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Corporate strategy

Total questions: 54

Worksheet time: 27mins

Name
Class
Date
1.

It can be explained as the management plan formulated by the highest level of organization, to direct and operate the entire business organization.

a)

corporate strategy

b)

corporate parenting

c)

turnaround strategy

d)

none of the above

2.

Three levels of Strategy Hierarchy includes:

a)

Corporate level, Marketing strategy, and Operations Strategy

b)

Corporate level, Business level, and Finance

c)

Corporate level, Business level, and Functional level

d)

Operations department, marketing department, and Finance department

3.

Which level of the strategy includes an action plan about the productions of goods and/or services?

a)

Corporate level

b)

Business level

c)

Functional level

d)

Operations department

4.

A statement defining what business an organization is in, who its customers are, how its core beliefs shape its business

a)

Mission Statement

b)

Objective Statement

c)

Goal Statement

d)

Quality Policy

5.

A mission statement contains an organisation's

a)

deadlines and targets

b)

identity and purpose

c)

operational plan

d)

diversity policy

6.

It is important for an organisation to have a mission statement to:

a)

inform stakeholders

b)

set boundaries

c)

allocate budget

d)

ensure viability

7.

What is the purpose of organisational aims and objectives?

a)

To prevent takeovers

b)

To provide direction to staff

c)

To set staff limits of authority

d)

To give a brief overview of ideas

8.

A vision statement focuses on tomorrow and what an organisation wants to ultimately become.

a)

True

b)

False

9.

A mission statement focuses on today and what an organisation does to achieve it.

a)

True

b)

False

10.

The word strategy comes from the Greek word 'strategos' which means ___________.

a)

'art of general'

b)

'art of social science'

c)

'art of profession'

11.

Strategy is a __________________ plan.

a)

specific long term

b)

comprehensive long term

12.

"________________ is a plan of action or policy designed to achieve a major or overall aim"-

a)

Strategy

b)

Objectives

13.

Strategy is applicable to all _________________ areas.

a)

Functional

b)

Financial

c)

Mechanical

14.

Strategy is ____________ oriented.

a)

future

b)

past

c)

present

15.

"We appoint credit card for a period of 14 days only" is an example of ____________________.

a)

Business Policy

b)

Strategy

c)

Strategic Management

16.

____________ are general statements of principles that guide managers and employees in decision-making and action.

a)

Business policies

b)

Organisational Culture

c)

Strategic Management

d)

Marketing Policies

17.

Every business organization need to frame appropriate business policies for its ___________________

a)

Operational Areas

b)

Functional areas

c)

Fundamental Areas

d)

Strategic Areas

18.

Business Policies are ___________________ statements for attaining the goals

a)

Narrow

b)

Broad

19.

Business Policies are based on ______________________

a)

Organizational Philosophy

b)

Assumptions

c)

Family Philosophy

20.

Business Policies are ____________________ in nature.

a)

specific

b)

Multi-purpose

21.

Business Policies should be _______________.

a)

Flexible

b)

Static

22.

Business Policies helps ___________,________________________ and ____________

a)

Individual, Associates and Society

b)

Managers, employees, and stakeholders

23.

___________________ is the stream of decisions and actions which lead to the development of an effective strategy or strategies to achieve corporate objectives.

a)

Human Resource Management

b)

Strategic Management

c)

Financial Management

24.

Strategic Management is a systematic _________________ process.

a)

One time

b)

Static

c)

Continious

25.

Strategies in an organisation are formulated by ______________________ management.

a)

Middle-level management

b)

Lower level management

c)

Top-level management

26.

Strategic management considers _________________ term horizon.

a)

Long

b)

short

c)

meduim

27.

Top-level management requires more of ________________ skills.

a)

Interpersonal

b)

Conceptual

c)

Technical

28.

Proper formulation of strategy helps in reduction of _____________.

a)

Profits

b)

Disputes

c)

Efficiency

29.

The word strategy comes from the Greek word ______________

a)

'strategis'

b)

'strategos'

30.

The goal of strategic management is to

a)

achieve competitive advantage.

b)

achieve and maintain competitive advantage.

c)

eliminate and abolish competitive advantage.

d)

eliminate competitive advantage.

e)

maintain competitive advantage.

31.

During what stage of strategic management are a firm's specific internal strengths and weaknesses determined?

a)

Implementation

b)

Formulation

c)

Goal-setting

d)

Feedback

e)

Evaluation

32.

An important activity in ________ is taking corrective action.

a)

strategy implementation

b)

strategy formulation

c)

strategy evaluation

d)

strategy leadership

e)

all the above

33.

What step in the strategic development process involves mobilizing employees and managers to put strategies into action?

a)

Competitive advantage

b)

Strategy formulation

c)

Strategic advantage

d)

Strategy implementation

e)

Strategy evaluation

34.

In recent years, the speedy flow of information through technology has

a)

made it harder for people worldwide to see how others work and live.

b)

made the real flow of financial activity align with political boundaries between countries.

c)

strengthened national boundaries and made countries more self-contained.

d)

ensured that the U.S. is unrivaled by other companies in all industries.

e)

created a borderless world with global competitors, customers, and citizens.

35.

Anything that a firm does especially well compared to rival firms is referred to as

a)

comparative disadvantage.

b)

comparative advantage.

c)

unsustainable advantage.

d)

opportunity cost.

e)

an external opportunity.

36.

________ allows firms to sell products, advertise, purchase supplies, bypass intermediaries, track inventory, and eliminate paperwork.

a)

E-commerce

b)

Viral video

c)

social networking

d)

blogging

e)

"trading down"

37.

Which is generally considered to be the first step in strategic planning?

a)

Developing a mission statement

b)

Determining opportunities and threats

c)

Making a profit

d)

Establishing goals and objectives

e)

Developing a vision statement

38.

Whenever new firms can easily enter a particular industry, the intensity of competitiveness among firms tends to.

a)

decrease

b)

neutralize.

c)

become irrelevant.

d)

increase

e)

remains the same

39.

The initial step to implementing value chain analysis is

a)

establishing costs in terms of money.

b)

establishing costs in terms of time.

c)

dividing a firm's operations into specific activities or business processes.

d)

converting the cost data into information by looking for competitive cost strengths and weaknesses.

e)

attaching a cost to each discrete activity.

40.

The goal of most firms is to choose a strategy that

a)

maximizes the value of the firm for its shareholders

b)

that minimizes costs

c)

that emphasizes high sales

d)

that controls both costs and expenses

41.

__________ is a ratio or rate of return concept.

a)

A. Profitability

b)

B. Performance

c)

C. Cash flow

d)

D. Efficiency

42.

. Two basic conditions determine a firm's profits:

a)

A) the firm's costs of production and the state of the economy

b)

B) the amount of value customers place on the firm's good and services and the firm's costs of production

c)

C) the quality of a firm's products and the industry the firm participates in

d)

D) the industry the firm participates in and the state of the economy

43.

In the context of value chain analysis, the primary activities of a firm include:

a)

A) R&D, human resources, materials management, and production

b)

B) service, human resources, production, and materials management

c)

C) company infrastructure, information systems, human resources, and materials management

d)

D) R&D, production, marketing & sales, and service

44.

When individuals learn the most efficient ways to perform particular tasks, there are

a)

A) location economies

b)

B) value creation effects

c)

C) teaching effects

d)

D) learning effects

45.

When a firm needs to minimize its unit costs, the firm is facing __________________.

a)

A. pressure for cost reduction

b)

B. pressure to be locally responsive

c)

C. pressure for location economies

d)

D. pressure for experience effects

46.

The two basic strategies for creating value are ________

a)

value and cost

b)

differentiation and low cost

c)

profitability and profit growth

d)

R&D and production

47.

The following is the component of support activities EXCEPT _________

a)

Information system

b)

Logistics

c)

Human resources

d)

R & D

48.

Internal growth is also known as

a)

Merger

b)

Sales maximisation

c)

Organic growth

d)

Inorganic growth

49.

External growth is also known as

a)

Organic growth

b)

Inorganic growth

c)

Merger

d)

Sales maximisation

50.

An example of Organic growth is

a)

Merger

b)

Launching new products

c)

Acquisition

d)

Takeover

51.

Nike buying a materials producer would be a form of...

a)

Vertical Forward Integration

b)

Horizontal Integration

c)

Vertical Backward Integration

d)

Diversification

52.

Which best describes growth by expanding overseas? When a business:

a)

Finds new customers to buy its products in its domestic market

b)

Purchases another business in its home country

c)

Finds a new market in another country

d)

Invests heavily in research and development

53.

identify the main problems of entering into foreign markets

a)

lack of knowledge

b)

import restrictions

c)

exchange rate problems

d)

all of the above

54.

Fill in the third stage of Strategic Decision Making Process: 1. Set Objectives 2. Gather Data 3. ______ 4. Implement 5. Review

a)

Analyse Data

b)

Market Research

c)

Quality Control

d)

Quality Assurance