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Str 581 Week 6 Capstone Final Exam

1813 words - 8 pages

1. A(n) ________ market share of exactly 100 percent means that a company is tied for the market lead. A rise in relative market share means the company is gaining on its leading competitor.
• potential
• relative
• served
• overall

2. The typical risks of a cost leadership strategy include___________.
• loss of customer loyalty
• excessive differentiation to the point where the customer base is too small
• the inability to balance high differentiation and low price
• production and distribution processes becoming obsolete

3. The likelihood of entry of new competitors is affected by and ___________.
• the power of existing suppliers; buyers
• the ...view middle of the document...

Gordon Jones is considering purchasing a computer from Best Buy. He has created a scale for rating eight different computers on three different characteristics. He plans to make a short list of only those computers that score at least a 7 on his scale on all three characteristics. Which of the following choice heuristics has he chosen?
• anchoring and adjustment heuristic
• elimination-by-aspects heuristic
• conjunctive heuristic
• lexicographic heuristic

8. The term "conglomerates" refers to firms using the diversification strategy.
• related constrained
• related linked
• global
• unrelated

9. The goal of the organization's ________ is to point the firm in the direction of where it would like to be in the years to come.
• strategy
• mission
• culture
• vision

STR 581 complete paper here STR 581

10. A company that seeks to increase its sales and profits through backward, forward, or horizontal integration within the industry is said to be employing a(n) ________ growth strategy.
• target
• diversification
• intensive
• integrative

11. Annual-plan control requires making sure the company isn't overspending to achieve sales goals. The key ratio to watch is ___________.
• stock turnover
• marketing expense-to-sales
• cash flow return on investment
• gross margin

12. The recent joint ventures formed by BP with Russian and Indian partners showed the importance of the ________ segment of the general environment that BP and other integrated oil firms have to manage when contending with scarce resources.
• physical
• demographic
• global
• political/legal

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13. Many consumers are willing to pay $100 for a perfume that contains $10 worth of scent because the perfume is from a well-known brand. What kind of pricing is the company depending on?
• image pricing
• market-skimming pricing
• target pricing
• going-rate pricing

14. Hilton Hotels customizes rooms and lobbies according to location. Northeastern hotels are sleeker and more cosmopolitan. Southwestern hotels are more rustic. This is an example of ________ segmentation.
• psychographic
• geographic
• demographic
• behavioral

15. A group of college graduates decides to start a business. Though they are knowledgeable in various business domains, they are unable to arrive at a valuable business idea. They decide to search for ideas in a structured manner. They meet and start discussing everyone's ideas. Each idea is recorded and then the thoughts that come up in relation to the ideas are written down and discussed. This process helps them to finalize a business plan. What technique is used here?
• mind mapping
• attribute listing
• forced relationship analysis
• reverse assumption analysis

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