What separates a powerful strategy from a run-of-the-mill or ineffective one is: the ability of the strategy to keep the company profitable. the proven ability of the strategy to generate maximum profits. the speed with which it the company achieve its strategic vision. management's ability to forge a series of actions, both in the marketplace and internally, that sets the company apart from rivals, and produces sustainable competitive advantage. whether it allows the company to maximize shareholder value in the shortest possible time.

Consider two cigarette companies, pm inc. and brown inc. if neither company advertises, the two companies split the market and earn $50 million each. if they both advertise, they again split the market, but profits are lower by $10 million since each company must bear the cost of advertising. yet if one company advertises while the other does not, the one that advertises attracts customers from the other. in this case, the company that advertises earns $60 million while the company that does not advertise earns only $30 million. if these two companies collude and agree upon the best joint strategy, a. neither company will advertise. b. both companies will advertise. c. pm inc. will advertise but brown inc. will not. d. brown inc. will advertise but pm inc. will not.