Question 1

____ means that managers focus on leveraging and developing more from the firm's existing assets, capabilities, and core competencies in a way that will provide a sustained competitive advantage.

Accepted Answer

A)  Differentiation 
B)  Active aptitudes 
C)  Core competencies 
D)  Strategic partnerships 
E)  Dynamic capability

Question 2

How business units and product lines fit together in a logical way is the essence of

Accepted Answer

A)  business-level strategy. 
B)  portfolio strategy. 
C)  competitive strategy. 
D)  financial strategy. 
E)  functional strategy.

Question 3

With a(n) ____ strategy, the organization concentrates on a specific regional market or buyer group.

Accepted Answer

A)  cost leadership 
B)  differentiation 
C)  focus 
D)  internal growth 
E)  liquidation

Question 4

Information and control systems include reward systems, pay incentives, budgets for allocating resources, information technology systems, and the organization's rules.

Accepted Answer

A) True 
 B)False

Question 5

____________________ is a type of corporate-level strategy that pertains to the organization's mix of strategic business units.

Accepted Answer

The answer of ____________________ is a type of corporate-level strategy...

Question 6

The star has a

Accepted Answer

A)  large market share in a rapidly growing industry. 
B)  large market share in a slow growth industry. 
C)  small market share in a rapidly growing industry. 
D)  small share of a slow growth market. 
E)  moderate market share in a slow growth industry.

Question 7

The acquisition of business that are related to current product lines or that take the corporation into new areas is called ____________________.

Accepted Answer

The answer of The acquisition of business that are related...

Question 8

The set of decisions and actions used to formulate and implement strategies that will provide a competitively superior fit between the organization and its environment so as to achieve organizational goals is known as

Accepted Answer

A)  strategy formulation. 
B)  strategic planning. 
C)  strategic management. 
D)  strategy implementation. 
E)  strategy evaluation.

Question 9

The BCG (Boston Consulting Group) matrix evaluates SBUs with respect to their business growth rate and geographical location.

Accepted Answer

A) True 
 B)False

Question 10

Corporate-level strategy pertains to the organization as a whole.

Accepted Answer

A) True 
 B)False

Question 11

Top managers and chief executives have the final responsibility for strategic planning.

Accepted Answer

A) True 
 B)False

Question 12

The human resource department at Paula's Powerwheels is implementing a number of functional level strategies. These strategies include focusing on ways to retain and develop a stable work force and ways to improve efficiency in the organization. These functional-level strategies are consistent with which of the following strategies?

Accepted Answer

A)  Overall cost leadership 
B)  Differentiation 
C)  New product development 
D)  New market development 
E)  Divestiture

Question 13

Executives acquire information about external opportunities and strengths from a variety of reports, including budgets, financial ratios, profit and loss statements, and surveys of employee attitudes and satisfaction.

Accepted Answer

A) True 
 B)False

Question 14

Which of the following portfolio categories is made up of poor performers who command only a small share of a slow growth market?

Accepted Answer

A)  Star 
B)  Cash cow 
C)  Question mark 
D)  Dog 
E)  Cat

Question 15

In BCG Matrix, the circle size represents the relative profit made by each business in the company's portfolio.

Accepted Answer

A) True 
 B)False

Question 16

When a company goes global, it is difficult to implement strategies. Explain.

Accepted Answer

The answer of When a company goes global, it is...

Question 17

The export strategy treats the world as a single global market.

Accepted Answer

A) True 
 B)False

Question 18

The question How do we compete? concerns ____________________ strategy.

Accepted Answer

The answer of The question How do we compete? concerns...

Question 19

Classy Clay has extremely creative employees who, in the opinion of the organization, keep the company ahead of the competition. The creativity of these employees would be classified as

Accepted Answer

A)  an internal weakness. 
B)  an external opportunity. 
C)  an external strength. 
D)  an internal strength. 
E)  a neutral factor.

Question 20

Scenario - SS.com
Faced with rapidly growing business, Swift Stocks, Inc., a global brokerage company with the largest market share, recently announced that they have established an on-line stock investment and trading subsidiary, SS.com, where investors can trade stocks at the lowest rates in the industry. The .com subsidiary has less than one percent market share but it faces a very high business growth rate. In the brokerage industry the competition is fierce and all players are cutting their on-line commission rates.
-Swift Stock is following which strategy, according to Porter, through the .com subsidiary?

Accepted Answer

A)  Stability 
B)  Cost leadership 
C)  Focus 
D)  Differentiation 
E)  Retrenchment

Exam 7: Strategy Formulation and Implementation

____ means that managers focus on leveraging and developing more from the firm's existing assets, capabilities, and core competencies in a way that will provide a sustained competitive advantage.

How business units and product lines fit together in a logical way is the essence of

With a(n) ____ strategy, the organization concentrates on a specific regional market or buyer group.

Information and control systems include reward systems, pay incentives, budgets for allocating resources, information technology systems, and the organization's rules.

____________________ is a type of corporate-level strategy that pertains to the organization's mix of strategic business units.

The star has a

The acquisition of business that are related to current product lines or that take the corporation into new areas is called ____________________.

The set of decisions and actions used to formulate and implement strategies that will provide a competitively superior fit between the organization and its environment so as to achieve organizational goals is known as

The BCG (Boston Consulting Group) matrix evaluates SBUs with respect to their business growth rate and geographical location.

Corporate-level strategy pertains to the organization as a whole.

Top managers and chief executives have the final responsibility for strategic planning.

Executives acquire information about external opportunities and strengths from a variety of reports, including budgets, financial ratios, profit and loss statements, and surveys of employee attitudes and satisfaction.

Which of the following portfolio categories is made up of poor performers who command only a small share of a slow growth market?

In BCG Matrix, the circle size represents the relative profit made by each business in the company's portfolio.

When a company goes global, it is difficult to implement strategies. Explain.

The export strategy treats the world as a single global market.

The question How do we compete? concerns ____________________ strategy.

Classy Clay has extremely creative employees who, in the opinion of the organization, keep the company ahead of the competition. The creativity of these employees would be classified as