times C you write down the problem statement D none of the answers are correct 29 Price-earnings and market-to-book are examples of A market value ratios B profitability ratios C turnover ratios D liquidity ratios 30 The step in case analysis that involves using analytical tools from the textbook such as value chain analysis is known as A identifying problems B proposing alternative solutions C conducting strategic analysis D becoming familiar with the material 31 The step in case analysis that involves the evaluation of choices and implications of those choices is known as A identifying problems B proposing alternative solutions C conducting strategic analysis D becoming familiar with the material 32 The final step in the case analysis process is A identifying problems B proposing alternative solutions C making recommendations D conducting strategic analysis 33 An essential part of preparing an oral presentation is: A organizing your thoughts B being consistent and logical C emphasizing strategic analysis D all of the answers are correct 34 Conducting outside research when doing a case study is A unethical and irresponsible B one of the ways to help get the most out of the experience C not recommended D none of the answers is correct 35 Presenting information graphically is A one of the five rules for preparing a written case analysis B one of the five rules for preparing an oral case presentation C recommended only for liberal arts majors D a form of brainstorming 36 The use of conflict-inducing decision making techniques in case analysis A is designed to improve case analysis B involves the constructive use of conflict C can be helpful in arriving at better solutions to cases D all of the answers are correct 37 The phenomenon known as groupthink is undesirable and can lead to poor decisions The concept of groupthink was developed by A Financial Post Advisor B Irvine Janis C Howard Jones D all of the answers are correct 38 Which of the following tries to identify problems with the proposed alternative and suggests reasons why it should not be adopted? A the devil's advocate B the inquirer C the dialectic D the figurehead 39 Analyzing organizational goals and objectives is A a value-creating activity B an affordable strategy in case analysis C the first step in the analysis-decision-action cycle D the final step in preparing a written case analysis 40 Asking the question, "Have strategic principles been used in the process of obtaining valuable resources and crafting effective entrepreneurial strategies?" is an essential part of A creating new ventures B the final step in the analysis-decision-action cycle C the 12th step in the analysis-decision-action cycle D all of the answers are correct 41 The analysis-decision-action model reflects A ideas that are linked sequentially B an overarching strategic perspective C material presented in Chapter 12 D all of the answers are correct 42 Discuss the three capabilities that can be developed through case analysis and explain how these three activities sometimes compete for a manager's attention 43 Compare and contrast the positions of strategic decision maker, board of directors, and outside consultant that may be adopted when conducting a strategic case analysis 44 Describe the four characteristics of a business plan framework, and discuss when it might be appropriate to use this framework to analyze strategic cases? 45 Outline the five easy steps that can be used to organize a strategic management case analysis 46 Outline the five rules for preparing an oral case presentation and explain why each is essential to the development of an effective presentation 47 Discuss the resources beyond the textbook that might be used to conduct strategic case analysis and explain how the use of additional resources can help you get the most out of the experience and expand your horizons 48 What are the five rules for preparing a written case analysis and how these differ from the rules for preparing an oral presentation? 49 Outline the various approaches to conflict-inducing decision making and provide examples of each Discuss how these techniques can improve the quality of case analysis 50 Explain how the 12 ideas involved in the analysis-decision-action cycle are linked sequentially in terms of an overarching strategic perspective 51 Strategic management consists of the analysis, decisions, and actions an organization undertakes in order to create and sustain competitive advantages True False 52 Strategic management includes strategy analysis, strategy formulation, and strategy implementation True False 53 According to the text, formulating strategy includes taking into consideration strategy at the business, international, digital, and corporate levels True False 54 Shareholders in a company are the only individuals with an interest in the financial performance in the company True False 55 Shareholders, employees, and the community-at-large are among a firm's stakeholders True False 56 Symbiosis is the ability to recognize interdependencies among the interests of multiple stakeholders within and outside an organization True False 57 Social responsibility is the idea that organizations are not only accountable to shareholders but also to the community-at-large True False 58 Sears has developed a sophisticated quantitative model that can predict the relationship between employee satisfaction, customer satisfaction and financial results This is an example of a symbiotic approach to strategic management True False 59 Decisions by Boards of Directors are always consistent with shareholder interests True False 60 Social responsibility for Suncor Energy of Calgary means accountability to customers but NOT to employees True False 61 The strategic management process should be addressed only by top-level executives Mid-level and low-level employees are best equipped to implement the organization's strategies True False 62 Globalization is the flow of capital, people, and information throughout the world True False 63 Intellectual capital is becoming increasingly important in today's economy It is a concern of managers throughout organizations True False 64 Objectives in organizations should be clear, stated, and known by employees throughout the organization True False 65 Strategic management should only include short-term objectives Long-term objectives are covered in the organization's vision statement True False 66 Organizational goals and objectives should be vague in order to allow for changes in strategy True False 67 Organizational vision statements are the beginning point for the hierarchy of goals throughout the organization An organization's vision statement should be massively inspiring, overarching, and long-term True False 68 Although vision statements vary from organization to organization, vision statements are intended to motivate and inspire employees to work toward a general goal True False 69 According to the text, a mission statement is an overarching statement that is massively inspiring, long-term, and only discusses the purpose of the company True False 70 A mission statement encompasses both the purpose of the company as well as the basis of competition and competitive advantage True False 71 Strategic objectives should be measurable, specific, appropriate, and realistic, but not constrained by time deadlines True False 72 It is important for organizations to focus primarily on financial objectives and be less concerned about other objectives and goals True False 73 The four key attributes of strategic management include the idea that A strategy must be directed toward overall organizational goals and objectives B strategy must be focused on long-term objectives C strategy must be focused on one specific area of an organization D strategy must focus on competitor strengths 74 The four key attributes of strategic management include all of the following except A including multiple stakeholder interests in decision making B incorporating both short-term and long-term perspectives C recognizing the trade-offs between effectiveness and efficiency D emphasis on the attainment of short-term objectives 75 Stakeholders are A a new way to describe shareholders B individuals, groups, and organizations who have a stake in the success of the organization C creditors who hold a lien on the assets of the organization D attorneys and their clients who sue the organization 76 "Effectiveness" is often defined as A doing things right B stakeholder satisfaction C doing the right thing D productivity enhancement 77 According to Henry Mintzberg, the realized strategies of a firm A are a combination of deliberate and emergent strategies B are a combination of deliberate and differentiation strategies C must be based on a company's strategic plan D must be kept confidential for competitive reasons 78 In order to increase their competitiveness, organizations must continually analyze their strategy and their competitive environments According to the text, strategy analysis includes A assessing intellectual capital as well as analyzing the internal and external environment B formulating Internet and international-level strategy C strategic leadership and fostering entrepreneurship D strategy implementation and strategic controls 79 In terms of strategy analysis, the textbook describes Roth, CEO of Nortel, as having A set low targets B ignored the experiences of competitors and set unrealistically high growth targets C focused on the economic landscape D all of the answers are correct 80 Sears has developed a sophisticated quantitative model and found that there were positive relationships between employee satisfaction, customer satisfaction, and financial results According to the text, this is an example of A zero-sum relationship among stakeholders B stakeholder symbiosis C rewarding stakeholders D emphasizing financial returns 81 An organization is responsible to many different entities In order to meet the demands of these groups, organizations must participate in stakeholder management Stakeholder management means that A interests of the shareholders are not the only interests that matter B stakeholders are second in importance to the shareholders C stakeholders and managers inevitably work at cross-purposes D all stakeholders receive financial rewards 82 While working to prioritize and fulfill their responsibilities, members of an organization's board of directors should A represent their own interests B represent the interests of the shareholders C direct all actions of the CEO D emphasize the importance of short-term goals 83 Members of Boards of Directors are A appointed by the Securities and Exchange Commission B elected by the shareholders as their representatives C elected by the public D only allowed to serve one term of four years 84 Managers should more than just focus on short-term financial performance One concept that helps managers this is stakeholder symbiosis This means that A stakeholders are dependent on each other for their success B stakeholders look out for their individual interests C one can only gain at the expense of someone else D all stakeholders want to maximize shareholder returns 85 Firms must be aware of goals other than short-term profit maximization One area of concern should be social responsibility which is A the expectation that business will strive to improve the overall welfare of society B the idea that organizations are solely responsible to local citizens C the fact that court costs could impact the financial bottom line D the idea that businesses are responsible to maintain a healthy social climate for their employees 86 According to the text, the "triple bottom line" approach to corporate accounting includes which three components: A financial, environmental, and customer B financial, organizational, and customer C financial, environmental, and social D financial, organizational, and psychological 87 Firms must be concerned with many types of capital In the broader sense, these could include A ecological capital B material capital C human and social capital D all of the above 10 751 All of the following are components of emotional intelligence (EI) except (p 306) A B C D self-awareness self-regulation self-promotion empathy Dess - Chapter 11 #39 Learning Objective: 752 Which of the following is not a characteristic of a successful learning organization? (p 309) A B C D They create a proactive, creative approach to the unknown They actively solicit the involvement of employees at all levels They regularly engage in activities to reinforce the status quo They enable everyone to use their intelligence and apply their imagination Dess - Chapter 11 #40 Learning Objective: 753 (p 310) Complete the following sentence: "Inspiring and motivating people with a mission or purpose is a for developing an organization that can learn and adapt." A B C D necessary and sufficient condition necessary but not a sufficient condition goal but not a necessary condition goal and a required pre-condition Dess - Chapter 11 #41 Learning Objective: 754 (p 311) Which company does the book cite as being the first Canadian company to offer profit sharing to its employees in 1938? A B C D Zurich Canada - insurance Tim Hortons - fast food Dofasco - steel Westons - food Dess - Chapter 11 #42 Learning Objective: 755 The "top down" perspective of empowerment (p 310) A B C D encourages intelligent risk-taking trusts people to perform encourages cooperative behaviour delegates responsibility Dess - Chapter 11 #43 Learning Objective: 756 The "bottom-up" perspective of empowerment (p 310) A B C D clarifies the organization's values and mission builds teams to encourage cooperative behaviour communicates specific plans encourages employees to "ask permission rather than forgiveness." Dess - Chapter 11 #44 Learning Objective: 114 757 (p 310) The empowerment perspective that involves trusting people to "do the right thing," take intelligent risks, and act with a sense of ownership is known as A B C D the leadership perspective the top-down approach the bottom-up approach the risk-taking model Dess - Chapter 11 #45 Learning Objective: 758 (p 310) An empowerment perspective that delegates responsibility, focuses on accountability, and relies on clearly specified rewards to motivate is known as A B C D the leadership perspective the top-down approach the bottom-up approach the accounting model Dess - Chapter 11 #46 Learning Objective: 759 (p 311) Manufacturing employees at Dofasco Steel are directly involved with customers and have access to the new innovative knowledge being developed in its manufacturing processes This is an example of A B C D hierarchical control knowledge management enabling heroes and drones employee empowerment Dess - Chapter 11 #47 Learning Objective: 760 (p 312) Which of the following is not one of the three core activities in the "open book" management system pioneered by Jack Stack? A Information is generated daily that reflects the work performance and production costs of each employee B The information is aggregated once a week and shared with employees at every level C Information about customer expectations and feedback is distributed monthly D Extensive training in how to use and interpret the numbers is provided to all employees Dess - Chapter 11 #48 Learning Objective: 761 Internal benchmarking at Whole Foods (p 311-312) A B C D is used by teams to compete against other teams in their stores is used by teams which compete against their own goals for sales, growth, and productivity is used by teams to compete against similar teams at different stores and regions all of the answers are correct Dess - Chapter 11 #49 Learning Objective: 762 Functional benchmarking (p 313) A B C D is not very useful for organizations with a divisional organizational structure endeavours to determine best practices regardless of industry restricts the search for best practices to competitors is useful when researching industry-specific standards Dess - Chapter 11 #50 Learning Objective: 115 763 All of the following are guidelines an organization can use to promote the challenging of the status except (p 313-314)quo A B C D establishing a "culture of dissent." forcefully creating a sense of urgency fostering a culture that encourages risk taking creating a results-based reward system Dess - Chapter 11 #51 Learning Objective: 764 (p 314) Companies that cultivate cultures of experimentation and curiosity make sure that _ is not, in essence, a bad thing A B C D success failure dissent risk taking Dess - Chapter 11 #52 Learning Objective: 765 Which of the following statements about ethics is false? (p 314) A B C D Ethics may be defined as a system of right and wrong Ethics assists individuals in deciding when an act is moral or immoral Ethics is not concerned with whether or not an act is socially desirable Business ethics is the application of ethical standards to commercial enterprises Dess - Chapter 11 #53 Learning Objective: 766 All of the following statements about ethical organizations are true except (p 314-316) A B C D the potential benefits of an ethical organization are few but direct ethical values shape the search for opportunities organizational ethics define what a company is and what it stands for ethics provide a common frame of reference that serves as a unifying force Dess - Chapter 11 #54 Learning Objective: 767 CIBC was involved with Enron This involvement (p 315) A had no effect on CIBC because no Canadian executives were charged B included all other Canadian banks C meant the CEO of CIBC retired before the Enron announcement and took $52 million in pay and bonuses D had no cover up Dess - Chapter 11 #55 Learning Objective: 768 Proactive measures to prevent organizational ethics problems include all of the following except (p 316-318) A B C D instituting a reward system which considers outcomes as its primary criterion using leaders as role models of ethical behaviour issuing statements describing the organization's commitment to certain standards of behaviour using the organization's information systems as a control system Dess - Chapter 11 #56 Learning Objective: 116 769 (p 320) A _ is a statement describing an organization's commitment to certain standards of ethical behaviour A B C D role model control system corporate credo reward structure Dess - Chapter 11 #57 Learning Objective: 770 Briefly discuss the three interdependent activities that are critical for effective leadership (p 298-300) Answers will vary Dess - Chapter 11 #58 Learning Objective: 771 (p 303) Discuss the reasons why organizations and managers at all levels are prone to inertia and slow to learn and adapt Answers will vary Dess - Chapter 11 #59 Learning Objective: 772 (p 306) Identify the five components of emotional intelligence (EI) Discuss how each of these factors contributes to the success of a leader or manager Answers will vary Dess - Chapter 11 #60 Learning Objective: 773 What are the four elements of a learning organization? What is the value of a learning organization today's global marketplace? (p 309-310)in Answers will vary Dess - Chapter 11 #61 Learning Objective: 774 (p 310) What is the difference between "top-down" and "bottom-up" approaches to empowerment? Discuss how these differences impact the effectiveness of empowerment efforts Answers will vary Dess - Chapter 11 #62 Learning Objective: 117 775 (p 312) What is "open book" management? Why is this and other approaches to accumulating and sharing internal information being used increasingly in today's organizations? Answers will vary Dess - Chapter 11 #63 Learning Objective: 776 What is the leader's role in establishing an ethical organization? (p 314-316) Answers will vary Dess - Chapter 11 #64 Learning Objective: 777 How can developing and maintaining a high ethical standard benefit an organization? Give examples describe the effects the examples have had on the organization and/or its stakeholders (p 319-320)and Answers will vary Dess - Chapter 11 #65 Learning Objective: 778 (p 318) Discuss the differences between integrity-based and compliance-based approaches to organizational ethics Answers will vary Dess - Chapter 11 #66 Learning Objective: 779 (p 320) What is a corporate credo? How can it be helpful in shaping the moral dimensions of an organization? Answers will vary Dess - Chapter 11 #67 Learning Objective: 780 Briefly discuss how an organization's reward and evaluation systems can be used to promote ethics (p 320-321)organizational Answers will vary Dess - Chapter 11 #68 Learning Objective: 118 781 The term "innovations" refers primarily to inventions that use the latest technologies (p 328) FALSE Dess - Chapter 12 #1 Learning Objective: 782 (p 329) Rogers may be known as a company involved in cell phones and cable TV but it was once the leading manufacturer of radios in Canada and the U.S TRUE Dess - Chapter 12 #2 Learning Objective: 783 (p 330) As an industry matures, there are greater opportunities for change and so innovations tend to be more radical FALSE Dess - Chapter 12 #3 Learning Objective: 784 Process innovations are often associated with a low cost leadership strategy (p 330) TRUE Dess - Chapter 12 #4 Learning Objective: 785 The term "strategic envelope" refers to the scope of a firm's innovation efforts (p 331) TRUE Dess - Chapter 12 #5 Learning Objective: 786 (p 330) In general, radical innovations occur quickly and incremental innovations take a long time to develop FALSE Dess - Chapter 12 #6 Learning Objective: 787 Radical innovation often involves open-ended experimentation which can be very time consuming (p 330) TRUE Dess - Chapter 12 #7 Learning Objective: 788 (p 334) Strategic renewal and the pursuit of new venture opportunities are the two primary aims of corporate entrepreneurship TRUE Dess - Chapter 12 #8 Learning Objective: 789 Corporate entrepreneurship is sometimes called "intrapreneurship." (p 334) TRUE Dess - Chapter 12 #9 Learning Objective: 119 790 (p 334) Corporate venturing that is focused permeates all parts of the organization and involves every member of the organization FALSE Dess - Chapter 12 #10 Learning Objective: 791 (p 334) Firms using a focused approach to corporate entrepreneurship typically separate corporate venturing activities from on-going operations of the firm TRUE Dess - Chapter 12 #11 Learning Objective: 792 An opportunity may be justified regardless of whether or not it is attractive in the marketplace (p 335) FALSE Dess - Chapter 12 #12 Learning Objective: 793 Changes in the external environment spark innovative new ideas (p 337) TRUE Dess - Chapter 12 #13 Learning Objective: 794 The discovery phase refers to the period when one becomes aware of a new business concept (p 338) TRUE Dess - Chapter 12 #14 Learning Objective: 795 Business incubators are designed to support both start-up and later-stage companies (p 342) TRUE Dess - Chapter 12 #15 Learning Objective: 796 (p 342) Corporate business incubators often provide physical space and business services to internal ventures, but not funding FALSE Dess - Chapter 12 #16 Learning Objective: 797 Product champions are the employees who identify new product ideas or services (p 347) FALSE Dess - Chapter 12 #17 Learning Objective: 798 First movers in an industry often capture above-average profits, but usually find it difficult to early market share gains (p 347-348)maintain FALSE Dess - Chapter 12 #18 Learning Objective: 120 799 RIM first got its start out of American engineering schools (p 348) FALSE Dess - Chapter 12 #19 Learning Objective: 800 (p 349) Business risk taking refers to the risk associated with entering untested markets or committing to unproven technologies TRUE Dess - Chapter 12 #20 Learning Objective: 801 (p 350) Pioneering involves creating new ways to solve old problems or meeting customers' needs in a unique new way TRUE Dess - Chapter 12 #21 Learning Objective: 802 An imitative new entry strategy is in many respects the same as pioneering (p 351) FALSE Dess - Chapter 12 #22 Learning Objective: 803 Most new entrants use an adaptive strategy (p 351) TRUE Dess - Chapter 12 #23 Learning Objective: 804 Westjet is similar to most other airlines in that it runs a deficit (p 353) FALSE Dess - Chapter 12 #24 Learning Objective: 805 Incremental innovations (p 329) A B C D are usually highly disruptive usually represent technological breakthroughs are usually small improvements in products or processes nearly always can be patented Dess - Chapter 12 #25 Learning Objective: 806 Canadian communications Rogers got started by (p 329) A B C D being involved in wireless telegraphy creating a radio tube that could be operated from a 110-volt current instead of batteries being the leading manufacturer of radios in Canada and the U.S all of the answers are correct Dess - Chapter 12 #26 Learning Objective: 121 807 produce fundamental changes that can transform a company or even an industry; _ enhance existing practices and often represent evolutionary applications of fundamental breakthroughs (p 328-330)revolutionize A B C D Technological breakthroughs; product-market breakthroughs New technologies; new paradigms Incremental innovations; radical innovations Radical innovations; incremental innovations Dess - Chapter 12 #27 Learning Objective: 808 _ refers to efforts to create designs and applications of to develop new products; _ refers to efforts to improve the efficiency of organizational systems such as manufacturing and operations (p 328-330)technology A B C D Radical innovation; incremental innovation Breakthrough innovation; instrumental innovation Product innovation; process innovation Product innovation; service innovation Dess - Chapter 12 #28 Learning Objective: 809 (p 330) Whereas are often associated with a low cost leader strategy, are frequently an important aspect of a differentiation strategy A B C D process innovations; product innovations product innovations; service innovations radical innovations; instrumental innovations marketing innovations; management innovations Dess - Chapter 12 #29 Learning Objective: 810 The innovation dilemma known as building capabilities versus collaborating refers to (p 331) A B C D developing innovation skills internally versus partnering with qualified outsiders building innovative products in-house versus outsourcing building credibility by launching products ahead of potential collaboration partners all of the answers are correct Dess - Chapter 12 #30 Learning Objective: 811 The innovation dilemma known as seeds versus weeds refers to (p 331) A choosing to pursue radical rather than incremental innovations B choosing to pursue product rather than process innovations C promoting organizational stars onto innovation teams rather than involving all employees in innovation efforts D none of the answers are correct Dess - Chapter 12 #31 Learning Objective: 812 The benefits of converting innovations into successful business ventures include (p 332) A B C D declining competitiveness shutting down product lines growth and rewards focus groups and business incubators Dess - Chapter 12 #32 Learning Objective: 122 813 (p 342) According to the text, which support fledgling start-ups are often used to pursue specific entrepreneurial ventures developed by _ A B C D collaboration partners; strategic partners business incubators; new venture groups product champions; corporate venture capitalists lower-level managers; upper-level managers Dess - Chapter 12 #33 Learning Objective: 814 Corporate business incubators typically provide all of the following functions except (p 342) A B C D physical space mentoring funding student interns Dess - Chapter 12 #34 Learning Objective: 815 Intel has invested $8 billion in several e-business start-ups This is an example of (p 331) A B C D strategic renewal internal development mergers and acquisitions corporate venture funding Dess - Chapter 12 #35 Learning Objective: 816 (p 334) Common features of a dispersed approach to corporate entrepreneurship include all of the following except A B C D semi-autonomous new venture groups a strong spirit of entrepreneurship a top-down approach to supporting entrepreneurial behaviour an entrepreneurial culture Dess - Chapter 12 #36 Learning Objective: 817 In corporations with a strong entrepreneurial culture, the willingness and ability to change (p 334) A B C D is imposed from the top down is considered a core capability often leads to instability often worries stakeholders such as suppliers and creditors Dess - Chapter 12 #37 Learning Objective: 818 Strategic reasons for undertaking a corporate venture include which of the following? (p 335) A B C D entering into new markets expanding capabilities by acquiring new knowledge building the corporation's base of resources all of the answers are correct Dess - Chapter 12 #38 Learning Objective: 123 819 (p 339) All of the following are questions that should be answered when evaluating the performance of corporate venturing efforts except: A B C D Is the venture attracting external venture funding? Is the venture considered to be a market success? Does the venture add to the worth of the firm internally? Does the value proposition offered by the venture insulate it from competitive attack? Dess - Chapter 12 #39 Learning Objective: 820 Which of the following is not one of the characteristics of good opportunities? (p 339-340) A B C D attractive achievable value creating opportunism Dess - Chapter 12 #40 Learning Objective: 821 The vast majority of new firms are low-budget start-ups financed through (p 340-341) A B C D an initial public offering (IPO) bank financing venture capital personal savings and contributions of family and friends Dess - Chapter 12 #41 Learning Objective: 822 Venture capital is (p 341) A B C D a form of private equity available only at the start-up stage a form of human capital a form of angel investing Dess - Chapter 12 #42 Learning Objective: 823 (p 344) Which of the following dimensions of entrepreneurial orientation is described as "a forward-looking perspective characteristic of a marketplace leader that has the foresight to seize opportunities"? A B C D proactiveness risk taking autonomy competitive aggressiveness Dess - Chapter 12 #43 Learning Objective: 824 All of the following statements about innovativeness are true except: (p 337) A B C D It refers to making decisions and taking risks without certain knowledge of probable outcomes It refers to a firm's efforts to find new opportunities and novel solutions It involves creativity and experimentation It is aimed at developing new products, services, and processes Dess - Chapter 12 #44 Learning Objective: 124 825 (p 347) The 3M Corporation, one of the most highly innovative companies, uses several approaches and "rules-of-thumb" to encourage innovation Which of the following is not one of them? A B C D Ensure that all risk-taking activities have a financial pay-off within one year Encourage experimentation and risk-taking by tolerating failure Reward the champions of successful new product ideas Invite customers to brainstorm about new product concepts Dess - Chapter 12 #45 Learning Objective: 826 The benefits gained by firms that are the first to enter new markets, establish brand identity, and/or new technologies are known as (p 347-348)adopt A B C D competitive aggressiveness technological capabilities first-mover advantages breakthrough innovations Dess - Chapter 12 #46 Learning Objective: 827 (p 348) RIM was mentioned in the book in a "Strategy Spotlight" because it had been growing fast The book notes that RIM's strategy is to develop A B C D an email solution for customers using MS Outlook distribution with a number of telephone carriers enlistment of many third-party software developers to develop new applications all of the answers are correct Dess - Chapter 12 #47 Learning Objective: 828 (p 348) According to the text, firms that want to enhance their entrepreneurial position by being competitively aggressive should A B C D enter markets with drastically lower prices foster creativity and experimentation continuously seek out new products or services research risk factors to minimize uncertainty Dess - Chapter 12 #48 Learning Objective: 829 WestJet was cited in the text as being able to develop a toehold in Western Canada through (p 348) A B C D proceeding slow and steady partnering with Air Canada using American pilots an aggressive market entry and competitiveness Dess - Chapter 12 #49 Learning Objective: 830 Which kind of new entry strategy sometimes involves filling a market space where the need has not been filled adequately? (p 350-352)previously A B C D adaptive imitative pioneering technological risk taking Dess - Chapter 12 #50 Learning Objective: 125 831 (p 330) What is meant by the terms "radical" innovation and "incremental" innovation Describe the advantages and disadvantages of each type of innovation and provide examples Answers will vary Dess - Chapter 12 #51 Learning Objective: 832 (p 330) What are the differences between product and process innovation? What are the strategic implications of each approach to innovation? Answers will vary Dess - Chapter 12 #52 Learning Objective: 833 Discuss the implications of size, age and growth goals for the development entrepreneurial (p 330-334)ventures Answers will vary Dess - Chapter 12 #53 Learning Objective: 834 Compare and contrast the concepts of focused versus dispersed approaches to corporate Provide examples of each approach (p 334-335)entrepreneurship Answers will vary Dess - Chapter 12 #54 Learning Objective: 835 Outline the opportunity process and discuss the phases involved in identifying and developing opportunities (p 335-339)market Answers will vary Dess - Chapter 12 #55 Learning Objective: 836 Discuss the similarities and differences of new-venture and later-stage financing Provide examples each type of financing and discuss other entrepreneurial resources that might be available (p 340-343)of Answers will vary Dess - Chapter 12 #56 Learning Objective: 126 837 Discuss the four areas of leadership skills necessary to enact an entrepreneurial vision (p 344) Answers will vary Dess - Chapter 12 #57 Learning Objective: 838 New-entry strategies typically fall into one of three categories: pioneering new-entry, imitative or adaptive new entry Outline the key strategic intentions of each and provide an example of each (p 350-352)new-entry, Answers will vary Dess - Chapter 12 #58 Learning Objective: 127 Test Bank Summary Category # of Questions Dess - Appendix Analyzing 50 Dess - Chapter 01 56 Dess - Chapter 02 74 Dess - Chapter 03 69 Dess - Chapter 04 71 Dess - Chapter 05 77 Dess - Chapter 06 60 Dess - Chapter 07 67 Dess - Chapter 08 62 Dess - Chapter 09 68 Dess - Chapter 10 58 Dess - Chapter 11 68 Dess - Chapter 12 58 Learning Objective: 116 Learning Objective: 146 Learning Objective: 156 Learning Objective: 125 Learning Objective: 130 Learning Objective: 102 Learning Objective: 13 ... Presenting information graphically is A one of the five rules for preparing a written case analysis B one of the five rules for preparing an oral case presentation C recommended only for liberal... information systems C technology development D procurement 217 .For firms such as Campbell Soup Company, information systems have been a source of competitive advantage by enabling them to A forecast... these attributes? A rare B easy for competitors to substitute C valuable D difficult for competitors to imitate 225 .For a resource to provide a firm with the potential for a sustainable competitive