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STRATEGIC MANAGEMENT MID TERM

Total questions: 37

Worksheet time: 43mins

Name
Class
Date
1.

WRITE YOUR NAME & STUDENT ID HERE:

4 lines
2.

Developing a vision and a mission statement is important because of the following reasons EXCEPT:

a)

They are useful for large firms only

b)

They establish organizational culture

c)

They are the basis for allocating resources

d)

They translate objectives into work structure

3.

In which of the following phase of strategic management, annual objectives are especially important? 

a)

Formulation

b)

Evaluation

c)

Implementation

d)

Management

4.

Which group would be classified as a stakeholder? 

a)

Communities

b)

Banks

c)

Suppliers

d)

All of the given options 

5.

Defensive strategies include all of the following EXCEPT

a)

Retrenchment

b)

Acquisition

c)

Divestiture

d)

Liquidation

6.

Which of the following is the process of influencing people to accomplish specific objectives?

a)

Staffing

b)

Motivating

c)

Controlling

d)

Organizing

7.

In Competitive Profile Matrix, the rating 4 indicates what? 

a)

Major weakness

b)

Major strength 

c)

Minor strength

d)

Minor weakness

8.

Internal analysis involves gathering and analyzing the information about all areas of a firm EXPECT:

a)

Research and development

b)

Management information system

c)

Marketing

d)

Competitors

9.

In adapting to change an organization must monitor which of the following?

a)

Ongoing processes

b)

Internal and external events

c)

Timely changes

d)

All of the given options

10.

Which of the following can be considered one of the factors of external opportunities and threats of an organization?

a)

Production/ operations

b)

Research & development

c)

Competitive trends

d)

Management information system

11.

When an industry relies heavily on government contracts, which of the following is important for the firm to foresee as a part of its external audit?

a)

Economic forces

b)

Political forces

c)

Technological forces

d)

Competitive forces

12.

Departmentalization can be done on the basis of many factors EXCEPT:

a)

Functions

b)

Number of employees

c)

Strategic business units  

d)

Divisions

13.

Which of the following is the first step in the controlling function of management? 

a)

Take corrective actions

b)

Establish performance standards

c)

Restrict breaks employees take

d)

Evaluate expense reports

14.

In which of the following phase of strategic management, annual objectives are especially important? 

a)

Formulation

b)

Evaluation

c)

Implementation

d)

Management

15.
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.
16.
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.
17.
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)
management’s aspirations for the future and delineates the company’s strategic course and long-term direction.
d)
what future actions the enterprise will likely undertake to outmaneuver rivals and achieve a sustainable competitive advantage.
18.
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.
19.
What managers do in internal analysis?
a)
Identify mission
b)
Environmental scanning
c)
Assessing organization resources
d)
Evaluate strategies
20.
What is the last step of the Strategic Management Process?
a)
Formulating Strategies
b)
Implementing Strategies
c)
Evaluating Results
d)
Evaluating Weakness
21.
What is the meaning of backward vertical integration? 
a)
Organization becomes its own supplier
b)
Organization becomes its own distributor
c)
Organization becomes its own seller
d)
Organization becomes its own buyer
22.
What will be the factor for an organization to have if they want to obtain Competitive Advantage?
a)
Excellent Quality of Product
b)
Higher Profit
c)
Lesser innovation
d)
Bad customer service
23.
Which of the below is not in the 5 forces model?
a)
Bargaining power of suppliers
b)
Bargaining power of buyers
c)
Threat of new innovation
d)
Threat of new entrants
24.
Which of the following is NOT a competitive strategy?
a)
Cost Customer Strategy
b)
Cost Leadership Strategy
c)
Stuck In The Middle
d)
Focus Strategy
25.
Porter says there are three generic strategies
a)
True
b)
False
26.
Ikea (internationally) is an example of
a)
a low cost strategy
b)
A differentiated strategy
c)
a market segment focused differentiated strategy
d)
a market-segment cost-focused strategy
27.

Below are Characteristics of Mission Statement EXCEPT

a)

• Define what the organization is what the organization aspires to be

b)

• Inspiring and uplifting to everyone involved in effort

c)

• Serve as a framework for evaluating both current and prospective activities

d)

• Be clear to be widely understood throughout the organization

28.

How do we accomplish our goals? is referring to

a)

Value

b)

Strategy

c)

Vision

d)

Mission

29.

Below are components of mission statement EXCEPT

a)

Customer

b)

Product

c)

Competitor

d)

Concern for employees

30.

______ is ways for businesses to build strategies that help the company respond quickly to new challenges

a)

strategic management

b)

strategic management process

c)

Mission statement

d)

Vision statement

31.

Managing the strategy process involve THREE (3) broad tasks EXCEPT

a)

Appreciate

b)

Implement

c)

Analyse

d)

Formulate

32-36.

Explaining the Process of Strategic Management

Strategic management involves three key subtopics: Strategy Formulation, Strategy Implementation, and Evaluation and Control. Strategy Formulation is the process of defining an organization's strategy, setting goals, and outlining the actions needed to achieve those goals.

Strategy Implementation is the phase where the formulated strategy is put into action. This involves allocating resources, designing organizational structures, and ensuring that the strategy is effectively communicated throughout the organization.

Evaluation and Control are crucial steps in strategic management. This phase involves monitoring the progress of the strategy, assessing performance against set goals, and making necessary adjustments to ensure the strategy's success.

Overall, strategic management is a comprehensive process that involves formulating, implementing, and evaluating strategies to achieve organizational objectives.

32.

Strategic management is a comprehensive process to achieve organizational (a)   .

33.

What are the three main components of strategic management?

a)

Strategy Formulation, Implementation, and Evaluation

b)

Planning, Organizing, and Leading

c)

Research, Development, and Marketing

d)

Analysis, Design, and Testing

34.

What does Strategy Formulation define?

a)

Goals and actions needed to achieve them

b)

Financial projections for the year

c)

Employee training programs

d)

Marketing strategies

35.

How can Evaluation and Control be effectively utilized to monitor progress, assess performance, and make adjustments in the strategic management process?

4 lines
36.

What does Strategy Implementation involve?

a)

Formulating a strategy

b)

Putting the formulated strategy into action

c)

Evaluating the effectiveness of the strategy

d)

Ignoring the formulated strategy

37.
Financial ratios that tell how well a company can pay off its short-term debts and meet unexpected needs for cash.
a)
liquidity ratios
b)
efficiency ratios
c)
leverage ratios
d)
profitability ratios
38.
Financial ratios that indicate how effectively a company uses its resources to generate sales.
a)
liquidity ratios
b)
leverage ratios
c)
profitability ratios
d)
efficiency ratios
39.
Financial ratios that tell how much of each dollar of sales, assets, and owner's investments resulted in net profit.
a)
liquidity ratios
b)
efficiency ratios
c)
profitability ratios
d)
leverage ratios
40.
The comparison of a firm's current assets to current liabilities. The ratio indicates the amount of current assets available to pay off $1 of current debt.
a)
acid test/ quick ratio
b)
asset turnover ratio
c)
current ratio
d)
inventory turnover
41.
Indicates the number of dollars in sales the firm generates from each dollar it has invested in assets. 
a)
asset turnover ratio
b)
acid test/ quick ratio
c)
debt-to-assets ratio
d)
debt-to-equity ratio