1 Marvin planned to cut prices at his bicycle shop, but when a competing shop began to offer free repairs, Marvin decided to copy them. Marvin's new strategy (offer free repairs) is an example of a (n):
Options

mistake.

intended strategy

deliberate strategy.

emergent strategy

unrealized strategy.

2 Which of the following cognitive biases occurs when decision makers commit even more resources if they receive feedback that the project is failing?
Options:

Prior hypothesis bias

Escalating commitment

Illusion of control

Reasoning by analogy

3 Consider the following situation. There are two suppliers (S1 and S2) , two firms (F1 and F2) and one buyer(B). Each supplier can transact with at most one firm, and vice versa. The buyer can transact with at most one firm. Each supplier (S1 and S2) has an opportunity cost of $30 of providing resources to a firm. The buyer (B) has a willingness-to-pay of $200 for the first firm (F1)'s product, and a willingness-to-pay of $250 for the second firm(F2)'s products. What is the total added-value created by the players?
Options

$140

$280

$170

$420

$220
4 Which primary activity in the value chain is concerned with the design of products and production processes?
Options

Materials management

Marketing and sales

Research and development

Production

Company infrastructure

5 According to Porter's five forces framework, the risk of entry by potential competitors is a function of the height of barriers to entry.
Answer True False?

6 To achieve competitive advantage by creating a product that customers perceive as unique in some important way is called:
Answer

Cost-leadership Strategy

Focus Strategy

Differentiation Strategy

Emergent Strategy

Deliberate Strategy