Samenvatting boek Strategic management of technological innovation

1.Virtual Inc., a manufacturing company, has recently entered into the cell phone industry. This industry is characterized by rapid technological innovations. Which of the following is an implication for Virtual Inc. (Chapter 1Strategic importance of innovation, Lecture 1)? A. The life cycle of its cell phones will be very long. B.It will face rapid product obsolescence. C. It will face low market segmentation in the cell phone industry. D. It will face lower need for product differentiation.

Answer: B. It will face rapid product obsolescence.

2.Organizations that manufacture products such as e-books for e-readers, or DVDs forDVD players are examples of _____. (Lecture 1Strategic importance of innovation, Chapter 2) A. moderators B. lead users C. complementors D. incubators

Answer: C. complementors

The ability of an organization to recognize, assimilate, and utilize new knowledge is its: (Lecture 2 Innovation types and technology trajectories, Chapter 2) A. cognitive ability B. absorptive capacity C. organizational agility D. reasoning ability

Answer: B. absorptive capacity

Which of the following is true of s-curves in technological improvement? (Chapter 3, Lecture 2Innovation types and technology trajectories) A. They are obtained by plotting the cumulative number of adopters of the technology against time. B. They typically show that technology goes through initial accelerated improvement, then slow improvement, then diminishing improvement. C. S-curves in technology diffusion and s-curves in technology performance are fundamentally the same processes and are overlapping accordingly. D. The s-curves flatten when the cost of each marginal improvement increases and when diminishing returns to effort start to set in.

Answer: D. The s-curves flatten when the cost of each marginal improvement increases and when diminishing returns to effort start to set in.

Which of the following is true of externalities (Lecture 3Innovation & organizational environment, Chapter 1 & Chapter 4)? A. All externalities are negative in nature. B. They are only borne by individuals responsible for creating them. C. Technological innovation results in complete eradication of negative externalities. D. Externalities can be in the form of benefits reaped by individuals.

Answer: D. Externalities can be in the form of benefits reaped by individuals.

There are several limitations in using the s-curve as a prescriptive tool in innovation management. Which of the following strategies are in line with Schilling’s recommendations (Chapter 4, Lecture 3 Innovation & organizational environment): (1) Companies may delay implementing a new technology if they lack the complementary resources (2) Companies may delay implementing a new technology if the majority of their revenue relies on products with an incumbent technology A.(1) is true, (2) is untrue B.(2) is true, (1) is untrue C.(1)& (2) are true D.(1) & (2) are untrue

Answer: A.(1) is true, (2) is untrue

Strategy formulation relies on internal and external analysis (Lecture 4 & Chapter 6 ‘Defining the organization’s strategic direction’). Which of the following statements is FALSE? A.Internal analysis considers a firm’s core competencies B.In external analysis, firms identify opportunities and threats in its environment C.Firm’s core rigidities are a type of competence that should direct a firm’s desired strategic position D.The resource and capability gap can be determined when contrasting the firm’s desired strategic position with its current position

Answer: C.Firm’s core rigidities are a type of competence that should direct a firm’s desired strategic position

In the Back Bay Battery simulation, most profit could be obtained by investing at the same time in mature NiMH technology and emerging Ultracapacitor technology. This is NOT an example of (Lecture 4 & Chapter 6 ‘Defining the organization’s strategic direction’): A. structural ambidexterity B. sequential ambidexterity C. contextual ambidexterity D. simultaneous ambidexterity

Answer: B. sequential ambidexterity

What is true about effectuation and causation?(Lecture 5 Allocating resources for innovation) A. Affordable loss is a criterion for causation logic B. Expected returns is a criterion for causation logic C. Competitive analysis is typical for effectuation logic D. Reducing uncertainty is typical for effectuation logic

Answer: B. Expected returns is a criterion for causation logic