Question 1

Retrenching and concentrating on a single industry is an example of a corporate-level strategy.

Accepted Answer

A) True 
 B)False  True

Question 2

The first step of the planning process is the determination of the organization's vision, mission, and goals.

Accepted Answer

A) True 
 B)False  True

Question 3

In the second step of the planning process, managers decide how to allocate the resources required to implement the strategies.

Accepted Answer

A) True 
 B)False  False

Question 4

Through the use of a , managers try to gain a competitive advantage by driving the organization's costs down below the cost of its rivals.

Accepted Answer

A)  related diversification strategy
B)  formulation strategy
C)  differentiation strategy
D)  vertical strategy
E)  cost-leadership strategy

Question 5

A plan that indicates in which industries and national markets an organization intends to compete is known as:

Accepted Answer

A)  corporate-level strategy
B)  business-level plan
C)  corporate-level plan
D)  business-level strategy
E)  functional-level plan

Question 6

Discuss each of the four qualities of effective plans.

Accepted Answer

The answer of Discuss each of the four qualities of...

Question 7

All of the following are examples of standing plans, except:

Accepted Answer

A)  rules
B)  policies
C)  vision statement
D)  standard operating procedures
E)  all of these choices are examples of standing plans

Question 8

A business-level strategy is called differentiation when a firm sets itself apart from the competition by adopting superior quality.

Accepted Answer

A) True 
 B)False

Question 9

The five steps in the planning process are: determining the vision, mission and major goals of the organization; analyzing the forces in the environment; formulating strategies to accomplish goals; implementing those strategies; and evaluating the success of the strategy in achieving the mission and goals.

Accepted Answer

A) True 
 B)False

Question 10

Planning is important for four reasons.Discuss.

Accepted Answer

The answer of Planning is important for four reasons.Discuss....

Question 11

The goal of GE lighting to reduce production costs by 20% over three years is a _________ goal.

Accepted Answer

A)  functional-level
B)  corporate-level
C)  global-level
D)  business-level
E)  departmental-level

Question 12

According to Porter, managers must choose between two basic ways of increasing the value of an organization's products: higher quality or lower costs.

Accepted Answer

A) True 
 B)False

Question 13

Which of the following is a formal, written guide to action?

Accepted Answer

A)  Rules
B)  Standard procedures
C)  Policies
D)  Guidelines
E)  Operating procedures

Question 14

A plan that indicates the actions that managers intend to take at departmental levels such as marketing and R&D in order to allow the organization to attain its goals is known as a:

Accepted Answer

A)  formulating strategy
B)  business-level strategy
C)  functional-level strategy
D)  corporate-level strategy
E)  top-level strategy

Question 15

The intended duration of a plan is known as a:

Accepted Answer

A)  rolling horizon
B)  mission
C)  objective
D)  goal
E)  time horizon SHORT ANSWER.Write the word or phrase that best completes each statement or answers the question.

Question 16

"To reduce costs in all departments below that of rival competitors." - This statement is an example of a business-level strategy.

Accepted Answer

A) True 
 B)False

Question 17

Michael Porter developed the Five Forces model to analyze threats and opportunities within an industry.Describe the Five Forces and provide an example to illustrate their effect on a bakery opening in an area where several bakeries already exist.

Accepted Answer

The answer of Michael Porter developed the Five Forces model...

Question 18

Using resources efficiently is one of the building blocks of gaining a competitive advantage.

Accepted Answer

A) True 
 B)False

Question 19

Evaluating the success of the strategy involves monitoring progress, evaluating performance, and taking corrective action to make sure that the mission and goals are being achieved.

Accepted Answer

A) True 
 B)False

Question 20

In most organizations, planning is a five-step process.Identify the five steps and discuss them in the context of a realistic business problem of your choosing.

Accepted Answer

The answer of In most organizations, planning is a five-step...

Exam 4: Managing Planning and Strategy

Retrenching and concentrating on a single industry is an example of a corporate-level strategy.

The first step of the planning process is the determination of the organization's vision, mission, and goals.

In the second step of the planning process, managers decide how to allocate the resources required to implement the strategies.

Through the use of a , managers try to gain a competitive advantage by driving the organization's costs down below the cost of its rivals.

A plan that indicates in which industries and national markets an organization intends to compete is known as:

Discuss each of the four qualities of effective plans.

All of the following are examples of standing plans, except:

A business-level strategy is called differentiation when a firm sets itself apart from the competition by adopting superior quality.

Planning is important for four reasons.Discuss.

The goal of GE lighting to reduce production costs by 20% over three years is a _________ goal.

According to Porter, managers must choose between two basic ways of increasing the value of an organization's products: higher quality or lower costs.

Which of the following is a formal, written guide to action?

A plan that indicates the actions that managers intend to take at departmental levels such as marketing and R&D in order to allow the organization to attain its goals is known as a:

The intended duration of a plan is known as a:

"To reduce costs in all departments below that of rival competitors." - This statement is an example of a business-level strategy.

Michael Porter developed the Five Forces model to analyze threats and opportunities within an industry.Describe the Five Forces and provide an example to illustrate their effect on a bakery opening in an area where several bakeries already exist.

Using resources efficiently is one of the building blocks of gaining a competitive advantage.

Evaluating the success of the strategy involves monitoring progress, evaluating performance, and taking corrective action to make sure that the mission and goals are being achieved.

In most organizations, planning is a five-step process.Identify the five steps and discuss them in the context of a realistic business problem of your choosing.