Annual objectives are especially important in strategy formulation.
The Sarbanes-Oxley Act has eliminated the problem of firms inflating their financial
projections, so stakeholders need not worry about the financial projections of different
companies.
ESOPs work well even in firms with fluctuating payrolls and profits.
Motivation is one explanation why some people work hard and others do not.
Strategic management focuses on integrating management, marketing, finance and
accounting, production and operations, research and development, and information
systems to achieve organizational success.
A forward integration strategy is used by firms to gain control or ownership of
suppliers.
A positive feature of QSPM is that sets of strategies can be examined sequentially or
simultaneously.
Because activities are organized according to the way work is actually performed, a
divisional structure by process is similar to the matrix structure.
An example of a marketing decision is whether or not to limit the share of business
done with a single customer.
In the context of a balance sheet, goodwill represents
A) a premium paid over the book value of an acquisition.
B) the value attached to a firm’s reputation.
C) the excess of assets over liabilities.
D) the value associated with benefits from environmental programs.
E) the excess of current assets over liabilities.
Which of the following is true regarding the design of a firm’s strategy-evaluation
system?
A) There is a one-size-fits-all system that works for all companies.
B) It does not need to take into account the organization’s size.
C) The management style of a firm has no bearing on the design.
D) It should be determined based on the unique characteristics of a company.
E) There is one ideal system.
In the BCG Matrix, when a division of an organization has a high relative market share
and is in a fast-growing industry, it is called a
A) Star.
B) Cash Cow.
C) Cat.
D) Question Mark.
E) Dog.
The following excerpt from a mission statement illustrates which of the nine essential
components of a mission statement?
“We believe our first responsibility is to the doctors, nurses, patients, mothers, and all
others who use our products and services.”
A) Markets
B) Customers
C) Concern for Employees
D) Concern for Public Image
E) Technology
Annual objectives are especially important in strategy
A) reduction.
B) formulation.
C) implementation.
D) evaluation.
E) policy.
The general public is especially interested in ________, whereas stockholders are more
interested in ________.
A) environmental concerns; social responsibility
B) social responsibility; the treatment of employees
C) the treatment of employees; environmental concerns
D) profitability; social responsibility
E) social responsibility; profitability
What challenge facing all organizations requires managers to formulate strategies that
preserve and conserve natural resources and control pollution?
A) Economic
B) Ecological
C) Compensational
D) Benchmarking
E) Sociological
Which function of management includes all of those activities undertaken to ensure
actual operations conform to planned operations?
A) Planning
B) Organizing
C) Motivating
D) Staffing
E) Controlling
The three all-encompassing internal resource categories used in the resource-based
view are physical resources, human resources, and
A) financial resources.
B) shareholder resources.
C) organizational resources.
D) non-renewable resources.
E) technological resources.
A divisional structure by geographic area is most appropriate when
A) organizations have similar branch facilities located in widely dispersed areas.
B) an organization offers only a limited number of products or services.
C) consumption patterns for its products and/or services are the same worldwide.
D) the company’s customers in different geographic locations have similar needs and
characteristics.
E) the firm serves one geographic area.
The strategic-management process
A) occurs once a year.
B) is a semiannual process.
C) is a continuous process.
D) applies mostly to companies with sales greater than $100 million.
E) applies mostly to small businesses.
Whenever new firms can easily enter a particular industry, the intensity of
competitiveness among firms tends to
A) stay the same.
B) increase.
C) decrease.
D) neutralize.
E) become irrelevant.
Which of the following does the text call an up-front investment in success?
A) Planning
B) Organizing
C) Motivating
D) Staffing
E) Controlling
Multinational corporations face unique and diverse risks, which include all of the
following EXCEPT
A) favorable foreign court interpretations of contracts and agreements.
B) currency losses through exchange rate fluctuations.
C) social/political disturbances.
D) import/export restrictions.
E) tariffs.
R&D employees and managers perform all of the following tasks EXCEPT
A) transferring complex technology.
B) altering products to particular tastes and specifications.
C) researching resource availability.
D) adapting processes to local markets.
E) adjusting processes to local raw materials.
Which of the following are NOT mentioned as an example of cultural products?
A) Rites
B) Emotions
C) Rituals
D) Sagas
E) Symbols
The potential for creative growth in an organization can be limited by
A) an overemphasis on stakeholders.
B) not enough emphasis on stakeholders.
C) a mission statement that is too general.
D) a mission statement that is too specific.
E) a mission statement that is too dynamic.
Name five examples of finance and accounting decisions that may require policies.
Describe each of the activities that comprise strategy evaluation.
What drawback has the resurgence of wildlife populations in the USA had?
Describe some key features of the European work environment.
What are the five steps required for perceptual mapping? Give an example of a
perceptual map for an organization of your choice.
Discuss how Japan is dealing with problems associated with an aging and shrinking
workforce.
What are the advantages and disadvantages of a divisional organizational structure?