Strategic Management Creating Competitive Advantages 5Th Canadian Edition By Gregory – Test Bank
Chapter 03
Analyzing the Internal Environment of the Firm
Multiple Choice Questions
1. Inbound logistics include
A. machining and packaging.
B. warehousing and inventory control.
C. repair and parts supply.
D. promotion and packaging.
Difficulty: Medium
Accessibility: Keyboard Navigation
Learning Objective: 03-02 How individual activities within the firm add value and how interrelationships among activities within the firm; as well as between the firm and its suppliers and customers; create value.
Topic: 03-02 Primary Activities
2. _____ are associated with collecting, storing, and distributing the product or service to buyers. They consist of warehousing, material handling, delivery operation, order processing, and scheduling.
A. Services
B. Inbound logistics
C. Outbound logistics
D. Operations
Difficulty: Medium
Accessibility: Keyboard Navigation
Learning Objective: 03-02 How individual activities within the firm add value and how interrelationships among activities within the firm; as well as between the firm and its suppliers and customers; create value.
Topic: 03-02 Primary Activities
3. A marketing department that promises delivery faster than the production department’s ability to produce is an example of a lack of understanding of the
A. interrelationships among functional areas and firm strategies.
B. need to maintain the reputation of the company.
C. organizational culture and leadership.
D. synergy of the business units.
Difficulty: Hard
Accessibility: Keyboard Navigation
Learning Objective: 03-02 How individual activities within the firm add value and how interrelationships among activities within the firm; as well as between the firm and its suppliers and customers; create value.
Topic: 03-02 Primary Activities
4. Advertising is a _____ activity. Supply of replacement parts is a _____ activity.
A. primary; primary
B. support; primary
C. support; secondary
D. primary; support
Difficulty: Easy
Accessibility: Keyboard Navigation
Learning Objective: 03-02 How individual activities within the firm add value and how interrelationships among activities within the firm; as well as between the firm and its suppliers and customers; create value.
Topic: 03-02 Primary Activities
5. All of the following are considered advantages of a just-in-time inventory system, except:
A. Reduced raw material storage costs
B. Minimized idle production facilities and workers
C. Reduced work-in-process inventories
D. Reduced dependence on suppliers
Difficulty: Medium
Accessibility: Keyboard Navigation
Learning Objective: 03-02 How individual activities within the firm add value and how interrelationships among activities within the firm; as well as between the firm and its suppliers and customers; create value.
Topic: 03-02 Primary Activities
6. In assessing its primary activities, an airline would examine
A. employee training programs.
B. baggage handling.
C. criteria for lease versus purchase decisions.
D. the effectiveness of its lobbying activities.
Difficulty: Medium
Accessibility: Keyboard Navigation
Learning Objective: 03-02 How individual activities within the firm add value and how interrelationships among activities within the firm; as well as between the firm and its suppliers and customers; create value.
Topic: 03-02 Primary Activities
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