CSM Competitive Analysis & Market Intelligence 3

Question 1

The Ansoff Matrix maps growth strategies along two dimensions. Which strategy involves selling NEW products in EXISTING markets?

Accepted Answer

Product Development

Answer

Product Development involves creating new or modified products for the firm's current market base, leveraging existing customer relationships.

Question 2

A blue ocean strategy is characterized by:

Accepted Answer

Creating uncontested market space where competition is irrelevant

Answer

Blue ocean strategy focuses on creating new demand and market space rather than fighting over existing customers in a crowded, competitive market.

Question 3

A company discovers that its main competitor has filed patents for technology that could make the company's core product obsolete. This is an example of a:

Accepted Answer

Threat

Answer

A competitor's disruptive patent is an external, negative factor—a threat in the SWOT framework—that could erode the firm's competitive position.

Question 4

Which approach to competitive intelligence is UNETHICAL and should be avoided?

Accepted Answer

Posing as a potential customer to extract proprietary information

Answer

Misrepresentation—pretending to be a customer to extract confidential information—is an unethical and potentially illegal form of intelligence gathering.

Question 5

A company in a mature, slow-growth industry holds several business units with low market share and low growth potential. According to the BCG Matrix, these units are classified as:

Accepted Answer

Dogs

Answer

Dogs have both low market share and low growth, offering little return on investment, and are often candidates for divestiture.

(CSM) Certified Strategic Manager Practice Test

(CSM) Certified Strategic Manager Practice Test

CSM Competitive Analysis & Market Intelligence 3