In strategy evaluation, a revised IFE matrix should indicate how effective a firm’s
strategies have been in response to key opportunities and threats.
Conservative strategies in a SPACE Matrix most often include product development,
market development, market penetration and related diversification.
The most important determinants of an organization’s overall strategic position are
considered to be the two internal dimensions, financial position (FP) and competitive
position (CP), and the two external dimensions, industry position (IP) and stability
position (SP).
Whereas the mission statement answers the question, “What do we want to become?,”
the vision statement answers the question, “What is our business?”
While the number of people shopping online has increased, the average amount spent
online has decreased.
The most common bases for segmenting markets are geographic and demographic.
There are five component variables in the marketing mix: product, place, promotion,
price, and people.
Perhaps the most dramatic new market segmentation strategy is the
A) targeting of regional tastes.
B) focusing on universal product.
C) preference of international over domestic sales.
D) treatment of industrial markets.
E) none of the above
Which of the following is part of the strategic management model?
A) Measure and evaluate performance
B) Develop mission and vision statements
C) Establish long-term objectives
D) Implement strategies
E) All of the above
Which of these is NOT a SPACE Matrix quadrant?
A) Aggressive
B) Defensive
C) Competitive
D) Offensive
E) Conservative
How do line managers become “owners” of the strategy?
A) By attending top manager meetings
B) By executing plans formulated by other people
C) By involvement in the strategic-management process
D) By becoming a shareholder of the firm
E) By buying off top managers
When companies take over functional operations of other firms, such as human
resources, information systems, payroll, accounting, or customer service, this is called
A) marketing.
B) outsourcing.
C) licensing.
D) franchising.
E) divestiture.
All of the following are cooperative arrangements EXCEPT
A) R&D partnerships
B) joint-bidding consortia
C) cross-licensing agreements
D) cross-manufacturing agreements
E) marketing plans
Wal-Mart encourages its employees to adopt “Personal Sustainability Projects” like
weight-loss or smoking-cessation support groups, illustrating that
A) employee wellness can be a part of sustainability.
B) employee health issues have no business in the workplace.
C) firms should crack down on employees’ personal interests infringing upon business
hours.
D) the Global Reporting Initiative requires this of all U.S. companies.
E) a company’s interest in its employees should be restricted solely to their work duties.
What has been shown to permit quick response to change, prevent panic in crisis
situations, and make managers more adaptable?
A) Auditing
B) Implementing a Balanced Scorecard
C) Contingency planning
D) Taking corrective actions
E) Measuring performance
Which is NOT a required step in product positioning?
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.
The company Better Place
A) is building a network of 250,000 electric car recharging stations.
B) is donating $2.4 billion in funding for electric car manufacturing.
C) is developing electric plug-in vehicles.
D) recently unveiled the country’s first all-electric vehicle for the mass market.
E) is buying 25,000 electric vehicles between 2011 and 2015 to use in its fleet-services
business.
An acquisition occurs when a large organization purchases a smaller one or vice versa.
The vision statement answers which question?
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?
Which of the following is NOT a way that companies can help create an ethical culture
in their organization?
A) Outlining ethical expectations
B) Giving examples of ethical situations that commonly occur in their businesses
C) Providing code-of-conduct manuals
D) Creating interactive exercises that pose hypothetical ethical dilemmas
E) Discouraging whistle-blowing
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
What is the first step in the comprehensive strategic-management model?
A) Developing vision and mission statements
B) Performing external audits
C) Performing internal audits
D) Measuring and evaluating performance
E) Establishing long-term objectives