Question 1

Corporate strategy occurs at the business unit or product level.

Accepted Answer

A) True 
 B)False

Question 2

A budget is a statement of a corporation's programs in terms of dollars.

Accepted Answer

A) True 
 B)False

Question 3

Which approach to decision-making is most useful when the environment is changing rapidly and when it is important to build consensus and develop needed resources before committing the entire corporation to a specific strategy?

Accepted Answer

A)  planning mode 
B)  entrepreneurial mode 
C)  logical incrementalism 
D)  adaptive mode 
E)  strategic flexibility mode 
A)  planning mode 
B)  entrepreneurial mode 
C)  logical incrementalism 
D)  adaptive mode 
E)  strategic flexibility mode

Question 4

While the strategic audit is not an all-inclusive list, it presents many of the critical questions needed for a detailed strategic analysis of any business.

Accepted Answer

A) True 
 B)False

Question 5

The currency used to integrate the monetary systems of the European Union (EU) is called the

Accepted Answer

A)  peso. 
B)  dollar. 
C)  euro. 
D)  franc. 
E)  pound. 
A)  peso. 
B)  dollar. 
C)  euro. 
D)  franc. 
E)  pound.

Question 6

Canada, the United States, and Mexico are affiliated economically under which trade alliance?

Accepted Answer

A)  ASEAN 
B)  Mercosur 
C)  EU 
D)  NAFTA 
E)  CAFTA 
A)  ASEAN 
B)  Mercosur 
C)  EU 
D)  NAFTA 
E)  CAFTA

Question 7

Knowing a company is mindful of its impact on the environment seldom changes consumer buying habits.

Accepted Answer

A) True 
 B)False

Question 8

Which of the following is an example of a corporate strategy?

Accepted Answer

A)  diversify product line to appeal to more people 
B)  imitate products of competitors 
C)  pay highest salaries to keep high quality employees 
D)  develop and sell quality appliances worldwide 
E)  divide a sales region into a group of sales districts 
A)  diversify product line to appeal to more people 
B)  imitate products of competitors 
C)  pay highest salaries to keep high quality employees 
D)  develop and sell quality appliances worldwide 
E)  divide a sales region into a group of sales districts

Question 9

Hierarchy of strategy is a nesting of one strategy within another so that they complement and support one another.

Accepted Answer

A) True 
 B)False

Question 10

Which of the following is not one of the four triggering events listed in the text that is the stimulus for a strategic change?

Accepted Answer

A)  intervention by the organization's bank 
B)  annual strategic planning conference 
C)  threat of a takeover 
D)  new CEO 
E)  awareness by management of decreased profitability 
A)  intervention by the organization's bank 
B)  annual strategic planning conference 
C)  threat of a takeover 
D)  new CEO 
E)  awareness by management of decreased profitability

Question 11

One tenet of the learning organization is to maintain stability.

Accepted Answer

A) True 
 B)False

Question 12

Research suggests that strategic management evolves through four sequential phases in corporations. The first phase is

Accepted Answer

A)  externally oriented planning. 
B)  basic financial planning. 
C)  internally oriented planning. 
D)  forecast-based planning. 
E)  strategic management. 
A)  externally oriented planning. 
B)  basic financial planning. 
C)  internally oriented planning. 
D)  forecast-based planning. 
E)  strategic management.

Question 13

Strategic management is the set of managerial decisions that determines the short-term performance of a corporation.

Accepted Answer

A) True 
 B)False

Question 14

The ability of a corporation to shift from one dominant strategy to another is called

Accepted Answer

A)  strategy implementation. 
B)  chaos formulation. 
C)  contingency management. 
D)  logical incrementalism. 
E)  strategic flexibility. 
A)  strategy implementation. 
B)  chaos formulation. 
C)  contingency management. 
D)  logical incrementalism. 
E)  strategic flexibility.

Question 15

According to Mintzberg, the entrepreneurial mode of strategy formulation

Accepted Answer

A)  is characterized by reactive solutions to existing problems. 
B)  assumes major responsibilities for strategy formulation. 
C)  is focused on opportunities; problems are secondary. 
D)  includes the proactive search for new opportunities and reactive solutions to existing problems. 
E)  assumes the environment is unresponsive to input. 
A)  is characterized by reactive solutions to existing problems. 
B)  assumes major responsibilities for strategy formulation. 
C)  is focused on opportunities; problems are secondary. 
D)  includes the proactive search for new opportunities and reactive solutions to existing problems. 
E)  assumes the environment is unresponsive to input.

Question 16

The ability of an organization to reshape its environment is described by

Accepted Answer

A)  population ecology theory. 
B)  institution theory. 
C)  the strategic choice perspective. 
D)  organizational learning theory. 
E)  organizational citizenship theory. 
A)  population ecology theory. 
B)  institution theory. 
C)  the strategic choice perspective. 
D)  organizational learning theory. 
E)  organizational citizenship theory.

Question 17

Which of the following is an example of a program?

Accepted Answer

A)  diversify product line to appeal to more people 
B)  increase sales by ten percent over last year 
C)  must be "number one" wherever we compete 
D)  develop and sell quality appliances worldwide 
E)  reduce final assembly time to three days by having suppliers build plan sections 
A)  diversify product line to appeal to more people 
B)  increase sales by ten percent over last year 
C)  must be "number one" wherever we compete 
D)  develop and sell quality appliances worldwide 
E)  reduce final assembly time to three days by having suppliers build plan sections

Question 18

Which of the following is not a part of strategy implementation?

Accepted Answer

A)  performance evaluation 
B)  budgets 
C)  programs and tactics 
D)  procedures 
E)  operational planning 
A)  performance evaluation 
B)  budgets 
C)  programs and tactics 
D)  procedures 
E)  operational planning

Question 19

To be effective, strategic management must be a formal process.

Accepted Answer

A) True 
 B)False

Question 20

Which of the following is an example of an objective?

Accepted Answer

A)  to diversify product line to appeal to more people 
B)  to increase sales by ten percent over last year 
C)  to pay highest salaries to keep high quality employees 
D)  to develop and sell quality appliances worldwide 
E)  to divide a sales region into a group of sales districts 
A)  to diversify product line to appeal to more people 
B)  to increase sales by ten percent over last year 
C)  to pay highest salaries to keep high quality employees 
D)  to develop and sell quality appliances worldwide 
E)  to divide a sales region into a group of sales districts

Corporate strategy occurs at the business unit or product level.

A budget is a statement of a corporation's programs in terms of dollars.

Which approach to decision-making is most useful when the environment is changing rapidly and when it is important to build consensus and develop needed resources before committing the entire corporation to a specific strategy?

While the strategic audit is not an all-inclusive list, it presents many of the critical questions needed for a detailed strategic analysis of any business.

The currency used to integrate the monetary systems of the European Union (EU) is called the

Canada, the United States, and Mexico are affiliated economically under which trade alliance?

Knowing a company is mindful of its impact on the environment seldom changes consumer buying habits.

Which of the following is an example of a corporate strategy?

Hierarchy of strategy is a nesting of one strategy within another so that they complement and support one another.

Which of the following is not one of the four triggering events listed in the text that is the stimulus for a strategic change?

One tenet of the learning organization is to maintain stability.

Research suggests that strategic management evolves through four sequential phases in corporations. The first phase is

Strategic management is the set of managerial decisions that determines the short-term performance of a corporation.

The ability of a corporation to shift from one dominant strategy to another is called

According to Mintzberg, the entrepreneurial mode of strategy formulation

The ability of an organization to reshape its environment is described by

Which of the following is an example of a program?

Which of the following is not a part of strategy implementation?

To be effective, strategic management must be a formal process.

Which of the following is an example of an objective?

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 Formulation: Functional Strategy and Strategic Choice

Strategy Implementation: Global Strategy

Strategy Implementation: Organizing and Structure

Strategy Implementation: Staffing and Directing

Evaluation and Control

Suggestions for Case Analysis

Filters

Exam 1: Basic Concepts in Strategic Management

Corporate strategy occurs at the business unit or product level.

A budget is a statement of a corporation's programs in terms of dollars.

Which approach to decision-making is most useful when the environment is changing rapidly and when it is important to build consensus and develop needed resources before committing the entire corporation to a specific strategy?

While the strategic audit is not an all-inclusive list, it presents many of the critical questions needed for a detailed strategic analysis of any business.

The currency used to integrate the monetary systems of the European Union (EU) is called the

Canada, the United States, and Mexico are affiliated economically under which trade alliance?

Knowing a company is mindful of its impact on the environment seldom changes consumer buying habits.

Which of the following is an example of a corporate strategy?

Hierarchy of strategy is a nesting of one strategy within another so that they complement and support one another.

Which of the following is not one of the four triggering events listed in the text that is the stimulus for a strategic change?

One tenet of the learning organization is to maintain stability.

Research suggests that strategic management evolves through four sequential phases in corporations. The first phase is

Strategic management is the set of managerial decisions that determines the short-term performance of a corporation.

The ability of a corporation to shift from one dominant strategy to another is called

According to Mintzberg, the entrepreneurial mode of strategy formulation

The ability of an organization to reshape its environment is described by

Which of the following is an example of a program?

Which of the following is not a part of strategy implementation?

To be effective, strategic management must be a formal process.

Which of the following is an example of an objective?

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 Formulation: Functional Strategy and Strategic Choice

Strategy Implementation: Global Strategy

Strategy Implementation: Organizing and Structure

Strategy Implementation: Staffing and Directing

Evaluation and Control

Suggestions for Case Analysis

Filters