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Question 1
Which of the following resources is used by all organizations to achieve desired objectives?
Question 2
Strategic management involves the_______, directing, _______ and controlling of a company’s strategy-related
decisions and actions.
Question 3
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KAPKAL Power’s interested to achieve a 10 percent return on equity (ROE) in their core electric utility, 14
percent ROE on water resource operations, and 15 percent ROE on support businesses. It is _____________
Response: c. Objective
Question 4
15. Which one of the following is NOT included in the Porter’s Five Forces model:
Question 5
Porter’s five forces is an industry analysis model. The five forces are: inter rivalry of competitors, bargaining
power of customers, bargaining power of suppliers, threat of new entrants and what?
Question 6
21. The environmental segments that comprise the general environment typically will NOT include
Question 7
Coca-Cola and Pepsi are two of the most powerful brands in the world and this presents a significant ______ to
entry for other companies trying to launch new cola drinks.
Response: barrier
Question 8
8. The various organizational routines and processes that determine how efficiently and effectively the organization
transforms its inputs into outputs are called:
Question 9
12. Which of the following is not an advantage of strategic management?
Response: b. It helps improve the political, economic, social and technological environment of the organisation
Question 10
26. . The immediate external environment includes:
Response: c. Competitors
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Question 11
What are the different types of strategy?
Question 12
25. Which group would be classified as a stakeholder?
Question 13
13. Which of the following defines what business or businesses the firm is in or should be in?
Question 14
22. An analysis of the economic segment of the external environment would include all of the following EXCEPT
Question 15
If a marketing department follows the ‘top down’ planning model, what does it do?
Response: Senior managers set objectives which are passed down to marketing staff.
Question 16
It is usually cheaper for an international company to sell standard consumer products all over the world, however
cultural differences are likely to force them to make some adaptations. True or false?
Response: True
Question 17
3. The acronym SWOT stands for
Question
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Their purpose is to furnish a framework for more detailed tactical planning and action.
Response: strategies
Question 19
Where organizations have few products they may group activities according to sales area and be literally closer to
the customer
Question 20
24. Long-term objectives should be all of the following except:
Question 21
14. The three organizational levels are:
Question 22
From the list below, identify which factor does not form one of the six key areas of a PESTEL analysis.
Question 23
“A possible and desirable future state of an organization” is called:
Response: b. Vision
Question 24
16. What is meant by the term ‘Stakeholder’?
Question 25
20. A firm’s mission
Response: a. is a statement of a firm’s business in which it intends to compete and the customers which it intends
to serve.
Question 26
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Response: objectives
Question 27
10. An organization’s strategy:
Question 28
5. Which of the following is an issue considered in developing corporate strategies?
Question 29
7. Competitive advantage can best be described as:
Question 30
Which of the following is not a typical characteristic of a market-oriented company?
Question 31
11. The primary focus of strategic management is:
Question 32
Companies with high relative market share as well as growth rate come under stars?
Response: True
Question 33
According to Ansoff’s matrix, a company that tries to increase sales by selling its existing products in a new
market is following what kind of strategy?
Question 34
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Under which cell would SBU's (Strategic Business Units) with high growth rate but low relative market share
come under?
Question 35
A business mission statement is an explicit form of words that captures the broad aims of the company. True or
false?
Response: True
Question 36
Which of the four strategies in the Ansoff Matrix is generally thought to involve the highest risk?
Response: diversification
Question 37
In a SWOT analysis, strengths and weaknesses are external factors. True or false?
Response: False
Question 38
6. Which of the following is NOT a major element of the strategic management process?
Question 39
Which of these basic questions should a vision statement answer?
Question 40
19. . The goal of the organization’s__________ is to capture the hearts and minds of employees, challenge them,
and evoke their emotions and dreams.
Response: a. vision
Question 41
A voluntary fusion of two companies on broadly equal terms into one new legal entity
Response: merger
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Question 42
A strategy is a company’s
Question 43
23. Which of the following is NOT an entry barrier to an industry?
Question 44
Ansoff’s Matrix illustrates the ways companies can grow through increasing sales opportunities. True or false?
Response: True
Question 45
Question 46
A form of structure in which all similar specialist activities are grouped together into interdependent departments.
Question 47
XYZ Co has four sales teams: London & the South East, Wales & the Midlands, Northern England, and Scotland.
What kind of organizational structure is this?
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Question 48
The four factors which are considered as ‘hard’ elements
Response: strategy
Response: structure
Response: system
Question 49
What does SBU stand for?
Question 50
1. The fundamental purpose for the existence of any organization is described by its
Response: b. mission
Question 51
9. When defining strategic management the most important thing to remember is that it is:
Question 52
Dogs are companies with ________ relative market share?
Response: Low
Question 53
4. Which of the following is not a characteristic of strategic management that makes it different from other types of
management?
Question 54
analytical methods used in strategic analysis include:
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Question 55
17. Of the following, which one would NOT be considered one of the components of a mission statement?
Response: b. XYZ shall hire only those individuals who have with sufficient educational levels so as to be of
benefit to our customers
Question 56
2. The fundamental purpose of an organization’s mission statement is to
Question 57
18. . The strategic management process is
Response: d. the full set of commitments, decisions, and actions required for the firm to achieve above-average
returns and strategic competitiveness
Question 58
McKinsey’s 7S framework helps analyse organisations and improve their effectiveness. The seven elements to be
coordinated are: shared values, structure, systems, style and what?
Question 59
SWOT is one of the most commonly used analysis tools in business, but what does it analyse?
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