Market commonality refers to the extent to which competitors

are vying for the same customers in the same markets. TRUE

In the context of competitive dynamics, tactical actions involve

major commitments of distinctive and specific resources to
strategic initiatives. FALSE

An important idea behind the "profit pool" concept is that there is

always a strong relationship between the generation of revenues
and the capturing of profits.FALSE

In a global strategy a firm operates all its businesses under a

single common strategy regardless of location. TRUE

Diversification that results in strengthening the value chain and

increasing competitive advantages is the best possible example of
investing stockholders' funds in a way that individual investors
cannot. TRUE

According to studies by Rugman and Verbeke, most of the world's

500 firms are global—not regional or biregional. FALSE

High levels of environmental awareness in Denmark have led to a

decline in Denmark's industrial competitiveness in the
international marketplace. FALSE

The two-principal means by which firms achieve synergy through

market power are: pooled negotiating power and corporate
parenting. FALSE