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Strategic Management

Total questions: 69

Worksheet time: 40mins

Name
Class
Date
1.
Which of the following is NOT part of a company's macro-environment?
a)
The company's resource strengths, weaknesses and competitive capabilities.
b)
Economic factors.
c)
Political and Socio-Cultural factors.
d)
Technological factors and Legal conditions.
2.
Which of the following is NOT part of a company's macro-environment?
a)
The company's resource strengths, weaknesses and competitive capabilities.
b)
Economic factors.
c)
Political and Socio-Cultural factors.
d)
Technological factors and Legal conditions.
3.
The most widely used tool for diagnosing the principle competitive pressures in a market is the:
a)
SWOT.
b)
Competitor Profiling.
c)
Five Forces Model.
d)
Market analysis.
4.
A company’s strategic plan:
a)
maps out the company’s history.
b)
links the company’s financial targets to control mechanisms.
c)
outlines the competitive moves and approaches to be used in achieving the desired business results.
d)
all of these.
5.

A company’s strategic plan:

a)

links the company’s financial targets to control mechanisms.

b)

maps out the company’s history.

c)

outlines the competitive moves and approaches to be used in achieving the desired business results

d)

All the above

6.

Strategic planning is....

a)

Long term planning

b)

Short term planning

c)

General planning

d)

Seasonal planning

7.

Which is NOT a part of Porters 5 forces?

a)

Bargaining power of Suppliers

b)

Threat of New entrants

c)

Bargaining power of customers

d)

Financial threat

8.

Which is the FIRST step in the strategic Management process?

a)

Monitoring and evaluating strategies

b)

Developing the vision and mission

c)

Strategy formulation

d)

Goals and Objectives

9.
Well-stated objectives are:
a)
quantifiable or measurable, and contain deadlines for achievement.
b)
clear, succinct, and concise so as to identify the company’s risk and return options.
c)
directly related to the dividend payout ratio for stockholder returns.
d)
all of these.
10.

When developing strategy for organization, which questions should we ask first?

a)

How we will get there on a daily to weekly basis?

b)

How are our departmental operational plans?

c)

What are our short-term goals and operational objectives? How do we break down a larger strategic goal into workable tasks?

d)

Where do we compete? What unique value do we bring to market? Which resources do we have or need? How do we sustain our value?

11.

The internal business environment consists of...

a)

factors that directly impact the organisation

b)

factors that influence the operations of the business

c)

factors that influence the wider environment in which the business operates

12.

DIVERSIFICATION IS AN EXAMPLE OF WHICH GROWTH STRATEGY?

a)

INTERNAL

b)

EXTERNAL

13.

STABILITY, GROWTH , RETRENCHMENT ARE TYPES OF WHICH STRATEGIES?

a)

BUSINESS

b)

CORPORATE

14.

WHICH OF THESE STRATEGIES ENSURES SELECTION OF RIGHT PERSON FOR THE RIGHT JOB?

a)

FINANCE

b)

HUMAN RESOURCES

15.

WHICH STRATEGIES HELP TAKE DECISIONS ON THE ADVERTISING OF THE PRODUCTS AND ITS SALE?

a)

OPERATIONAL

b)

MARKETING

16.

WHICH LEVEL STRATEGIES INCLUDES AREAS LIKE MARKETING, HR, FINANCE & OPERATIONS?

a)

FUNCTIONAL

b)

BUSINESS

17.

WHICH ENVIRONMENT CONSISTS OF LARGER FACTORS LIKE POLITICAL, ECONOMIC & SOCIAL THAT AFFECT THE FIRMS?

a)

MICRO

b)

MACRO

18.

_______ & THREATS ARE EXTERNAL FACTORS OVER WHICH THE BUSINESS HAS NO CONTROL.

a)

OPPORTUNITIES

b)

WEAKNESSES

19.

SWOT ANALYSIS CONVERTS THREATS INTO ______.

a)

ADVANTAGES

b)

DISADVANTAGES

20.

SWOT ANALYSIS CONVERTS THREATS INTO ______.

a)

ADVANTAGES

b)

DISADVANTAGES

21.

SWOT ANALYSIS IS USED AT ______ INTERVAL.

a)

INFREQUENT

b)

REGULAR

22.

STRATEGY FORMULATION IS A ____ PROCESS.

a)

ANALYTICAL

b)

INTERNAL

23.

A company’s strategic plan:

a)

links the company’s financial targets to control mechanisms.

b)

maps out the company’s history.

c)

outlines the competitive moves and approaches to be used in achieving the desired business results

d)

All the above

24.

The most widely used tool for diagnosing the principle competitive pressures in a market is the:

a)

SWOT.

b)

Competitor Profiling

c)

Market analysis.

d)

Five Forces Model

25.

Strategic planning is....

a)

Long term planning

b)

Short term planning

c)

General planning

d)

Seasonal planning

26.

Which is the FIRST step in the strategic Management process?

a)

Monitoring and evaluating strategies

b)

Developing the vision and mission

c)

Strategy formulation

d)

Goals and Objectives

27.

Strategic purpose consists of

a)

Macro-Shocks and industry forces

b)

Crossing borders and new ventures

c)

Growth, profitability, operational effectiveness, long term investments

d)

Vision, mission, core values, objectives, strategy statements

28.

The internal business environment consists of...

a)

factors that directly impact the organisation

b)

factors that influence the operations of the business

c)

factors that influence the wider environment in which the business operates

29.

An external analysis is the process of scanning and evaluating an organization's various external environmental sectors to determine positive and negative trends that could impact on organizational performance.

a)

True

b)

False

30.

The fundamental purpose for the existence of any organization is described by its

a)

policies

b)

mission

c)

procedures

d)

strategy

31.

Which of the following is NOT a major element of the strategic management process?

a)

Formulating strategy

b)

Implementing strategy

c)

Evaluating strategy

d)

Assigning administrative tasks

32.

The various organizational routines and processes that determine how efficiently and effectively the organization transforms its inputs into outputs are called:

a)

strengths

b)

core competencies.

c)

capabilities.

d)

customer value.

33.

Which of the following defines how each individual business unit will attempt to achieve its mission?

a)

Business strategy

b)

Corporate strategy

c)

Functional strategy

d)

National strategy

34.

Try to guess: in 2010, which was the global company with more stores in the world?

a)
b)
c)
d)
35.

With franchising strategy:

a)

Firms make their product and services in its home country to export them to foreign markets

b)

Foreign companies are allowed to use the company’s technology or to produce and distribute the company’s products and service

c)

A separate organization operates the business with the name of another company, in exchange for money

36.

Activities should be dispersed when:

a)

Certain locations have: superior resources and allow better coordination of related activities

b)

They need to be performed close to buyers

c)

Costs of manufacturing or other value chain activities are meaningfully lower in certain locations than in others

d)

There are sizable scale economies in performing the activity

37.

What are the 4 P?

a)

Price, Promotion, Place, Profit

b)

Price, Place, Promotion, Prince

c)

Price, Promotion, Product, Place

d)

Pizza, Poker, Party, Pasta

38.
Well-stated objectives are:
a)
quantifiable or measurable, and contain deadlines for achievement.
b)
clear, succinct, and concise so as to identify the company’s risk and return options.
c)
directly related to the dividend payout ratio for stockholder returns.
d)
all of these.
39.
A company’s strategic plan:
a)
maps out the company’s history.
b)
links the company’s financial targets to control mechanisms.
c)
outlines the competitive moves and approaches to be used in achieving the desired business results.
d)
all of these.
40.

An organisation carrying out its value chain activities at a cost lower than its competitors will enable the organisation to achieve:

a)

Differentiation Strategy

b)

Focus Strategy

c)

Hybrid Strategy

d)

Cost Leadership Strategy

41.

Comparative advantage is the accomplishment of a high level of productivity that is characterized by efficiency in the context of lean and quantifiable management.

a)

YES

b)

NO

42.

A small coffee shop faces significant potential competition because of the low capital requirements compared with business environments such as universities and laboratories.

a)

True

b)

False

43.

Because competitors in oligopolistic industries are so interdependent, it is especially important for managers in those firms to monitor and respond to changes their competitors make

a)

True

b)

False

44.

A video-streaming service provider such as Netflix is a complement to a manufacturer of streaming video devices such as Roku

a)

True

b)

False

45.

When smartphone manufacturers began including cameras and voice recorders in their products, that was an example of industry convergence

a)

True

b)

False

46.

Firms within the same industry automatically belong to the same strategic group

a)

True

b)

False

47.

The ________ allows the scanning, monitoring, and evaluating of changes and trends in a firm's macro environment.

A) VRIO framework

B) SWOT analysis

C) BCG matrix

D) PESTEL framework

a)

A

b)

B

c)

C

d)

D

48.

Which of the following external forces is a part of a firm's task environment?

A) the composition of the strategic group to which the firm belongs

B) the interest rates prevalent in the economy in which the firm operates

C) the inflation level in the economy in which the firm operates

D) the recent innovations in process technology, including lean manufacturing

a)

A

b)

B

c)

C

d)

D

49.

Kirsten, a manager, is writing an analysis of her employer's current and possible future revenues. Which of the following could she identify as an economic factor in her firm's external general environment?

A) the government regulations and laws in the country in which the firm exists

B) the stage of the business cycle that the country is in

C) the values and norms prevalent in the society in which the firm operates

D) the bargaining power of the firm's suppliers and buyers

a)

A

b)

B

c)

C

d)

D

50.

Managers at Sandburg Real Estate are surprised to hear that interest rates are likely to remain low for the next six months. Which of the following is an implication of low interest rates?

A) Cost of capital for firms will be high.

B) Firms will invest less in future growth.

C) Economic growth rate will fall.

D) Consumer demand will increase.

a)

A

b)

B

c)

C

d)

D

51.

Marina manages the supply chain for a company that sells diamond watches. She learns that economists are predicting a moderate to severe recession in the next six to eight months. Based on that information, what action should Marina recommend to the company's owner?

A) Increase supply. During recessions, businesses that focus on low-cost solutions make significant profits.

B) Reduce supply. Customers generally reduce their purchases of luxury items when the economy falters.

C) Maintain the supply at its current rate. Economic forecasts are rarely accurate.

D) Wait six months and see what happens. Recessions rarely affect consumer spending.

a)

A

b)

B

c)

C

d)

D

52.

A firm's ________ relates to its ability to create value for customers (V) while containing the cost to do so (C).

A) strategic position

B) industry effects

C) advantage of the marketplace

D) industry analysis

a)

A

b)

B

c)

C

d)

D

53.

The primary objective of Porter's five forces model is to

A) understand valuable, rare, and hard-to-imitate resources.

B) understand the profit potential of industries.

C) reduce the gap between the value of a firm's product and its cost of production.

D) break down a firm's value chain activities into primary and support.

a)

A

b)

B

c)

C

d)

D

54.

Strategy is a Simple concept that involves many different processes and activities within an organization.

a)

True

b)

False

55.

Strategy as a Perspective is

a)

a firm’s place in the industry relative to its competitors

b)

the degree of consistency in a firm’s strategic actions

c)

how executives interpret the competitive landscape around them

d)

a carefully crafted set of steps that a firm intends to follow in order to be successful

56.

Strategy as a Pattern is

a)

a firm’s place in the industry relative to its competitors

b)

the degree of consistency in a firm’s strategic actions

c)

how executives interpret the competitive landscape around them

d)

a specific move designed to outwit or trick competitors

57.

Strategic management is

a)

1. a process that requires the ability to manage change.

b)

2. the Process involves Understanding Strategy , Strategy Formulation, Strategy Implementation, Strategy

c)

3. the Process involves Understanding Strategy , Environmental & Internal Scanning Strategy Formulation, Strategy Implementation.

d)

1,2,3 are correct

e)

1,3 are correct

58.

Strategic management stages are

a)

Understanding Strategy , Environmental scanning, Managing resources, Formulation Strategy , Implementation Strategy.

b)

All answers are correct

c)

Understanding Strategy , Environmental scanning, Managing resources, Formulation Strategy , Implementation Strategy , Audit , Feedback

d)

Understanding Strategy , Environmental scanning, Managing resources, Formulation Strategy , Implementation Strategy , Audit.

59.
Which of the following is NOT part of a company's macro-environment?
a)
The company's resource strengths, weaknesses and competitive capabilities.
b)
Economic factors.
c)
Political and Socio-Cultural factors.
d)
Technological factors and Legal conditions.
60.
The most widely used tool for diagnosing the principle competitive pressures in a market is the:
a)
SWOT.
b)
Competitor Profiling.
c)
Five Forces Model.
d)
Market analysis.
61.
The nature & strength of the competitive forces that prevail in an industry is generally a joint product of:
a)
competition from rival sellers.
b)
competition from producers of substitute products.
c)
competitive pressures stemming from the bargaining power of suppliers and buyers.
d)
all of these.
62.

When developing strategy for organization, which questions should we ask first?

a)

How we will get there on a daily to weekly basis?

b)

How are our departmental operational plans?

c)

What are our short-term goals and operational objectives? How do we break down a larger strategic goal into workable tasks?

d)

Where do we compete? What unique value do we bring to market? Which resources do we have or need? How do we sustain our value?

63.
Good strategy combined with good strategy execution:
a)
offers a surefire guarantee for avoiding periods of weak financial performance.
b)
are the two best signs that a company is a true industry leader.
c)
are more important management functions than forming a strategic vision and setting objectives.
d)
are the most telling signs of good management.
64.

A medium/long-range plan is prepared:

a)

every monthly

b)

for one year

c)

from three to five, ten or more years

d)

less than one year

65.

The vision of an organization:

a)

is a nicely and attractively worded slogan of the organization

b)

motivates the organization to go where it wants to go

c)

is the same as its mission

d)

is an individual goal of a department

66.

At which level of the strategy will the Marketing manager get involved?

a)

Corporate Strategy

b)

Business Strategy

c)

Functional Strategy

d)

Operational strategy

67.

WHICH STRATEGY IS THE OPPOSITE OF INVESTMENT?

a)

INTEGRATION

b)

DIVESTMENT

68.

Strategic management is

a)

1. a process that requires the ability to manage change.

b)

2. the Process involves Understanding Strategy , Strategy Formulation, Strategy Implementation, Strategy

c)

3. the Process involves Understanding Strategy , Environmental & Internal Scanning Strategy Formulation, Strategy Implementation.

d)

1,2,3 are correct

e)

1,3 are correct

69.

Strategic management stages are

a)

Understanding Strategy , Environmental scanning, Managing resources, Formulation Strategy , Implementation Strategy.

b)

All answers are correct

c)

Understanding Strategy , Environmental scanning, Managing resources, Formulation Strategy , Implementation Strategy , Audit , Feedback

d)

Understanding Strategy , Environmental scanning, Managing resources, Formulation Strategy , Implementation Strategy , Audit.