Strategic Management Part 1

1. What are the means by which long term objectives will be achieved? A. Strategies B. Policies C. Strength D. Opportunities ANSWER: A 2. In the resource-based model, which of the following factors would be considered a key to organizational success? A. unique market niche B. weak competition C. economies of scale D. skilled employees ANSWER: D 3. When an industry relies heavily on government contracts, which forecasts can be the mostimportant part of an external audit A. Economic B. Competitive C. Political D. Multinational ANSWER: C 4. The goal of the organization's ____ is to capture the hearts and minds of employees, challenge them, and evoke their emotions and dreams. A. vision B. mission C. culture D. strategy ANSWER: A 5. A possible and desirable future state of an organization is called: A. Mission B. Vision C. Strategy implementation D. Strategy formulation ANSWER: B 6. The environmental segments that comprise the general environment typically will NOT include A. demographic factors B. socio cultural factors C. substitute products or services. D. technological factors ANSWER: C 7. What are the guides to decision making? A. Rules B. Procedures C. Goals D. Policies ANSWER: D 8. Buying another company by one company means: A. Joint venture B. Acquisition C. Amalgamation D. Merger ANSWER: B 9. Which environment can create new market and new business segments? A. Political environment B. Economic environment C. Socio cultural environment D. Technological environment ANSWER: D 10. Strategic Management handles: A. external issues B. management issues C. internal issues D. administrational issues ANSWER: A 11. Corporate level strategy deals with: A. objectives of specific functions B. objective of Single strategic Business Unit C. objectives of the corporate D. objectives of specific operations ANSWER: C 12. Internal analysis enables a firm to determine what the firm--- A. can do. B. should do. C. will do. D. might do. ANSWER: A 13. An external analysis enables a firm to determine what the firm--- A. can do. B. should do. C. will do D. might do. ANSWER: D 14. Which does not comes under the primary activities of value Chain analysis: A. Operations B. Technology development C. Marketing and sales D. Services ANSWER: B 15. Capabilities that other firms cannot develop easily are classified as ----- A. costly to imitate. B. rare. C. valuable. D. no substitutable ANSWER: A 16. Technological advancements can create-------------------for the businesses. A. Economic B. Social C. Environmental D. Competitive ANSWER: D 17. Which strategies aim at improving internal weakness by taking advantage of external opportunities? A. SO B. WO C. SW D. ST ANSWER: B 18. Swot Analysis is done to know the A. strengths B. Threats and strengths C. Weaknesses and opportunities D. Threats, strengths Weaknesses and opportunities ANSWER: D 19. Turnaround strategies involve changes at what level of strategy? A. Corporate B. Functional C. Competitive D. All levels ANSWER: C 20. A cost leadership strategy targets the industry's ____ customers A. most typical B. poorest C. least educated D. most frugal ANSWER: A 21. The corporate level is where top management directs: A. all employees for orientation B. its efforts to stabilize recruitment needs projections C. overall strategy for the entire organization D. overall sales projections ANSWER: C 22. The three organizational levels are: A. corporate level, business level, functional level B. corporate level, business unit level, functional level C. corporate strategy level, business unit level, functional level D. corporate strategy level, business level, specialist level ANSWER: A 23. The business unit strategy has three major components: A. mission, business, and SBU goals B. marketing, advertising and pricing objectives C. mission, business unit goals, and competencies D. business mission, department mission, and daily plans ANSWER: C 24. The basic activities of strategic management include: A. offense, defense, and control. B. situation analysis, strategy formulation and evaluation. C. development, control, and management. D. ethics, management, and practice. ANSWER: B 25. An organization's strategies should be designed so that they incorporate: A. opportunities and threats. B. resources and capabilities. C. only traditional values of past organizations. D. opportunities, threats, resources, and capabilities. ANSWER: B 26. Competitive rivalry has the most effect on the firm's ____ strategies than the firm's other strategies. A. business-level B. corporate-level C. acquisition D. international ANSWER: A 27. How often should strategic-management activities be performed? A. Annually B. Quarterly C. Monthly D. Continuously ANSWER: D 28. Who is most responsible for developing, communicating, and enforcing the code of business ethics for a firm? A. Strategists B. Line managers C. Staff managers D. All managers ANSWER: A 29. Strategy-implementation activities include-------------- A. conducting research. B. measuring performance. C. preparing a TOWS matrix. D. establishing annual objectives. ANSWER: D 30. In a large organization, strategic management activities occur at what level(s)? A. Corporate and divisional B. Functional, business and corporate C. Strategic business unit D. Divisional ANSWER: B 31. Conducting research, integrating intuition with analysis, and making decisions are all__________ activities. A. strategy-formulation B. strategy-implementation C. long-range planning D. short-range planning ANSWER: A 32. Which of these questions is addressed by a mission statement? A. What do we want to become B. What is our business C. How many employees must we have D. Who do we want to serve ANSWER: B 33. Competitors are more likely to respond to competitive actions that are taken by---- A. differentiators B. larger companies. C. first movers. D. market leaders. ANSWER: D 34. Strategy is developed by the visionary chief executive in ------- mode of strategic management. A. planning mode B. adaptive mode C. strategic mode D. entrepreneurial mode ANSWER: D 35. Stability strategy is a ----- strategy A. corporate level B. business level C. functional level D. strategic level ANSWER: A 36. Marketing strategy is a ------ type of strategy A. business level B. Growth C. corporate D. functional ANSWER: D 37. The word tactics is most likely to be associated with---------------- A. Business strategy B. Corporate strategy C. Operational strategy D. All of the above ANSWER: C 38. What are the means by which long term objectives will be achieved? A. Strategies B. Policies C. Strength D. Opportunities ANSWER: A 39. A possible and desirable future state of an organization is called------------ A. Mission B. Vision C. Strategy implementation D. Strategy formulation ANSWER: B 40. What are the guides to decision making? A. Rules B. Procedures C. Goals D. Policies ANSWER: D 41. Buying another company by one company means------------- A. Joint venture B. Acquisition C. Amalgamation D. Merger ANSWER: B 42. Strategic Management handles----------------------- A. External issues B. Management issues C. Internal issues D. Administrational issues ANSWER: A 43. What is the starting point of strategy? A. Objectives B. Goals C. Mission D. Vision ANSWER: D 44. Corporate level strategy deals with------------------- A. Objectives of the firm B. Objective for Single strategic Business Unit C. Objectives for specific function allocation of resources D. Within that functions ANSWER: A 45. Company offers unique products that are widely valued by customers, it is likely to follow a--------------------A. Differentiation strategy B. Combination strategy C. Focus strategy D. Cost-leadership strategy ANSWER: A 46. The following are considered grand strategies, except for-------------A. A retrenchment strategy B. Strategic business units C. A growth strategy D. Related diversification ANSWER: B 47. Strategic business units------------ A. Are found in one-business organisations B. Carry out strategies assigned by the CEO C. Develop their own unique way of competing D. Implement the marketing function's ANSWER: C 48. The corporate level is where top management directs------------------- A. All employees for orientation B. Its efforts to stabilize recruitment needs C. Overall strategy for the entire organization D. Overall sales projections ANSWER: C 49. The three organizational levels are ----------------------- A. Corporate level, business level, functional level B. Corporate, business unit, functional level C. Corporate strategy, business unit, functional level D. Corporate strategy, business, specialist level ANSWER: A 50. The basic activities of strategic management include --------------- A. Offense, defense, and control B. Situation analysis, strategy formulation, implementation, and evaluation C. Development, control, and management D. Ethics, management, and practice ANSWER: B 51. An organizations strategies should be designed so that they incorporate--- A. Opportunities and threats B. Resources and capabilities C. Only traditional values of past organizations D. Opportunities, threats, resources, and capabilities ANSWER: B 52. Environmental scanning occurs in what phase of strategic conflict management? A. Reactive B. Proactive C. Recovery D. Strategic ANSWER: B 53. The competencies or skills that a firm employs to transform inputs into outputs are -------------- A. Tangible resources B. Intangible resources C. Organizational capabilities D. Reputational resources ANSWER: C 54. How often should strategic-management activities be performed? A. Annually B. Quarterly C. Monthly D. Continuously ANSWER: D 55. Strategy-implementation activities include----------- A. conducting research B. measuring performance C. preparing a TOWS matrix D. establishing annual objectives ANSWER: D 56. In a large organization, strategic management activities occur at what level(s)? divisional only B. Divisional C. Strategic business unit only D. Functional, divisional, and corporate ANSWER: D A. Corporate and 57. Conducting research, integrating intuition with analysis, and making decisions are all__________ activities. A. Strategy-formulation B. Strategy-implementation C. Long-range planning D. Short-range planning ANSWER: A 58. ___________ are short-term milestones or benchmarks that organizations must achieve in order for longer term objectives are to be reached A. Vision B. Mission C. Plans D. Goals ANSWER: D 59. __________ refers to the purposes an organization strives to achieve A. Strategic Intent B. Strategic Formulation C. Strategic Implementation D. Strategic Control ANSWER: A 60. The two internal elements of SWOT analysis are-------------- A. weaknesses and threats B. opportunities and threats C. strength and weaknesses D. strengths and threats ANSWER: C 61. The term corporate strategy concerns strategy and strategic decisions ----------- A. In certain types of organization B. At all levels in an organization C. Developed by the senior management D. private sector only ANSWER: B 62. What are the decisions and actions that determine long-run performance of an organization? strategies B. missions C. goals D. opportunities ANSWER: A A. 63. ______ is the collection of managerial decisions and actions that determine the long-run performance of an organization. A. planning B. goal-oriented management C. strategic management D. leadership ANSWER: C 64. ______ and ______ are outcomes from a study of the external environment. A. Threats and Weaknesses B. Strengths and Weaknesses C. Weights and Measures D. Opportunities and Threats ANSWER: D 65. Middle level managers typically are responsible for ------ strategies. A. business B. organizational C. operational D. corporate ANSWER: A 66. _________ strategy determines what businesses an organization should be in B. Organizational C. Operational D. Corporate ANSWER: D A. Business 67. A _______ strategy addresses organizational weaknesses, helps stabilize operations and revitalizes organizational resources and capabilities A. unrelated diversification B. horizontal integration C. vertical integration D. retrenchment ANSWER: D 68. Functional level strategy directly supports----- A. corporate strategy B. business strategy C. differentiation strategy D. focus strategy ANSWER: B 69. The _______________ has its own business strategy, objectives and competitors and these are often differ from parent company A. Strategic Business Unit structure B. Matrix structure C. Divisional structure D. None ANSWER: A 70. The vision and mission statement can often be found---------- A. in SEC report B. in annual reports C. on customer receipts D. on supplier invoices ANSWER: B 71. Functional level strategy directly supports----- A. corporate strategy B. business strategy C. differentiation strategy D. focus strategy ANSWER: B 72. Which statement should be created first and foremost? A. strategic B. vision C. objectives D. mission ANSWER: B 73. The purpose of a mission statement is to declare all of these except ------- A. a reason for being B. an annual financial plan C. a statement of purpose D. a statement of beliefs ANSWER: B 74. As indicated in the strategic-management model, a clear _______ is needed before alternate strategies can be formulated and implemented. A. long-term objective B. short-term objective C. policy D. mission statement ANSWER: D 75. The mission statement answers which question? B. How can we improve ourselves? C. What do we want to become? D. Who are our stakeholders? ANSWER: A A. What is our business? 76. The vision statement answers which question? A. What is our business? B. How can we improve ourselves? C. What do we want to become? D. Who are our stakeholders? ANSWER: C