SM CHAPTER 1

What is the definition of the word 'strategy' as per the text?

• A set of rules for business management

• A framework for employee motivation

• A method for winning in a war

• A plan for achieving a specific goal

What are the three components of an organization's desired image as mentioned in the text?

• Planning, organizing, staffing

• Product, price, promotion

• Desired direction, desired destination, desired image

• Strength, weaknesses, opportunities

What is the difference between proactive strategy and reactive strategy?

• Proactive strategy is based on past experiences, while reactive strategy is based on future predictions

• Proactive strategy is for small organizations, while reactive strategy is for large organizations

• Proactive strategy is planned, while reactive strategy is adaptive

• Proactive strategy is short-term, while reactive strategy is long-term

What is the role of management in an organization as per the text?

• To make full use of strength/resources

• To influence process backed by power

• To develop strategic vision

• To create competitive advantage

What are the objectives of strategic management?

• To achieve short-term goals and long-term objectives

• To dominate the market and eliminate competition

• To maximize profit and minimize cost

• To create competitive advantage and guide the company through changes in the environment

What is the principle of 'Survival of the fittest' as mentioned in the text?

• The organization with the most resources will succeed

• The organization that can change and adapt will survive

• The strongest organization will dominate the industry

• The largest organization will survive in the market

What are the major benefits of strategic management?

• Direction to company, reactive strategies, corporate defence mechanism

• Proactive strategies, corporate defence mechanism, enhance longevity of business

• Proactive strategies, future readiness, corporate offence mechanism

• Corporate defence mechanism, framework for decision making, enhance longevity of business

What are the limitations of strategic management as per the text?

• Complex and turbulent environment, time-consuming process, costly process

• Complex and turbulent environment, quick decision-making, low cost

• Predictable environment, cost-effective process, quick decision-making

• Simple environment, cost-effective process, quick implementation

What is the role of values in an organization?

• To set the tone for decision making and guide the organization's actions

• To maximize profit and minimize cost

• To dominate the market and eliminate competition

• To achieve short-term goals and long-term objectives

What is the difference between goals and objectives as per the text?

• Goals are open-ended attributes, while objectives are close-ended attributes

• Goals are specific, while objectives are general

• Goals are short-term, while objectives are long-term

• Goals are for small organizations, while objectives are for large organizations