Chapter 4 Quiz-7

The extent to which a manufacturing plant's output reaches its potential output is called
________________, a key strategic variable.
A.
capacity maximum
B.
maximum capacity
C.
maximum utilization
D.
min-to-max capacity
E.
capacity utilization

E.
capacity utilization

By 2018, revenues from global data analytics software are expected to reach ________ billion, a
________ percent increase from 2012. Leading firms providing the software include IBM, SAP,
Oracle, Microsoft, Qlik Technologies, Tibco Software, and Tableau Software.
A.
$21.7; 64
B.
.217; .64
C.
217; 640
D.
50; 50
E.
2.17; 6.4

A.
$21.7; 64

Which statement(s) below is false?

A.
According to Porter, the business of a firm can best be described as a value chain, in which total
revenues minus total costs of all activities undertaken to develop and market a product or
service yields value.
B.
All firms in a given industry have a similar value chain, which includes activities such as
obtaining raw materials, designing products, building manufacturing facilities, developing
cooperative agreements, and providing customer service.
C.
Conducting a value chain analysis is supportive of the research-based view's examination of a
firm's assets and capabilities as sources of distinctive competence.
D.
Firms should strive to understand their own value chain operations, not those of their
competitors, suppliers, and distributors.
E.
A firm will be profitable so long as total revenues exceed the total costs incurred in creating and
delivering the product or service.