Question 1

How did the strategic alliance between HP and DreamWorks Animation SKG affect HP?

Accepted Answer

A)   It helped HP pursue a taper integration strategy.
B)   It enabled HP to compete head on with Cisco's videoconferencing solution.
C)   It resulted in depreciation of HP's shareholder value.
D)   It failed because HP lacked the expertise in selecting and integrating technology acquisitions.E) A) and B)
F) None of the above

Question 2

A(n) _____ is best described as a partnership in which at least one partner takes partial ownership in the other partner.

Accepted Answer

A)   acquisition
B)   non-equity alliance
C)   joint venture
D)   equity allianceE) A) and C)
F) A) and D)

Question 3

Which of the following is true of acquisitions?

Accepted Answer

A)   Acquisitions can be friendly or hostile.
B)   Acquisitions can occur only when the involved entities are of comparable size.
C)   In acquisitions, two independent companies join to form a separate third entity.
D)   Acquisitions increase the competitive intensity in an industry.E) A) and C)
F) B) and D)

Question 4

Which of the following is an advantage of joint ventures?

Accepted Answer

A)   They create strong ties, trust, and commitment between the partners.
B)   They are based on contractual agreements rather than partial ownership.
C)   They require the lowest amount of investment relative to the other alliance types.
D)   They can be easily initiated and terminated.E) A) and B)
F) A) and C)

Question 5

How did the recent horizontal integration in the U.S.airline industry provide benefits to the surviving carriers?

Accepted Answer

A)   by facilitating excess capacity in the industry
B)   by preventing mergers from taking place
C)   by lowering competitive intensity in the industry overall
D)   by increasing the threat of entry in the industryE) None of the above
F) A) and B)

Question 6

Which of the following scenarios best illustrates horizontal integration?

Accepted Answer

A)   Regal Autos Inc. enters into a licensing contract with a distributor in a new international market.
B)   Regal Autos Inc. acquires a component parts manufacturer who previously supplied to Regal Autos' competitor.
C)   Regal Autos Inc. sets up its own distribution channel and retail stores.
D)   Regal Autos Inc. joins with Marcus Motors Inc., one of its direct competitors.E) A) and B)
F) A) and C)

Question 7

Which of the following accurately describes a common difference between a merger and an acquisition?

Accepted Answer

A)   A merger tends to include mostly small firms; an acquisition can often involve large firms.
B)   A merger involves the combination of three or more firms; an acquisition involved the combination of two firms.
C)   A merger involves firms of different size; an acquisition involved firms of the same size.
D)   A merger tends to be friendly; an acquisition can be friendly or unfriendly.E) A) and C)
F) All of the above

Question 8

Susan is a strategist for the firm,DigiVision Inc.,which produces high-quality HD movie cameras.This company needs a specific material for a new camera they are developing,which is manufactured in large quantities by a competitor called Tech Resources Inc.However,this material is difficult to trade for.Because of this,which of the following is most likely the best strategy for Susan to suggest?

Accepted Answer

A)   DigiVision should acquire Tech Resources.
B)   DigiVision should form a short-term agreement with Tech Resources.
C)   DigiVision should form a long-term agreement with Tech Resources.
D)   DigiVision should enter into co-opetition with Tech Resources.E) C) and D)
F) A) and D)

Question 9

Which of the following is an ineffective practice in alliance management?

Accepted Answer

A)   coordinating a firm's portfolio of alliances
B)   establishing knowledge-sharing routines between alliance partners
C)   developing relational capabilities to manage mergers and acquisitions
D)   focusing on developing an alliance-management capability in isolationE) C) and D)
F) B) and D)

Question 10

The process of alliance management begins with

Accepted Answer

A)   selecting the best possible partner.
B)   choosing an appropriate governance mechanism.
C)   designing the alliance.
D)   creating resource combinations that obey the VRIO criteria.E) None of the above
F) B) and C)

Exam 9: Corporate Strategy: Strategic Alliances, Mergers and Acquisitions

How did the strategic alliance between HP and DreamWorks Animation SKG affect HP?

Correct Answer
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The process of alliance management begins with

Correct Answer
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How did the recent horizontal integration in the U.S.airline industry provide benefits to the surviving carriers?

Correct Answer
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A(n) _____ is best described as a partnership in which at least one partner takes partial ownership in the other partner.

Correct Answer
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Which of the following is an advantage of joint ventures?

Correct Answer
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Which of the following accurately describes a common difference between a merger and an acquisition?

Correct Answer
verified

Which of the following is an ineffective practice in alliance management?

Correct Answer
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Which of the following scenarios best illustrates horizontal integration?

Correct Answer
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Which of the following is true of acquisitions?

Correct Answer
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Correct Answer
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Exam 9: Corporate Strategy: Strategic Alliances, Mergers and Acquisitions

How did the strategic alliance between HP and DreamWorks Animation SKG affect HP?

Correct AnswerverifiedShow Answer

The process of alliance management begins with

Correct AnswerverifiedShow Answer

How did the recent horizontal integration in the U.S.airline industry provide benefits to the surviving carriers?

Correct AnswerverifiedShow Answer

A(n) _____ is best described as a partnership in which at least one partner takes partial ownership in the other partner.

Correct AnswerverifiedShow Answer

Which of the following is an advantage of joint ventures?

Correct AnswerverifiedShow Answer

Which of the following accurately describes a common difference between a merger and an acquisition?

Correct AnswerverifiedShow Answer

Which of the following is an ineffective practice in alliance management?

Correct AnswerverifiedShow Answer

Which of the following scenarios best illustrates horizontal integration?

Correct AnswerverifiedShow Answer

Which of the following is true of acquisitions?

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Correct Answer
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Correct Answer
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Correct Answer
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