Competitive Analysis & Market Intelligence Flashcards
7 cards from real CSM practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Competitive Analysis & Market Intelligence flashcards as text
Which framework analyzes a firm's competitive environment by examining suppliers, buyers, substitutes, new entrants, and rivalry?
Answer: Porter's Five Forces
Porter's Five Forces is specifically designed to assess industry competitive dynamics across five structural forces.
A company monitors competitors' pricing, product launches, and marketing campaigns on an ongoing basis. This practice is best described as:
Answer: Competitive intelligence
Competitive intelligence is the systematic gathering and analysis of information about competitors to support strategic decisions.
In Porter's Five Forces, 'threat of new entrants' is LOW when:
Answer: Existing brands have strong loyalty and high capital requirements exist
High capital requirements and strong brand loyalty create barriers to entry that reduce the threat of new competitors.
Which competitive strategy concept describes a firm's unique set of activities that deliver value differently from rivals, making it difficult to imitate?
Answer: Competitive positioning
Competitive positioning refers to how a firm differentiates its activities and offerings in a way that creates sustainable advantage over rivals.
A strategic group map is primarily used to:
Answer: Visualize clusters of firms with similar strategies within an industry
Strategic group maps cluster competitors that follow similar strategies, helping managers identify direct rivals and strategic gaps.
When a competitor's product captures market share by offering comparable quality at a significantly lower price, this is an example of:
Answer: Cost leadership threat
A cost leadership threat occurs when a rival leverages lower costs to undercut pricing while maintaining acceptable quality.
Which tool analyzes a firm's internal activities—such as inbound logistics, operations, and marketing—to identify sources of competitive advantage?
Answer: Value Chain Analysis
Value Chain Analysis, developed by Porter, breaks down a firm's activities to find where value is created and where costs can be reduced.