The idea that the firm must know itself is the essence of the company
A. Self-concept
B. Objective
C. Goal
D. Strategy
Which of the following qualities of an objective improves its chances of being attained?
A. Timeliness
B. Flexibility
C. Cost efficiency
D. Ground breaking
Three issues have become prominent in the strategic planning for organizations and are
increasingly becoming integral parts in the development and revisions of mission
statements. These are:
A. Self-concept, customers and markets
B. Customers, quality and vision statement
C. Markets, quality and concern for employees
D. Concern for employees, suppliers and customers
____________ are your fundamental personal standards that guide your sense of
honesty, integrity and ethical behavior.
A. Values
B. Ethics
C. Principles
D. Passions
_______ are executive bonus compensation plans that focus on accounting measures of
performance and are designed to offset the limitations of market-based measures of
performance.
A. Cash restricted plans
B. Golden handcuffs
C. Restricted stock plans
D. Cash-based
__________ such as project teams or planning committees is frequently used in
functionally organized firms to enhance coordination and to facilitate understanding
across functional areas.
A. Integrating devices
B. Comprehensive mechanisms
C. Strategic tactics
D. Cost control methods
The company mission is a broadly framed but enduring statement of
A. A firm’s intent
B. Corporate structure
C. A firm’s competitive positioning
D. Stakeholder analysis
With regards to stakeholders’ specific claims vis-à-vis the firm, the claims of various
stakeholders groups
A. Are always in sync
B. Are never resolved
C. Must be ignored
D. Often conflict
__________ is the initial commercialization of invention by producing and selling a
new product, service or process.
A. Improvement
B. Process development
C. Innovation
D. Invention
A set of ideas on organizational control based on the belief that the separation of the
ownership from management creates the potential for the wishes of owners to be
ignored is known as
A. Agency theory
B. Adverse selection principle
C. Moral hazard problem
D. Self concept
By virtue of Sam’s vice presidency in the organization, certain decision-making
authorities and responsibilities are conferred that he is entitled to use to get things done.
This is an example of:
A. Peer influence
B. Expert influence
C. Punitive power
D. Position power
Brand loyalty, employee satisfaction and a reputation for fairness are items that:
A. Are easy to imitate
B. Can be imitated, but may not be
C. Cannot be imitated
D. Are difficult to imitate
In the industry attractiveness-business strength matrix, the position of a business is
calculated by _______ its rating along the two dimensions of the matrix.
A. Subjectively qualifying
B. Objectively qualifying
C. Subjectively quantifying
D. Objectively quantifying
Simple organizational structures are most efficacious in businesses that serve:
A. A broad, international product/market
B. A highly fragmented market
C. A cost-competitive product/market
D. A local product/market or narrow niche
Competitive position as a measure of corporate success is typically measured as:
A. The input-output relationship of the company
B. The earnings per share of the company
C. The company’s relative dominance in the marketplace
D. The firm’s stock value
Quadrant IV of the Grand Strategy Selection Matrix suggests which of these strategies?
A. Vertical acquisition
B. Turnaround
C. Product development
D. Horizontal acquisition
The core competency must represent a major source of value to be a basis for
competitive advantage. Furthermore, the core competence:
A. Must be negotiable
B. Must be financial
C. Must be diversified
D. Must be transferable
Little coordination of functional activities across countries may be necessary in a ____
industry .
A. technological
B. global
C. multidomestic
D. industrial
A business, which by definition is a profit center that focuses on a specific combination
of products, markets, and technologies, is also known as a A. Subsidiary
B. Sister unit
C. Strategic business unit
D. Corporate unit
Which of the following goals are taken for granted to such an extent that it is neglected
as a principal criterion in strategic decision making?
A. Maturity
B. Ethics
C. Survival
D. Competitiveness
Social responsibility is a critical consideration for a company’s strategic decision
makers since
A. Stockholders demand it
B. The mission statement must express how the company intends to contribute to the
societies that sustain it
C. It increases a company’s profits
D. It helps make decisions
____________ is a key characteristic of entrepreneurs. Likewise, time is the most
critical resource, used in tandem to virtually “will” a new venture’s success at numerous
junctures early in its development.
A. Conservativeness
B. Freedom
C. Diligence
D. Determination
All of these are key characteristics of eco-efficient corporations EXCEPT
A. Eco-efficiency is insular
B. Eco-efficient firms are proactive
C. Eco-efficiency is designed in
D. Flexibility is imperative for eco-efficient strategy implementation
Which of the following is an example of support activities in the typical firm?
A. Operations
B. Procurement
C. Marketing and sales
D. Service
Which of the following is NOT an aspect of global business that makes global planning
necessary?
A. Shorter distances
B. Greater distances
C. The interrelationship of global operations
D. Differences in environmental factors in different countries
Which of the following factors is NOT considered in determining industry
attractiveness?
A. Nature of competitive rivalry
B. Bargaining power of suppliers/customers
C. Firm’s level of differentiation
D. Financial norms
Slow growth or a decline in demand for an industry could be caused by
A. technological substitution
B. strong branding
C. significant differentiation
D. Integration
Operating managers must establish short-term objectives and operating strategies that
contribute to:
A. Business-level goals
B. Corporate-level goals
C. Goals toward diversification
D. Specialization
The two most prominent sources of competitive advantage for a business are:
A. Integration and coordination
B. Cost and differentiation
C. People and products
D. Products and services
A(n) strategy reflects a company’s awareness of how, when and where is should ____,
against whom it should _____ and for what purpose it should _____.
A. cooperate
B. ally
C. compete
D. plan
All of these are economic goals that guide the strategic direction of organizations
EXCEPT
A. Survival
B. Market share
C. Profitability
D. Growth
Which level of decisions encompasses greater risk, cost and profit potential?
A. Business
B. Lower echelon
C. Corporate
D. Functional