1. During the 1980’s, General Dynamics leveraged its core competencies in defense electronics technology to produce nuclear submarines, battle tanks and aircraft. This is an example of
a. achieving economies of scope through related diversification.
b. attaining the benefits of parenting through unrelated diversification.
c. achieving market power through related diversification.
d. attaining the benefits of restructuring through unrelated diversification.
2. According to Michael Porter’s Diamond of National Advantages, firms that have experienced intense domestic competition are
a. most likely to design strategies aimed primarily at the domestic market.
b. unlikely to have the time or resources to compete abroad.
c. more likely to demand protection from their governments.
d. more likely to design strategies and structures that allow them to successfully compete abroad.
3. Corporate-level strategy addresses two related issues:
a. how to improve a firm's infrastructure; how to maintain ethical behavior.
b. how to manage one business unit; profitability of one business unit.
c. how to integrate primary activities; increasing shareholder wealth.
d. what businesses to compete in; how these businesses can achieve synergy.