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Title: STR 581 Week 6 Capstone Final Exam


1
STR 581 Week 6 Capstone Final Examination, Part
Three (Newest)
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2
  • 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 profitability of the industry the market
    share of its leading firm
  • barriers to entry expected retaliation of
    current industry organizations
  • the demand for the product the profitability of
    the competitors

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  • 4. In general, compared with firms which compete
    in only one market, among firms which face one
    another in multiple markets there is__________.
  • similar competitive rivalry
  • more competitive rivalry
  • less competitive rivalry
  • no competitive rivalry
  • 5. The three parts of the external environment
    which affect a firm's strategic actions
    are__________.
  • economic, political, and legal
  • industry, business, and product
  • local, national, and global
  • general, industry, and competitor
  • 6. The proper matching of what a firm can do with
    what a firm might do__________.
  • balances the internal characteristics of the firm
    with the characteristics of the external
    environment
  • overcomes the rigidity and inertia resulting from
    a history of success
  • develops core competencies based on human
    knowledge
  • yields insights the firm requires to select its
    strategy

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  • 7. 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

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  • 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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  • 16. The Enron employee who reported the financial
    manipulations at the company to her superiors can
    be considered to have engaged in__________.
  • managerial opportunism
  • an act of courage
  • vindictive disloyalty
  • white-collar crime
  • 17. The differentiation strategy can be effective
    in controlling the power of rivalry with existing
    competitors in an industry because__________.
  • customers are loyal to brands that are
    differentiated in meaningful ways
  • customers will seek out the lowest-cost product
  • the differentiation strategy benefits from
    rivalry because it forces the firm to innovate
  • customers of non differentiated products are
    sensitive to price increases
  • 18. A well-known car manufacturing company
    introduces a new hatchback model by describing
    its distinctive features and then stressing the
    speed and safety qualities of the car. Which of
    the following is the company using to convey its
    membership in the hatchback segment?
  • relying on the product descriptor
  • using channel differentiation
  • announcing category benefits
  • comparing to exemplars

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  • 19. ATT's business campaign not only helped to
    change public perceptions of the company, it also
    signaled to employees that ATT was determined to
    be a leader in telecommunication services. Which
    principle of internal branding does this example
    portray?
  • bringing the brand alive for employees
  • linking internal and external marketing
  • choosing the right moment to capture employees'
    attention and imagination
  • furnishing energizing and informative internal
    communication
  • 20. The strategic management process
    is__________.
  • the full set of commitments, decisions, and
    actions required for the firm to achieve
    above-average returns and strategic
    competitiveness
  • a decision-making activity concerned with a
    firm's internal resources, capabilities, and
    competencies, independent of the conditions in
    its external environment
  • a process directed by top-management with input
    from other stakeholders that seeks to achieve
    above- average returns for investors through
    effective use of the organization's resources
  • a set of activities that will assure a
    sustainable competitive advantage and
    above-average returns for the firm
  • 21. The first step in the social marketing
    planning process is ________.
  • designing the market offering
  • determining the focus of the program
  • setting objectives and goals
  • selecting the target audience

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  • 22. Moving into international markets is a
    particularly attractive strategy to firms whose
    domestic markets__________.
  • have too much regulation
  • demand a differentiation strategy for success
  • are limited in opportunities for growth
  • have developed unfriendly business attitudes
    toward the industry
  • 23. Aisha is a marketing manager with Injoos, a
    company that manufactures packaged fruit juices.
    Knowing that several other companies exist in the
    market that offer similar products, Aisha decides
    to build a customer base from among those who
    prefer to avoid mass media and other targeted
    promotions. Which of the following marketing
    communications tools would be her best option to
    build a favorable impression among the
    prospective customers?
  • direct marketing
  • sales promotions
  • personal selling
  • public relations
  • 24. Viewing the world through the customer's eyes
    and constantly seeking ways to create more value
    for the company enhances__________.
  • affiliation with the customer
  • the richness of the relationship with the
    customer
  • the ability to identify the customer
  • the reach of the company toward the customer

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  • 25. Backward integration occurs when a
    company_________.
  • produces its own inputs
  • is divesting unrelated businesses
  • is concentrated in a single industry
  • owns its own source of distribution of outputs
  • 26. Successful implementation of the
    differentiation strategy requires a structure
    that___________.
  • focuses on the finance function
  • is dominated by the operations function
  • has specialized jobs.
  • decentralizes decision making
  • 27. Which of the following can a company do to
    reduce defection
  • Distinguish the causes of customer attrition and
    identify those that can be managed better.
  • Increase customer lifetime value by increasing
    the non-monetary costs of products.
  • Enhance the growth potential of existing
    customers through cross-selling and upselling.
  • Attract new customers to try out the company's
    products.

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11
  • 28. Southwest Airlines offers a Rapid Rewards
    program that allows customers to count flights
    they have taken toward free future flights. This
    is an example of a(n) ________.
  • club membership program
  • cross-selling program
  • activity-based costing program
  • value delivery system
  • 29. Organizational structure__________.
  • specifies the firm's formal reporting
    relationships, procedures, controls, and
    authority and decision-making processes
  • specifies the firm's formal value proposition,
    the markets it will serve, and how the firm will
    provide value in those markets
  • specifies the firm's control mechanisms,
    grievance procedures, reporting relationships,
    procedures, and authority over decision-making
    processes
  • specifies the firm's informal reporting
    relationships, procedures, controls, and
    authority and decision-making processes
  • 30. ________ is a form of online word of mouth,
    or "word of mouse," that encourages consumers to
    pass along company-developed products and
    services or audio, video or written information
    to others online.
  • Viral marketing
  • Microsite marketing
  • Interstitial marketing
  • Guerrilla marketing

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About Author   This article covers the topic for
the University Of Phoenix STR 581 Week 6 Capstone
Final Examination, Part Three (Newest). The
author is working in the field of education from
last 5 years. This article covers the basic of
STR 581 Week 6 Capstone Final Examination, Part
Three (Newest) from UOP. Other topics in the
class are as follows STR 581 Week 2 Capstone
Final Examination, Part One STR 581 Week 4
Capstone Final Examination, Part Two STR 581 Week
6 Capstone Final Examination, Part Three STR 581
Week 6 Capstone Final Examination, Part Three
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