NEW
Font size
WorksheetsStrategic Management
Total questions: 28
Worksheet time: 15mins
Ikea is an example of
A differentiated strategy
A low cost strategy
a market segment focused differentiated strategy
a market-segment cost-focused strategy
Strategic planning is....
Long term planning
Short term planning
General planning
Seasonal planning
Which is the FIRST step in the strategic Management process?
Monitoring and evaluating strategies
Developing the vision and mission
Strategy formulation
Goals and Objectives
The acronym SWOT stands for
Special Weapons for Operations Timeliness
Services, Worldwide Optimization, and Transport
Strengths Worldwide Overcome Threats
Strengths, Weaknesses, Opportunities, and Threats
The fundamental purpose of an organization’s mission statement is to
create a good human relations climate in the organization
define the operational structure of the organization
define the organization’s purpose in society
generate good public relations for the organization
The fundamental purpose for the existence of any organization is described by its
policies
mission
procedures
strategy
_______ & THREATS ARE EXTERNAL FACTORS OVER WHICH THE BUSINESS HAS NO CONTROL.
OPPORTUNITIES
WEAKNESSES
SWOT ANALYSIS CONVERTS THREATS INTO ______.
ADVANTAGES
DISADVANTAGES
WHICH OF THESE IS A COMPETITIVE STRATEGY IN NATURE?
DIFFERENTIATION
FOCUS
What is the strategic management process?
A random set of decisions taken by a firm
A process to avoid risks
The full set of commitments, decisions, and actions firms take to achieve strategic competitiveness and earn above-average returns
A process to achieve average returns
What do strategic leaders do?
Avoid change
Select actions to help the firm achieve its vision and mission
Only focus on short-term profits
Ignore the competitive landscape
What is vision in a firm?
A marketing strategy
A short-term goal
A detailed financial plan
A picture of what the firm wants to be and achieve
What is competitive advantage?
When a firm faces intense competition
When a firm fails to create value for customers
When a firm has average returns
When a firm creates superior value for customers and competitors are not able to imitate the value
The strategic management process:
is especially difficult for the small business because of its limited resources.
divides mass markets into smaller, less homogeneous units.
provides the small business owner with the tools for managing the uncontrollable elements in the external business environment.
helps a small business develop the game plan that guides it in creating its mission, vision, goals, and objectives.
The primary output of the strategic management process should be:
a matching of its strengths and weaknesses to the opportunities and threats in the environment.
an enticement to outside investors and lenders to put money into the business.
a complete explanation of the company's product or service.
a description of the company's competitive situation.
A small business's "aggregation of factors that sets it apart from its competitors" is its:
strategic plan.
competitive advantage.
vision.
competitive strategy.
________ are positive internal factors that contribute towards accomplishing the company's objectives.
Strengths
Weaknesses
Opportunities
Threats
________ are negative internal factors that inhibit the accomplishment of a firm's objectives.
Strengths
Weaknesses
Opportunities
Threats
Corey notices a "backlash" against health food among people who eat out. He decides to open a restaurant that stresses "good home cooking," heavy with gravies, breads, oils, etc. Corey has identified and is trying to capitalize on a(n) ________ in the market environment.
strength
weakness
threat
opportunity
Every business is characterized by a set of controllable variables called ________ that determines the relative success (or lack of it) of market participants:
distinctive competencies
key success factors
opportunities and threats
competitive edge
Joan is seeking to answer a series of questions such as: How do competitor's cost structures compare to ours, what new competitors are entering the industry, what do our customers say about competitors, etc. By asking these questions, Joan is:
conducting a SWOT analysis.
identifying her company's key success factors.
formulating strategic options for her company.
performing a competitive analysis.
Small firms pursuing a cost leadership strategy have an advantage in reaching customers whose primary purchase criterion is:
quality.
constant innovation.
price.
customer service.
Cost leadership has several inherent dangers such as:
choosing to distinguish the product that does not boost its performance.
an overfocus on the physical characteristics of the product.
the identified niche is not large enough to be profitable.
an overfocus on costs to the elimination of other strategies.
A small company following a ________ strategy seeks to build customer loyalty by positioning its goods and services in a unique fashion.
differentiation
cost leadership
focus
niche
Tyson Foods' practice of adding value to its chicken products by deboning, skinning, bite-sizing, or pre-cooking them is an example of a:
cost leadership strategy.
differentiation strategy.
focus strategy.
concentration strategy.
Which of the following is a danger in choosing a differentiation strategy?
Charging a price so high that the company prices itself out of the market
Choosing a basis for price leadership that is essentially unimportant to the customer
Choosing a market that is not large enough to be profitable
An overfocus on overhead costs
Rather than attempting to serve the total market, the small firm pursuing a ________ strategy specializes in serving a specific target segment.
cost leadership
differentiation
focus
head-to-head
________ are a unique set of capabilities that a company develops in key areas, such as superior quality, customer service, innovation, team-building, flexibility, speed, responsiveness, and others that allow it to vault past competitors.
Core Competencies
Focus strategy
Cost leadership strategy
None of the above
