81.The headline read, “With its share languishing at the lowest point in a decade, Kraft Foods needs to convert reorganization into growth.” What kind of a grand strategy is the headline recommending Kraft implement?
82.In an attempt to stop declining profitability, ICI, a British chemical company, deleted petrochemical products from its production and concentrated on specialty chemicals, a less capital intensive, less cyclical business. What type of a grand strategy was ICI using?
83.Borealis is a chemical manufacturer in Denmark. The company is continuing its successful operation by sharpening its focus on innovation and increasing spending on high-end production capacity. In terms of grand strategies, Borealis is using a __________ strategy.
84.Carnival Corp. has purchased a total of 12 different cruise ship lines over the last decade to make it the world’s most profitable cruise line operator. Carnival Corp. used _____ to increase its profitability.
b.a stability strategy
c.a pioneering strategy
e.a repositioning strategy
85.Companies can achieve growth by:
a.shrinking the scope of their business
b.growing internally through direct expansion or creating new businesses
c.deleting all cash cows from their portfolios
d.only maintaining stars in their portfolios
e.doing all of these
86.Companies that are following a __________ strategy would be most likely to try to improve the way in which they sell the same goods or services to the same customers.
87.In an attempt to stop declining profitability, ICI, a British chemical company, deleted petrochemical products from its production and concentrated on specialty chemicals, a less capital intensive, less cyclical business. If ICI is successful in making the needed changes, it will more than likely implement a __________ strategy.
88.The __________ strategy is analogous to pruning roses.
89.A(n) __________ strategy is a corporate strategy that addresses the question “How should we compete in this industry?”
90.According to Harvard professor Michael Porter, five industry forces—character of rivalry, threat of new entrants, threat of substitute products or services, bargaining power of suppliers, and the bargaining power of buyers—determine an industry’s overall attractiveness and its:
a.potential for long-term change
b.potential for short-term profitability
c.level of risk
d.potential for long-term profitability
e.potential for short-term growth