41.Imagine Dow Chemical is conducting a situational analysis. According to its sales, Dow is the second largest chemical company in the world. BASF is the largest. Both companies use a similar strategy. Within Dow’s situational analysis, BASF would be classified as a:
42.In categorizing companies into strategic groups, __________ are companies whose strategies are changing from one strategic position to another.
43.Polaroid and Kodak are two companies in the film-based imaging industry that use similar strategies and would likely have been __________ in each other’s strategic groups until Polaroid declared bankruptcy, and Kodak took the leadership role in developing digital technology.
44.Polaroid and Kodak are two companies in the film-based imaging industry that once used similar strategies. Now Kodak is changing its strategy and adopting a leadership role in the development of digital technology. If Polaroid were to conduct a situational analysis, in which strategic group would it most likely place Kodak?
45.When Kraft Foods decided to reorganize itself, it chose to follow the same model that Procter & Gamble, another consumer products manufacturer, was using as it dissolved its country-by-country organizational structure and created three global business structures. In terms of Kraft’s strategic group, Procter & Gamble was a:
46.Top managers at Reebok looked at what Nike, New Balance, and smaller athletic shoe manufacturers like Majestic were doing to reach their chosen target markets and decided upon comparison that it wanted to risk targeting the hip-hop market. Reebok’s strategy is much more like the one implemented by New Balance. Unlike Nike, neither Reebok nor New Balance uses athletes as spokespeople for its products. Therefore, Nike would be an example of a _____, and New Balance would be an example of a _____ for Reebok.
a.transient firm; secondary firm
b.secondary firm; core firm
c.transient firm; core firm
d.core firm; secondary firm
e.secondary firm; transient firm
47.When doing an analysis of strategic groups to assess external environmental threats and opportunities, __________ firms are firms that use related but somewhat different strategies than __________ firms.
48.A _____ is a committee within a company that analyzes the company’s own weaknesses to determine how competitors could exploit them for competitive advantage.
a.special-purpose SWOT team
b.functional task force
c.shadow-strategy task force
d.new-product development committee
e.self-managed strategic team
49.Reebok hopes to change the rules of sneaker marketing, abandoning high-priced celebrity-athlete endorsements in favor of the harder-to-control world of high fashion. It must also convince consumers that a company that was once decidedly unhip is producing cool shoes through its marriage of hip-hop and Japanese fashion. In terms of the Strategic Reference Point Theory, Reebok has adopted a _____ strategy.
50.Which of the following statements about the Strategic Reference Point Theory is true?
a.The theory does not consider risk factors.
b.The theory is deterministic.
c.The theory may lead to bureaucratic management.
d.This theory recommends that managers not change strategic reference points.
e.None of these statements about the Strategic Reference Point Theory is true.