UNIVERSIDAD SANTO TOMAS

FACULTAD DE ECONOMÍA
STRATEGY AND PROFITABILITY
EXAM 1

Please read carefully and answer the following questions. Try to be precise on the answer
that must be applied to the concept of the company that you worked at:

1. Define the general concept of “Strategy” and the meaning of the “Trade off” of it
2. What is the problem for strategy, the continuous search for operational
effectiveness?
3. Explain in your terms the concept of strategy as a coherent set of choices
4. Explain the differences between variety-based positioning, need-based positioning
and access-based positioning
5. Explain why the fit between activities reduces cost or increase differentiation and is
fundamental for sustainability of the strategy.
6. ¿How do you choose the right strategic approach?

NOTES:
The evaluation will be carried out according to the student's answers, the document will
be delivered in a single file in pdf format, ordered by number and containing the images
taken from the worksheet for the solution of the exam, in clear and legible handwriting.
The step by step must be perfectly explained.