BUS 499 All Weeks Quizzes Click below link for Answer https://www.sobtell.com/q/tutorial/default/206375-bus-499-all-weeks-quizzes https://www.sobtell.com/q/tutorial/default/206375-bus-499-all-weeks-quizzes Video Quiz: lululemon (Ch 1) Lululemon’s value-creating strategy is best described by which of the following statements? a. Following a wholesale model allows Lululemon to minimize its costs. b. Following a diversification model allows Lululemon to offer numerous products to athletes. c. Following a vertical model gives Lululemon a margin structure that is beneficial. d. Lululemon has no specified value-creating strategy. From CEO Laurent Potdevin's comments, which of the following would be closest to Lululemon's mission? a. For the serious athlete, function over fashion. b. Focus on the fashion of athletics. c. Provide people with the components to live a longer, healthier, and more fun life. d. If you have a body, you are an athlete, and we have the clothes for you. The "intersection of function and fashion" provides which of the following to Lululemon? a. Resources b. Competitive advantage c. Risk d. Hypercompetition Which of the following of Lululemon's stakeholders would benefit most in financial terms from the margin structure that CEO Laurent Potdevin describes? a. Capital market shareholders b. Employees c. Customers d. Suppliers Hypercompetitive environments are most common among global competitors, and Lululemon would fall into this category. Which of the following is a characteristic of hypercompetition that is an essential part of Lululemon's strategic management process? a. High barriers to entry b. A low-cost environment c. A monopoly on resources d. Successful innovation Which aspect of strategic leadership is CEO Laurent Potdevin demonstrating in this video? a. Decision maker b. Communicator c. Implementer d. Innovative thinker Guided Case: Watch out all Retailers (Ch 2) Read the end of chapter mini-case , and then complete the exercise. Analyze the Case Which three parts of the external environment affect Amazon's competitive actions and responses?
a. General, industry, and competitor b. Competitor, demographic, general c. Economic, competitor, industry d. Industry, competitor, sociocultural Analyze the Case Which segment of the general environment incudes the functions that allow people to shop online at Amazon? a. Demographic b. Sociocultural c. Technological d. Sustainable physical environment Analyze the Case How large of an area should Amazon be scanning to analyze changes in its environment? a. Global b. State-wide c. National d. Local Analyze the Case Which of the following describes how Amazon views Walmart? a. Partner b. Threat c. Complementor d. Opportunity Determine Strategy Which of the following segments most affected Jet.com's decision to charge $50 for its annual membership fee? a. Political/legal b. Sociocultural c. Technological d. Economic Determine Strategy Which of the following limits formation of strategic groups in Amazon's retail industry? a. Low mobility barriers b. Low rivalry c. Low technology d. Low resources Determine Strategy After completing an industry analysis, which of the following companies will be forecasted to be the biggest challenge to Amazon in the future? a. Barnes & Noble b. Jet.com c. Walmart d. Google Implement and Drive Performance After implementing a strategy, which of the following forces of competition should a business such as Barnes & Noble be aware of before losing its market share to a competitor? a. Threat of new entrants b. Bargaining power of suppliers c. Threat of substitute products d. Bargaining power of buyers
Implement and Drive Performance After implementing a strategy, which of the following describes a characteristic that a retailer such as Amazon wants to see in an industry analysis? a. Strong competitive forces b. High entry barriers c. Intense rivalry d. Suppliers with strong bargaining power Implement and Drive Performance Which of the following describes how Barnes & Noble has responded to its loss of market share to a large competitor in its strategic group? a. It began offering a wide variety of products. b. It closed. c. It established a market niche. d. It became an online-only business. Video Quiz: Toyota (Ch 3) Before making the decision to invest in Uber, managers at Toyota undoubtedly conducted an internal analysis. In order to choose the strategy that will enable their company to attain a sustained competitive advantage through this decision, in what other activity would Toyota managers have engaged in conjunction with this internal analysis? a. An analysis of the company's external environment b. An analysis of the company's finances and operations c. Nothing - an internal analysis is sufficient on its own. d. The support of C-level management and majority stockholders What is the distinctive competency Toyota appears to be hoping to achieve by investing in Uber Technologies? a. Resources b. Intellectual property c. Organizational architecture d. Basic factors of production The relationship between value and price is important to a company. Which of the following accurately captures value and price in this scenario? a. Neither price nor value are applicable in this investment scenario. b. The market defines the $500 million amount Toyota invested in Uber, while Uber defines the investment's value to Toyota. c. Value is defined as what Toyota receives from its investment of $500 million. The "price" of $500 million is the amount Uber decided to "charge" for sharing the technology. d. Toyota, as the "customer," defines the $500 million amount (or price) it invested in Uber, while Uber defines the investment's value to Toyota. The investment that Toyota makes in Uber is an investment in which part of Toyota's valuechain activities? a. Primary activities b. Support activities c. P – C d. Information systems Uber's technology development in which Toyota is investing will bring a product that has superior attributes to existing products. Which of the following would be involved in this aspect of development? a. Productivity
b. Customer response time c. Product innovation d. Process innovation Because Toyota's investment essentially increases the level of R&D spending for a given level of sales revenues, what would be the effect on Toyota's return on invested capital (ROIC)? a. Increasing ROIC by decreasing return on sales b. Decreasing ROIC by increasing return on sales c. Decreasing ROIC by decreasing return on sales d. Increasing ROIC by increasing return on sales Video: What Would You Do? (Ch 4) Burberry faced a difficult problem when its products were adopted by "chavs" or "a young lower-class person who displays brash or loutish behavior." (Oxford English Dictionary, 2016) They were originally a company that made products for high-class, refined customers who wanted to buy luxury apparel. Once "football hooligans" started buying and wearing their signature plaid design, their image was damaged. Burberry needed to decide on a business strategy – who were they trying to sell to, and were they going to use a cost leadership strategy, a differentiation strategy, or a focus strategy? If you were the CEO of Burberry, what do you think you would have done? a. Use a focus strategy – Target a very particular group of customers, for example football fans between 18 and 25, or professional females who live in London. Create products that will have high value for that group, and sell them accordingly. b. Use a differentiation strategy – Reduce the number of item types sold, and mark the prices of individual items up. Convince customers that the value of the items makes them worth an increased price. c. Use a cost leadership strategy – Create products that can be manufactured and sold at a price lower than that of competitor's products. Sell more products to a larger group of customers. Guided Case: Aldi (Ch 5) Read the end of chapter mini-case , and then complete the exercise. Analyze the Case Which of the following is a likely reason for a retailer to close its stores when challenged by a new retailer such as Aldi? a. Poor business practices b. Failure to support its customers c. Failure to conduct a competitor analysis d. Poor product selection Analyze the Case Which of the following received a first-mover benefit among the competitors in the American grocery market? a. Lidl b. Aldi c. Walmart d. Morrison Analyze the Case Which of the following is NOT a factor in predicting how a firm is likely to respond to competitive actions such as those taken by Aldi? a. The challenger's size b. The challenger's reputation
c. The type of competitive action d. Market dependence Analyze the Case How have Aldi's innovations affected wholesalers and other suppliers? a. Retailers display more brands on their shelves. b. Suppliers produce less variety in their products. c. Prices have declined. d. Aldi's innovations have not affected its suppliers. Determine Strategy Which of the following is the basis for Aldi's business strategy? a. Low cost b. High quality c. Unique products d. Customer service
Determine Strategy Why do retailers like Aldi engage in competitive rivalry? a. To improve the quality of the products they sell b. To gain an advantageous market position c. To support their customers d. To encourage suppliers to provide better products Determine Strategy Which of the following is a reason that a retailer might NOT engage in competitive rivalry with a new challenger such as Aldi? a. It is aware of a competitor's challenge to its business. b. It perceives that its market position will neither improve nor suffer. c. It realizes that the competitor is challenging its business. d. It has the ability to respond to an attack by the competitor. Implement and Drive Performance Which of the following provides feedback to a retailer such as Aldi based on a competitive reality model? a. First-mover benefits b. Market dependence c. Awareness d. Market position Implement and Drive Performance Which of the following American competitors was forced to close all of its stores as a result of its competitive rivalry with Aldi? a. Bottom Dollar b. Sam's c. Costco d. Walmart Implement and Drive Performance Which of the following is exemplified by Morrison's decision to cut costs in order to compete with Aldi? a. Strategic action b. Tactical action c. Strategic response
d. Tactical response Video Quiz: Starbucks (Ch 6) By purchasing La Boulange, Starbucks is implementing a ______________ in the hopes of gaining a competitive advantage. a. business-level strategy b. corporate-level strategy c. small business strategy d. industry-level strategy How is Starbucks diversifying itself by purchasing La Boulange? a. By increasing its product offerings to include bakery items. b. By decreasing its product offerings to focus primarily on bakery items. c. By maintaining its product offering of premium beverages. d. By eliminating its current product offerings and offering bakery items instead. How does Starbucks' current market power increase its chances for success in expanding its product offerings to include bakery items? a. Starbucks is able to sell its products below its competitors' price point because it already brings in enough profit from coffee to keep growing. b. Starbucks is able to sell its beverage products and new bakery products at a lower price point than its competitors because it has a diverse product offering. c. Starbucks is able to sell its beverage products at a lower price point and its new bakery offerings at a premium price point. d. Starbucks is able to sell both its coffee and bakery products above its competitors' price point because it has a strong differentiation. By purchasing La Boulange and operating the bakery as Starbucks' sole supplier, Starbucks is able to control the value, quality, and costs associated with its products. These value chain efforts to increase profitability are called: a. tapered integration. b. vertical integration. c. horizontal integration. d. vertical disintegration. What form of vertical integration is Starbucks using in purchasing La Boulange? a. Forward vertical integration b. Middle vertical integration c. Backward vertical integration d. Horizontal integration Starbucks' previous attempts to include food in its product offerings have met with mediocre results. Currently, only one-third of customers buy food products at Starbucks. How does using vertical integration increase Starbucks' financial risk by buying and operating its own bakery supplier? a. The bakery supplier will begin to take precedence over the development of its beverages. b. Demand is predictable. c. Demand is unpredictable. d. Starbucks can establish market power in the bakery industry. Starbucks is implementing a corporate-level strategy to diversify its product offerings by purchasing La Boulange in an effort to: a. increase Starbucks' value to customers by improving its quality and overall performance in its industry. b. maintain Starbucks' value to customers by continuing to offer bakery products. c. decrease Starbucks' value to customers but improve its profitability through cost cutting. d. increase Starbucks' value to customers and lower its cost structure.
What is a value-increase reason for Starbucks to diversify its product offerings to include bakery items? a. To help Starbucks executives receive higher compensation as a result of implementing more complex operations. b. To help Starbucks develop a more competitive position. c. To help Starbucks match and neutralize a competitor's advantage. d. To help Starbucks develop less of a competitive position. You Make the Decision: Lockheed Martin (Ch 6) Strategic Diversification: Lockheed Martin Lockheed Martin has been a recognized brand in technology for aeronautics and space systems for decades. The U.S. government is Lockheed Martin’s main customer. Recently, as large-scale military actions have decreased across the globe, the government has been consuming less of Lockheed Martin’s offerings. As a top executive of Lockheed Martin, you’ve been asked to consider the opportunities to diversify into new markets in order to remain competitive and continue to increase profits. Through which strategy do you believe Lockheed Martin would be most profitable to pursue diversification? Unrelated diversification Related diversification Related Diversification By pursuing related diversification, you are choosing to explore innovative products that remain within the scope of aeronautics, space systems, and electronic systems—Lockheed Martin’s current specialties. Which of these space-related business opportunities might you pursue to balance your dependence on government contracts? Continue to serve U.S. government space systems through NASA. Begin a venture in the private sector for space tourism. Space Tourism You chose to enter into the embryonic space tourism industry in the private sector. Your board of directors supports this move and believes tourism is the future of space. However, they are concerned about the overall cost. How will you pursue the venture into tourism? Collaborate with an established space tourism firm, specifically Virgin Galactic. Begin your own space tourism project alone by developing a complete Lockheed Martin space airliner. Sharing Activities vs. Vertical Integration In deciding to collaborate with Virgin Galactic’s space tourism ventures, Lockheed Martin must determine how its business unit in this sector will operate. You recommend to the top executives at the firm that the most cost-effective way to do this is by: sharing activities within your business units to put your expertise into Virgin Galactic’s existing projects. vertically integrating all of the processes necessary to develop space tourism vehicles, ticketing, customer service, and sales. Video Quiz: Comcast (Ch 7) Comcast had been planning to purchase Time Warner for $45 million as a(n) _____________. a. acquisition b. merger c. joint venture
d. franchise Why did the government and consumers have regulatory opposition to the proposed merger between Comcast and Time Warner? a. The merger would result in Comcast and Time Warner providing more than half of all broadband services in the U.S. b. The merger was unfair to other firms who were seeking to merge with Time Warner. c. Government officials would prefer a different partnership. d. Consumers aren't satisfied with Time Warner Cable services and want more diversified options. Why would Comcast's partnership with Time Warner be considered a merger instead of an acquisition? a. The companies would have integrated their operations on a coequal basis. b. Comcast was planning to take over Time Warner. c. Time Warner was planning to take over Comcast. d. The companies were going to remain separate operations. Although the merger between Comcast and Time Warner didn't go through, why might Comcast continue exploring merger options? a. To bring its services to new locations b. To continue attempting a takeover of the broadband services market c. To access capabilities other companies have distinct competencies in d. To impose its services on all broadband customers in the U.S. As demonstrated by the attempted merger of Comcast and Timer Warner, what factor prevented the firms from receiving regulatory approval in a merger? a. The merger would have created too much competitiveness in the market. b. The merger would have made Comcast a monopoly. c. The anti-competitiveness that the merger would have created in the market. d. The merger would have made Time Warner a monopoly. Now that Comcast is still in the market to create a merger, which of the following companies would be the ideal candidate? a. A large broadband service company with different operations as Comcast b. A small broadband service company with similar operations as Comcast c. A large broadband service company with similar operations as Comcast d. A small broadband service company with different operations as Comcast Video Quiz: Tomberlin Automotive (Ch 8) Tomberlin Automotive has enjoyed which benefit of international strategy by manufacturing in China? a. Market size b. Location advantage c. Economy of scale d. Economy of learning Establishing manufacturing in China for producing Tomberlin Automotive vehicles is an important international strategy for the company. However, if the country doesn't maintain proper infrastructure for shipping the product overland and exporting it back to the U.S., this strategy could pose what kind of risk to the company? a. Political b. Economical c. International d. Geographical
If Tomberlin Automotive decided to add a sales office in China, in addition to its manufacturing, it would be implementing a(n) __________________ by expanding manufacturing to China. a. National strategy b. International strategy c. Local strategy d. Domestic strategy What would an advantage be for Tomberlin Automotive to sell in China in addition to manufacturing? a. Increased market size b. Decreased cost structure c. Reduction of political and economic risks d. Regionalization Which of the following most describes a limitation of Tomberlin Automotive's international expansion of its manufacturing? a. Cultural differences of Chinese manufacturing versus American manufacturing practices. b. Access to raw materials within China is limited. c. The farther geographically the operations are dispersed, there are higher costs of coordination between units and the distribution of the products. d. Trade barriers exist between China and the U.S., making it more expensive to manufacture in China and import to the U.S. The partnership between Tomberlin Automotive and the Chinese manufacturing plant can best be described as a(n): a. acquisition. b. exporting. c. licensing. d. strategic alliance. Video Quiz: Jaguar Land Rover (Ch 9) Jaguar-Land Rover and Chery's partnership can be described as: a. a joint venture. b. exporting. c. licensing. d. franchising. What is a joint venture? a. A company sets up an entirely new operation in a foreign market to promote its products from its home market. b. A strategic alliance in which two or more firms create a legally independent company to share some of their resources to create a competitive advantage. c. A company has a centralized location for production and then exports the products to various foreign markets. d. Customizing a company's goods or services to match the tastes and preference of different national markets to increase profitability. According to the video, one in five Jaguar-Land Rover purchases are from Chinese buyers. The luxury car brand has also seen an 80% increase in sales in the Chinese market since the beginning of 2015. Based on these numbers, why does it make sense to diversify production into China? a. Most of its production is for the Chinese market anyway. b. China will soon become Jaguar-Land Rover's main market. c. China is the largest emerging market for Jaguar-Land Rover. d. China is the smallest emerging market for Jaguar-Land Rover.
If you were an executive at Jaguar-Land Rover, why might a joint venture be a safer option over another entry mode? a. It enables Jaguar-Land Rover to gain the expertise from experienced Chinese auto manufacturer Chery, when developing models for the preferences of Chinese customers. b. It would avoid the responsibility if the joint venture failed. c. Jaguar-Land Rover could put its production in the hands of the Chery Automobile managers to increase chances of success. d. Jaguar-Land Rover would maintain control of its technology. Entering into a joint venture with Chery Automobile enables Jaguar-Land Rover to: a. Become a sub brand of Chery Automobile. b. Delegate production from the local market without ever having to actually go to China. c. Avoid responsibility for half of the factory built in China. d. Learn about how to serve the Chinese market according to its local partner's experience. Entering into a new industry involves substantial risks and costs because a company must make the huge investment necessary to develop the set of value-chain activities required to make and sell. This is why joint ventures are commonly used to enter a(n) ______________. a. crowded industry b. acquisition c. growth industry d. new business unit By entering into a joint venture with Chery' Automobile, Jaguar-Land Rover will be depending on some of Chery's distinct competencies. What is one of those competencies that will aid Jaguar-Land Rover in diversifying its car manufacturing to China? a. Competency of serving the local Chinese market b. Competency in serving the international Chinese market c. Competency of manufacturing Jaguar-Land Rover cars d. Competency of doing business with American companies Video: What Would You Do? (Ch 10) If you were a senior executive at Alibaba, would you have made the same decision? Which of the following would you recommend for taking the company's stock public? a. List on the New York Stock Exchange to avoid China's governance structure rule b. Keep the company private and seek additional private investors to raise capital. c. List on the Hong Kong Stock Exchange to show confidence in the Chinese economy and allow the Chinese consumers who have built up the Alibaba brand to buy stock in the company. You Make the Decision: Avon (Ch 10) Satisfying Stakeholders During collaboration with the Board of Directors there are two options that seem viable. One option is to focus on satisfying the needs and wants of the sales representatives and customers. This idea has a lot of traction because all of the board members agree that a larger focus on customers and representatives would increase sales as they are the true drivers of the company. This is much like the priorities of David H. McConnell, the founder of Avon. The other option is to focus on the goal of satisfying shareholders by focusing on profitability. This option has its opponents and supporters as well. Which option is aligned with the goal of bringing Avon back to its core mission and values? Satisfy shareholders Satisfy sales representatives and customers Satisfy Shareholders
The Board members are concerned with your decision, but they trust in your judgment. They want to know how you plan to drive profitability and satisfy the shareholders. You offer two solutions. The first is to drive up profits through pricing and commission restructuring, focusing on the cost of sales and margins. Another option is to motivate the sales representatives with a lavish, expensive getaway to Las Vegas. You tell the Board that the only reason sales are not where they should be is because the sales representatives are unmotivated. The board members each cast their vote for one of your two options. The result is a tie, and you are the deciding vote. Which option do you choose? Drive profits through distribution Lavish party in Las Vegas Drive Profits through Distribution The Board is intrigued by your decision and enthusiasm in helping to generate ideas. Two options become apparent. One is to raise prices and increase profit margins. The Board members believe that customers are loyal and have an elastic demand for Avon, even though Avon has a history as a value brand. The other option is to recruit new sales representatives who will target the high-end customers and sectors where Avon has a weak presence. By recruiting representatives who are in the same socioeconomic class as potential clients, Avon will be better able to compete in these spaces. Which plan is most likely to grow your customer base and overall revenues? Recruitment of sales representatives Higher prices Recruitment of Sales Representatives The new sales representatives are penetrating their new market and acquiring new, loyal customers. They are very active in their selling and sales revenue is trending up. However, the representatives have voiced concern. They feel that they could be earning more. You explain this to the board and deliver two options. One option is that an increase in variety of products may fill voids on sales that were lost to competitors with solutions. This will require a considerable investment in research and development. A failure in this project could bankrupt Avon. The other option is to cut some products and focus on product rationalization. This will have a focus on the core products that have been tried and true throughout the history of Avon. Which direction should Avon take? More variety of products Product rationalization Video: What Would You Do? (Ch 11) Google is the industry "innovator and leader" in many facets. Even with being a powerhouse, what would you suggest in regards to reorganization? a. Move Larry Page to Chairman and keep Eric Schmidt as Chief Executive b. Support the move of Eric Schmidt to Chairman and Larry Page as Chief Executive of new company, Alphabet c. Keep Eric Schmidt as Chief Executive and Larry Page and Sergey Brin in their current roles Video Quiz: Google (Ch 11) What facet of the company has Google recently changed by moving Eric E. Schmidt to chairman of the Board of Directors? a. Organizational control b. Organizational structure c. Strategic control
d. Financial controls One reason behind Google's recent change is to increase the speed of decision making. What capability of Google would change? a. Financial controls b. Strategic controls c. Structural stability d. Strategic flexibility Eric Schmidt mentioned some of the business units of Google that are successful. The units mentioned were Android, Chrome, core search, Maps, and display advertising. With these business units, which functional structure would be recommended? a. Strategic business unit form b. M-form c. Cooperative form d. Competitive form What challenge may Google need to overcome when making the change to its corporate structure? a. Legal regulations b. Organizational inertia c. Board of Directors d. Structural stability Google's structure has been a key to its success. What capability did Eric Schmidt describe that was the key to Google's success? a. Innovation b. Stability c. Flexibility d. Financial controls For ten years, Google had a trio running the company. This team was Eric Schmidt as CEO, and the two co-founders, Larry Page and Sergey Brin. The chapter opens with Luxottica, the world's largest eyewear company, being analyzed for a similar structure. The key discussion is around the company's future success vs. potential declines from this structure. Why would analysts be skeptical of this type of organizational structure? a. The employees might not know who would be the best to deliver suggestions or reports to b. The Board of Directors being unable to keep two CEOs focused on all stakeholders, as it is hard enough to keep one aligned c. The lack of leadership and capabilities of decision making d. The leaders making decisions for the company that conflict Guided Case: Can You Follow an Icon and Succeed? (Ch 12) Read the end of chapter mini-case Mini-Case Can You Follow an Icon and Succeed? Apple and Tim Cook After Steve Jobs, and then complete the exercise. Analyze the Case Tim Cook was hired as CEO of Apple from what source? a. Internal managerial labor market b. External managerial labor market c. Opportunistic managerial labor market d. Experienced managerial labor market Mini-Case Can You Follow an Icon and Succeed? Apple and Tim Cook After Steve Jobs Analyze the Case Tim Cook is described as delegating responsibilities to others, empowering them, and sharing the limelight with his leadership team. What aspect of transformational leadership does this suggest?
a. Integrity b. Respect for employees c. Emotional intelligence d. Placing culture above individual Mini-Case Can You Follow an Icon and Succeed? Apple and Tim Cook After Steve Jobs Analyze the Case Which of the following is probably one of the primary reasons that Tim Cook was the successful candidate to replace Steve Jobs as Apple's CEO? a. Cook and Jobs have similar temperaments and leadership styles. b. Cook had extensive experience in product development, design, and marketing. c. Cook had been a successful manager of operations, and then COO. d. Cook led one of Apple's largest competitors, and it was a coup for Apple to steal him away. Mini-Case Can You Follow an Icon and Succeed? Apple and Tim Cook After Steve Jobs Analyze the Case The fact that Tim Cook's career at Apple took him through the positions of manager of operations and COO prior to his appointment to CEO suggests that Apple has what in place for its top-level managers? a. Succession plans b. Mission statements c. Strategic plans d. Visionary goals Mini-Case Can You Follow an Icon and Succeed? Apple and Tim Cook After Steve Jobs Determine Strategy Now that Tim Cook has assumed the CEO position at Apple, he will have to make certain decisions to guide the firm's strategy. What characteristic of the organization is a factor that may impact Cook's managerial discretion at Apple? a. Industry structure b. Rate of market growth c. Tolerance for ambiguity d. Organizational culture Mini-Case Can You Follow an Icon and Succeed? Apple and Tim Cook After Steve Jobs Determine Strategy Under Tim Cook's leadership, the emphasis at Apple remains on innovation, which is valued in the marketplace. Because of this, it is important that Cook assemble what type of top management team? a. One that is built from the external labor market b. One that is built from the internal labor market c. One that is homogeneous d. One that is heterogeneous Mini-Case Can You Follow an Icon and Succeed? Apple and Tim Cook After Steve Jobs Determine Strategy It may seem surprising that the CEO selected to replace Steve Jobs was hired from within the firm. When considering who to appoint as CEO, the board had to consider many factors. What condition existed at Apple that would have suggested a preference to hire from outside? a. Apple's need to reverse recent poor performance b. Appreciation of Apple's culture and core values
c. Apple's need to continually innovate d. The need for the CEO to know the firm's core competencies as well as be able to develop new ones Mini-Case Can You Follow an Icon and Succeed? Apple and Tim Cook After Steve Jobs Implement and Drive Performance Several years after Tim Cook took over as CEO, Apple had a phenomenal year in which its stock price increased by 65 percent and the company's market value became the largest ever of any U.S. firm. What does this say about the success of Cook's leadership, particularly as compared to Steve Jobs'? a. Cook is a more successful leader than Jobs in terms of driving revenue. b. Jobs was a more successful leader than Cook in terms of driving revenue. c. Cook is a more successful leader than Jobs in terms of product innovation. d. It is too early to reach any conclusions, since Apple's sales still reflect Jobs' influence. Mini-Case Can You Follow an Icon and Succeed? Apple and Tim Cook After Steve Jobs Implement and Drive Performance Since Tim Cook became CEO of Apple, several major product launches missed publicly announced shipping dates, causing inconvenience and possibly harming Apple's reputation among those who were planning to buy the products. While this could impact all areas of the balanced scorecard, which was probably most affected by these delays? a. Financial b. Customer c. Internal business processes Mini-Case Can You Follow an Icon and Succeed? Apple and Tim Cook After Steve Jobs Implement and Drive Performance In 2014, Apple generated $200 billion in revenue and, with a market value of over $700 billion, its stock price increased by 65 percent. In early 2018, in spite of delays in getting some products to market, Apply had a market value of over $900 billion. This value to shareholders indicates strength specifically in which area of the balanced scorecard? a. Financial b. Customer c. Internal business processes d. Learning and growth Video: What Would You Do? (Ch 13) Imagine that you are one of the top-level managers of Rent the Runway. You and the rest of the management team are brainstorming other entrepreneurial opportunities to expand the business’s markets. You believe there is a need for other types of clothing and accessories rentals, just as there has been for evening gown rentals. Given Rent the Runway’s core competencies, which of the following is the best area in which to expand? a. Rent the Runway could branch out into rental of household items. b. Rent the Runway could add high-end kids’ clothing to its rental line. c. Rent the Runway could add men’s clothing to its rental line. Video Quiz: Rent the Runway (Ch 13) Like all entrepreneurs, Jennifer Hyman and Jennifer Fleiss recognized an opportunity they could exploit through technology, but they needed resources, such as capital and knowledge, to enter the market. How did they acquire these resources? By forming a strategic alliance with an established company in the product rental business By securing funding from investors and hiring people with complementary skills
By forming a strategic alliance with an established company in the fashion industry By using their own resources and hiring people with complementary skills In the fashion retail industry, Jennifer Hyman and Jennifer Fleiss were the first to use technology in such an innovative way. What is the best way to describe this entrepreneurial opportunity? Selling a new product to an existing market Providing an existing product to an existing market in a new way Selling an existing product to a new market Providing a new product to a new market in a new way Rent the Runway is an innovative business model. The two entrepreneurs who run the company have found a way to satisfy unmet consumer needs in a high-demand market, and as a result they are seeing high revenues and profits. Which of the following new developments is most likely to occur in the market that could pose a challenge for them? Firms in the high-end women’s fashion retail industry will imitate their business model. Firms in other industries will imitate their business model. Firms in other segments of the retail industry will imitate their business model. Firms in related industries will want to acquire Rent the Runway for its capabilities. The idea of renting high-end, expensive clothing through the Internet was a radical idea inspired by the use of technology in other rental businesses, such as Spotify and Airbnb. What is the most likely explanation as to why other existing fashion retailers didn’t jump on this opportunity first? No one within the existing firms had the creative, entrepreneurial mind-set to see the potential for using technology in this way. Over time, well-established firms invest less and less in R&D and innovative uses of technology. They assumed their customers weren’t ready to use technology in this way, so they didn’t want to take a chance on investing in the model. They were aware of the potential new use of technology, but felt that new entrants into the market using technology in this way would not pose a significant threat to their retail businesses. Rent the Runway is considered a first mover because the firm was the first to use technology to rent, rather than sell, high-end fashion for women. The firm has created tremendous value by capitalizing on its innovative idea. Which of the following has NOT been a value-adding benefit of being a first mover? The firm’s high volume of growth in rentals has allowed it to realize economies of scale. The firm has accumulated valuable knowledge about product technology, process technology, and more. Because it captured the market first, Rent the Runway has been able to steadily increase its sales volume. The firm has developed a business model that will be hard for competitors to imitate. Because it is entrepreneurial in nature, Rent the Runway is continuing to look for opportunities to exploit through innovation. Which of the following presents the best option for achieving its goals? Renting uniforms Acquiring one of its suppliers Renting tuxedos for men Forming more alliances with high-end fashion designers