Worksheetsmanagement strategy
Total questions: 155
Worksheet time: 52mins
1) Strategic management focuses on integrating(tích hợp) management, ________, and information systems to achieve organizational success.
A) marketing
B) finance and accounting
C) production and operations
D) research and development
E) all of the above
2) The goal of strategic management is to
A) achieve competitive advantage.
B) maintain competitive advantage.
B) maintain competitive advantage.
D) eliminate competitive advantage.
E) eliminate and abolish competitive advantage.
3) What can be defined as the art and science of formulating, implementing and evaluating cross-functional decisions that enable an organization to achieve its objectives?
A) Strategy formulation
B) Strategy evaluation
C) Strategy implementation
D) Strategic management
E) Strategic leading
4) Which individuals are most responsible for the success and failure of an organization?
A) Strategists
B) Financial planners
C) Personnel directors
D) Stakeholders
E) Human resource managers
) What step in the strategic management process involves mobilizing employees and managers to put strategies into action?
A) Strategy formulation
B) Strategy evaluation
C) Strategy implementation
D) Strategic advantage
E) Competitive advantage
6) Which statement best describes intuition(trực giác)?
A) It alone should be used in decision-making.
B) It represents a minor factor in decision-making integrated with analysis.
C) It should be coupled with analysis in decision-making.
D) It is better than analysis in decision-making.
E) It is management by ignorance.
7) 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) strengthened national boundaries and made countries more self-contained.
C) created a borderless world with global competitors, customers, and citizens.
D) ensured that the United States is unrivaled by other companies in all industries.
E) made the real flow of financial activity align with political boundaries between countries.
8) What are enduring statements of purpose that distinguish one business from other similar firms?
A) Policies
B) Mission statements
C) Objectives
D) Rules
E) Employee conduct guidelines
9) What types of skills are especially critical for successful strategy implementation?
A) Interpersonal(giữa các cá nhân)
B) Marketing
C) Technical
D) Conceptual
E) Visionary
The act of strengthening employees' sense of effectiveness by encouraging and rewarding them for participating in decision-making and exercising initiative and imagination is referred to as
A) authoritarianism.
B) proaction.
C) empowerment.
D) transformation
E) delegation.
11) The strategic-management process is becoming more widely used by
A) small firms.
B) nonprofit institutions.
C) governmental organizations.
D) multinational conglomerates.
E) all of the above
12)________ is NOT a strategy-implementation activity.
A) Taking corrective actions
B) Establishing annual objectives
C) Devising policies
D) Allocating resources
E) Motivating employees
13) Strategic management enables an organization to ________, instead of just responding to threats in its business environment.
A) be proactive(chủ động)
B) be immune to threats
C) avoid responsibility for shaping its future
D) relinquish control over its destiny
E) be reactive
14) An organization's vision statement
A) is a constant reminder to its employees of why the organization exists.
B) broadly charts the future direction of an organization.
C) addresses the basic question: "What is our business?"
D) answers the question: "What do we want to become?"
E) none of the above
15) During what stage of strategic management are a firm's specific internal strengths and weaknesses determined?
A) Formulation
B) Implementation
C) Evaluation
D) Feedback
E) Goal-setting
1) Which of these basic questions should a vision statement answer?
A) What is our business?
B) What is our core strength?
C) What are our challenges?
D) What do we want to become?
E) Who are our competitors?
2) The process of developing a vision and mission statement often includes which of these as the first activity?
A) Requesting that managers modify the current documents
B) Asking managers to read selected articles about vision and mission statements
C) Asking managers to prepare a vision statement for the organization
D) A brainstorming session on whether the organization should have only a vision statement
E) Merging several mission statements into one document
) All stakeholders' claims on an organization ________ pursued with equal emphasis.
A) cannot be
B) should always be
C) are required to be
D) must ideally be
E) can usually be
4) All of the following utility statements are relevant in developing a mission statement EXCEPT
A) Do not offer me shoes. Offer me comfort for my feet and the pleasure of walking.
B) Do not offer me furniture. Offer me comfort and the quietness of a cozy place.
C) Do not offer me ideas, emotions, ambience, feelings, and benefits. Offer me things.
D) Do not offer me books. Offer me hours of pleasure and the benefit of knowledge.
E) Do not offer me a house. Offer me security, comfort, and a place that is clean and happy.
5) Which statement is TRUE?
A) Companies must choose between having a mission statement or a vision statement.
B) A company can't have a mission statement unless it has a vision statement.
C) A vision statement cannot be established until a company has developed its mission statement.
D) The vision statement should be established before the mission statement.
E) Companies are required by law to have both mission and vision statements.
6) After a draft mission statement has been developed, it is important to
A) ask managers to read several articles about mission statements as background information.
B) vote on the mission statement.
C) ask managers to prepare a mission statement for the organization.
D) ask managers to seek support for the mission statement from their subordinates.
E) request modifications, additions, and deletions.
7) All stakeholders
A) have claims and concerns about an organization, but these claims and concerns vary.
B) have the same claims and concerns about an organization.
C) have ownership rights in an organization.
D) have the same voting rights in an organization.
E) have environmental concerns as their top priority.
Which of these examples of a mission statement focus area does NOT identify the utility of the firm's products to its customers?
A) AT&T focuses on communication rather than telephones.
B) ExxonMobil focuses on oil and gas rather than energy.
C) Union Pacific focuses on transportation rather than railroads.
D) Universal Studios focuses on entertainment rather than movies.
E) A clothing retailer focuses on attractive looks rather than on clothes.
9) The ideal length of a vision statement is
A) one page.
B) several paragraphs.
C) one sentence.
D) several sentences.
E) as long as is necessary to convey the message.
10) A(n) ________ with expertise in developing vision and mission statements and with unbiased views, can at times manage the process more effectively than an internal group or committee of managers.
A) external group
B) external auditor
C) outside process analyst
D) internal auditor
E) outside facilitator
11) According to Drucker, what is the best time to ask "What do we want to become?" and "What is our business?"?
A) When a firm is in decline
B) When the firm is successful
C) When the firm is in financial trouble
D) When the firm is in legal trouble
E) When the firm encounters competition
12) Good mission statements identify the ________ of a firm's products to its customers.
A) utility
B) price
C) profit margin
D) demand
E) popularity
13) Which basic question should the vision statement answer?
A) What is our business?
B) How can we improve ourselves?
C) What do we want to become?
D) Who are our stakeholders?
E) How can we increase profitability?
14) Effective and carefully planned mission statements
A) require major changes every few months.
B) require major changes every few quarters.
C) require major revision every few years.
D) do not require revision.
E) require infrequent major changes, but are always subject to revision.
15) An effective mission statement does all of the following EXCEPT
A) it reflects judgments about future growth directions that are based upon forward-looking external and internal analyses.
B) it provides useful criteria for selecting among alternative strategies.
C) it provides a basis for generating and screening strategic options.
D) it is static in orientation.
16) A good mission statement has
A) an employee orientation.
B) a customer orientation.
C) a shareholder orientation.
D) an environmental orientation.
E) a profit orientation.
17) The general public is especially interested in ________, whereas stockholders are more interested in ________.
A) environmental concerns; social responsibility
B) social responsibility; the treatment of employees
C) the treatment of employees; environmental concerns
D) profitability; social responsibility
E) social responsibility; profitability
18) The following excerpt from a mission statement illustrates which of the nine essential components of a mission statement?
"We believe our first responsibility is to the doctors, nurses, patients, mothers, and all others who use our products and services.
A) Markets
B) Customers
C) Concern for Employees
D) Concern for Public Image
E) Technology
19) Which component of a mission statement addresses the firm's distinctive competence or major competitive advantage?
A) Technology
B) Philosophy
C) Concern for public image
D) Customers
E) Self-concept
20) Which component of a mission statement addresses the basic beliefs, values, aspirations, and ethical priorities of the firm?
A) Technology
B) Philosophy
C) Concern for public image
D) Customers
E) Self-concept
21) Which of the following is NOT one of the nine recommended components of a mission statement?
A) Strategies
B) Self-concept
C) Employees
D) Markets
E) Customers
1) What is the range for a firm's total weighted score in a Competitive Profile Matrix (CPM)?
A) 0 to 4
B) 0 to 5
C) 1 to 4
D) 1 to 5
E) 0 to 10
2) The critical success factors in a Competitive Profile Matrix and EFE Matrix include
A) internal but not external issues.
B) external but not internal issues.
C) both internal and external issues.
D) neither internal or external issues.
E) only non-quantifiable data.
3) Generally, external opportunities and threats are
A) uncontrollable by a single organization.
B) unable to have a significant impact on an organization.
C) not worth monitoring and evaluating.
D) key functions in strategy implementation.
E) key functions in strategy exploitation.
4) Collecting and evaluating information on competitors is essential for successful
A) internal analysis.
B) strategy evaluation.
C) strategy formulation.
D) strategy implementation.
E) strategy correction.
5) The process of performing an external audit needs to include
A) only top level managers, as it is a planning function.
B) as many managers and employees as possible.
C) primarily front-line supervisors.
D) between 15 to 20 managers for it to be valid.
E) stockholders and external government agencies.
6) According to Porter, what is usually the most powerful of the five competitive forces?
A) Potential development of substitute products
B) Bargaining power of suppliers
C) Bargaining power of consumers
D) Rivalry among competing firms
E) Potential entry of new competitors
7) Competition in virtually all industries is
A) nonexistent.
B) intense.
C) never cutthroat.
D) easily avoidable.
E) insignificant.
8) Many economists say the current rash of trade constraints will make it ________ for global economic growth.
A) easier
B) impossible
C) harder
D) more likely
E) less time-consuming
9) Whenever new firms can easily enter a particular industry, the intensity of competitiveness among firms tends to
A) stay the same.
B) increase.
C) decrease.
D) neutralize.
E) become irrelevant.
10) A weak dollar means
A) lower exports and higher imports.
B) lower exports and lower imports.
C) lower exports and no effect on imports.
D) higher exports and higher imports.
E) higher exports and lower imports.
11) External audits attempt to identify key variables that offer ________ responses.
A) actionable
B) authoritative
C) profitable
D) strategic
E) terminal
12) If suppliers are unreliable or too costly, which of these strategies may be appropriate?
A) Horizontal integration
B) Backward integration
C) Market penetration
D) Forward integration
E) Concentric diversification
13) In general, what happens to American goods in overseas markets when there is a strong dollar?
A) They are less expensive.
B) They are more attractive.
C) They are cheaper.
D) They are more expensive.
E) They are desirable.
14) According to I/O theorists, which of the following contributes LEAST to firm's performance?
A) Economies of scale
B) Barriers to market entry
C) Product differentiation
D) Internal resources
E) Level of competitiveness
15) The Industrial Organization (I/O) approach to competitive advantage advocates that external factors are ________ internal factors in a firm achieving competitive advantage.
A) less important than
B) equally important as
C) more important than
D) more common than
E) less common than
16) To perform an external audit, a company first must
A) get an approval from the Securities and Exchange Commission.
B) perform an internal audit.
C) gather competitive intelligence and information about external trends.
D) hire a consultant to develop a comprehensive strategic plan.
E) all of the above
17) What is NOT one of Michael Porter's five competitive forces?
A) Potential entry of new competitors
B) Rivalry among competing firms
C) Bargaining power of unions
D) Bargaining power of suppliers
E) Bargaining power of consumers
18) When an industry relies heavily on government contracts, which forecasts can be the most important part of an external audit?
A) Economic
B) Political
C) Technological
D) Competitive
E) Multinational
19) Changes in which of the following can significantly affect firms?
A) Patent laws
B) Antitrust legislation
C) Tax rates
D) Lobbying activities
E) All of the above
20) The process of performing an external audit should involve
A) key representatives from each stakeholder group.
B) as many stakeholders as possible.
C) only strategists.
D) primarily strategists.
E) as many managers and employees as possible.
21) All of the following are political, governmental, and legal variables that can represent key opportunities or threats to organizations EXCEPT
A) tariffs.
B) environmental regulations.
C) level of defense expenditures.
D) legislation on equal employment.
E) population changes by race, age, sex, and level of affluence.
22) What is the first step in designing an External Factor Evaluation (EFE) Matrix?
A) Identifying key external factors
B) Summing the weighted score for each competitor
C) Calculating the sales of each competitor
D) Drawing the horizontal and vertical lines for the matrix
E) Determining four competitors
23) Without assumptions, planning would be
A) impossible.
B) easier.
C) difficult.
D) inexpensive.
E) intuitive.
24) When using External Factor Evaluation (EFE) Matrix, what is done after multiplying each factor's weight by its rating to determine a weighted score?
A) Identifying key external factors
B) Summing the weighted score for each competitor
C) Summing the weighted scores for each variable to determine the total weighted score for the organization
D) Drawing the horizontal and vertical lines for the matrix
E) Determining the preferred strategic factors
1) Organizational resources include all of the following EXCEPT
A) employee training.
B) firm structure.
C) planning processes.
C) planning processes.
E) copyrights.
2) A resource is valuable if it is rare, hard to imitate, or
A) expensive.
B) inexpensive.
C) easily substitutable.
D) not easily substitutable.
E) inefficient.
3) Who should perform an internal audit?
A) A private auditing firm
B) The organization's accounting department
C) Representative managers and employees from throughout the firm
D) A small team of top-level managers
E) The chief executive officer
4) Life-directing attitudes that serve as behavioral guidelines are called
A) values.
B) rites.
C) beliefs.
D) metaphors.
E) legends.
5) All of the following are basic activities of management EXCEPT
A) staffing.
B) planning.
C) consolidating.
D) organizing.
E) motivating.
6) ________ can reveal the demographic characteristics of an organization's customers
A) Customer profiling
B) Test marketing
C) Market development
D) The vision statement
E) Telemarketing
7) The three all-encompassing internal resource categories used in the resource-based view are physical resources, human resources, and
A) financial resources.
B) shareholder resources.
C) organizational resources.
D) non-renewable resources.
E) technological resources.
8) Metaphors are
A) several rites connected together.
B) shorthand of words used to capture a vision or to reinforce old or new values.
C) narratives based on true events.
D) fictional stories.
E) any objects, acts, events, qualities, or relations used to convey meaning.
9) Which management function includes breaking tasks into jobs, combining jobs to form departments, and delegating authority?
A) Motivating
vB) Staffing
C) Organizing
D) Controlling
E) Planning
10) What marketing function includes test marketing?
A) Selling products and services
B) Pricing
C) Customer analysis
D) Product and service planning
E) Distribution
11) A firm's strengths that cannot be easily matched or imitated by competitors are called
A) internal audits.
B) distinctive competencies.
C) external audits.
D) interrelated properties.
E) internal properties.
12) What is the term for a historical narrative describing the unique accomplishments of a group and its leaders?
A) Rite
B) Saga
C) Story
D) Myth
13) What is the essential bridge between the present and the future that increases the likelihood of achieving desired results?
A) Motivating
B) Planning
C) Controlling
D) Staffing
E) Organizing
14) Pricing is one of the basic functions of
A) marketing.
B) finance/accounting.
C) management information systems.
D) production/operations.
E) research and development.
15) Distribution includes
A) customer analysis.
B) pricing.
C) warehousing.
D) advertising.
E) test marketing.
16) ________ management deals with inputs, transformations, and outputs that vary across industries and markets.
A) Marketing
B) Financial
C) Research and development
D) Production and operations
E) Information systems
17) The process whereby a firm determines the costs associated with organizational activities from purchasing raw materials to manufacturing products to marketing those products is called
A) The Resource-Based Approach.
B) Value Chain Analysis.
C) Strategic Cost Analysis.
D) The Internal Factor Evaluation Matrix.
E) Cost-Benefit Analysis.
1) Long-term objectives are needed at which level(s) in an organization?
A) Corporate
B) Divisional
C) Functional
D) All of the above
E) Corporate & divisional levels, but not functional level
2) Which of these strategies is effective when the number of suppliers is small and the number of competitors is large?
A) Conglomerate diversification
B) Forward integration
C) Concentric diversification
D) Backward integration
E) Horizontal diversification
3) When a domestic company first begins to export to India, it is an example of
A) horizontal integration.
B) backward integration.
C) forward integration.
D) concentric diversification.
E) market development.
4) Procter & Gamble's (P&G) sale of many of its brands in order to focus on its core brands is an example of which type of strategy?
A) Related diversification
B) Unrelated diversification
C) Retrenchment
D) Divestiture
E) Liquidation
5) What principle is based on the belief that the true measure of a really good strategist is the ability to solve problems?
A) Managing by crisis
B) Managing by objectives
C) Managing by extrapolation
D) Managing by exception
E) Managing by hope
6) What refers to a strategy of seeking ownership of, or increased control over a firm's competitors?
A) Forward integration
B) Conglomerate diversification
C) Backward integration
D) Horizontal integration
E) Concentric diversification
7) A pasta manufacturer's purchase of some pet food brands is an example of
A) backward integration.
B) divestiture.
C) retrenchment.
D) unrelated diversification.
E) forward integration.
8) What kind of strategy is retrenchment?
A) A turnaround strategy
B) An expansion strategy
C) A diagonal strategy
D) An intensive strategy
E) An offensive strategy
9) What principle is built on the idea that there is no general plan for which way to go and what to do?
A) Managing by crisis
B) Managing by extrapolation
C) Managing by objectives
D) Managing by hope
E) Managing by subjectives
10) In which situation would horizontal integration be an especially effective strategy?
A) When an organization can gain monopolistic characteristics in a particular area or region without being challenged by the federal government for "tending substantially" to reduce competition
B) When an organization competes in a slowing industry
C) When decreased economies of scale provide major competitive advantages
D) When an organization has neither the capital nor human talent needed to successfully manage an expanded organization
E) When competitors are succeeding due to managerial expertise or having particular resources an organization possesses
11) Bankruptcy
A) should never be used as a strategy.
B) should be used only when one is legally forced to do so.
C) can be an effective type of retrenchment strategy.
D) should only be used for large firms.
E) should only be used for small, private firms.
12) Websites that sell products directly to consumers are examples of which type of strategy?
A) Backward integration
B) Product development
C) Forward integration
D) Horizontal integration
E) Conglomerate diversification
13) Amazon's start of rapid delivery services in some U.S. cities is an example of which type of strategy?
A) Forward integration
B) Backward integration
C) Horizontal integration
D) Related diversification
E) Unrelated diversification
14) Backward integration is effective in all of these cases EXCEPT
A) when an organization competes in an industry that is growing rapidly.
B) when an organization has both capital and human resources to manage the new business of supplying its own raw materials.
C) when an organization needs to acquire a needed resource quickly.
D) when the advantages of stable prices are not particularly important.
E) when present suppliers have high profit margins
15) According to Porter, which strategy offers products or services to a niche group of customers at the lowest price available on the market?
A) Cost Leadership - Low Cost
B) Cost Leadership - Best Value
C) Focus - Low Cost
D) Focus - Best Value
E) Differentiation
16) When two organizations of about equal size unite to form one enterprise, which of these occurs?
A) Hostile takeover
B) Merger
C) Acquisition
D) Leveraged buyout
E) Friendly takeover
17) Which word or phrase would be most suitable to use in written objective statements?
A) Maximize
B) Minimize
C) 10 percent increase
D) Adequate
E) As soon as possible
18) Which strategy seeks to increase market share for present products or services in present markets through greater marketing efforts?
A) Market penetration
B) Forward integration
C) Market development
D) Backward integration
E) Product development
19) Which strategy generally entails large research and development expenditures?
A) Market penetration
B) Retrenchment
C) Forward integration
D) Product development
E) Divestiture
20) Which strategy is appropriate when an organization competes in an industry characterized by rapid technological developments?
A) Retrenchment
B) Product development
C) Backward integration
D) Liquidation
E) Market penetration
21) Gap's opening of its first five stores in China is an example of which type of strategy?
A) Forward integration
B) Backward integration
C) Horizontal integration
D) Market development
E) Product development
22) Staples 170 store closings in North America in 2014 is an example of
A) divestiture.
B) backward integration.
C) liquidation.
D) retrenchment.
E) forward integration.
1) Which matrix is included in the decision stage of the strategy formulation framework?
A) Internal Factor Evaluation (IFE) Matrix
B) Quantitative Strategic Planning Matrix (QSPM)
C) Boston Consulting Group (BCG) Matrix
D) Grand Strategy Matrix
E) Strategic Position and Action Evaluation (SPACE) Matrix
2) In the Boston Consulting Group (BCG) Matrix, how would a division with a low relative market share position in a high growth industry be described?
A) Question Mark
B) Cash Cow
C) Star
D) Stuck-in-the-middle
E) Dog
3) Which strategies aim at improving internal weaknesses by taking advantage of external opportunities?
A) SO
B) WO
C) SW
D) ST
E) WT
4) In the BCG Matrix, when a division of an organization has a high relative market share and is in a fast-growing industry, it is called a
A) Star.
B) Cash Cow.
C) Cat.
D) Question Mark.
E) Dog.
5) In the BCG Matrix, a division with a high relative market share position in a low-growth industry can be described as a
A) Star.
B) Cash Cow.
C) Question Mark
D) Dog.
E) Failure.
6) The two internal dimensions represented on the axes of the SPACE Matrix are
A) stability position and industry position.
B) industry position and internationalization.
C) internationalization and competitive position.
D) competitive position and financial position.
E) financial position and stability position.
7) What are the two external dimensions of the SPACE Matrix?
A) Stability position and industry position
B) Stability position and competitive position
C) Industry position and competitive position
D) Competitive position and financial position
E) Financial position and industry position
1) Which approach for managing and resolving conflict involves exchanging members of conflicting parties so that each can gain an appreciation of the other's point of view?
A) Avoidance
B) Resistance
C) Compliance
D) Defusion
E) Confrontation
2) What type of organizational structure promotes specialization of labor and allows rapid decision making?
A) Divisional structure by product
B) Functional structure
C) Divisional structure by customer
D) Strategic business unit
E) Matrix structur
3) The primary benefit sought from restructuring is
A) employee involvement.
B) cost reduction.
C) increased morale.
D) increased number of hierarchical levels in the organization.
E) increased innovation.
4) Changing a strategy to fit an existing culture
A) is usually less effective than changing a firm's culture to fit a new strategy.
B) is usually more effective than changing a firm's culture to fit a new strategy
C) is just as effective as changing a firm's culture to fit a new strategy.
D) is always the best option.
E) none of the above
5) What are the three categories of approaches for managing and resolving conflict?
A) Avoidance, defusion, and confrontation
B) Avoidance, apathy, and defusion
C) Ignorance, indifference, and apathy
D) Defusion, apathy, and avoidance
E) Indifference, avoidance, and role-playing
6) Which organizational structure is the most widely used?
A) Departmental
B) Strategic business unit
C) Functional
D) Decentralized
E) Matrix
7) Which term is primarily concerned with shareholder well-being rather than employee well-being?
A) Benchmarkin
B) Reengineering
C) Product redesign
D) Process management
E) Restructuring
8) According to the information in the text, how many Fortune 500 have women CEOs?
A) Two
B) Five
C) Twelve
D) Eighteen
E) Twenty-six
9) A divisional structure by product is most effective when
A) special emphasis needs to be placed on specific products.
B) an organization offers few products.
C) an organization's products or services differ substantially.
D) special emphasis needs to be placed on specific services.
E) all of the above
10) Conflict in an organization is
A) always bad.
B) always good.
C) not always bad.
D) a sign of bankruptcy.
E) completely avoidable.
11) All of the following are examples of offerings at companies to promote a corporate wellness culture EXCEPT
A) stress management programs.
B) health fairs.
C) abundance of bicycle racks onsite.
D) free health insurance for employees who exercise regularly.
E) cash incentives for completing Ironman triathlons.
12) Wellness programs
A) are too expensive for most companies to afford.
B) are desired by employees but don't provide value to the company.
C) are becoming more prevalent as companies realize the benefits to the firm.
D) attract prospective employees who then fail to take advantage of them.
E) are facing legal challenges from the health-care industry.
13) Modern organizational realities demand that employees demonstrate greater
A) flexibility.
B) innovation.
C) creativity.
D) initiative.
E) all of the above
14) "All of our locations will be open at least two evenings per week until 8:30 p.m." is an example of a(n)
A) administration.
B) goal
C) objective.
D) policy.
E) procedure.
1) Which two variables rank as marketing's most important contributions to strategic management?
A) Diversification and budgeting
B) Marketing penetration and competition
C) Competition and collaboration
D) Product development and market development
E) Market segmentation and product positioning
2) Which is NOT a required step in perceptual mapping?
A) Select key criteria that effectively differentiate products or services in the industry.
B) Serve two segments with the same strategy.
C) Plot major competitors' products or services in the resultant matrix.
D) Identify areas in the positioning map where the company's products or services could be most competitive in the given target market.
E) Develop a marketing plan to position the company's products and services appropriately.
3) Which of the following is NOT given as an example of a decision that may require finance/accounting policies?
A) To extend the time of accounts receivable
B) To establish a certain percentage discount on accounts within a specified period of time
C) To lease or buy fixed assets
D) To use LIFO, FIFO, or a market-value accounting approach
E) To be a price leader or a price follower
4) Which statement is NOT true?
A) Having an effective management information system may be the most important factor in differentiating successful from unsuccessful firms.
B) Like inventory and human resources, information is now recognized as a valuable organizational asset that can be controlled and managed.
C) Computer vulnerability has nearly been eradicated by recent innovations, and it is now possible to secure and safeguard all corporate communications, files, and business conducted over the Internet
D) In many firms, information technology is allowing employees to work at home or anywhere, anytime.
E) Improved quality and service often result from an improved management information system.
5) All of the following are basic functions of marketing EXCEPT
A) value chain analysis.
B) customer analysis.
C) product and service planning.
D) pricing.
E) distribution.
6) Financial objectives involve all of the following EXCEPT
A) growth in revenues.
B) larger market share.
C) higher dividends
D) greater return on investment.
E) a rising stock price.
7) Subdividing a market into distinct subsets of customers according to their needs and buying habits is known as
A) market penetration
B) product diversification.
C) market segregation
D) market segmentation.
E) positioning.
8) An area on a perceptual map without ideal points indicates a
A) market segment.
B) demand void.
C) vacant niche
D) multidimensional scale
E) product reposition.
9) The first step in performing projected financial analysis is to
A) prepare the projected balance sheet.
B) take an inventory of goods.
C) estimate increases in debt.
D) forecast sales as accurately as possible.
E) calculate the projected net income.
10) Information collection, retrieval, and storage can be used to create competitive advantages in ways such as
A) cross-selling to customers.
B) monitoring suppliers.
C) keeping managers and employees informed.
D) coordinating activities among divisions.
E) all of the above
11) Competitive advantage normally is the result of superiority in resources, skills, or
A) employees.
B) position.
C) consistency.
D) feasibility.
E) governance.
12) Why is market segmentation an important variable in the strategy-implementation process?
A) Company strategies do not require increased sales through new markets and products.
B) It allows a firm to operate with no resources.
C) It directly affects marketing mix variables.
D) It allows a firm to minimize per-unit profits and per-segment sales.
E) All of the above
13) Multidimensional scaling is used in
A) determining the size of a new building.
B) determining the size of a new department.
C) evaluating the amount of high-tech equipment a firm needs.
D) perceptual mapping.
E) market segmentation.
14) Which is NOT a step in performing a projected financial analysis?
A) Prepare the projected income statement before preparing the balance sheet
B) Forecast sales as accurately as possible
C) Use the percentage-of-sales method to project CGS
D) Subtract from the net income any dividends to be paid for that year and bring this retained earnings amount over to the balance sheet
E) Use the revenue account as the plug figure
15) Which of the following is NOT a current development or trend?
A) Efforts to repeal federal laws currently preventing businesses from using GPS devices to monitor employees
B) Tracking the location of employees through company provided hand-held devices
C) The use of smartphones as hotel room keys
D) Desktop videoconferencing
E) Assertions by employees that employers are invading their privacy with various monitoring practices
16) Matching which factors would allow factories to produce desirable levels without extra shifts, overtime, or subcontracting?
A) Markets and competitors
B) Competition and positioning
C) Customer behavior and positioning
D) Supply and demand
E) Segments and competitors
17) Which of the following is true about two different market segments?
A) They can usually be served with the same marketing strategy.
B) They usually require different marketing strategies.
C) They are always in different geographic locations.
D) They are usually interchangeable.
E) All of the above
18) R&D employees and managers perform all of the following tasks EXCEPT
A) transferring complex technology.
B) altering products to particular tastes and specifications.
C) researching resource availability.
D) adapting processes to local markets
E) adjusting processes to local raw materials.
19) Which variable would be considered part of the "product" element of the marketing mix?
A) Advertising
B) Packaging
C) Payment terms
D) Inventory levels and location
E) Publicity
1) Strategy evaluation is necessary because
A) internal and external factors are constantly changing.
B) the SEC requires strategy evaluation.
C) success today is a guarantee of success tomorrow.
D) the IRS requires strategy evaluation.
E) firms have limited resources.
2) All of these are Richard Rumelt's criteria to evaluate a strategy EXCEPT
A) internal and external factors are constantly changing.
B) the SEC requires strategy evaluation.
C) success today is a guarantee of success tomorrow.
D) the IRS requires strategy evaluation.
E) firms have limited resources.
3) Corrective actions are almost always ________ except when external and internal factors have not significantly changed and the firm is progressing satisfactorily toward achieving stated objectives.
A) unnecessary
C) undesirable
D) prohibitively expensive
E) futile
B) needed
4) A revised ________ should focus on changes in the organization's management, marketing, finance and accounting, production and operations, research and development (R&D), and management information systems (MIS) strengths and weaknesses.
A) mission
B) IFE Matrix
C) vision
D) EFE Matrix
E) EPM Matrix
5) Research suggests that which of the following is one of the best ways to overcome individuals' resistance to change in strategy evaluation?
A) Participation
B) Command-and-contro
C) Laissez-faire system
D) Rational argument
E) Emotional reactions
6) If you discover during the course of strategy evaluation that major changes have occurred in the firm's internal strategic position, you should
A) continue on the present strategic course.
B) wait until the next quarter to see if things revert
C) take corrective actions.
D) follow the original strategic plan.
E) none of the above
7) A revised ________ should indicate how effective a firm's strategies have been in response to key opportunities and threats.
A) IFE Matrix
B) mission
C) EFE Matrix
D) vision
E) CPM Matrix
8) According to researchers, all of the following encourage individuals to accept change EXCEPT
A) having a cognitive understanding of the changes.
B) having a sense of control over the situation.
C) having an awareness that necessary actions are going to be taken to implement change.
D) participating in strategy-evaluation activities.
E) being overpowered by the nature, types, and speed of changes.
9) Rumelt's criteria of consonance refers to the need for strategists to examine
A) inconsistent goals.
B) trends.
C) impractical objectives.
D) competitive advantages.
E) the costs associated with particular strategies.
10) Which of the following is NOT included in measuring organizational performance?
A) Comparing results to competitors' expectations
B) Examining progress being made toward meeting stated objectives
C) Investigating deviations from plans
D) Evaluating individual performance
E) Comparing expected results to actual results
11) Which of the following is a corrective action a company might take to correct unfavorable variances?
A) Divesting a division
B) Revising objectives
C) Raising capital with stock or debt
D) Allocating resources differently
E) All of the above
12) Increased education and diversity of the workforce at all levels are reasons why
A) the top-down approach is preferred.
B) the bottom-up approach is untenable.
C) only top executives have the experience and acumen to make strategy decisions.
D) middle-level and lower-level managers, and even non-managers, should be involved in the strategic planning process.
E) the horizontal approach is the most pragmatic choice.
13) If success for one organizational department means failure for another department, then strategies may be
A) synergistic.
B) advantageous
C) trendy.
D) feasible
E) inconsistent.
14) Which of the following statements about contingency plans is NOT true?
A) Contingency plans should be as simple as possible.
B) Only high-priority areas require the insurance of contingency plans.
C) Contingency plans should be developed for favorable and unfavorable events
D) Strategists should plan for all possible contingencies.
E) Contingency plans minimize the impact of potential threats.
15) ________ are quantitative criteria commonly used to evaluate strategies.
A) Cash budgets
B) Balanced Scorecards
C) Capital Asset Pricing Models
D) Financial ratios
E) Present value strategic analyses
16) ________ plans can be defined as alternative plans that can be put into effect if certain key events do not occur as expected.
A) Agile
B) Scenario
C) Evaluation
D) Contingency
E) Forecast
