Business School 101: Understanding Competitive Advantage

What is the primary goal of achieving a competitive advantage in strategic management?

• To increase the number of employees

• To outperform competitors in the marketplace

• To reduce the number of products

• To increase the number of suppliers

Which company is known for its cost advantage through efficient supply chain management?

• Costco

• Target

• Walmart

• Amazon

How does Southwest Airlines maintain its cost advantage in the airline industry?

• By offering luxury services

• By focusing on operational efficiency and low overhead costs

• By partnering with other airlines

• By increasing ticket prices

What sets Apple's products apart from its competitors?

• Lower prices

• Unique features and high quality

• Wider availability

• More color options

Ferrari's differentiation advantage is primarily due to what?

• Affordable pricing

• High performance and exclusivity

• Partnerships with other car brands

• Mass production

How has Alibaba achieved a network advantage?

• By reducing product prices

• By building strategic partnerships and alliances

• By offering free shipping

• By increasing advertising

MasterCard's network advantage is strengthened through partnerships with which entities?

• Technology companies

• Banks and merchants

• Airlines

• Retail stores

What is one key benefit of having a competitive advantage?

• Reduced brand recognition

• Higher employee turnover

• Increased profitability

• Decreased market share

Which strategy involves creating new products or services to meet customer needs in unique ways?

• Cost leadership

• Innovation

• Branding

• Customer service

How can a company gain a competitive advantage through customer service?

• By reducing product quality

• By building strong relationships and loyalty

• By increasing prices

• By limiting customer interactions