Strategic Management Questions and Answers Part-4

1. Strategy is developed by the visionary chief executive in ___________ mode of strategic management
a) planning mode
b) adaptive mode
c) strategic mode
d) entrepreneurial mode

Answer: d

2. Stability strategy is a ____________ strategy
a) corporate level
b) business level
c) functional level
d) strategic level

Answer: a

3. What are the means by which long term objectives will be achieved?
a) Strategies
b) Policies
c) Strength
d) Opportunities

Answer: a

4. Marketing strategy is a ___________ type of strategy
a) business level
b) Growth strategy
c) corporate strategy
d) functional strategy

Answer: d

5. When an industry relies heavily on government contracts, which forecasts can be the most important part of an external audit
a) Economic
b) Competitive
c) Political
d) Multinational

Answer: c

6. Which of the following is not a recognized element of corporate strategy?
a) Competitive advantage
b) Closure
c) Acquisition
d) Divestment

Answer: a

7. __________ refers to the purposes an organization strives to achieve
a) Strategic Intent
b) Strategic Formulation
c) Strategic Implementation
d) Strategic Control

Answer: a

8. __________ strategy may require a firm to redefine its business and may involve divestment of a major product line or an SBU, abandon some markets or reduce its functions
a) Expansion Strategy
b) Retrenchment Strategy
c) Combination Strategy
d) Stability Strategy

Answer: b

9. Which of the following statements is false? Formal strategic planning
a) implies determined actions for achieving objectives
b) is a time consuming process
c) should develop clear and rigid plans for the organization to implement
d) is most applicable in stable environments

Answer: c

10. __________ strategy is often considered as entrepreneurial strategy where firm develops and introduce new products and markets or penetrate markets to build share
a) Retrenchment Strategy
b) Combination Strategy
c) Stability Strategy
d) Expansion Strategy

Answer: d