1. The competitive pressures on companies within an industry come from those:

1) associated with the market maneuvering and jockeying for buyer patronage that goes on among rival firms in the industry.

2) companies in other industries attempting to win buyers over to their substitute products.

3) associated with the threat of new entrants into the marketplace.

4) associated with the bargaining power of suppliers and customers.

5) All of these.

2. Managers must be prepared to modify their strategy in response to:

1) competitive circumstances that affect performance and their desire to improve their current strategy.

2) competitor moves in the market and shifting buyer needs.

3) stagnating market and restrictive industrial opportunities.

4) mounting evidence that the strategy is less effective.

5) All of the above.

3. A useful way to identify a company's resources is to view them as:

1) divided into two main categories, tangible and intangible.

2) every productive input or competitive asset except human assets and intellectual capital, which are considered capabilities or competencies.

3) physical resources, such as the company's brand, image, and reputation assets.

4) an inventory or a collection of the firm's strengths, weaknesses, opportunities, and threats.

4. Changing circumstances and ongoing managerial efforts to improve the strategy:

1) account for why a company’s strategy evolves over time.

2) explain why a company’s strategic vision undergoes almost constant change.

3) make it very difficult for a company to have concrete strategic objectives.

4) make it very hard to know what a company’s strategy really is.

5) all of the above.