Question 1 (2.5 points)
__________ means that a firm needs to fulfil at least all threshold criteria.
Economies of scale
Economies of scope
Benefit proximity
Critical success factors
Question 2 (2.5 points)
The price/benefit ratio is also called:
value for money.
benefit proximity.
costing.
customer perceived value.
Question 3 (2.5 points)
The main e-business models at the __________ level are customer relationship management, knowledge management, supply chain management, community building online, database marketing, enterprise resource planning, and mass customization.
business process
enterprise
activity
customer
Question 4 (2.5 points)
__________ innovations enter the market from below and improve over time until they meet the demands of mainstream customers.
Radical
Sustaining
Differentiated
Disruptive
Question 5 (2.5 points)
__________ can lower costs as a firm improves its efficiency over time. thereby reducing slack and wasteful activities.
Factoring
Learning effects
Economies of scope
Benefit proximity
Question 6 (2.5 points)
According to the theory of disruptive innovation, in __________ circumstances established companies develop innovative products that help them to generate higher margins by selling better products to the most demanding customers.
diversified
disruptive
sustaining
redefining
Question 7 (2.5 points)
If a firm can offer cost leadership and differentiation, it aims for a(n) __________ strategy.
performance
outpacing
leadership
coordinated
Question 8 (2.5 points)
Questions that companies need to raise in order to assess the threat of a disruptive innovation deal with all of the following EXCEPT:
non-served customers.
over-served customers.
the impact on the corporate profitability.
the disruptiveness of the innovation relative to competitors.
Question 9 (2.5 points)
__________ ensure(s) that individual activities, with their respective advantages, build on each other instead of cancelling themselves out.
Consistency
Complementarities
Optimization of efforts
Lock-in
Question 10 (2.5 points)
__________ focuses primarily on cost reduction through the elimination of redundancy and wasted activity.
Optimization of efforts
Reinforcement of activities
Consistency between activities
Lock-in
Question 11 (2.5 points)
__________ refers to the perceived traits that consumers associate with the company that is selling a product or service.
Reputation
Product position
Brand
Quality
Question 12 (2.5 points)
If a firm can offer comparatively higher performance than competitors, it will aim for a __________ strategy.
performance
outpacing
leadership
differentiation
Question 13 (2.5 points)
The strategic gameboard framework raises three key questions. Which of the following is NOT one of the questions?
Which competitive advantage do we aim for?
Why have we selected this competitive advantage?
Where do we want to achieve the competitive advantage?
How do we want to achieve the competitive advantage?
Question 14 (2.5 points)
In order to succeed in their e-commerce initiatives, it is important that companies identify the key __________ attributes for their e-strategies and related business models.
diversified
disruptive
sustaining
redefining
Question 15 (2.5 points)
The value creation process relies on all of the following value drivers EXCEPT:
novelty.
lock-in.
distinctiveness.
complementarities.
Question 16 (2.5 points)
The __________ of a firm is made of final consumers (B2C) and/or other businesses (B2B).
external environment
complementarities
focus
target market
Question 17 (2.5 points)
__________ is traditional, Internet-wired, e-commerce.
B-commerce
I-commerce
M-commerce
U-commerce
Question 18 (2.5 points)
__________ is a way to deal with disruptive innovations that relies on the old business model while simultaneously introducing the new model.
Defending
Straddling
Migrating/harvesting
Not responding
Question 19 (2.5 points)
__________ is a way to deal with disruptive innovations that is based on a conscious decision to "milk existing resources."
Defending
Straddling
Migrating/harvesting
Not responding
Question 20 (2.5 points)
__________ focuses primarily on improving the customer experience by linking up separate activities.
Optimization of efforts
Reinforcement of activities
Consistency between activities
Lock-in
Question 21 (2.5 points)
__________ are usually financially well-off and have the ability to comprehend complex technical knowledge. They are risk takers.
Early Adopters
Early Majority
Late Majority
Innovators
Question 22 (2.5 points)
__________ is benefits received by the consumer from a product relative to total costs.
CRM
Efficiency
Value
Differentiation
Question 23 (2.5 points)
Porter's Five Forces Model does NOT include:
the threat of substitute products.
the competition within the industry.
the threat of new entrants.
perceived use value of customers.
Question 24 (2.5 points)
Whether a firm can benefit or not from network effects depends largely on:
the nature of the network.
product category.
the market.
the industry.
Question 25 (2.5 points)
The strength of these effects depends fully on the number of users of a given device or technology that exhibits a network effect.
Switching costs
Direct network effects
Indirect network effects
First mover effects
Question 26 (2.5 points)
Companies usually operate in a competitive environment where the __________ provided by rival companies determines the customer's choice.
consumer surplus
producer surplus
value creation
perceived use value
Question 27 (2.5 points)
Switching costs, also called self-compatibility costs, result from:
costs to gain market share.
moving from one product to another.
spending heavily on marketing and customer acquisition.
modifications in market research tactics.
Question 28 (2.5 points)
In VPF terminology, the value captured, or __________, is the difference between the price charged for a product and the costs incurred for producing that product.
value awareness
producer surplus
value creation
perceived use value
Question 29 (2.5 points)
Uniqueness leads to a reduction in the number of competitors, which, in turn, also limits the maximum __________ offered elsewhere.
consumer surplus
producer surplus
value creation
perceived use value
Question 30 (2.5 points)
Four sources of non-contractual switching costs include all of the following EXCEPT switching costs:
because of increased market share.
because of customized offerings.
from relearning.
resulting from customer incentive programs.
Question 31 (2.5 points)
Summarizing the value innovation thinking, there are five characteristics that differentiate this type of thinking from conventional competitive thinking. Which of the following is NOT one of these characteristics?
Specific markets
Strategic focus
Resources
Different assumptions
Question 32 (2.5 points)
Porter's Five Forces highlights the fact that profitability depends not only on the internal activities of a company but also on:
the bargaining power of suppliers.
its business environment.
value creation.
the perceived use value of customers.
Question 33 (2.5 points)
Early-mover advantages include all of the following EXCEPT:
switching costs.
the product category.
learning effects.
brand and reputation.
Question 34 (2.5 points)
A firm needs to analyze the way it wants to __________ by "looking outside the box" – i.e. outside the standard business practices of its own industry. Doing so can lead to the discovery of uncovered market spaces between separate industries.
target specific markets
segment the population
create value
differentiate themselves from the competition
Question 35 (2.5 points)
The term __________ is defined as "the price that a customer is prepared to pay for the product if there is a single source of supply."
price sensitivity
switching costs
value creation
perceived use value
Question 36 (2.5 points)
Value creation is the difference between a customer's perceived use value from a given product and the:
price that a customer is prepared to pay for the product.
emotional benefit derived from a product.
firm's costs for providing that product.
costs resulting from customer incentive programs.
Question 37 (2.5 points)
According to Porter's Five Forces Model, __________ mainly influences the cost position and thereby the value creation of a company.
the bargaining power of suppliers
the competition within the industry
the threat of new entrants
perceived use value of customers
Question 38 (2.5 points)
__________ are opinion leaders in their social environment.
Innovators
Early Adopters
Early Majority
Brand Leaders
Question 39 (2.5 points)
Looking across __________ means looking at what companies do that produce the same basic product for different customer segments, thereby finding out potential new ways of creating value.
specific markets
strategic groups
substitute industries
complementary offerings
Question 40 (2.5 points)
Companies that come to market first with a new product or way of conducting business impress consumers quite strongly, thus gaining reputation and:
market share.
competitive advantage.
publicity.
brand awareness.
