Question 1

Why is market segmentation an important variable in the strategy-implementation process?

Accepted Answer

A)  Company strategies do not require increased sales through new markets and products. 
B)  It allows a firm to operate with no resources. 
C)  It directly affects marketing mix variables. 
D)  It allows a firm to minimize per-unit profits and per-segment sales. 
E)  All of the above 
A)  Company strategies do not require increased sales through new markets and products. 
B)  It allows a firm to operate with no resources. 
C)  It directly affects marketing mix variables. 
D)  It allows a firm to minimize per-unit profits and per-segment sales. 
E)  All of the above C

Question 2

The first step in performing projected financial analysis is to

Accepted Answer

A)  prepare the projected balance sheet. 
B)  take an inventory of goods. 
C)  estimate increases in debt. 
D)  prepare the projected income statement. 
E)  calculate the projected net income. 
A)  prepare the projected balance sheet. 
B)  take an inventory of goods. 
C)  estimate increases in debt. 
D)  prepare the projected income statement. 
E)  calculate the projected net income. D

Question 3

If the rate of market growth and technical progress is rapid and there are few barriers to possible new entrants, then in-house R&D is the preferred solution.

Accepted Answer

A) True 
 B)False  False

Question 4

Market penetration can be defined as the subdividing of a market into distinct subsets of customers according to needs and buying habits.

Accepted Answer

A) True 
 B)False

Question 5

Identify and describe three approaches for determining a business' worth.

Accepted Answer

The first approach is determining its ne

Question 6

How should financial budgets be thought of?

Accepted Answer

A)  as a tool for limiting expenditures 
B)  as a method for obtaining the most productive and profitable use of an organization's resources 
C)  as a method for rationing the profits from the past year 
D)  as a method for determining who should receive the largest pay raise 
E)  as a tool for forecasting future profits 
A)  as a tool for limiting expenditures 
B)  as a method for obtaining the most productive and profitable use of an organization's resources 
C)  as a method for rationing the profits from the past year 
D)  as a method for determining who should receive the largest pay raise 
E)  as a tool for forecasting future profits

Question 7

A conservative rule of thumb for measuring the value of a firm is to establish a business' worth to be 10 times the firm's most current annual profit.

Accepted Answer

A) True 
 B)False

Question 8

Which element in the projected income statement CANNOT be forecasted using the percentage-of-sales method?

Accepted Answer

A)  Cost of goods sold 
B)  Selling expense 
C)  Administrative expense 
D)  Interest expense 
E)  All of these items can be forecasted using the percentage-of-sales method. 
A)  Cost of goods sold 
B)  Selling expense 
C)  Administrative expense 
D)  Interest expense 
E)  All of these items can be forecasted using the percentage-of-sales method.

Question 9

Multidimensional scaling involves examining three or more criteria simultaneously in a product-positioning analysis.

Accepted Answer

A) True 
 B)False

Question 10

Discuss guidelines used to determine whether a firm should conduct R&D internally or externally.

Accepted Answer

First, if the rate of technical progress

Question 11

Name five examples of marketing decisions that may require policies.

Accepted Answer

Student answers may vary. Possible answe

Question 12

Information collection, retrieval, and storage can be used to create competitive advantages in ways such as

Accepted Answer

A)  cross-selling to customers. 
B)  monitoring suppliers. 
C)  keeping managers and employees informed. 
D)  coordinating activities among divisions. 
E)  all of the above 
A)  cross-selling to customers. 
B)  monitoring suppliers. 
C)  keeping managers and employees informed. 
D)  coordinating activities among divisions. 
E)  all of the above

Question 13

The only costs involved in going public are the initial costs.

Accepted Answer

A) True 
 B)False

Question 14

A benefit of using projected balance sheets and income statements is that

Accepted Answer

A)  an organization can compute projected financial ratios under various scenarios. 
B)  money can be put aside to pay future income taxes. 
C)  insurance needs can be computed. 
D)  it is useful in analyzing past performance. 
E)  all of the above 
A)  an organization can compute projected financial ratios under various scenarios. 
B)  money can be put aside to pay future income taxes. 
C)  insurance needs can be computed. 
D)  it is useful in analyzing past performance. 
E)  all of the above

Question 15

The cash account is used as the plug figure in projected balance sheets.

Accepted Answer

A) True 
 B)False

Question 16

Which is NOT a required step in product positioning?

Accepted Answer

A)  Select key criteria that effectively differentiate products or services in the industry. 
B)  Serve two segments with the same strategy. 
C)  Plot major competitors' products or services in the resultant matrix. 
D)  Identify areas in the positioning map where the company's products or services could be most competitive in the given target market. 
E)  Develop a marketing plan to position the company's products and services appropriately. 
A)  Select key criteria that effectively differentiate products or services in the industry. 
B)  Serve two segments with the same strategy. 
C)  Plot major competitors' products or services in the resultant matrix. 
D)  Identify areas in the positioning map where the company's products or services could be most competitive in the given target market. 
E)  Develop a marketing plan to position the company's products and services appropriately.

Question 17

Subdividing a market into distinct subsets of customers according to their needs and buying habits is known as

Accepted Answer

A)  market penetration. 
B)  product diversification. 
C)  market segregation. 
D)  market segmentation. 
E)  positioning. 
A)  market penetration. 
B)  product diversification. 
C)  market segregation. 
D)  market segmentation. 
E)  positioning.

Question 18

Increased costs are a disadvantage of a good information system.

Accepted Answer

A) True 
 B)False

Question 19

A limitation of financial budgets is that they can hide inefficiencies if based solely on precedent rather than on periodic evaluation of circumstances and standards.

Accepted Answer

A) True 
 B)False

Question 20

Which method of determining a firm's net worth divides the market price of the firm's stock by the annual earnings per share, and multiplies this number by the firm's average net income for the past five years?

Accepted Answer

A)  Debt/equity method 
B)  Current ratio method 
C)  Price-earnings ratio method 
D)  Long-term asset method 
E)  Outstanding shares method 
A)  Debt/equity method 
B)  Current ratio method 
C)  Price-earnings ratio method 
D)  Long-term asset method 
E)  Outstanding shares method

Why is market segmentation an important variable in the strategy-implementation process?

The first step in performing projected financial analysis is to

If the rate of market growth and technical progress is rapid and there are few barriers to possible new entrants, then in-house R&D is the preferred solution.

Market penetration can be defined as the subdividing of a market into distinct subsets of customers according to needs and buying habits.

Identify and describe three approaches for determining a business' worth.

How should financial budgets be thought of?

A conservative rule of thumb for measuring the value of a firm is to establish a business' worth to be 10 times the firm's most current annual profit.

Which element in the projected income statement CANNOT be forecasted using the percentage-of-sales method?

Multidimensional scaling involves examining three or more criteria simultaneously in a product-positioning analysis.

Discuss guidelines used to determine whether a firm should conduct R&D internally or externally.

Name five examples of marketing decisions that may require policies.

Information collection, retrieval, and storage can be used to create competitive advantages in ways such as

The only costs involved in going public are the initial costs.

A benefit of using projected balance sheets and income statements is that

The cash account is used as the plug figure in projected balance sheets.

Which is NOT a required step in product positioning?

Subdividing a market into distinct subsets of customers according to their needs and buying habits is known as

Increased costs are a disadvantage of a good information system.

A limitation of financial budgets is that they can hide inefficiencies if based solely on precedent rather than on periodic evaluation of circumstances and standards.

Which method of determining a firm's net worth divides the market price of the firm's stock by the annual earnings per share, and multiplies this number by the firm's average net income for the past five years?

The Nature of Strategic Management

The Business Vision and Mission

The External Assessment

The Internal Assessment

Strategies in Action

Strategy Analysis and Choice

Implementing Strategies: Management and Operations Issues

Strategy Review, Evaluation, and Control

Business Ethicssocial Responsibilityenvironmental Sustainability

Globalinternational Issues

Filters

Exam 8: Implementing Strategies: Marketing, Financeaccounting, RD, and MIS Issues

Why is market segmentation an important variable in the strategy-implementation process?

The first step in performing projected financial analysis is to

If the rate of market growth and technical progress is rapid and there are few barriers to possible new entrants, then in-house R&D is the preferred solution.

Market penetration can be defined as the subdividing of a market into distinct subsets of customers according to needs and buying habits.

Identify and describe three approaches for determining a business' worth.

How should financial budgets be thought of?

A conservative rule of thumb for measuring the value of a firm is to establish a business' worth to be 10 times the firm's most current annual profit.

Which element in the projected income statement CANNOT be forecasted using the percentage-of-sales method?

Multidimensional scaling involves examining three or more criteria simultaneously in a product-positioning analysis.

Discuss guidelines used to determine whether a firm should conduct R&D internally or externally.

Name five examples of marketing decisions that may require policies.

Information collection, retrieval, and storage can be used to create competitive advantages in ways such as

The only costs involved in going public are the initial costs.

A benefit of using projected balance sheets and income statements is that

The cash account is used as the plug figure in projected balance sheets.

Which is NOT a required step in product positioning?

Subdividing a market into distinct subsets of customers according to their needs and buying habits is known as

Increased costs are a disadvantage of a good information system.

A limitation of financial budgets is that they can hide inefficiencies if based solely on precedent rather than on periodic evaluation of circumstances and standards.

Which method of determining a firm's net worth divides the market price of the firm's stock by the annual earnings per share, and multiplies this number by the firm's average net income for the past five years?

The Nature of Strategic Management

The Business Vision and Mission

The External Assessment

The Internal Assessment

Strategies in Action

Strategy Analysis and Choice

Implementing Strategies: Management and Operations Issues

Strategy Review, Evaluation, and Control

Business Ethicssocial Responsibilityenvironmental Sustainability

Globalinternational Issues

Filters