Mass communication and high technology have led to highly individualized and distinct
patterns of consumption in diverse cultures worldwide.
With market segmentation, a firm can better operate with limited resources.
One of the ways in which the Internet has transferred power from businesses to
individuals is by making comparison-shopping quick and easy.
According to research, a healthier workforce can more effectively and efficiently
implement strategies.
Social policy concerns what responsibilities the firm has to employees, consumers,
environmentalists, minorities, communities, shareholders, and other groups.
In response to the so-called Obamacare legislation, many U.S. businesses are
transitioning to having a larger percentage of their workforce being comprised of
full-time employees rather than part-time workers.
Liberty Media Corp. selling its Starz television network is an example of which type of
strategy?
A) Related diversification
B) Unrelated diversification
C) Retrenchment
D) Divestiture
E) Liquidation
Walmart 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.
All of these are Richard Rumelt’s criteria to evaluate a strategy EXCEPT
A) advantage.
B) consistency.
C) feasibility.
D) distinctiveness.
E) consonance.
Which ratio would be considered an activity ratio?
A) Debt-to-equity
B) Net profit margin
C) Average collection period
D) Earnings per share
E) Current ratio
Which of the following is in keeping with the current view of organizational change?
A) Organizational change is a project.
B) Organizational change is a continuous process.
C) Organizational change is an event.
D) Organizational change involves unfreezing behavior, changing the behavior, and
then refreezing the new behavior.
E) All of the above
Most strategy literature advocates that strategic management is
A) more of a science than an art.
B) more of an art than a science.
C) based on analysis rather than research.
D) based on intuition rather than analysis.
E) based on creativity rather than intuition.
Matching which factors would allow factories to produce desirable levels without extra
shifts, overtime, or subcontracting?
A) Markets and competitors
B) Competition and positioning
C) Customer behavior and positioning
D) Supply and demand
E) Segments and competitors
Mergers and acquisitions are created for all of the following reasons EXCEPT to
A) gain new technology.
B) reduce tax obligations.
C) gain economies of scale.
D) smooth out seasonal trends in sales.
E) increase the number of employees.
________ is a process of doing business worldwide, so strategic decisions are made
based on global profitability of the firm rather than just domestic considerations.
A) Multinational corporation
B) Protectionism
C) Globalization
D) Assimilation
E) World recession
Which of the following sectors of the economy would be most impacted by
technological developments?
A) Forestry
B) Aeronautics
C) Textiles
D) Metals
E) Cloth
Which of these is a potential problem associated with using only quantitative criteria for
selecting strategies?
A) Most quantitative criteria are geared to long-term objectives rather than annual
objectives.
B) Different accounting methods can provide different results on many quantitative
criteria.
C) Intuitive judgments are never used in deriving quantitative criteria.
D) Quantitative criteria include human factors that may be underlying causes of
declining performance.
E) Quantitative criteria are not able to compare the firm’s performance over different
period of time.