Which strategy has been used successfully by Yum!

Question 1

1. Which strategy has been used successfully by Yum! Brands to establish KFC and Pizza Hut restaurants across the globe?

   Answer

   		Joint venture
   		Licensing arrangement
   		Strategic alliance
   		Marketing strategy

4 points

Question 2

1. What is the technique that illustrates how management can match the external opportunities and threats with its strengths and weaknesses to yield four sets of strategic alternatives?

   Answer

   		IFAS Table
   		EFAS Table
   		SFAS Table
   		TOWS Matrix

4 points

Question 3

1. The key to outsourcing is to purchase from the outside only those activities that:

   Answer

   		are not key to the company’s distinctive competence.
   		are very expensive.
   		provide the company competitive advantage.
   		are provided by an important supplier.

4 points

Question 4

1. Wal-Mart, McDonald’s, and Alamo are all examples of companies following which of Porter’s competitive strategies?

   Answer

   		Differentiation
   		Cost leadership
   		Differentiation focus
   		Competitive advantage

4 points

Question 5

1. What is a corporate strategy that cuts across divisional boundaries to build synergy across business units to improve the competitive position of one or more business units?

   Answer

   		Vertical strategy
   		Horizontal strategy
   		Hierarchical strategy
   		Portfolio strategy

4 points

Question 6

1. When a firm internally makes 100% of its key supplies and completely controls its distributors, this is known as:

   Answer

   		full integration.
   		vertical integration.
   		mass integration.
   		economical integration.

4 points

Question 7

1. Which type of pricing attempts to hasten market development and offers the pioneer the opportunity to utilize the experience curve to gain market share and dominate the industry?

   Answer

   		Demand pricing
   		Competitive pricing
   		Skim pricing
   		Penetration pricing

4 points

Question 8

1. Which of the following BEST describes a popular financial strategy in which a company is acquired in a transaction financed largely by debt · eventually paid off with money generated from the acquired company’s operations or by sale of its assets?

   Answer

   		Illegal in most countries
   		A good way to build a core competency
   		An application of the capital asset pricing model
   		The leveraged buyout

4 points

Question 9

1. In which type of industry will the focus strategies likely predominate when many small and medium sized local companies compete for relatively small shares of the total market?

   Answer

   		United industry
   		Fragmented industry
   		Consolidated industry
   		Isolated industry

4 points

Question 10

1. When a company determines how and where a product or service is to be manufactured, the level of vertical integration in the production process, the deployment of physical resources, and relationships with suppliers, the company is developing its __________ strategy.

   Answer

   		marketing
   		R&D
   		operations
   		financial

4 points

Question 11

1. What is outsourcing? What are the seven major outsourcing errors that should be avoided?

   Answer

   Press Tab to enter the content editor. For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac). — Font family —Andale MonoArialArial BlackBook AntiquaComic Sans MSCourier NewGeorgiaHelveticaImpactSymbolTahomaTerminalTimes New RomanTrebuchet MSVerdanaWebdingsWingdings — Font size —1 (8pt)2 (10pt)3 (12pt)4 (14pt)5 (18pt)6 (24pt)7 (36pt) — Format —HeadingSub Heading 1Sub Heading 2ParagraphFormatted Code — Font family — — Font size — Path:pWords:0

30 points

Question 12

1. What are the tradeoffs (pros and cons) between an internal and an external growth strategy? Which approach is best as an international strategy? Why?