Question 1

Purchasing a product or service from an outside contractor that had been previously provided internally is called

Accepted Answer

A)  vertical integration. 
B)  horizontal integration. 
C)  transaction costing. 
D)  outsourcing. 
E)  geographic integration. 
A)  vertical integration. 
B)  horizontal integration. 
C)  transaction costing. 
D)  outsourcing. 
E)  geographic integration.

Question 2

A recent trend in information systems strategy used by multi-national corporations is

Accepted Answer

A)  computerizing accounting. 
B)  automating customer service. 
C)  practicing follow-the-sun management. 
D)  replacing Fortran with Cobol in order to boost productivity. 
E)  replacing mainframe computers with robots. 
A)  computerizing accounting. 
B)  automating customer service. 
C)  practicing follow-the-sun management. 
D)  replacing Fortran with Cobol in order to boost productivity. 
E)  replacing mainframe computers with robots.

Question 3

When the Kellogg Company changed to a push strategy, they spent more money on consumer advertising designed to build brand awareness so that shoppers will ask for the products.

Accepted Answer

A) True 
 B)False

Question 4

Give an example of a technological leader.

Accepted Answer

Answers will vary. Examples should inclu

Question 5

The first step in constructing a corporate scenario is to

Accepted Answer

A)  develop a common-sized financial statement. 
B)  construct detailed pro forma financial statements. 
C)  decide upon how much risk management is willing to accept. 
D)  analyze the societal environment. 
E)  use industry scenarios to develop a set of assumptions about the task environment. 
A)  develop a common-sized financial statement. 
B)  construct detailed pro forma financial statements. 
C)  decide upon how much risk management is willing to accept. 
D)  analyze the societal environment. 
E)  use industry scenarios to develop a set of assumptions about the task environment.

Question 6

Two suppliers are the sole suppliers of two different parts, but they are also backup suppliers for each other's parts in parallel sourcing.

Accepted Answer

A) True 
 B)False

Question 7

Even the most attractive strategic alternative might not be selected if it is contrary to the needs and desires of important top managers.

Accepted Answer

A) True 
 B)False

Question 8

The attractiveness of a strategic alternative is affected by its perceived compatibility with the key stakeholders in a corporation's task environment.

Accepted Answer

A) True 
 B)False

Question 9

A company may use which of the following trade promotions to "pull" their products through the distribution system?

Accepted Answer

A)  discounts 
B)  in-store special offers 
C)  advertising allowances 
D)  coupons 
E)  consumer advertising 
A)  discounts 
B)  in-store special offers 
C)  advertising allowances 
D)  coupons 
E)  consumer advertising

Question 10

Risk is composed not only of the probability that the strategy will be effective but also of the amount of assets the corporation must allocate to that strategy and the length of time the assets will be unavailable for other uses.

Accepted Answer

A) True 
 B)False

Question 11

Fujitsu demonstrated a follow-the-leader strategy when it imitated IBM's strategy focused on mainframes in 1990.

Accepted Answer

A) True 
 B)False

Question 12

Once the best strategic alternative is selected, the broad guidelines for its implementation are then defined by

Accepted Answer

A)  trade-offs. 
B)  policies. 
C)  procedures. 
D)  resource allocation. 
E)  strategic options. 
A)  trade-offs. 
B)  policies. 
C)  procedures. 
D)  resource allocation. 
E)  strategic options.

Question 13

When a company deals with obtaining raw materials, parts, and supplies needed to perform the operations function, the company is developing its ________ strategy.

Accepted Answer

A)  operations 
B)  purchasing 
C)  R&D 
D)  financial 
E)  human resource management 
A)  operations 
B)  purchasing 
C)  R&D 
D)  financial 
E)  human resource management

Question 14

Which strategy is developed to pull together the various activities and competencies of each department so that corporate and business unit performance improves and resource productivity is maximized?

Accepted Answer

A)  business strategy 
B)  competitive strategy 
C)  generic strategy 
D)  enterprise strategy 
E)  functional strategy 
A)  business strategy 
B)  competitive strategy 
C)  generic strategy 
D)  enterprise strategy 
E)  functional strategy

Question 15

Research indicates that the use of work teams leads to decreased quality and productivity as well as lower employee satisfaction and commitment as a result of less accountability.

Accepted Answer

A) True 
 B)False

Question 16

The key to outsourcing is to purchase from the outside only those activities that

Accepted Answer

A)  are not key to the company's distinctive competence. 
B)  are very expensive. 
C)  provide the company competitive advantage. 
D)  are provided by an important supplier. 
E)  are not very expensive. 
A)  are not key to the company's distinctive competence. 
B)  are very expensive. 
C)  provide the company competitive advantage. 
D)  are provided by an important supplier. 
E)  are not very expensive.

Question 17

Companies such as Georgia-Pacific, Marriott, and Union Carbide view the ________ as an important way to differentiate themselves from the competition, to add value, and to reduce costs.

Accepted Answer

A)  R&D function 
B)  logistics function 
C)  finance function 
D)  engineering function 
E)  purchasing function 
A)  R&D function 
B)  logistics function 
C)  finance function 
D)  engineering function 
E)  purchasing function

Question 18

The technique used to help strategic managers choose among alternative choices by defining the task environment, developing a set of various forecasts, and using pro forma financial statements is called

Accepted Answer

A)  decision trees. 
B)  SWOT analysis. 
C)  industry scenarios. 
D)  corporate scenarios. 
E)  Capital Asset Pricing Model. 
A)  decision trees. 
B)  SWOT analysis. 
C)  industry scenarios. 
D)  corporate scenarios. 
E)  Capital Asset Pricing Model.

Question 19

Corporate scenarios are pro forma balance sheets and income statements that forecast the effect each alternative strategy and its various programs will likely have on division and corporate return on investment.

Accepted Answer

A) True 
 B)False

Question 20

What is a functional strategy?

Accepted Answer

Functional strategy is the approach a fu

Purchasing a product or service from an outside contractor that had been previously provided internally is called

A recent trend in information systems strategy used by multi-national corporations is

When the Kellogg Company changed to a push strategy, they spent more money on consumer advertising designed to build brand awareness so that shoppers will ask for the products.

Give an example of a technological leader.

The first step in constructing a corporate scenario is to

Two suppliers are the sole suppliers of two different parts, but they are also backup suppliers for each other's parts in parallel sourcing.

Even the most attractive strategic alternative might not be selected if it is contrary to the needs and desires of important top managers.

The attractiveness of a strategic alternative is affected by its perceived compatibility with the key stakeholders in a corporation's task environment.

A company may use which of the following trade promotions to "pull" their products through the distribution system?

Risk is composed not only of the probability that the strategy will be effective but also of the amount of assets the corporation must allocate to that strategy and the length of time the assets will be unavailable for other uses.

Fujitsu demonstrated a follow-the-leader strategy when it imitated IBM's strategy focused on mainframes in 1990.

Once the best strategic alternative is selected, the broad guidelines for its implementation are then defined by

When a company deals with obtaining raw materials, parts, and supplies needed to perform the operations function, the company is developing its ________ strategy.

Which strategy is developed to pull together the various activities and competencies of each department so that corporate and business unit performance improves and resource productivity is maximized?

Research indicates that the use of work teams leads to decreased quality and productivity as well as lower employee satisfaction and commitment as a result of less accountability.

The key to outsourcing is to purchase from the outside only those activities that

Companies such as Georgia-Pacific, Marriott, and Union Carbide view the ________ as an important way to differentiate themselves from the competition, to add value, and to reduce costs.

The technique used to help strategic managers choose among alternative choices by defining the task environment, developing a set of various forecasts, and using pro forma financial statements is called

Corporate scenarios are pro forma balance sheets and income statements that forecast the effect each alternative strategy and its various programs will likely have on division and corporate return on investment.

What is a functional strategy?

Basic Concepts in Strategic Management

Corporate Governance

Social Responsibility and Ethics in Strategic Management

Environmental Scanning and Industry Analysis

Organizational Analysis and Competitive Advantage

Strategy Formulation: Business Strategy

Strategy Formulation: Corporate Strategy

Strategy Implementation: Global Strategy

Strategy Implementation: Organizing and Structure

Strategy Implementation: Staffing and Directing

Evaluation and Control

Suggestions for Case Analysis

Filters

Exam 8: Strategy Formulation: Functional Strategy and Strategic Choice

Purchasing a product or service from an outside contractor that had been previously provided internally is called

A recent trend in information systems strategy used by multi-national corporations is

When the Kellogg Company changed to a push strategy, they spent more money on consumer advertising designed to build brand awareness so that shoppers will ask for the products.

Give an example of a technological leader.

The first step in constructing a corporate scenario is to

Two suppliers are the sole suppliers of two different parts, but they are also backup suppliers for each other's parts in parallel sourcing.

Even the most attractive strategic alternative might not be selected if it is contrary to the needs and desires of important top managers.

The attractiveness of a strategic alternative is affected by its perceived compatibility with the key stakeholders in a corporation's task environment.

A company may use which of the following trade promotions to "pull" their products through the distribution system?

Risk is composed not only of the probability that the strategy will be effective but also of the amount of assets the corporation must allocate to that strategy and the length of time the assets will be unavailable for other uses.

Fujitsu demonstrated a follow-the-leader strategy when it imitated IBM's strategy focused on mainframes in 1990.

Once the best strategic alternative is selected, the broad guidelines for its implementation are then defined by

When a company deals with obtaining raw materials, parts, and supplies needed to perform the operations function, the company is developing its ________ strategy.

Which strategy is developed to pull together the various activities and competencies of each department so that corporate and business unit performance improves and resource productivity is maximized?

Research indicates that the use of work teams leads to decreased quality and productivity as well as lower employee satisfaction and commitment as a result of less accountability.

The key to outsourcing is to purchase from the outside only those activities that

Companies such as Georgia-Pacific, Marriott, and Union Carbide view the ________ as an important way to differentiate themselves from the competition, to add value, and to reduce costs.

The technique used to help strategic managers choose among alternative choices by defining the task environment, developing a set of various forecasts, and using pro forma financial statements is called

Corporate scenarios are pro forma balance sheets and income statements that forecast the effect each alternative strategy and its various programs will likely have on division and corporate return on investment.

What is a functional strategy?

Basic Concepts in Strategic Management

Corporate Governance

Social Responsibility and Ethics in Strategic Management

Environmental Scanning and Industry Analysis

Organizational Analysis and Competitive Advantage

Strategy Formulation: Business Strategy

Strategy Formulation: Corporate Strategy

Strategy Implementation: Global Strategy

Strategy Implementation: Organizing and Structure

Strategy Implementation: Staffing and Directing

Evaluation and Control

Suggestions for Case Analysis

Filters