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1

This environment in the strategic planning process comprises factors in the competitive situation that
affect a firms success in acquiring needed resources or in profitably marketing its goods and services.
o
Business environment
o
Industry environment
o
Operating environment
o
Remote environment
Correct
2
The quasi-science of anticipating environmental and competitive changes and estimating their importance
to an organizations operation refers to
o
SWOT analysis
o
environmental scanning
o
technological forecasting
o
business analysis
Correct
3
Because the quantity, quality, price, and accessibility of financial, human, and material resources are
rarely ideal, assessment of suppliers and creditors is critical to an accurate evaluation of which of the
firms external environments?
o
Business environment
o
Operating environment
o
Remote environment
o
Industry environment
Correct
4
What Human Resource component within its operating environment is a major element of a firms ability
to satisfy its personnel needs?
o
Labor union
o
Reputation
o
Benefit packages
o
Employment rates
Correct
5
Which of these is a determinant of entry, according to Porter?
o
Presence of substitute input
o
Ability to backward integrate
o
Economies of scale
o
Exit barriers
Correct
6
This term refers to descriptive characteristics that can be used to differentiate groups of present or
potential customers.
o
Psychographics
o
Buyer behaviors
o
Demographics
o
Geographics
Correct
7
Which threat of entry creates a barrier by forcing entrants to spend heavily to overcome customer loyalty?
o
Economies of scale
o
Product differentiation
o
Powerful buyers
o
Powerful sellers
Correct
8
This factor considers or provides creative adaptations that can suggest possibilities for new products or
for improvements in existing products or in manufacturing and marketing techniques.
o
Sales factor
o
Industry factor
o
Technological factor
o
Operations factor
Correct
9
This information is used to explain or predict some aspect of customer behavior with regard to a product
or service. Information such as usage rate, benefits sought, and brand loyalty can provide significant aid
in the design of more accurate and profitable strategies.
o
Geographic information
o
Buyer behavior
o
Demographic information
o
Psychographic information
Correct
10
This term refers to the relationships among human beings and other living things and the air, soil, and
water that supports them.
o
Society
o
Eco-efficiency
o
Ecology
o
Going green
Correct
11
The environment that is typically subject to much influence by the firm is
o
operating
o
remote
o
industry
o
external
Correct
12
When managers consider the general availability of credit, the level of disposable income, and the
propensity of people to spend, they are considering what factors?
o
Business factors
o
Economic factors
o
Social factors
o
Political factors
Correct
13
This element of employment or labor represents the workers in their negotiations with employers through
the process of collective bargaining.
o
Labor unions
o
Hiring agent
o
Wage & Hours Association
o
Human Resources
Correct
14
This group is considered powerful if it is not obliged to contend with other products for sale to the
industry.
o
Wholesalers
o
Buyers
o
Suppliers
o
Retailers
Correct
15
A firms external environment is divided into various subcategories that include
o
industry, technology, and internal
o
remote, social, and operations
o
remote, industry, and operating
o
political, social, and industry
Correct
16
A firms access to needed personnel is affected primarily by four factors that include
o
the firms reputation as an employer, local employment rates, the ready availability of people with the
needed skills, and its relationship with labor unions
o
the firms size and location, local employment rates, labor unions to assist with labor needs, and trained
potential employees
o
the firms size and location, competitive hourly rates, availability of talented people, and its relationship
with labor unions
o
the firms reputation as an employer, national employment rates, community involvement, and overall
employee satisfaction
Correct
17
This is considered a collection of firms that offer similar products or services that customers perceive to
be substitutable for one another..
o
Environment
o
Oligopoly
o
Monopoly
o
Industry
Correct
18
Economies of scale in an industry refers to
o
declining average short run costs per unit
o
decreased barriers to entry to new firms attempting to enter the industry
o
savings that companies within the industry achieve due to increased volume
o
improved contractual agreements with suppliers in the near term
Correct