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IIT Kanpur *

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MICROECONO

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Management

Date

Nov 24, 2024

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jpg

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1

Uploaded by ProfAtom12103

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JA = 17.3B/s £ 4 57% C# ) 11:34 AM & MGT-401-MIDpdf [@ 4% ¢ Section-B: Answer any three from the following: (3X5) =15 3. In late June 2020, Uber completed a deal to purchase Postmates, a mobile food delivery service, for about $2.6 billion, as the on-demand food delivery market had consolidated, and Uber sought for new ways to make money. The tie-up was expected to bolster Uber’s delivery business, Uber Eats, and help the company compensate for the cratering of its core ride-hailing business, which had collapsed in many cities because of the COVID-19 pandemic in 2020. Food delivery was not yet profitable, but demand had soared while restaurants were closed, and people were primarily dining at home. What type of strategy did Uber use to try and regain a competitive advantage? Why? 4, In late June of 2023, Unicorn Corp., the source of expensive athleisure and activewear, announced that it was betting on the future of personalized remote exercise to reach customers by acquiring Moon Fitness Equipment Ltd, a home fitness start-up that sells a $1,495 wall-mounted machine for streaming workout classes. The value of that deal was an estimated $500 million. Moon charged customers $39 a month to stream its live or on-demand classes. The purchase was said by observers to fit with Unicorn’s ambitions to become an experiential brand— from clothing to workouts to memories of those sessions—and to add Moon's revenue stream to that of Unicorn’s. What type of strategy is Unicorn using to sustain a competitive advantage? Why? 5. In a meeting with the newly joined executives in Atlantic Pharmaceutical, CEO of the company has presented the current scenarios of their two close competitors. (i) Asian Pharmaceutical is having advantage over their customer for their differentiated products and high switching cost. (i) Pacific pharmaceutical having less bargaining power over their customer for the weak differentiated products as well as low switching cost. Do you think that the low switching costs and weakly differentiated products tend to give buyers a high degree of bargaining power or vice versa? Why? 6. Most often people get confused between “strategy” and “plan”. However, to compete in this competitive business world, it is important for you to understand these two core concepts. As a student of business strategy course, briefly outline whether these two terms are same? If not, then what are the differences. What is their application in business organization? Best of luck! 74
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