Business strategies require all of these EXCEPT which feature for success in emerging
industry setting?
A. Shape the industry’s structure
B. Rapidly improve product quality
C. Strong product design skills
D. Forecast future competitors
Effective leaders:
A. Choose just one key source of power and influence
B. Tend to limit these types of influence and use more legitimate means
C. Usually do not have reason to use more than one of these types of power at a time
D. Make use of all seven sources of power, often in combination
_________ is simply obtaining work previously done by employees inside the
companies from sources outside the company.
A. Networking
B. Prioritizing
C. The learning organization
D. Outsourcing
Leaders help their company embrace change by setting forth their ________ a clear
sense of where they want to lead the company and what results they expect to achieve.
A. Strategic quota
B. Mission
C. Vision
D. Strategic intent
Policies can be externally imposed or ______
A. stakeholder driven
B. mandated by stockholders
C. internally derived
D. mandated by the stock market
__________ are inherently more risky than ___________.
A. Disruptive innovations; breakthrough innovations
B. Incremental innovations; breakthrough innovations
C. Breakthrough innovations; incremental innovation
D. Functional innovations; process innovations
VCA disaggregates the business into a set of activities that occur
A. outside the business
B. within the business
C. within the industry
D. outside the industry
As the business grows or is forced by competitive pressures to alter its product, market,
or technology, ______ the company mission may be necessary.
A. redefining
B. abandoning
C. writing
D. discarding
__________ are exceptional for their technical talents, insights and creativity, but their
creations are often unsuccessful in becoming commercial realities.
A. Marketers
B. Innovators
C. Intrapreneurs
D. Inventors
Which of these is NOT true about the behavioral effect of strategic management?
A. Strategy formulation activities enhance the firm’s ability to prevent problems
B. Resistance to change is reduced
C. Gaps and overlaps in activities among individuals and groups are increased to ensure
the checks and balance
D. The employee involvement is strategy formulation improves their understanding of
the productivity reward relationship in every strategy plan
The quasi-science of anticipating environmental and competitive changes and
estimating their importance to an organizations operation refers to
A. Technological forecasting
B. Ecology
C. Industry environment
D. Operating environment
Concentration encompasses increasing present customer rate of usage. This includes:
A. Increasing size of purchase
B. Pricing up or down
C. Developing quality variations
D. Marketing in new channels
Which of the following is a generic strategy option?
A. Vertical integration
B. Diversification
C. Differentiation
D. Retrenchment
Product teams:
A. Can tend to slow down innovation
B. Reduce costs associated with design, manufacturing and marketing
C. Place an absolute limit on customer responsiveness
D. Are temporary structures
Common resources, skills and organizational requirements to support a “differentiation”
generic strategy include all but:
A. Strong marketing abilities
B. Product engineering
C. Strong coordination among R&D, product development and marketing
D. Low-cost distribution system
Subramanian Rangan calls the shift characterizing the growing importance of
organizational structures that enable global companies the chance to build competitive
advantage:
A. Exploration to exploitation
B. Exploitation to exploration
C. Integration to innovation
D. Exploitation to innovation
_______ represents a statement that is sometimes developed to express the aspirations
of the executive leadership.
A. Mission statement
B. Agency theory
C. Adverse selection
D. Vision statement
A major consequence of the Sarbanes-Oxley Act has been the
A. Political fallout in the Congress
B. Outsourcing of jobs in lower wage countries
C. Super growth in accounting firms in the U.S.
D. Restructuring of the governance structure of American corporations
Cost disadvantages independent of size is a factor relevant to
A. Threat of new entrants
B. Powerful suppliers
C. Jockeying for position
D. Powerful buyers
Business strategies, grand strategies, and ______ are critically important in crafting a
successful future.
A. Long-term objectives
B. Core rigidities
C. Business units
D. Functional hierarchies
Functional structures predominate in firms with:
A. An emphasis on catering to individual customers’ needs
B. Rapidly changing markets and technologies
C. A broad national market
D. A single or narrow product focus
Truly low-cost advantages ______ price competition.
A. increase
B. lessen
C. strengthen
D. have no effect on
When there is a high potential compatibility of changes with the existing culture and
many changes in key organizational factors that are necessary to implement the new
strategy:
A. Managers should manage around the culture
B. Managers should reformulate strategy or prepare carefully for long-term, difficult
cultural change
C. Managers should link changes to the basic mission and fundamental organizational
norms
D. Managers should focus on reinforcing the culture and achieving synergies
Which of these personnel capabilities match the maturity stage of the industry
evolution?
A. Capacity to reduce and relocate personnel
B. Ability to cost effectively, reduce workforce, increase efficiency
C. Flexibility in staffing and training new management
D. Existence of an ability to add skilled personnel; motivated and loyal workforce
___________ will increase pressure on corporations to push authority downward in
their organizations. This means every line manager will have to exercise leadership
prerogatives to an extent unthinkable a generation earlier.
A. Globalization
B. Fragmentation of industries
C. Consolidation of industries
D. The accelerated pace and complexity of business
When Starbucks sources much of its bean supply directly from producers, thereby
ensuring that those farmers receive fair compensation without being exploited by
powerful middlemen, it is an example of which CSI principle? A. Weigh government
influence
B. Hiring, motivation and retention
C. Contribute “what we do”
D. Building and cementing valuable partnerships
Which of these is a form of strategic control in which managers are encouraged to be
proactive in improving all operations of the firm?
A. Continuous improvement
B. Adaptive mode
C. Functional tactics
D. Planning mode
Which of the following is an example of a primary activity in the typical firm?
A. Human resources management
B. Research, technology and systems development
C. General administration
D. Logistics
Which of the following is NOT a way through which leaders galvanize commitment to
embrace change?
A. Involve every employee in corporate strategic decision making
B. Shape organizational culture
C. Build the organization
D. Clarify strategic intent
Policies offer predetermined answers to _____ problems.
A. unique
B. formal
C. routine
D. informal
What control problem do global firms face?
What does it mean to empower employees? How are policies related to the idea of
empowerment?
Compare and contrast market development and product development, citing one
example of each.
Briefly discuss the three fundamental ethical approaches that managers should
consider?
Define entrepreneurship and differentiate entrepreneurs from inventors.
What is outsourcing? What are the benefits and risks of outsourcing?
What is a virtual organization?
Describe the different stages of industry evolution. Identify the key functional areas and
strategy focus of each stage.
What are restricted stock options? How do they motivate executives and key employees
to achieve maximization of shareholder wealth?
What are the problems in defining industry boundaries?
How can a firm balance the demands for control/differentiation in the corporate level of
management with the need for coordination/integration.
Identify inside and outside stakeholders. How do they differ in their expectations of the
firm? Explain?
What is meant by company self-concept? Why is it an important mission statement
component?
What is a social audit? What is its purpose?
What is globalization? How are standardization and customization relevant in
globalization?
How does jockeying for position escalate intensity of rivalry among competitors?
Describe the balance scorecard methodology. Why is it used?
What is breakthrough innovation? How is it different from incremental innovation?
What are the benefits and disadvantages of a divisional structure?
What is restructuring? How is used to emphasize and support strategically critical
activities?