Under the framework of competitive action and response, “ability” refers to an attacking or responding firm’s knowledge of the competitive market characteristics

Market power is gained as the firm develops the ability to save on its operations, avoid sourcing and market costs, improve product quality, possibly protect its technology from imitation by rivals, and potentially exploit underlying capabilities in the marketplace

Which of the following steps, if taken by Walmart, would be characterized as a strategic rather than tactical action?

Operational relatedness is created by __________ of __________.

Evidence suggests that, in general, using an international cost leadership strategy when exporting to developed countries has the most positive effect on firm performance, while using an international differentiation strategy with larger scale when exporting to emerging economies leads to the greatest amount of success

A risk of a focus strategy is that the needs of customers within a narrow competitive segment may become more similar to those of industry-wide customers as a whole over time

United Technologies Corporation, Textron, and Samsung are examples of diversified firms that have no relationships between their businesses. These firms all use the strategy of unrelated diversification

Awareness, motivation, and behavior are known as the outcomes of competitive rivalry.

A significant benefit of an internal capital market is that corporate headquarters has access to detailed and accurate information regarding the performance of the company’s portfolio and can thus make better capital allocation decisions

Unlike fast-cycle markets, the struggle for market share in standard-cycle markets is moderate