CS CS Competitive Intelligence & Positioning 2

Question 1

Strategic group mapping is used to:

Accepted Answer

Visualize clusters of competitors following similar strategies within an industry

Answer

Strategic group maps plot industry competitors on two strategic dimensions to identify clusters of rivals with similar approaches and reveal mobility barriers.

Question 2

The concept of a 'first-mover advantage' in competitive strategy refers to:

Accepted Answer

Gaining sustainable benefits by entering a market before competitors

Answer

First-mover advantages include brand loyalty, switching costs, resource preemption, and learning curve benefits that are difficult for followers to overcome.

Question 3

PESTEL analysis helps strategists understand competitive positioning by examining which factors?

Accepted Answer

Political, Economic, Social, Technological, Environmental, Legal

Answer

PESTEL scans the macro-environment across six dimensions to identify external forces that shape competitive conditions and strategic opportunities or threats.

Question 4

A company pursuing a 'fast follower' strategy attempts to:

Accepted Answer

Rapidly imitate and improve upon a pioneer's offering to capture market share

Answer

Fast followers let pioneers absorb market-creation costs and then quickly enter with refined products, leveraging the established demand.

Question 5

Which of the following best describes sustainable competitive advantage?

Accepted Answer

A distinctive capability that rivals cannot easily imitate or substitute

Answer

Sustainable competitive advantage stems from resources or capabilities that are valuable, rare, inimitable, and non-substitutable (the VRIN framework).

(CS) Certified Strategist Practice Test

(CS) Certified Strategist Practice Test

CS CS Competitive Intelligence & Positioning 2