Question 1
Companies can achieve growth mainly by ____.
Answer
shrinking the scope of their business
growing internally through direct expansion or creating new businesses
deleting all cash cows from their portfolios
only maintaining stars in their portfolios
Question 2
Imagine Dow Chemical is conducting a situational analysis. According to its sales, Dow is the second largest chemical company in the world. BASF is the largest. Both companies use a similar strategy. Within Dow's situational analysis, BASF would be classified as a ____.
Answer
cash cow
primary firms
unrelated firm
core firm
secondary firm
Question 3
The research on diversification in portfolio management indicates that the best approach is probably ____.
Answer
related differentiation
related diversification
unrelated diversification
repositioning
no diversification
Question 4
Which of the following organizations are most directly in competition with each other?
Answer
Kmart and Gap
a local flower shop and a grocery store that sells flowers
FedEx and UPS
an independent bookstore and a library
HBO and UPN television network
Question 5
An organization which is a ____ in terms of its adaptive strategy would NOT follow a consistent strategy.
Answer
defender
pioneer
analyzer
reactor
prospector
Question 6
From a competitive standpoint, ____ means that the strategic actions your company takes can probably be matched by your direct competitors.
Answer
market commonality
resource similarity
character of the rivalry
competitive inertia
competitive autonomy
Question 7
A(n) ____ resource is a resource that is not controlled or possessed by many competing firms.
Answer
rare
imperfectly imitable
nonsubstitutable
strategically dissonant
permanent
Question 8
When Clorox Corporation, a manufacturer of bleach and bleach-based cleaning products, acquired Kingsford Charcoal and Prime Choice brand steak sauce; it was an example of ____.
Answer
related differentiation
related diversification
an integrated acquisition
competency acquisition
unrelated diversification
Question 10
Resource similarity and ____ are factors that determine the extent to which firms will be in direct competition with each other.
Answer
market commonality
resource quality
related diversification
product differentiation
customer autonomy
Question 11
Companies often choose a ____ strategy when their external environment doesn't change much or after they have struggled with periods of explosive growth.
Answer
stability
growth
pioneering
portfolio
retrenchment
Question 12
The purpose of a ____ strategy is to turn around very poor company performance by shrinking the size or scope of the business.
Answer
growth
stability
retrenchment
maturity
repositioning
Question 13
A(n) ____ is a resource that is impossible or extremely costly or difficult for other firms to duplicate.
Answer
rare
imperfectly imitable
nonsubstitutable
strategically dissonant
Reliable
Question 14
Cost leadership, differentiation, and focus are the three types of ____ strategies discussed in the text.
Answer
grand
niche
positioning
restructuring
portfolio
Question 15
McDonald's uses a ____ strategy (a kind of grand strategy) as it increases its profits in France by offering uniquely French products such as Croque McDo, the McDonald's version of a popular French grilled sandwich.
Answer
growth
decline
retrenchment/recovery
repositioning
pioneering
Question 16
Unverferth Manufacturing makes agricultural equipment. It used finite element analysis (FEA) software to speed up the design cycle for its 12-row sub-soiler. Which aspect of the compression approach to innovation would the use of this software apply?
Answer
planning
supplier involvement
shortening the time of individual steps
multifunctional teams
functional isolation
Question 17
Organizational development ____.
Answer
requires a steering committee
takes a short-term approach to change
is a philosophy and collection of planned change interventions
assumes that top management support is not necessary for change
is accurately described by all of these
Question 18
The goals of the compression approach to innovation are ____.
Answer
speed, lower costs, and incremental change of dominant design
the development of milestones and the comparison of actual milestones with forecasts
the establishment of a dominant design and speed
absolute-time management and the creation of a dominant design
a matrix innovation process and a sustainable competitive advantage
Question 19
The ____ approach to managing innovation assumes that innovation is a predictable process made up of a series of steps and that compressing the time it takes to complete those steps can speed up innovation.
Answer
compression
milestones
dialectical
generational
prototypical
Question 20
Companies need to excel at managing ____ in order to successfully manage innovation streams.
Answer
the sources of innovation
innovation during synergistic change
reciprocity
environmental design issues
behavioral formality
Question 21
Kodak is a company associated with photography. The development of the digital camera forced Kodak into the innovation stream because the new imaging process was a(n) ____.
Answer
technological subtraction
technological discontinuity
process obsolescence
process addition
example of design advantage
Question 22
____ are workplace cultures in which workers perceive that new ideas are welcomed, valued, and encouraged.
Answer
Creative work environments
Innovative societies
Homogeneous work environments
Participative work teams
Empathetic work stations
Question 23
Nearly all technology cycles follow the typical ____ pattern of innovation.
Answer
W-curve
U-curve
bell-shaped
S-curve
V-shaped
Question 24
A(n) ____ is the individual who is formally in charge of guiding a change effort.
Answer
change ombudsman
staff moderator
change mentor
change agent
intrapreneur
Question 25
A technology cycle occurs whenever there are major advances or changes in the ____ in a field or discipline.
Answer
human, technical, and conceptual skills needed
structure or personnel requirements
internal resource environment
knowledge, tools, and techniques
way information is integrated
Question 26
When incremental improvements are made to a dominant technological design such that the improved version of the technology is fully backward compatible with the older version, ____ is said to have occurred.
Answer
a milestone
intuitive change
generational change
coercive change
discontinuous innovation
Question 27
Which of the following methods for managing resistance to change should only be used as a last resort or under crisis conditions?
Answer
mentoring
arbitration
negotiation
coercion
reinforcement modification
Question 28
When resistance to change is based on insufficient, incorrect, or misleading information, managers should use ____ as an approach to manage resistance.
Answer
education and communication
participation
negotiation
coercion
change manipulation
Question 29
Which of the following is one of the three steps in the basic process of managing organizational change outlined by Kurt Lewin?
Answer
unfreezing
organizational dialogue
change definition
incremental change
change mentoring
Question 30
A technology ____ begins with the birth of a new technology and ends when that technology reaches its limits and dies as it is replaced by a newer, substantially better technology.
Answer
process
pattern
cycle
hierarchy
continuum