Under the ________ approach to strategy, establishing a vision, building resources and
leveraging across markets are all strategic steps to be taken by the firm.
A. Patching
B. Parenting
C. Resources
D. Position
Under stable conditions, concentrated growth is characterized as:
A. Higher risk
B. Lower risk
C. Increasing resource needs
D. Increasing costs
A firm’s claimants are sometimes collectively referred to as
A. Stockholders
B. Employees
C. Stakeholders
D. Customers
______ usually requires minimal capital investment.
A. Joint venture
B. Exporting
C. Foreign branch
D. Wholly owned foreign subsidiary
________ is a historically popular technique through which managers create a quick
overview of a company’s strategic situationit is based on achieving a sound fit between
internal resources and the external situation.
A. Internal analysis
B. External analysis
C. Value chain analysis
D. SWOT analysis
_________ is the process of attempting to identify, encourage, enable and assist
entrepreneurship within a large, well established company so as to create new products,
processes or services that become major new revenue streams and sources of cost
savings for the company.
A. Entrepreneurship
B. Corporate ‘slack”
C. Market innovation
D. Intrapreneurship
________ are very difficult to imitate because of the difficult, sometimes complicated
path another firm must follow to create the resource.
A. Path-dependent resources
B. Physically unique resources
C. Economic resources
D. Ambiguous resources
The ______ serves as an indicator of the relative attractiveness of the markets served by
each business in the firm’s portfolio of businesses.
A. Market share
B. Market projection
C. Market growth rate
D. Relative competitive position
Incremental business process innovations can:
A. Generate less revenue gain, but higher cost savings than radical ones
B. Generate more revenue gain or cost savings with less risk than radical ones
C. Generate more risk but higher revenue gains than radical ones
D. Generate more revenue gain and higher cost savings but with more risk than radical
ones
Agency problems arise when the interests of owners and managers
A. diverge
B. converge
C. are compatible
D. are similar
__________ is turning ideas into profits.
A. Improvement
B. Process development
C. Innovation
D. Invention
Which of these is NOT true about social audit?
A. Given the availability of complete information and programs, to be comprehensive
and accepted by the general public, a social audit must be conducted by the company
itself
B. A social audit attempts to measure a company’s actual social performance against the
social objectives it had set for itself
C. The social audit may be used for more than simply monitoring and evaluating firm
social performance
D. Once the social audit is complete, it may be distributed both internally and externally
Outsourcing has many potential advantages. Which of the following is NOT a potential
advantage of outsourcing as a means to create an agile, virtual organization?
A. It can lower costs incurred when the activity outsourced is done in-house
B. It can reduce the amount of capital a firm must invest in production or service
capacity
C. The firm’s managers and personnel can concentrate on mission-critical activities
D. Careful selection of outsource partners allows the firm to eliminate the need to learn
and develop many of its abilities
A common measure of _______ creation is appreciation of company stock price
A. shareholder wealth
B. revenue
C. sales
D. job
When markets are turbulent and rapidly changing, _______ is seen as critical to the
creation of economic value in a multi-business company.
A. Positioning
B. Leveraging resources
C. Patching
D. Parenting
Organizational requirements to support and sustain cost leadership are:
A. Subjective measurements and incentives
B. Tradition of closeness to key customers
C. Frequent, detained control reports
D. Some personnel skilled in sales and operations
Which of the following is a major function of the strategic management model?
A. It helps make profits for the firm
B. It helps in identifying key issues faced by the firm
C. It helps in deciding which products to sell
D. It depicts the sequence and relationships of the major components of the strategic
management process
Today, the primary motivation of workers is:
A. Job security
B. Personal growth
C. Incremental improvement
D. Dogmatic leadership
Personal influence is a form of
A. strategy
B. power
C. motivation
D. reward
__________ usually is expressed as market share of a business divided by the market
share of its largest competitor.
A. Relative competitive position
B. Relative market share
C. Market growth rate
D. Growth-share rate
___________ is an idea factor involving following demographic and other broad trends
and trying to develop ideas that may be relevant and useful.
A. Mental invention
B. Trend following
C. Market research
D. Solution spotting
A key way the characteristics of the desirable manager manifest themselves in a
manager’s routine activities is found in the way they:
A. Seek to get favorable decisions from corporate management
B. Collaborate with others
C. Choose individual workers
D. Seek to get the work of their unit done over time
A major determinant of a firm’s success is the extent to which it can relate functionally
to the external environment. To accomplish this, the firm must have:
A. Infinite sources of capital for expansion
B. A realistic self-concept
C. Specific objectives and job descriptions
D. Community involvement
________ is one way to identify success factors against which executives can evaluate
their firm’s competencies relative to its key product or products.
A. Corporate strategy
B. Product life cycle
C. Diversification
D. Agglomeration
Which of these stakeholders, according to a survey of board of directors, was perceived
to be least important?
A. Government
B. Society
C. Employees
D. Stockholders
_______ is defined as a temporary network of independent companies linked primarily
by information technology to share skills, access to markets and costs.
A. Outsourcing
B. A virtual organization
C. The agile organization
D. A modular organization
Differentiation of inputs represents a determinant of
A. Entry
B. Rivalry
C. Buyer power
D. Supplier power
A flow of information through interrelated stages of analysis toward achievement of an
aim is:
A. A process
B. A procedure
C. A policy
D. A system
Policies establish __________ over _________ by clearly stating how things are to be
done _________.
A. Indirect control; dependent action; in the future
B. Indirect control; independent action; now
C. Direct control; independent action; in the future
D. Direct control; dependent action; now
Which of the following describes the situation for a firm in Cell 2?
A. The firm faces several environmental opportunities and has numerous strengths that
encourage pursuit of those opportunities
B. The firm faces major environmental threats from a weak resource position
C. The firm has identified several key strengths, but faces an unfavorable environment
D. The firm faces impressive market opportunity, but is constrained by weak internal
resources
A firm’s _____ is tied inextricably to its survival and profitability.
A. growth
B. prominence
C. fame
D. salability
Attracting competitors’ customers encompasses:
A. Decreasing promotional efforts
B. Establishing sharper brand similarities
C. Initiating price cuts
D. Increasing purchase size
For success in growth industries, business strategies require which of these features?
A. Ability to rapidly improve product qualities and performance features
B. Ability to differentiate the firm’s products from competitors entering the market
C. Emphasis on process innovation that permits low-cost product design, manufacturing
methods and distribution synergy
D. Gradually harvest the business
Define strategic surveillance. How does the nature of strategic surveillance differ from
that of premise controls?
Differentiate between joint ventures and strategic alliances. Describe the comparative
benefits of each type of strategy.
How do substitutes affect industry structure?
What is premise control? Identify and give examples of some environmental and
industry factors.
With respect to entrepreneurship, what are resources and why are they important?
Explain the model of Grand Strategy Clusters.
Discuss the dynamics between CSR and the bottom line?
What are its advantages of a functional organizational structure over a simple
organizational structure?
Define declining industry. What strategic choices do the firms in this industry have?
Explain.
What is a dashboard? How does it help monitor performance?
Why do firms globalize?
How is a strategic business unit structure different from a holding company structure?
Describe the elements of SWOT analysis.
Describe the necessary steps that a firm must take when it attempts to incorporate the
interests of various stakeholders?
What is a multidomestic industry? What factors increase the degree to which an
industry is multidomestic?