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CPS Q1

Total questions: 20

Worksheet time: 13mins

Name
Class
Date
1.

Types of strategic management strategies by: Henry Mintzberg

a)

Plan - Ploy - Pattern - Position - Perspective

b)

Product - Price - Place - Promotion - People

c)

Plan- Do - Check - Act

d)

linear - adaptive- interpretive - expressive - transcendent

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)

Competitor Profiling.

b)

SWOT Analysis

c)

Five Forces Model.

d)

Market analysis.

4.

Which of the following is generally NOT considered a barrier to entry?

a)

The reaction of incumbent firms to rapid market growth.

b)

Strong brand preferences and a high degree of customer loyalty.

c)

High capital requirements and restrictive government policies.

d)

Strong “network effects” in customer demand.

5.

Which is NOT a part of Porters 5 forces?

a)

Bargaining power of Suppliers

b)

Threat of New entrants

c)

Financial threat

d)

Bargaining power of customers

6.

Well-stated objectives are:

a)

all of these.

b)

directly related to the dividend payout ratio for stockholder returns.

c)

clear, succinct, and concise so as to identify the company’s risk and return options.

d)

quantifiable or measurable, and contain deadlines for achievement.

7.

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

a)

How are our departmental operational plans?

b)

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

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?

8.

What is the last step of the Strategic Management Process?

a)

Formulating Strategies

b)

Evaluating Results

c)

Implementing Strategies

d)

Evaluating Weakness

9.

A company’s strategic vision describes:

a)

why the company does certain things in trying to please its customers.

b)

management’s storyline of how it intends to make a profit with the chosen strategy.

c)

what future actions the enterprise will likely undertake to outmaneuver rivals and achieve a sustainable competitive advantage.

d)

management’s aspirations for the future and delineates the company’s strategic course and long-term direction.

10.

Which is the FIRST step in the strategic Management process?

a)

Monitoring and evaluating strategies

b)

Developing the vision and mission

c)

Goals and Objectives

d)

Strategy formulation

11.

 

A strategy is...

a)

same as plan.

b)

is above the organizational goals

c)

a process of mapping out objectives & methods of achieve those objectives.

d)

all of these

12.

Business Strategies....

a)

identify how a business unit will compete in products & services.

b)

are company-wide and focus on the overall strategy of the company.

c)

guide activities within one specific functional area of operation.

d)

All of the above

13.

A strategic decision is one which:

a)

involves many resources yet is easy to reserve

b)

is so important that it is usually taken by senior management

c)

is similar to other decisions so can be taken by junior managers

d)

involves few resources and has no long term consequences

14.

Typically, the correct order for the stages of strategic management is:

a)

analysis of company; implement decision;take decision; review success

b)

take decision; implement decision; review success; analysis of company

c)

analysis of company; take decision; implement decision; review success

d)

review success; analysis of company; take decision; implement decision

15.

According to Michael Porter the two main ways for a business to gain competitive advantage are:

a)

cost reduction and cheaper products

b)

differentiated products and new developments

c)

cost reduction and increased prices

d)

differentiated products and cost reductions

16.

Which of the following is an example of a business gaining a competitive advantage?

a)

Cutting costs of production to allow for lower prices

b)

Attempting to sell the same products as competitors but at higher prices

c)

Setting higher prices than competitors for products that are clearly inferiors

d)

Cutting costs of production to make the company seem different to competitors

17.

 

Which one of the following is a potential advantage for a fashion clothing business in pursuing a 'differentiation' strategy?

a)

Lower prices could be charged as costs of production would be below competitors'

b)

Consumers might be prepared to pay higher prices for better designed clothes

c)

No promotional costs would be needed as the product would 'sell themselves'

d)

Design and production costs would be minimized allowing the business to become more profitable

18.

Which one is the difference between strategic decisions and tactical decisions:

a)

Time period tactical decision for long term strategic for short term

b)

Time period tactical decision for short term strategic for long term

c)

Tactical decision taken by senior managers strategic taken by junior managers

d)

Tactical decisions impact for whole organization strategic decisions impact for one department

19.

 

The decision by Apple to develop a range of new advanced technology products was influenced by all of the following factors except:

a)

The finance and other resources that the company had available

b)

The skills and experience that the company's research teams have developed

c)

The strategic decisions of the company's competitors

d)

Governments making it a legal requirement for companies to spend resources on new products

20.

Corporate strategic decisions are influenced by:

a)

Opportunity of the business

b)

Weakness of the business

c)

Threats of the business

d)

Strengths of the business