Chapter 8: Introduction

Section IV in the book is dedicated to the strategy context, and is mainly concerned with the where question of strategy. What is the main tension in this section?
1. Control and chaos
2. Compliance and choice
3. Shaping and adapting
4. Attractiveness and combativeness.
De Wit & Meyer (2010) distinguish four different topics that are related to the issue of industry development. Which of the following do the authors NOT mention?
1. Levels
2. Dimensions
3. Inhibitors
4. Drivers.
When, in an industry, the business model is dominant for a long period of time and is then, suddenly, displaced by a radical new one, this is, according to De Wit & Meyer (2010), an example of:
1. Gradual development
2. Continuous development
3. Discontinuous development
4. Hyper-competitive development.
External change drivers to the industry can be subdivided into the following groups:
1. Socio-cultural, economic, political, and technological
2. Suppliers, buyers, incumbent rivals, new entrants, and substitutes
3. Power structures, industry recipes and institutional pressures
4. Governments, competitors and buyers.
De Wit & Meyer (2010) list some inhibitors of industry development. Which of the following is NOT listed?
1. Risk-averseness
2. Industry pressures
3. Industry differentiation
4. Industry integration.
According to De Wit & Meyer (2010), what is the paradox of the industry context?
1. Compliance vs. choice
2. Dynamics vs. leadership
3. Shaping vs. adaptation
4. Control vs. chaos.
What do De Wit & Meyer (2010) call the point of view, that industry development is an autonomous process, to which firms must adjust or risk being selected out?
1. Environmental selection perspective
2. Industry development perspective
3. Industry leadership perspective
4. Industry dynamics perspective.
CarMax (Exhibit 8.1, short case p. 434), an American used car retailer, built quickly on its early success and established a dominant position in the market. CarMax set a high pace of store openings, establishing a long-term strategy directed at significant growth. According to De Wit & Meyer (2010), this is a clear example of:
1. The demand for firm leadership
2. The demand for strategic choice
3. The demand for firm compliance
4. The demand for firm innovation.
According to De Wit & Meyer (2010), the competitors CarMax, AutoNation and Zag could be classified as:
1. Internal inhibitors of industry development
2. External inhibitors of industry development
3. Internal drivers of industry development
4. External drivers of industry development.
According to De Wit & Meyer (2010), which perspective, concerning the industry context, best corresponds with Darwin’s principle of ‘survival of the fittest’?
1. The industry development perspective
2. The industry dynamics perspective
3. The industry leadership perspective
4. The industry evolution perspective.
What do De Wit and Meyer (2010) call the point of view, that the industry context can be molded in an infinite variety of ways by innovative firms?
1. Industry leadership perspective.
2. Industry creation perspective
3. Industry revolution perspective
4. Industry context perspective.
De Wit & Meyer (2010) distinguish several patterns of dominant business model development. Which of the following best fits with the way WestJet (Exhibit 8.2, p. 439) changed the market?
1. Gradual development
2. Continuous development
3. Discontinuous development
4. Hyper competitive development.
De Wit & Meyer (2010) distinguish several patterns of dominant business model development. Which of the following best fits with Metropolitan Opera’s development in 2006 (Exhibit 8.3, p. 441)?
1. Gradual development
2. Continuous development
3. Discontinuous development
4. Hyper competitive development.