Q&A Hero

Q: Key financial ratios that could help analysts measure Whole Foods' profitability do not include A) operating profit margin. B) return on capital employed. C) net return on assets. D) inventory turnover. E) return on stockholders' equity.

Q: ________ is not a useful financial ratio indicating how well a company's strategy is working. A) Return on stockholders' equity B) The company's gross profit margin C) Quick (or acid test) ratio D) Market share E) A long-term debt to equity

Q: A superior indicator of how sound W.L. Gore's strategy is and whether or not the strategy signals strong execution is A) falling short of its stated financial objectives, that is, its financial performance is well below the industry average, and its market share gains reflect short-term preferences for capacity maximization. B) remaining inattentive to possible improvements in its functional areas, creating stretch business goals, and providing a product-focused value proposition to customers. C) foregoing initiatives designed to build market share and to promote corporate responsibility. D) achieving its stated financial and strategic objectives via improvements in its internal processes such as defect rate, order fulfillment, delivery times, days of inventory, and employee productivity. E) undertaking new initiatives to promote corporate social responsibility.

Q: Choose the analytical tool that does not evaluate how well Apple Inc.'s strategy and competitive approach are currently working. A) resource and capability analysis B) benchmarking C) value chain analysis D) Porter's three tests for evaluating diversification outside the core business E) competitive strength assessment

Q: When SunPower's managers engage in the process of developing a list of questions to evaluate their company's internal situation, which question does not address the task of evaluating SunPower's resources and competitive position? A) What strategic issues and problems merit front-burner managerial attention at SunPower? B) How well is SunPower's present strategy working? C) Which are SunPower's least and most profitable geographic market segments? D) Is SunPower competitively stronger or weaker than key rivals? E) How do SunPower's value chain activities impact its cost structure and customer value proposition?

Q: In evaluating how well a company's strategy is working, the best place to start is with a A) SWOT analysis. B) clear view of what that strategy entails. C) value chain analysis. D) competitive strength analysis. E) financial ratio analysis.

Q: External forces in the natural environment include A) the trend toward healthier lifestyles, which can shift spending toward exercise equipment and health clubs and away from alcohol and snack foods. B) air and/or water pollution, the depletion of irreplaceable natural resources, or inefficient energy/resource usage. C) interest rates, exchange rates, the inflation rate, the unemployment rate, the rate of economic growth, trade deficits or surpluses, savings rates, and per-capita domestic product. D) tax policy, fiscal policy, tariffs, the political climate, and the strength of institutions such as the federal banking system. E) slow growth in buyer demand.

Q: Competing companies deploy whatever means necessary to strengthen market position, including all of the following except A) marketing tactics that include special sales promotions such as introducing new or improved features or increasing the number of styles to provide greater product selection. B) differentiating their products by offering better performance features than rivals. C) improving innovation to increase product performance and quality. D) making efforts to expand dealer networks. E) reducing distribution capabilities and market presence.

Q: Rivalry among competing sellers decreases A) when buyer demand is growing rapidly. B) as it becomes less costly for buyers to switch brands. C) as the products of rival sellers become commoditized. D) when there is excess production relative to demand. E) as the number of competitors increases.

Q: In which of the following instances is rivalry among competing sellers not more intense? A) when certain competitors are dissatisfied with their market position and make moves to bolster their standing B) when strong companies outside the industry acquire weak firms in the industry and launch aggressive moves to transform their newly acquired competitors into stronger market contenders C) when competitors are fairly equal in size and capability D) when the products of rivals are weakly differentiated, buyer switching costs are low, and market demand is growing slowly E) when there are vast numbers of small rivals so the impact of any one company's actions is spread thinly across all industry members

Q: Market maneuvering among industry rivals A) determines whether the industry's strategic group map will be static or dynamic. B) centers around collaborative efforts to overcome the bargaining power of powerful suppliers and powerful buyers. C) is usually an industry's strongest driving force. D) is usually one of the two or three weakest competitive forces because of the close familiarity that rivals have for one another's likely next moves. E) is ongoing and dynamic, with moves and countermoves of rivals producing a continually evolving competitive landscape that delivers winners and losers.

Q: The intensity of rivalry among competing sellers does not depend on whether A) the industry has more than two strong driving forces and whether the industry has more than two diverse and capable strategic groups. B) competitors are diverse in terms of long-term directions, objectives, strategies, and countries of origin. C) strong companies outside the industry have acquired weak firms in the industry and are launching aggressive moves to transform the acquired companies into strong market contenders. D) one or two rivals have particularly powerful and successful strategies to grow the business, attract and retain buyers, and develop a sustained competitive advantage. E) industry conditions attract industry members to use price cuts or other competitive weapons to boost total sales volume and market share.

Q: What makes the marketplace a competitive battlefield? A) the race of industry members to build strong defenses against the industry's driving forces B) the constant rivalry of firms to strengthen their standing with buyers and win a competitive edge over rivals C) the ongoing race among rival sellers to have the highest-quality product D) the ongoing efforts of industry members to introduce new and improved products/services at a faster rate than their rivals E) the ongoing race among rivals to achieve the fastest rate of growth in revenues and profits

Q: In analyzing the strength of competition among rival firms, an important consideration is A) the potential for buyers to exercise strong bargaining power. B) the diversity of competitors in terms of long-term direction, objectives, strategies, and countries of origin. C) the number of firms pursuing differentiation strategies versus the number pursuing low-cost leadership strategies and focus strategies. D) the extent to which some rivals have more than two competitively valuable competencies or capabilities. E) whether the industry is characterized by a strong learning/experience curve and whether the industry is composed of many or few strategic groups.

Q: Using the five forces model of competition to determine the character and strength of the competitive forces within a given industry involves A) building the picture of competition in three steps: (1) identify the different parties involved, along with specific factors that bring about competitive pressures; (2) evaluate how strong the pressures stemming from each of the five forces are (strong, moderate or weak); and (3) determine whether the collective impact of the five competitive forces is conducive to earning attractive profits in the industry. B) building the picture of competition in two steps: (1) determine which rival has the biggest competitive advantage and (2) assess whether the competitive advantages possessed by various industry members allow most industry members to earn above-average profits. C) evaluating whether competition is being intensified or weakened by the industry's driving forces and key success factors. D) assess whether the collective impact of all five forces is weak enough to allow industry members to go on the offensive or use a defensive strategy to insulate against fierce competitive pressures. E) gauging the overall strength of competition based on how many industry rivals are operating with a competitive advantage and how many are operating at a competitive disadvantage.

Q: The competitive battles among rival sellers striving for better market positions, higher sales and market shares, and competitive advantage, suggest the rivalry force A) is stronger when firms strive to be low-cost producers than when they use differentiation and focus strategies. B) is often weak when rivals have emotional stakes in business or face high exit barriers. C) is largely unaffected by whether industry conditions tempt rivals to use price cuts or other competitive weapons to boost unit sales. D) tends to intensify when strong companies with sizable financial resources, proven competitive capabilities, and respected brand names hurdle entry barriers looking for growth opportunities and launch aggressive, well-funded moves to transform into strong market contenders. E) is weaker when more firms have weakly differentiated products, buyer demand is growing slowly, and buyers have moderate switching costs.

Q: Market maneuvering and jockeying for buyer patronage that goes on among rival sellers in the industry A) is less strong than the competitive pressures that stem from the ready availability of attractively priced substitute products. B) is the strongest force among the five forces that drive profitability in an industry. C) emerges from close collaboration with suppliers and the competitive pressures that such collaboration creates. D) is less important than competitive pressure associated with the potential entry of new competitors. E) has about the same impact as bargaining power and leverage that large customers are able to exercise.

Q: Rivalry among competing sellers is generally less intense when A) there are relatively more industry key success factors. B) the industry's driving forces are weak and rivals have mostly commodity products. C) barriers to entry are moderately low and the pool of likely entry candidates is large. D) rivals are wary of making fresh moves to lower prices, introduce new products, increase promotional efforts and advertising, and otherwise gain sales and market share. E) buyers have many alternative products or services from which to choose.

Q: The five forces of competitive pressures do not include A) the power and influence of social/demographic trends. B) the bargaining power of suppliers and seller-supplier collaboration. C) the threat of new entrants into the market. D) the attempts of companies in other industries to win customers over to their own substitute products. E) the market maneuvering and jockeying for buyer patronage that goes on among rival sellers in the industry.

Q: The competitive pressures on companies within an industry come from all of the following except A) those associated with the market maneuvering and jockeying for buyer patronage that goes on among rival firms in the industry. B) those companies in other industries attempting to win buyers over to their substitute products. C) those associated with the threat of new entrants into the marketplace. D) those associated with the bargaining power of suppliers and customers. E) those associated with environmental factors such as water shortages.

Q: Legal and regulatory factors in the external environment typically do not include A) minimum wage legislation in low-wage industries (such as nursing homes and fast food restaurants) that employ substantial numbers of relatively unskilled workers. B) consumer protection statutes C) genetic engineering, nanotechnology, and solar energy technology. D) antitrust laws. E) occupational health and safety regulations specific to certain industries, such as meatpacking and coalmining, where jobs are hazardous or carry high risk of injury

Q: The most powerful and widely used conceptual tool for diagnosing the principal competitive pressures in a market is A) the five forces framework. B) PESTEL. C) the driving forces model. D) strategic group mapping. E) SWOT analysis.

Q: The impact of the macro-environment on a company's strategic opportunities is not exemplified by the following situation? A) Sales of Stolichnaya Vodka in the United States dwindle on account of a boycott of Russian products. B) Consumer confidence in Volkswagen drops precipitously because of falsified emissions data. C) Netflix squares off with Amazon Prime as its most potent rival in the streaming television and film industry. D) Traffic increases at the outlets of Whole Foods following its introduction of stores comprised solely of generic products. E) Sales of FitBit surge on account of a new feature that monitors users' blood pressure.

Q: Avon Products at one point secured information about its biggest rival, Mary Kay Cosmetics, by having its personnel search through the garbage bins outside MKC's headquarters. This is an example of A) how companies in an industry can sustain good track records for revenue growth and profitability. B) strategic moves rivals are likely to make next. C) industry key factors for future competitive success. D) lawful gathering of competitive intelligence. E) lawful but probably unethical gathering of competitive intelligence.

Q: A strategically relevant political factor in the macro-environment that will influence the performance of all firms across the board is most likely to be A) the strength of the federal banking system. B) the exogenous forces related to the general environmental demand. C) social factors that could fuel a political agenda and create greater transparency. D) bailouts and energy policies that are industry specific. E) tax policy, fiscal policy, and tariffs providing impetus for antitrust matters.

Q: The biggest strategy-shaping impact on on-demand transportation providers such as Uber and Lyft is most likely to be A) Yellow Cab companies launching mobile app campaigns for community-connect and awareness. B) Amazon launching a mobile delivery service via drones. C) Apple launching a global network of driverless cars, buses, and trucks on demand via a mobile app. D) Tesla and ZipCar announcing a joint venture for electric automobile sharing services. E) Greyhound developing and marketing a mobile app for customers to purchase intercity bus tickets.

Q: Which of the following is not one of the principal components of strategic significance in the PESTEL analysis? A) political factors including the extent to which government intervenes in the economy B) economic conditions that include the general economic climate and specific factors such as interest rates, inflation rate, and unemployment rate, as well as conditions in the stock and bond markets that can affect consumer confidence C) sociocultural forces that include societal values, attitudes, cultural factors, and lifestyles that impact business D) technological factors that include the pace of change and technical developments that have the potential for impacting society E) environmental forces that include the competitive structure, the degree of industry fragmentation, and the mobility barriers that inhibit business

Q: Your study group has been charged with conducting an assessment of competitive behavior in the sporting apparel industry. What are likely to be the key elements of your analysis?

Q: The homebuilding industry is not affected by such macro-influences as A) changes in mortgage interest rates, rules, and regulations that make it easier/harder for homebuyers to obtain mortgages. B) trends in household incomes and buying power. C) the distinctive competences of incumbent firms. D) disasters and other unanticipated events in the natural environment. E) shifting preferences of families for renting versus owning a home, and/or homes of various sizes, styles, and price ranges.

Q: Identify the five most impactful driving forces in the hospitality and lodging industry and briefly explain how each one can produce important changes in industry and competitive conditions.

Q: Managers must chart a company's strategic course by A) focusing on the local environment in which they are operating. B) ensuring excess production capacity and/or inventory. C) competing fiercely for a share in the market. D) building a bigger dealer network. E) developing a thorough understanding of the company's external and internal environment.

Q: For a complete assessment of the driving forces in an industry, three steps are required. Briefly explain those steps.

Q: The strategically relevant factors outside a company's industry boundarieseconomic conditions, political factors, sociocultural forces, technological factors, environmental factors, and legal/regulatory conditionsare known as A) the industry and the competitive arena in which the company operates. B) general economic conditions plus the factors driving change in the markets where a company operates. C) a company's macro-environment. D) the competitive market environment that exists between a company and its competitors. E) the dominant economic features of a company's industry.

Q: What is the Value Net framework? What are the steps in using this framework?

Q: Can an industry be attractive to one company and unattractive to another company? Why or why not?

Q: Assess the bargaining power on the part of buyers of cosmetics.

Q: Identify four factors that affect whether an industry does or does not present a company with a good business opportunity.

Q: Strong bargaining power on the part of buyers increases or decreases competitive pressure in what ways?

Q: What are an industry's key success factors (KSFs)? How would you assess those factors for the beer industry?

Q: Factors that influence the bargaining strength and leverage of buyers include which elements?

Q: What is the value of using Michael Porter's Framework for Competitor Analysis to observe competitors and trying to predict what moves they will make next?

Q: Where the real payoff from strategic analysis of industry dynamics comes is for managers to draw some conclusions about what strategy adjustments will be needed to deal with the impacts of the driving forces. True or false? Explain.

Q: Explain why low switching costs and weakly differentiated products tend to give buyers a high degree of bargaining power.

Q: If some strategic groups are more attractive than others, why do less well-positioned firms not simply migrate to a more attractive position? Explain and provide an example or two.

Q: Identify and briefly provide examples of the most common drivers of industry change.

Q: Competitive markets are economic battlefields. True or false? Explain.

Q: Identify three tools to diagnose the competitive conditions in an industry and explain the meaning and significance of each of the following and their relationship to one another.

Q: What are the five competitive forces that comprise the five forces model of competition?

Q: Which factors influence the bargaining strength and leverage of suppliers in the pizza segment of the restaurant industry?

Q: Draw the five forces model of competition and briefly describe the relevance of each of the five forces in determining the overall strength of competitive pressures a company faces. Which of the five competitive forces is typically the strongest?

Q: Identify and briefly explain any two of the factors that influence the strength of competition from substitute products.

Q: What are the six key questions that form the framework of thinking strategically about a company's industry and competitive environment?

Q: Based on your analysis of the ease of entry into and the threat of substitute products and services in the pizza segment of the restaurant industry, your friends have now asked you to estimate the threat of retaliation by incumbent rivals in the industry. Explain your assessment of this threat.

Q: Based on your analysis of the ease of entry into the pizza segment of the restaurant industry, your friends have decided to move forward with their plan to open a pizza parlor and delivery service within walking distance of your campus. Before they finalize the product mix for their restaurant, they have asked you to identify the competitive pressures stemming from the threat of substitutes for the pizza segment of the restaurant industry. What would your report to them include?

Q: Which of the following factors should a company consider when determining if an industry offers good prospects for attractive profits? A) the industry's growth potential, whether competition appears destined to become stronger or weaker, how the industry's driving forces might affect overall industry profitability, the company's competitive position relative to rivals, and the company's proficiency in performing industry key success factors B) an assessment of which firms in the industry have the best and worst competitive strategies, whether the number of strategic groups in the industry is increasing or decreasing, and whether economies of scale and experience curve effects are a key success factor C) whether there are more than five key success factors, more than five barriers to entry, and more than five industry drivers D) whether the market leaders enjoy competitive advantages and how difficult it is to promote innovation to develop a strongly differentiated product or service for which a price premium may be charged E) constructing a strategic group map and assessing the attractiveness of the competitive position of each strategic group

Q: When evaluating whether an industry's environment presents a company with an above-average profitability and an attractive business opportunity, it primarily involves A) determining the industry's outlook for future profitability. B) determining which firms in the industry have a competitive advantage and how they got their advantage. C) determining the overall strength of the five competitive forces. D) constructing a strategic group map and assessing the attractiveness of the competitive position of each strategic group to determine the overall attractiveness of all the strategic groups. E) using value chain analysis to determine the relative cost positions of rival firms and to learn who the industry's low-cost producer is.

Q: Two friends of yours are considering opening a pizza parlor and delivery service within walking distance of your campus. They have asked you to help them identify the competitive pressures stemming from the threat that new firms will enter the pizza segment of the restaurant industry. What information can you give them?

Q: Identify and briefly describe five common barriers to entering an industry.

Q: In evaluating whether the industry and competitive environment presents sufficiently attractive prospects for both competitive success and attractive profits usually does not involve a consideration of which of the following factors? A) the industry's growth potential and whether competitive pressures will likely grow stronger or weaker, and whether strong competitive forces are squeezing industry profitability to subpar levels B) whether the company occupies a stronger market position than rivals C) whether the industry's future profitability will be favorably or unfavorably affected by the prevailing driving forces D) the severity of the macro-environment problems confronting the industry E) whether the industry's product is strongly or weakly differentiated

Q: Identify five factors that tend to weaken the intensity of competitive rivalry among an industry's member firms.

Q: Which of the following is particularly pertinent in evaluating whether an industry presents a sufficiently attractive business opportunity? A) the industry's growth potential, whether competition appears destined to become stronger or weaker, and whether the industry's overall profit prospects are above average, average, or below average B) an assessment of which firms in the industry have the best and worst competitive strategies, whether the number of strategic groups in the industry is increasing or decreasing, and whether economies of scale and experience curve effects are a key success factor C) whether there are more than five key success factors and more than five barriers to entry D) constructing a strategic group map and assessing the attractiveness of the competitive position of each strategic group E) whether the market leaders enjoy competitive advantages and how hard it is to develop a strongly differentiated product

Q: Identify five factors that tend to intensify competitive rivalry among an industry's member firms.

Q: Correctly diagnosing an industry's key success factors A) points to those things that every firm in the industry needs to attend to in order to develop product propositions. B) hints at the firm's ability to generate above-average profitability. C) reveals that the firm's capabilities and resources are aligned with operating practices of industry participants. D) raises a company's chances of crafting a sound strategy. E) raises a company's sustainability dimensions and market characteristics in line with industry dynamics.

Q: Identify and briefly explain any four of the factors that influence the strength or intensity of competitive rivalry among an industry's member firms.

Q: Which of the following can aid company strategists in identifying key success factors in their industry? A) global distribution capabilities of suppliers B) product attributes and service characteristics that buyers consider to be crucial C) low switching costs of buyers and suppliers D) accurate filling of buyer orders E) short delivery time capability

Q: Which of the following is not a question asked to deduce a marketing-related key success factor? A) What are the industry product R&D capabilities and expertise in product design? B) On what basis do buyers choose between the competing brands of sellers? C) What product attributes and service characteristics are crucial? D) What resources must a company have to be competitive? E) What shortcomings are almost certain to put a company at a significant disadvantage?

Q: In identifying an industry's key success factors, strategists should A) try to single out all factors that play a major role in shaping whether buyer demand grows rapidly or slowly. B) consider on what basis customers choose between competing brands, what resources and competitive capabilities firms need to be competitively successful, and what shortcomings are almost certain to put a company at a significant competitive disadvantage. C) consider whether the number of strategic groups is increasing or decreasing and whether the five competitive forces are powerful or relatively weak. D) consider what it will take to overtake the company with the industry's overall best strategy. E) focus their attention on what it will take to capitalize on the impacts of the industry's driving forces.

Q: An industry's key success factors can always be deduced by asking what factors A) are a function of market share, entry barriers, and economies of scale, degree of vertical integration, and industry profitability that are advantageous. B) vary according to whether an industry has high or low long-term attractiveness. C) such as product attributes and service characteristics are crucial, and what resources and competitive capabilities are needed, and what shortcomings are evident to put a company at a competitive disadvantage. D) can be determined from studying the winning strategies of the industry leaders and ruling out as potential key success factors the strategy elements of those firms considered to have losing strategies. E) depend on the relative competitive strengths of the industry leaders and how vulnerable they are to competitive attack.

Q: The payoff of good scouting reports on rivals is an improved ability to A) anticipate what moves rivals are likely to make next. B) determine which rivals are in the best strategic group. C) figure out how many key success factors a rival has. D) determine whether a rival is gaining or losing market share. E) determine whether a rival has the best strategy and is the industry leader.

Q: Strategic group map analysis does not entail drawing conclusions about A) where on the map is the best place to be and why. B) which companies/strategic groups are destined to prosper because of their positions. C) which companies/strategic groups seem destined to struggle. D) what accounts for why some parts of the map are better than others. E) where on the map is the easiest position to shift from to a more favorably situated position.

Q: The key success factors in an industry A) are those competitive factors that most affect industry members' abilities to prosper in the marketplacethe particular strategy elements, product attributes, operational approaches, resources, and competitive capabilities that spell the difference between being a strong competitor and a weak one, and between profit and loss. B) are determined by the industry's driving forces, which are essential to surviving and thriving in the industry. C) hinge on how many different strategic groups the industry has operating within the industry and their level of profitability and sustainable advantages. D) depend on how many rivals are trying to move from one strategic group to another without losing momentum. E) are a function of such considerations as how many firms are in the industry, how many have market shares above 5 percent, and whether the business models being used are similar or diverse.

Q: One of the things that can be gleaned from a strategic group map of industry rivals is A) which rivals have been in business longer and thus have greater access to experience curve effects. B) which rivals have newer manufacturing facilities and thus have achieved greater product quality. C) which strategic groups have the highest profit margins and the highest customer switching costs and thus represent key operating characteristics. D) that some strategic groups are more favorably positioned than others because they confront weaker competitive forces and/or because they are more favorably impacted by industry driving forces. E) which strategic groups are currently being shunned by customers because of high prices and relatively low product quality.

Q: Competitive intelligence can be gleaned from A) company press releases, company websites, management presentations, annual reports, and 10-K filings. B) SWOT analysis, PESTLE analysis, KSF analysis, and driving forces analysis. C) strategic group maps, Value Net analysis, and five force analysis. D) financial ratio analysis, KSF analysis, driving forces analysis, and five forces analysis. E) KSF analysis, Value Net analysis, and driving forces analysis.

Q: The extent to which firms are meeting objectives suggests they A) are likely to prosper in the future. B) are likely to continue their present strategy with only minor fine-tuning. C) are virtually certain to make fresh strategic moves. D) recognize the status quo as the best course of action to adopt E) realize that refocusing will ensure competitive gains.

Q: With the aid of a strategic group map for the pizza segment of the food service industry, one can A) identify easily the entry and exit barriers for each strategic group and intersegment competition with other casual restaurants. B) pinpoint precisely which pizza restaurants are in profitable strategic groups and which are not. C) identify which competitive forces are strong and which are weak for pizza restaurants. D) measure accurately whether across-group rivalry among pizza establishments is stronger than within-group rivalry, and vice versa. E) reveal which pizza establishments are close competitors and which are distant rivals, and that not all positions on the map are equally attractive.

Q: A rival's strategic moves and countermoves are A) indicators for the visualization of strategic mapping techniques. B) enabled and constrained by the set of capabilities they have at hand. C) measured by the extent to which they can unveil financial objectives. D) responses to the broader definition of the industry opportunities. E) signs of the competitive pressures from the industry.

Q: Which of the following is not an appropriate guideline for developing a strategic group map for a given industry? A) The variables chosen as axes for the map should indicate important differences among rival approaches. B) The variables chosen as axes for the map do not have to be either quantitative or continuous. They can be discrete variables. C) The variables chosen as axes for the map should be highly correlated. D) Several maps should be drawn if more than one pair of variables give different exposures to the competitive positioning relationships present in the industry structure. E) The sizes of the circles on the map should be drawn proportional to the combined sales of the firms in each strategic group.

Q: When drawing a strategic group map A) one strategic variable and one financial variable should be used as axes for the map. B) it is important for the variables used as axes to be highly correlated. C) the best variables to use as axes for the map are those that identify the competitive characteristics that delineate strategic approaches used in the industry. D) it is important to use price as the variable for the vertical axis. E) the primary objective is to determine which strategic groups are profitable and which are not.

Q: Angela and Jeff are co-owners of five specialty cupcake baking stores in their region. Which of the following questions would not help them to predict the next strategic moves and countermoves of their rivals? A) Which mode of transport does the rival's supplier use? B) How does the rival manage door-to-door deliveries at no extra cost? C) What percentage of customers frequent the rival's store? D) Why are the rival's cupcakes so popular among customers? E) How frequently does their rival fulfill special orders for custom cupcakes and how large are those special orders?

Q: Whole Foods has invested heavily into a system for gathering competitive intelligence about the strategic direction and likely moves of key rivals in the supermarket industry. Doing so allows Whole Foods to determine which rivals are pursuing all of the following, except A) the best strategy. B) flawed or weak strategies. C) strong performance objectives. D) reliable resources and capabilities. E) similar competitive approaches.