Business Strategies Quiz

What is the least risky strategy for big companies?

• The combined strategy

• The reduction strategy

• The strategy of limited growth

• The strategy of rapid growth

What approach is defined by achieving substantial increases in revenue annually?

• The strategy of steady growth

• The contraction strategy

• The strategy of aggressive expansion

• The hybrid strategy

What does the reduction strategy aim to achieve?

• Increase in sales

• Getting rid of uncompetitive business processes

• Expansion into new markets

• Maximizing profit in the short term

Which strategy includes elements of both growth and reduction?

• The reduction strategy

• The strategy of limited growth

• The combined strategy

• The leadership strategy

What is a key focus of competitive strategies?

• Maximizing short-term profits

• Expanding product lines

• Attracting buyers and fighting rivals

• Reducing costs

What is the primary goal of a leadership strategy through cost savings?

• To focus on a limited range of goods

• To maintain a long-term competitive advantage

• To maximize short-term profits

• To create a wide range of products

Which of the following is a disadvantage of the differentiation strategy?

• High costs for constant modification of goods

• Increased competition

• Limited market reach

• Lower product quality

What does the focusing strategy primarily target?

• A limited range of goods and services

• Cost reduction

• Technological advancements

• A broad market segment

What is a potential risk of the update strategy?

• Increased market share

• High costs in research and development

• Improved product quality

• Enhanced customer satisfaction

Which of the following is NOT a form of reduction strategy?

• Closure or sale of an enterprise

• Rapid expansion into new markets

• Temporary reduction of costs

• Focusing on core activities