Finish Line Athletics Inc. is a chain of gyms. It offers a fitness package that allows its members to use the gym facilities for 15 months by paying only for a year. Included in the package are two free yoga classes and a gym kit. These add-ons by themselves are not very valuable, but as a package they can enhance the perceived value of the service offerings. In this case, Finish Line’s primary value driver is

Greener Cleener is a leading maker of environmentally friendly household cleaning products. Competitors across the globe have failed to imitate Greener Cleener’s production models, supply chain systems, knowledge systems, and culture. These attributes have remained unique to Greener Cleener for a long time. Which of the following assumptions of the resource-based model of competitive advantage does this scenario best illustrate?

Open Window, a brand well known for producing vinyl and aluminum window blinds, introduced a new range of faux-wood shutters and vertical blinds a few years ago. Because most of its products could be produced using the same resources and technology, the company’s cost structure lowered, while its product portfolio widened. In this scenario, which of the following value and cost drivers is Open Window applying?

Which of the following statements about the social responsibilities of a business is accurate?

Industrial Drills, a company that manufactures industrial tools, incurs higher costs because of its refusal to outsource its manufacturing to countries where labor costs are lower. This reflects Industrial Drills’________ responsibility.

LuxWear Inc., an apparel company, recently moved locations to be closer to their main manufacturer in South Carolina. The move required the firm to upgrade its legacy ordering system with its manufactures ordering system, which should facilitate its supply chain to gain future efficiencies and reap future savings. However, the new system costs $75,000 and will require a significant amount of time to train employees. This best represents a significant increase in the company’s

Juan wants to open his own hot dog restaurant but doesn’t know anything about business. He needs help determining who his competition is, how he should craft his strategy to compete and how he’ll implement his strategy to achieve a competitive advantage. He’s hired you to help him get started. As a result, you will probably use which of the following?

Both Lorenzo’s Engines and Water King incur a cost of $5,000 to manufacture a boat engine. However, the economic value created by Water King is more than that created by Lorenzo’s Engines. What does this indicate?

Both Medical Manufacturing and R&D Health Inc. have developed advanced hearing aid technologies. R&D’s hearing aids sell at $4,000 per pair, whereas Medical Manufacturing sells its hearing aids at $3,500 per pair. This price differentiation has mainly been attributed to the companies’ capital decisions. While Medical Manufacturing used its retained earnings to develop its technology, R&D Health borrowed funds from banks to develop its hearing aids. Thus, R&D pays a higher interest on its capital, which makes it necessary to price its product higher. Therefore, the key driver for Medical Manufacturing’s competitive advantage is

Strategic leadership refers to the use of power and influence by________ to direct the activities of others when pursuing an organization’s goals.