Question 1

_______refers to the use of managerial tools to direct resources toward the achievement of strategic goals.

Accepted Answer

Strategy execution refers to the use of managerial tools, such as resource allocation and performance monitoring, to direct resources toward the achievement of strategic goals. Strategy formulation involves developing a plan for achieving those goals, while strategy coordination and control involve ensuring that the plan is being implemented effectively and adjusting it as needed. Strategy planning is a broader term that encompasses all of these activities, as well as environmental analysis and goal setting.

Question 2

Techniques used to monitor external environments include:

Accepted Answer

All of these techniques are commonly used to monitor external environments. Scanning organizations, competitive intelligence professionals, government reports, and professional journals all offer valuable information on changes in the external environment that could impact a company's operations and strategies.

Question 3

Cost leadership is a type of competitive strategy with which the organization seeks to distinguish its products or services from that of competitors.

Accepted Answer

Cost leadership is not about distinguishing products or services from competitors, but rather about becoming the lowest-cost producer in the industry.

Question 4

The plan of action that prescribes resource allocation and other activities for dealing with the environment and helping the organization attain its goals is known as an_______ .

Accepted Answer

The plan of action that prescribes resource allocation and other activities for dealing with the environment and helping the organization attain its goals is known as a strategy. A goal is a broad statement of what an organization wishes to accomplish, while an objective is a specific, measurable action or outcome that leads toward the accomplishment of a goal. A mission is a statement of an organization's purpose, and a vision is a statement about what the organization hopes to achieve in the future.

Question 5

Paramount, Inc. is particularly concerned about pending legislation in Congress that would further regulate their organization. This legislation would be classified as an_______ .

Accepted Answer

Pending legislation in Congress is an external factor and is a potential threat to the organization.

Question 6

Where does the information about opportunities and threats comes from?

Accepted Answer

Opportunities and threats come from scanning the external environment, which includes factors such as economic, technological, political, legal, and social trends, as well as competitors and customers.

Question 7

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 an_______ .

Accepted Answer

The creativity of the employees is an internal strength because it is a positive aspect that comes from within the organization.

Question 8

According to the BCG Matrix, which of the following exists in a mature, slow-growth industry, but is a dominant business in the industry, with a large market share?

Accepted Answer

The answer of According to the BCG Matrix, which of...

Question 9

Sherri has been asked to participate on a cross-functional task force that is charged with performing an audit checklist for her advertising firm. The task force will analyze organizational strengths and weaknesses as they apply to the firm. Sherri's task is to analyze management quality, staff quality, degree of centralization, and organizational charts. This level of analysis pertains to which area of the audit?

Accepted Answer

The analysis of management quality, staff quality, degree of centralization, and organizational charts pertains to the area of management and organization. Therefore, choice A is the correct answer. The other choices (marketing, human resources, research and development, and production) do not specifically pertain to the areas of analysis mentioned in the question.

Question 10

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

The portfolio category made up of poor performers who command only a small share of a slow growth market is called "Dog." This is because they are not generating much revenue or profits, and they are not expected to improve much in the future.

Question 11

Fred has been assigned to conduct a SWOT analysis for his organization, Acme, Inc. As part of this assignment, Fred will:

Accepted Answer

A SWOT analysis involves identifying the strengths, weaknesses, opportunities, and threats that impact a firm. Conducting an external wage survey or choosing a grand strategy for the firm are not directly related to a SWOT analysis. A cost/benefit analysis may be helpful in decision-making but is not specific to a SWOT analysis. Developing a mission is also important but not specific to a SWOT analysis.

Question 12

The BCG matrix organizes along which of the following dimensions?

Accepted Answer

The BCG matrix organizes businesses along the dimensions of business growth rate and market share, as they are considered the two most important factors in determining the potential success of a business.

Question 13

The star has a:

Accepted Answer

The answer of The star has a:
...

Question 14

The question mark has a:

Accepted Answer

The question mark is a quadrant in the BCG Matrix, which represents a product with a small market share in a rapidly growing industry. This means that the potential for growth is high, but the product hasn't established itself in the market yet. Therefore, it has a small share but in a rapidly growing industry.

Question 15

Gillette operates numerous strategic business units. Most of its units in the personal care division have low market share but high business growth. These units are classified as _______.

Accepted Answer

Units with low market share but high business growth are classified as question marks in the BCG matrix. Dogs have low market share and low growth, stars have high market share and high growth, and cash cows have high market share but low growth.

Question 16

Double Click, Inc. has a number of strategic business units. Their hand-held computer unit has a large market share in this rapidly growing industry. Their hand-held computer business would be classified as:

Accepted Answer

A star is a strategic business unit that has a high market share in a high-growth industry. The hand-held computer business of Double Click, Inc. has a large market share in a rapidly growing industry, indicating that it is a star.

Question 17

Which of these is true about the dog division?

Accepted Answer

The answer of Which of these is true about the...

Question 18

Which of the following is a business activity that an organization does especially well relative to its competition?

Accepted Answer

Core competence refers to the unique strengths and abilities that a company possesses which sets it apart from its competitors. It can be a particular technology, skill, or expertise that the company excels at and uses as a competitive advantage in the market.

Question 19

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

Strategic management refers to 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. Strategy formulation is the process of developing the strategy, while strategy planning refers to the creation of a formal plan to execute the strategy. Strategy implementation is the process of putting the plan into action, and strategy evaluation involves assessing the effectiveness of the strategy. Therefore, strategic management encompasses all of these processes.

Question 20

Which of these is true about the cash cow?

Accepted Answer

The cash cow is typically a product or business unit that has a large market share in a mature or slow-growth industry. While it may not generate tremendous profits in a rapidly growing industry, it still provides reliable and consistent cash flow for the company. Therefore, option D is the best choice.

Quiz 5: Managerial Planning and Goal Setting