Mid Term Format

1
Mid Term Format

• Section 1
• 32 multiple choice questions 80
• Read the book and know the concepts thoroughly
• Includes questions on current topics discussed
  and material outside text
• Section 2
• 2 Essay Questions 20
• Choice of 1 out of 2 questions (theory)
• Choice of 1 out of 2 questions (cases)
• Cases covered Vail, Perdue, Toyota,
  Blockbuster, Home video game industry (class vote
  on dropping 1 case on Sept 30)

2
Sample Question -1
1. The extent of rivalry among established
companies is lowest when
A. the industrys product is a commodity
B. demand is growing rapidly C. exit barriers
are substantial D. the industry is entering a
decline stage E. the industry has a larger
number of companies
3
Sample Question -2
2. Which of the following is not a cognitive
bias? A. Escalating commitment B.
Reasoning by analogy C. Ivory tower thinking
D. Representativeness E. Illusion of
control
4
Sample Question -3
3. Traditional manufacturing A. Is no longer
used B. Requires a trade-off between unit
costs and product variety C. Has higher
unit costs than flexible manufacturing D.
Produces a variety of products in high volumes
E. Has higher unit costs than flexible
manufacturing and requires a tradeoff between
unit costs and product variety
5
Essay Question -Sample

• Theory
• Explain the concept of cognitive bias. List the
  different kinds of cognitive bias and discuss any
  two.
• Use examples in your answers
• Case
• Based on individual assignment questions
• Stay within space provided
• Write legibly

6
Important topics Essay and multiple choice

• Chapter 1
• Mission statement (mission, values, goals,
  profitability)
• Strategy as an emergent process
• Strategic planning in practice
• Cognitive biases
• Groupthink and mechanisms to overcome it
• Chapter 2
• 5 Forces Model, Limitations
• Strategic groups
• National competitive advantage

7
Important topics Essay and multiple choice

• Chapter 3
• Distinctive competencies and competitive
  advantage (Resources, capabilities, value
  creation, cost structure)
• Value chain
• Building blocks (efficiency, quality, innovation
  and customer responsiveness)
• Resources, capabilities and competencies
• Why do companies fail and avoiding failure
• Chapter 4
• Production and efficiency (up to end of first
  para on page 120)

8
Important topics Essay and multiple choice

• Chapter 5
• Generic competitive/ business level strategies
  (what is business level strategy, choosing a
  strategy)
• Chapter 6
• Strategies in fragmented industries
• Strategies in mature industries
• Chapter 7
• Network effects, positive feedback, and lock-out
• Strategies for winning a format war
• Capturing first mover advantages