Question 1

Porter's model emphasizes ________.

Accepted Answer

A)  strengths, weaknesses, opportunities, and threats 
B)  stars, dogs, cash cows, and question marks 
C)  competitive forces in an industry 
D)  business strength and industry attractiveness 
E)  environmental analysis 
A)  strengths, weaknesses, opportunities, and threats 
B)  stars, dogs, cash cows, and question marks 
C)  competitive forces in an industry 
D)  business strength and industry attractiveness 
E)  environmental analysis

Question 2

The Razzmatazz Group of companies plans to launch a new flavor of crackers that is distinct and unusual. Which of the following strategies is the company following to become more competitive?

Accepted Answer

A)  stability 
B)  cost leadership 
C)  divestiture 
D)  focus 
E)  differentiation 
A)  stability 
B)  cost leadership 
C)  divestiture 
D)  focus 
E)  differentiation

Question 3

________ is the purpose for which - and the reason why - an organization exists.

Accepted Answer

A)  Organizational objective 
B)  Organizational strategy 
C)  Organizational mission 
D)  Organizational policy 
E)  Organizational rule 
A)  Organizational objective 
B)  Organizational strategy 
C)  Organizational mission 
D)  Organizational policy 
E)  Organizational rule

Question 4

A business strategy that is generally applied to star or question mark SBUs is ________.

Accepted Answer

A)  stability 
B)  focus 
C)  retrenchment 
D)  growth 
E)  divestiture 
A)  stability 
B)  focus 
C)  retrenchment 
D)  growth 
E)  divestiture

Question 5

Competitor motivation refers to the incentives that an organization has to take action.

Accepted Answer

A) True 
 B)False

Question 6

The last step in the strategic management process is ________.

Accepted Answer

A)  establishment of an organizational direction 
B)  environmental analysis 
C)  strategy formulation 
D)  strategy implementation 
E)  strategic control 
A)  establishment of an organizational direction 
B)  environmental analysis 
C)  strategy formulation 
D)  strategy implementation 
E)  strategic control

Question 7

Which of the following is the ability to use information to determine whether a problem has arisen that is blocking implementation?

Accepted Answer

A)  allocating skill 
B)  interacting skill 
C)  monitoring skill 
D)  organizing skill 
E)  tactical skill 
A)  allocating skill 
B)  interacting skill 
C)  monitoring skill 
D)  organizing skill 
E)  tactical skill

Question 8

Mary has just formulated the annual budget for her department. She has outlined how the funds must be allocated and spent over the next one year. This would most likely be categorized as ________.

Accepted Answer

A)  strategic planning 
B)  intrinsic planning 
C)  intermediate planning 
D)  tactical planning 
E)  strategic control 
A)  strategic planning 
B)  intrinsic planning 
C)  intermediate planning 
D)  tactical planning 
E)  strategic control

Question 9

Which business strategy is generally applied to cash cows?

Accepted Answer

A)  divestiture 
B)  stability 
C)  growth 
D)  retrenchment 
E)  focus 
A)  divestiture 
B)  stability 
C)  growth 
D)  retrenchment 
E)  focus

Question 10

Which of the following is true about a cash cow?

Accepted Answer

A)  Cash cows can barely support themselves; in some cases, they actually drain off cash resources generated by other SBUs. 
B)  An SBU that is a cash cow has a small share of a high-growth market. 
C)  An SBU that is a cash cow has a large share of a market that is growing only slightly. 
D)  An SBU that is a cash cow has a high share of a high-growth market and typically needs large amounts of cash to support rapid and significant growth. 
E)  Cash cows generate large amounts of cash for the organization and are usually segments in which management can make additional investments and earn attractive returns. 
A)  Cash cows can barely support themselves; in some cases, they actually drain off cash resources generated by other SBUs. 
B)  An SBU that is a cash cow has a small share of a high-growth market. 
C)  An SBU that is a cash cow has a large share of a market that is growing only slightly. 
D)  An SBU that is a cash cow has a high share of a high-growth market and typically needs large amounts of cash to support rapid and significant growth. 
E)  Cash cows generate large amounts of cash for the organization and are usually segments in which management can make additional investments and earn attractive returns.

Question 11

GenEx Group manufactures a variety of products for different markets. One of its SBUs, GenEx Textiles, is one of its leading revenue generators. GenEx Textiles is the leading player in the market for textiles, far ahead of its competitors. However, the parent company has realized that growth prospects in the textile industry are limited. The company has already exploited the market to the fullest and sustained growth in the future is unlikely. In fact, a substantial amount of the revenue generated from this textile business is used to fund other SBUs of the parent company. GenEx Textiles is an example of a ________ for the GenEx Group.

Accepted Answer

A)  star 
B)  dog 
C)  cash cow 
D)  question mark 
E)  cost-leader 
A)  star 
B)  dog 
C)  cash cow 
D)  question mark 
E)  cost-leader

Question 12

What is the BCG Growth-Share Matrix? Explain what stars, question marks, cash cows, and dogs are. According to the BCG Growth-Share Matrix, what should managers do with each of these?

Accepted Answer

The Boston Consulting Group (BCG), a lea

Question 13

The GE Multifactor Portfolio Matrix was designed to be more complete than the BCG Growth-Share Matrix.

Accepted Answer

A) True 
 B)False

Question 14

In strategic planning, managers consider the organization as a total unit and ask themselves what must be done in the long term, which is usually ________.

Accepted Answer

A)  three to five years into the future 
B)  in the coming year 
C)  one to two years into the future 
D)  five to ten years from now 
E)  five to twenty years from now 
A)  three to five years into the future 
B)  in the coming year 
C)  one to two years into the future 
D)  five to ten years from now 
E)  five to twenty years from now

Question 15

________ refers to how mindful a company is of its competitor's actions.

Accepted Answer

A)  Strategic control 
B)  Competitor motivation 
C)  Competitor awareness 
D)  Competitor capability 
E)  Strategic implementation 
A)  Strategic control 
B)  Competitor motivation 
C)  Competitor awareness 
D)  Competitor capability 
E)  Strategic implementation

Question 16

A broad and general plan developed to reach long-term organizational objectives is a(n) ________.

Accepted Answer

A)  tactic 
B)  scenario 
C)  operational plan 
D)  organizational goal 
E)  strategy 
A)  tactic 
B)  scenario 
C)  operational plan 
D)  organizational goal 
E)  strategy

Question 17

RX Corporation has four strategic business units (A, B, C,D). During a review meeting, a member of the company's board of directors suggests that SBU A, which is in the textile industry, should be sold off. Which of the following, if true, would strengthen the argument to eliminate SBU A from the company's portfolio?

Accepted Answer

A)  SBU A requires very little financial investment. 
B)  The textile industry is in the maturity stage of the market. 
C)  SBU A was a first mover in its market. 
D)  The textile industry has very high barriers to exit. 
E)  SBU A recently underwent a rebranding exercise. 
A)  SBU A requires very little financial investment. 
B)  The textile industry is in the maturity stage of the market. 
C)  SBU A was a first mover in its market. 
D)  The textile industry has very high barriers to exit. 
E)  SBU A recently underwent a rebranding exercise.

Question 18

Which of the following is true about social values?

Accepted Answer

A)  Social values are the statistical characteristics of a population. 
B)  It includes changes in numbers of people among various population segments. 
C)  Changes in social values can influence the reception of goods and services within the organization's environment. 
D)  Social values are helpful for developing a strategy aimed at recruiting new employees to fill positions within an organization. 
E)  The relative degrees of worth that society places on the ways in which it functions can change dramatically over time. 
A)  Social values are the statistical characteristics of a population. 
B)  It includes changes in numbers of people among various population segments. 
C)  Changes in social values can influence the reception of goods and services within the organization's environment. 
D)  Social values are helpful for developing a strategy aimed at recruiting new employees to fill positions within an organization. 
E)  The relative degrees of worth that society places on the ways in which it functions can change dramatically over time.

Question 19

The first step of strategic management is designed to ________.

Accepted Answer

A)  establish an organizational direction 
B)  formulate strategy 
C)  study the organizational environment 
D)  advise managers to commit funds for planning 
E)  control the environment 
A)  establish an organizational direction 
B)  formulate strategy 
C)  study the organizational environment 
D)  advise managers to commit funds for planning 
E)  control the environment

Question 20

Which level of the organization's environment includes planning, organizing, influencing, and controlling within the organization?

Accepted Answer

A)  the general environment 
B)  the internal environment 
C)  the operating environment 
D)  the external environment 
E)  the political environment 
A)  the general environment 
B)  the internal environment 
C)  the operating environment 
D)  the external environment 
E)  the political environment

Porter's model emphasizes ________.

The Razzmatazz Group of companies plans to launch a new flavor of crackers that is distinct and unusual. Which of the following strategies is the company following to become more competitive?

________ is the purpose for which - and the reason why - an organization exists.

A business strategy that is generally applied to star or question mark SBUs is ________.

Competitor motivation refers to the incentives that an organization has to take action.

The last step in the strategic management process is ________.

Which of the following is the ability to use information to determine whether a problem has arisen that is blocking implementation?

Mary has just formulated the annual budget for her department. She has outlined how the funds must be allocated and spent over the next one year. This would most likely be categorized as ________.

Which business strategy is generally applied to cash cows?

Which of the following is true about a cash cow?

What is the BCG Growth-Share Matrix? Explain what stars, question marks, cash cows, and dogs are. According to the BCG Growth-Share Matrix, what should managers do with each of these?

The GE Multifactor Portfolio Matrix was designed to be more complete than the BCG Growth-Share Matrix.

In strategic planning, managers consider the organization as a total unit and ask themselves what must be done in the long term, which is usually ________.

________ refers to how mindful a company is of its competitor's actions.

A broad and general plan developed to reach long-term organizational objectives is a(n) ________.

Which of the following is true about social values?

The first step of strategic management is designed to ________.

Which level of the organization's environment includes planning, organizing, influencing, and controlling within the organization?

Introducing Modern Management: Concepts and Skills

Managing: History and Current Thinking

Corporate Social Responsibility, Ethics, and Sustainability

Management and Diversity

Managing in the Global Arena

Management and Entrepreneurship

Principles of Planning

Making Decisions

Plans and Planning Tools

Fundamentals of Organizing

Responsibility, Authority, and Delegation

Human Resource Management

Organizational Change: Stress, Conflict, and Virtuality

Influencing and Communication

Leadership

Motivation

Groups and Teams

Managing Organization Culture

Encouraging Creativity and Innovation

Controlling, Information, and Technology

Production and Control

Filters

Exam 9: Strategic Planning: Strategies, Tactics, and Competitive Dynamics

Porter's model emphasizes ________.

The Razzmatazz Group of companies plans to launch a new flavor of crackers that is distinct and unusual. Which of the following strategies is the company following to become more competitive?

________ is the purpose for which - and the reason why - an organization exists.

A business strategy that is generally applied to star or question mark SBUs is ________.

Competitor motivation refers to the incentives that an organization has to take action.

The last step in the strategic management process is ________.

Which of the following is the ability to use information to determine whether a problem has arisen that is blocking implementation?

Mary has just formulated the annual budget for her department. She has outlined how the funds must be allocated and spent over the next one year. This would most likely be categorized as ________.

Which business strategy is generally applied to cash cows?

Which of the following is true about a cash cow?

What is the BCG Growth-Share Matrix? Explain what stars, question marks, cash cows, and dogs are. According to the BCG Growth-Share Matrix, what should managers do with each of these?

The GE Multifactor Portfolio Matrix was designed to be more complete than the BCG Growth-Share Matrix.

In strategic planning, managers consider the organization as a total unit and ask themselves what must be done in the long term, which is usually ________.

________ refers to how mindful a company is of its competitor's actions.

A broad and general plan developed to reach long-term organizational objectives is a(n) ________.

Which of the following is true about social values?

The first step of strategic management is designed to ________.

Which level of the organization's environment includes planning, organizing, influencing, and controlling within the organization?

Introducing Modern Management: Concepts and Skills

Managing: History and Current Thinking

Corporate Social Responsibility, Ethics, and Sustainability

Management and Diversity

Managing in the Global Arena

Management and Entrepreneurship

Principles of Planning

Making Decisions

Plans and Planning Tools

Fundamentals of Organizing

Responsibility, Authority, and Delegation

Human Resource Management

Organizational Change: Stress, Conflict, and Virtuality

Influencing and Communication

Leadership

Motivation

Groups and Teams

Managing Organization Culture

Encouraging Creativity and Innovation

Controlling, Information, and Technology

Production and Control

Filters