SECOND TERM

STRATEGIC MANAGEMENT

10% OF THE SEMESTER

 You have 1.5 hours to answer the exam.
 You must upload it in E-Aulas
 Class notes, presentation and the internet can be used.
 Copy and paste responses from the internet is forbidden
 Use class examples is forbidden.

1. Value (0.25) In the EFE matrix, there must be an equal number of opportunities and
threats.
a) TRUE b) FALSE

2. Value (0.25) In Alex Smith's video: Love your competitors - how great businesses do
strategy (mind map made in class) he includes as some of his examples the companies
Nokia and Southwest.
a) TRUE b) FALSE

3. Value (0.25) The Porter Diamond Model, is a model that describes the competitive
advantage that nations or groups possess based on factors available to them.
a) TRUE b) FALSE

4. Value (0.25) Factors conditions refer to the size and nature of the customer base for
products, which also drives innovation and product improvement.
a) TRUE b) FALSE is Demand conditions.

Value (1) According to the BCG matrix choose which product belongs to each quadrant.

a) Aquafina, Gatorade, and Powerade:

Aquafina holds 15% of the bottled water market share and is second to Bisleri. The trend
for carbonated drinks has decreased significantly as consumers move away from sugar-
laden sodas. Gatorade is now the market leader in sports drinks, with 77% share of the
market, up from 63% a year ago. Powerade has a 20% share of the market. With rising
health trends and emerging markets, the brand is investing huge amounts of money into
healthier foods and beverages, making a bigger dent in the soft drink category.
 b) Frito Lay:
Frito-Lay has a dominant 72.4% market share in the chip segment, but its main
competitors are Doritos with 7% and Tostitos with 8.7%. The product requires a little
investment to maintain its market share, as its sales don’t fluctuate significantly with new
products.

c) Pepsi:
The segment share of Pepsi has dropped from 10.3% to 8.4% due to increasing demand for
low-calorie and healthy beverages and snack.

d) Diet soda
Not many people associate the term “Diet soda” with PepsiCo. The company launched
Diet Pepsi to take back a portion of the market share it had lost to Coca-Cola and
recapture the consumers’ attention. In its initial launch, Diet Pepsi captured just 5 percent
of the market, but soon after, it began losing market share to Coca-Cola’s diet version.

 ( ) Star
 ( ) Cash Cows
 ( ) Question Marks
 ( ) Dogs

Video points 4- 5
https://www.youtube.com/watch?v=0RJL8APHgbk&t=77s
Why Best Buy Failed In The U.K.

Value 1. Make the ERRC matrix for Best Buy (3 or more items for each quadrant)
Suggest what you should do to succeed in this UK market.

ELIMINATE RAISE

1. 1.

2. 2.

3. 3.

4. 4.

… …
REDUCE CREATE

1. 1.
 2. 2.

3. 3.

4. 4.

… …

Value (1.5) Use de Ansoff matrix strategies. Propose a strategy for Best Buy in UK and
explain how to implement it. (You must clearly name the strategy and write more than 7
lines arial 12)

Value (0.5) Choose 2 of the Six Paths Framework in Formulating a Blue Ocean Strategy
and propose how you would apply them for Best buy in UK.