Question 1

Which TWO of the following are the most important Corporate Social Responsibility (CSR) issues for WSRX to deal with?

Accepted Answer

A)   Finding new growth markets to enter
B)   Reducing the carbon footprint of the business
C)   Improving service levels to clients
D)   Cutting costs
E)   Improving governance and ethical standards. B,E

Question 2

Match between columns
                        Premises: Value chain analysis
Stakeholder analysis
Strategic group analysis
5 Forces analysis

Accepted Answer

The Answer of Understanding where agencies create competitive advantage through is...

Question 3

WSRX has a better than average score on which of the following NFPIs?

Accepted Answer

A)   Leadership capability and Client attraction & retention
B)   Management of growth and Management of risk
C)   Management of growth only
D)   Client attraction & retention only
E)   Management of Risk and Leadership capability D

Question 4

WSRX's initial current ratio is which of the following?

Accepted Answer

A)   More than 1 and therefore healthy
B)   More than 1 and therefore a cause for concern
C)   Less than 1 and therefore healthy
D)   Less than 1 and therefore a cause for concern.

Question 5

Which TWO of the following are reasons for brands becoming more important for fmcgs?

Accepted Answer

A)   Innovative and differentiated products command a price premium
B)   Price competition and low cost are frequently a source of competitive advantage
C)   Consumers in emerging markets are increasingly aware of, and interested in, brands
D)   There is a shift towards 'Generation Y' values

Question 6

Match between columns
                        Premises: Lobbying
Relationship Marketing
Direct Marketing
Public Relations

Accepted Answer

The Answer of The practice of building longer term value is...

Question 7

A 'value based' compensation system for advertising agencies involves which of the following?

Accepted Answer

A)   Paying only for billable hours spent on creating advertising for the client
B)   Paying a set % of the total value of the media spend on the advertising
C)   Paying performance related fees for advertising that adds to the clients profits in measurable terms
D)   Paying a set % of the total brand revenue earned by the brand in that year.

Question 8

Match between columns
                        Premises: Political
Technological
Economic
Social

Accepted Answer

The Answer of The growth of opportunities in Eastern Europe is...

Question 9

Which TWO of the following changes are most likely to have an adverse impact on WRSX's opportunities in the external environment?

Accepted Answer

A)   Continuing low interest rates
B)   Rising oil prices
C)   Growth in the Asia-Pacific region
D)   A downturn in the US economy
E)   The fraud scandal at WSRXF)  Fluctuating exchange rates

Question 10

WRSX has a good reputation in which THREE of the following sectors?

Accepted Answer

A)   Automotive and transport
B)   Banking and financial services
C)   Health and pharmaceuticals
D)   Construction
E)   TelecommunicationsF)  Food, drink and tobacco

Question 11

Compared to the industry average, WSRX's initial financial position shows which of the following?

Accepted Answer

A)   Better than average ROCE and higher gearing
B)   Better than average ROCE and lower gearing
C)   Worse than average ROCE and higher gearing
D)   Worse than average ROCE and lower gearing.

Question 12

Which THREE countries/regions offer the most important growth opportunities for WRSX in the next decade?

Accepted Answer

A)   USA
B)   Western Europe
C)   Latin America
D)   India
E)   AustralasiaF)  North AfricaG)  Sub Saharan AfricaH)  China

Exam 1: The Strategy Experience Phase 1