team 5

A blue ocean strategy focuses on:

• Competing in existing markets

• Creating new demand and market space

• Following traditional industry rules  

• Lowering costs through efficiency

Which strategy is used to achieve cost leadership?

• Differentiation  

• Vertical Integration

• Low-cost production  

• Niche Marketing  

What is the primary goal of corporate-level strategy?

• Maximizing shareholder wealth

• Increasing production

• Enhancing operational efficiency  

• Reducing employee turnover  

Why do companies focus on core competencies in strategic management?

• To diversify randomly  

• To gain a sustainable competitive advantage

• To reduce brand value

• To decrease investment in innovation

What is a key strength of Amazon’s strategic advantage?

• Limited supply chain

• Weak customer loyalty

• Integration of technology, logistics, and data analytics

• Ignoring market trends

How do regulatory barriers impact market competition?

• Make it easier for new entrants

• Reduce the cost of entry

•  Have no impact on new businesses

• Increase compliance costs and restrict market access  

What role does technology play in market positioning?

• Reduces competition

• Enhances innovation and differentiation

•  Increases entry barriers only for startups  

• Prevents firms from adopting new business models

What is an example of a substitute product?

• Electric cars replacing gasoline cars

• Samsung launching a new smartphone  

•  A company expanding its product line

• A merger between two companies

Why do economies of scale create barriers to entry?

• Reduce costs for established firms, making competition harder for new entrants  

• Allow new firms to set lower prices

• Increase customer switching costs

• Reduce dependency on brand loyalty

Which industry is most affected by supplier bargaining power?

•  Retail

• Semiconductor  

• Automobile  

• Hospitality