Question 1

When credit card companies such as Visa and Mastercard allow an individual to put one of their own photos on their account credit card,they are utilizing:

Accepted Answer

A)  mass customization.
B)  a flexible manufacturing system.
C)  quality as reliability mantra.
D)  supply-chain management.
E)  a just-in-time inventory system.F) A) and B)
G) D) and E)

Question 2

Research and development (R&D) can help a company improve quality by:

Accepted Answer

A)  designing products that are easy to manufacture.
B)  pursuing economies of scale.
C)  developing strategies on how to market products.
D)  upgrading employee skill levels.
E)  creating teams whose members coordinate their own activities.F) C) and D)
G) B) and C)

Question 3

Product attributes that collectively define product excellence include the form,features,performance,durability,and styling of the product.

Accepted Answer

A) True 
 B)False

Question 4

Poor positioning strategy arises when a company introduces a potentially attractive new product but sales fail to materialize in the marketplace.

Accepted Answer

A) True 
 B)False

Question 5

Through efficient logistics at Grasshopper Grocers,the stock in the stores is automatically replenished when the company receives an alert from customers that their stock is low.Management at Grasshopper Grocers uses a just-in-time inventory system.

Accepted Answer

A) True 
 B)False

Question 6

With regard to customer defection,which of the following statements is incorrect?

Accepted Answer

A)  Defection rates are determined by customer loyalty.
B)  The longer a company holds on to a customer, the greater is the volume of customer-generated unit sales.
C)  Lowering customer defection rates creates a higher cost structure.
D)  The longer a company retains a customer the higher the average unit cost of each sale.
E)  There is a positive relationship between the length of time that a customer stays with the company and profit per customer.F) C) and D)
G) C) and E)

Question 7

Distinctive competencies shape the _____ strategies that a company can pursue.

Accepted Answer

A)  business-level
B)  functional-level
C)  corporate-level
D)  global-level
E)  industry-levelF) B) and C)
G) C) and E)

Question 8

The failure rate of innovative products is:

Accepted Answer

A)  high.
B)  low.
C)  nil.
D)  moderate.
E)  too difficult to assess.F) A) and B)
G) A) and D)

Question 9

The experience curve refers to the:

Accepted Answer

A)  learning by doing technique.
B)  company's overall experience in a particular industry.
C)  systematic lowering of the cost structure and unit cost reductions.
D)  diseconomies of scale caused by inexperienced workers.
E)  increases in unit costs experienced over time.F) A) and D)
G) A) and C)

Question 10

The "sigma" in the Six Sigma name refers to the Greek letter meaning standard deviation from the mean.

Accepted Answer

A) True 
 B)False

Question 11

Learning effects are a result of:

Accepted Answer

A)  automation.
B)  knowledge acquired by doing.
C)  sound product planning tactics.
D)  diseconomies of scale.
E)  outsourcing.F) A) and B)
G) A) and C)

Question 12

The marketing strategy that a company adopts:

Accepted Answer

A)  has little impact on the company's efficiency and cost structure.
B)  aims at attaining superior efficiency of the company's operations.
C)  should not take into account the impact the strategy has on the company's cost structure.
D)  aims at automating much of the work in the production process.
E)  refers to the position that the company takes with regard to a product's pricing and distribution.F) A) and B)
G) A) and E)

Question 13

Just-in-time inventory systems:

Accepted Answer

A)  are used only by manufacturing firms.
B)  provide a buffer stock of inventory for a company.
C)  are used to reduce inventory holding costs.
D)  save costs by outsourcing inventory management to other companies.
E)  always keep extra inventory on hand for emergencies.F) B) and D)
G) A) and D)

Question 14

Which of the following is not one of the principles commonly found in companies that have successfully embraced the TQM philosophy?

Accepted Answer

A)  Building an organizational commitment to quality
B)  Finding ways to measure quality
C)  Giving more time for supervisors to work with employees
D)  Training new employees
E)  Defining work standards only in terms of numbers or quotasF) C) and E)
G) A) and B)

Question 15

There is a negative relationship between the length of time that a customer stays with a company and profit per customer.

Accepted Answer

A) True 
 B)False

Question 16

When Amber first started working at a car manufacturing plant assembling car doors,she was slower at the task than her co-workers.As time passed,her speed at assembling the doors increased and she even taught others how to perform the task more quickly.As a result of increased employee productivity,this particular plant experienced cost savings.These cost savings can be attributed to learning effects.

Accepted Answer

A) True 
 B)False

Question 17

Employee productivity is:

Accepted Answer

A)  a function of management delegation.
B)  one of the key determinants of a company's efficiency.
C)  not subject to measurement.
D)  typically not sustainable in the long run.
E)  a function that does not affect a company's profitability.F) All of the above
G) A) and B)

Question 18

Which of the following is not a benefit of tight cross-functional integration among research and development (R&D) ,production,and marketing?

Accepted Answer

A)  New products are designed for ease of manufacture.
B)  Development costs are kept in check.
C)  Product development projects are driven by company innovations.
D)  Time to market is minimized.
E)  Customer needs are considered in the product development process.F) C) and D)
G) A) and B)

Question 19

Learning effects tend to be more significant when a technologically complex task is performed only occasionally.

Accepted Answer

A) True 
 B)False

Question 20

Self-managing work teams:

Accepted Answer

A)  increase per-unit costs of manufactured items.
B)  perform all workplace tasks except the making of hiring decisions.
C)  increase the cycle time of manufacturing items.
D)  require team members to learn only one task and specialize in that alone.
E)  tend to increase productivity and product quality.F) A) and C)
G) B) and E)

Exam 4: Building Competitive Advantage Through Functional Level Strategies

Product attributes that collectively define product excellence include the form,features,performance,durability,and styling of the product.

Correct Answer
verified

Research and development (R&D) can help a company improve quality by:

Correct Answer
verified

Poor positioning strategy arises when a company introduces a potentially attractive new product but sales fail to materialize in the marketplace.

Correct Answer
verified

Just-in-time inventory systems:

Correct Answer
verified

Self-managing work teams:

Correct Answer
verified

The experience curve refers to the:

Correct Answer
verified

Learning effects tend to be more significant when a technologically complex task is performed only occasionally.

Correct Answer
verified

Employee productivity is:

Correct Answer
verified

The "sigma" in the Six Sigma name refers to the Greek letter meaning standard deviation from the mean.

Correct Answer
verified

Through efficient logistics at Grasshopper Grocers,the stock in the stores is automatically replenished when the company receives an alert from customers that their stock is low.Management at Grasshopper Grocers uses a just-in-time inventory system.

Correct Answer
verified

Distinctive competencies shape the _____ strategies that a company can pursue.

Correct Answer
verified

Correct Answer
verified

There is a negative relationship between the length of time that a customer stays with a company and profit per customer.

Correct Answer
verified

The marketing strategy that a company adopts:

Correct Answer
verified

When credit card companies such as Visa and Mastercard allow an individual to put one of their own photos on their account credit card,they are utilizing:

Correct Answer
verified

With regard to customer defection,which of the following statements is incorrect?

Correct Answer
verified

Which of the following is not one of the principles commonly found in companies that have successfully embraced the TQM philosophy?

Correct Answer
verified

Learning effects are a result of:

Correct Answer
verified

Which of the following is not a benefit of tight cross-functional integration among research and development (R&D) ,production,and marketing?

Correct Answer
verified

The failure rate of innovative products is:

Correct Answer
verified

Exam 4: Building Competitive Advantage Through Functional Level Strategies

Product attributes that collectively define product excellence include the form,features,performance,durability,and styling of the product.

Correct AnswerverifiedShow Answer

Research and development (R&D) can help a company improve quality by:

Correct AnswerverifiedShow Answer

Poor positioning strategy arises when a company introduces a potentially attractive new product but sales fail to materialize in the marketplace.

Correct AnswerverifiedShow Answer

Just-in-time inventory systems:

Correct AnswerverifiedShow Answer

Self-managing work teams:

Correct AnswerverifiedShow Answer

The experience curve refers to the:

Correct AnswerverifiedShow Answer

Learning effects tend to be more significant when a technologically complex task is performed only occasionally.

Correct AnswerverifiedShow Answer

Employee productivity is:

Correct AnswerverifiedShow Answer

The "sigma" in the Six Sigma name refers to the Greek letter meaning standard deviation from the mean.

Correct AnswerverifiedShow Answer

Through efficient logistics at Grasshopper Grocers,the stock in the stores is automatically replenished when the company receives an alert from customers that their stock is low.Management at Grasshopper Grocers uses a just-in-time inventory system.

Correct AnswerverifiedShow Answer

Distinctive competencies shape the _____ strategies that a company can pursue.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

There is a negative relationship between the length of time that a customer stays with a company and profit per customer.

Correct AnswerverifiedShow Answer

The marketing strategy that a company adopts:

Correct AnswerverifiedShow Answer

When credit card companies such as Visa and Mastercard allow an individual to put one of their own photos on their account credit card,they are utilizing:

Correct AnswerverifiedShow Answer

With regard to customer defection,which of the following statements is incorrect?

Correct AnswerverifiedShow Answer

Which of the following is not one of the principles commonly found in companies that have successfully embraced the TQM philosophy?

Correct AnswerverifiedShow Answer

Learning effects are a result of:

Correct AnswerverifiedShow Answer

Which of the following is not a benefit of tight cross-functional integration among research and development (R&D) ,production,and marketing?

Correct AnswerverifiedShow Answer

The failure rate of innovative products is:

Correct AnswerverifiedShow Answer

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