Deck 6: Resource Analysis

Question 1

A resource analysis by resource category considers such elements as the

A) market share, technology, and employee capabilities
B) population, social values, and technology
C) economy, government regulation, and product life cycle
D) break-even point, interest rates, and consumer preferences

Answer 1

A

Question 2

A resource-pushed strategy is one that

A) lacks sufficiency
B) leverages unique capabilities
C) is sustainable
D) can be readily copied

Answer 2

B

Question 3

Resources with the potential to provide a sustainable advantage as opposed to a competitive advantage can be

A) modified by the competitor
B) upgraded reasonably easily
C) purchased in factor markets
D) leveraged by the organization

Answer 3

D

Question 4

One of the considerations when evaluating resource gaps is the

A) cost of failure
B) likelihood of government subsidies
C) nature of a competitive response
D) product market focus

Question 5

Core competencies give an organization the opportunity to compete on the basis of its

A) product market focus
B) alliances
C) unique resources
D) performance

Question 6

Resource durability is sometimes associated with a

A) procedure
B) patent
C) brand
D) position

Question 7

Some of the resources required to execute a strategic proposal include

A) forecasts, budgets, and sales projections
B) financial, procedural, and environmental
C) operating, management, and equipment
D) financial, operating, and marketing

Question 8

The adequacy of available resources is relative to the

A) size of the organization
B) demands of the strategic proposal
C) managerial preferences
D) number of competitors

Question 9

Resources that have the potential to give an organization a competitive advantage are

A) expensive, readily transferrable, covered by patents, and developed over time
B) single purpose, embedded in organizational routines, easy to copy, short lived
C) valuable, rare, difficult to copy, and organized effectively
D) codified, sustainable, technical, and sufficient

Question 10

Competitive advantages that are not intuitively obvious are an example of

A) causal ambiguity
B) competitive parity
C) inimitable resources
D) path-dependency

Question 11

The core skills of an organization represent

A) managerial know-how and strong links to the investor community
B) knowledge and experience developed over time
C) proprietary technology and alliances with the scientific community
D) capacity to raise capital and flexible work rules

Question 12

Strategic proposals that fit well with the environment and available resources are further evaluated based on

A) product-market focus
B) break-even point
C) the level of initial investment
D) managerial preferences

Question 13

The purpose of evaluating the strategy-resources linkage is to test for

A) profitability
B) managerial fit
C) material gaps
D) sustainability

Question 14

Distinctive competencies are activities an organization

A) has outsourced
B) performs better than its competitors
C) has integrated with its suppliers
D) requires no improvement

Question 15

A capability arising from a network of relationships is known as

A) integrative thinking
B) social complexity
C) path dependency
D) managerial know-how

Question 16

An organization's resources can be enhanced or undermined by

A) how rare the resources are
B) the organization's product market focus
C) the break-even point
D) the organization's social values

Question 17

Resources that can be used by the organization to address an environmental threat are

A) valuable
B) rare
C) sustainable
D) easy to copy

Question 18

One of the elements taken into consideration when conducting a resource analysis by strategy component is

A) managerial preferences
B) break-even point
C) government regulation
D) value proposition

Question 19

The advantage provided by resources that are held by few competitors is

A) enduring
B) sustainable
C) temporary
D) enabling

Question 20

Path-dependency refers to resources that arise from a

A) competitive price war
B) series of events occurring over time
C) patent infringement
D) change in government policy

Question 21

Interconnected organizational capabilities are seldom sources of competitive advantage.

Question 22

Resources can drive strategy, but they seldom constrain strategy.

Question 23

Inwardly focused firms that base their strategies on leveraging existing resources are well positioned to take advantage of changes in customer preferences.

Question 24

In a rapidly changing environment, organizations need resources that are

A) stable
B) easily replicated
C) adaptable
D) single-use

Question 25

A firm's value chain of activities is sometimes referred to as

A) horizontal integration
B) competitive parity
C) structural functionality
D) vertical integration

Question 26

The purpose of assessing an organization's capabilities is to determine what the

A) competition might do in response
B) government might choose to regulate
C) suppliers might try to copy
D) organization might do to leverage an opportunity

Question 27

The social values of an organization can enhance or undermine the resources of the organization.

Question 28

Strategic proposals with formidable resource gaps should be abandoned.

Question 29

The scope of a firm is traditionally defined by its

A) work force, assets, and location
B) product line, production capacity, and technological base
C) product market, geography, and vertical integration
D) technology, employee capabilities, and procedures

Question 30

Qualitative resource requirements are often difficult to predict.

Question 31

Resources considered to be valuable give the organization a sustainable competitive advantage.

Question 32

Unique historical conditions can give an organization a competitive advantage.

Question 33

Innovative strategic proposals built on unique resources are unlikely to fail.

Question 34

One of the factors to consider when evaluating the strategy-resource linkage is the feasibility of closing any material gaps.

Question 35

Resources that are easy to imitate or readily substitutable give the organization a competitive advantage.

Question 36

Diversification can be defined as an organization's ability to

A) define the scope of its operations
B) divest of non-core activities
C) match the capabilities of its competitors
D) leverage its current resources

Question 37

A strategy based on superior product features will require a careful analysis of the development resources of the organization.

Question 38

A firm's logistics capability is an example of an operational resource.

Question 39

Resources provide an organization with the potential to act.

Question 40

The value of a resource depends on the context in which it is intended to be used.

Question 41

When an organization is in crisis, it is sometimes easier to advance riskier proposals.

Question 42

Gap-closing initiatives that depend on some form of organization change are riskier than those entailing additional costs.

Question 43

In rapidly changing environments, organizations need resources that can be re-configured relatively easily.

Question 44

Failure to implement a strategic proposal may result in penalties such as loss of market position.

Question 45

Opportunities and threats emerge from a scan of the internal environment.

Question 46

Strategic alliances are sometimes used to complement the capabilities of the organization.

Question 47

An acquisition could be a mechanism for addressing a resource gap.

Question 48

The purpose of testing the strategy-resource linkage is to establish where value can be created.

Question 49

Testing the strategy-resource linkage identifies what the organization needs to do to compete.

Question 50

Leveraging current resources is an example of horizontal diversification.