Question 1

Which of the following approaches to cost is the least transparent?

Options :

A : price management

B : price acceptance

C :

cost down

D : cost out

Answer: B

Question 2

On the BCG Matrix, what is a cash cow?

Options :

A :

high market share, high market growth

B : high market share, low growth

C : low market share, low growth

D : low market share, high growth

Answer: B

Question 3

According to Porter's 5 Forces, supplier power is strong in industries where which of the following is true? Select THREE

Options :

A : no substitutes are available

B : supplier-s customers are fragmented

C : switching costs are low

D : forward integration is possible

E : the product is undifferentiated

Answer: A,B,D

Question 4

According to studies completed by Reeves, Moose and Venema in 2014, which of the following was proven to be true with regards to the BCG matrix?

Options :

A :

companies nowadays have more 'cash cow' items than in the past

B : products move through the four quadrants faster nowadays than in the past

C : there is a higher correlation between share leaders and profit leaders nowadays than in the past

D : there is a longer time between innovation and adoption nowadays than in the past

Answer: B

Question 5

Which of the following will you put into box 4?

Options :

A : Threat of New Entrants - Low

B : Threat of Substitutes - Low

C : Bargaining Power of Buyer- Low

D : Competitive Rivalry- High

Answer: B

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