Question 1

Match each term with the correct statement below.
-asks the question, "What is the current position of the organization?"
A) strategic planning
B) strategic plan
C) strategic analysis
D) strategy formulation
E) strategy implementation
F) strategic evaluation and control

Accepted Answer

Strategic analysis is the process of analyzing the organization's current position, taking into account its resources, capabilities, and the external environment. This analysis is crucial for understanding where the organization stands before making plans for the future.

Question 2

Match each term with the correct statement below.
-designed to increase sales and profits of the organization
A) stability
B) growth
C) retrenchment

Accepted Answer

Growth strategies are designed to increase the sales and profits of an organization by expanding its operations or entering new markets.

Question 3

Match each term with the correct statement below.
-designed to ensure continuity in the operations and performance of the organization, and implying that the organization will remain in the same lines of business as it has in the past
A) stability
B) growth
C) retrenchment

Accepted Answer

Stability strategies are focused on maintaining the current status of the organization, ensuring its operations and performance continue smoothly without significant changes or shifts in direction. This approach implies the organization will keep operating within its existing lines of business, rather than seeking expansion or reduction.

Question 4

Match each term with the correct statement below.
-designed to reverse negative sales and profitability trends, typically requiring the elimination of one or business units
A) stability
B) growth
C) retrenchment

Accepted Answer

Retrenchment strategies are designed to reverse negative sales and profitability trends, often involving the reduction or elimination of operations in one or more business units to stabilize the financial health of the organization.

Question 5

Match each term with the correct statement below.
-a strategy for competing by offering products or services that are generally considered better, by the consumer, from those of competitors
A) best-cost
B) differentiation
C) focus
D) cost leadership

Accepted Answer

Differentiation strategy involves offering products or services that are considered superior or unique compared to those of competitors, which can justify a higher price or distinguish the offering in the market.

Question 6

Match each term with the correct statement below.
-a strategy for competing by targeting a specific and narrow segment of the market
A) best-cost
B) differentiation
C) focus
D) cost leadership

Accepted Answer

The focus strategy involves targeting a specific, narrow part of the market rather than the entire market. Companies using this strategy concentrate on a particular niche or group of consumers, tailoring their products or services to meet the specific needs and preferences of that segment.

Question 7

Match each term with the correct statement below.
-a strategy for competing on the basis of cost
A) best-cost
B) differentiation
C) focus
D) cost leadership

Accepted Answer

Cost leadership is a strategy where a company aims to become the lowest-cost producer in its industry. This approach allows the company to offer products or services at a lower price than its competitors, attracting price-sensitive customers.

Question 8

Match each term with the correct statement below.
-a strategy to achieve the advantages of both differentiation and low cost.
A) best-cost
B) differentiation
C) focus
D) cost leadership

Accepted Answer

Best-cost strategy aims to provide products or services with a higher perceived value at a lower cost, effectively combining elements of both differentiation and cost leadership strategies.

Question 9

What is the purpose of strategic planning? What would a firm lose if it did not complete a strategic plan?

Accepted Answer

The answer of What is the purpose of strategic planning?...

Question 10

What is the purpose of an internal analysis?

Accepted Answer

The answer of What is the purpose of an internal...

Question 11

The general environment includes forces that are typically beyond a firm's control. Why, then, is it necessary for a firm to understand its general environment?

Accepted Answer

The answer of The general environment includes forces that are...

Question 12

What is the purpose of an organizational mission statement? Should a mission statement be narrow or broad?

Accepted Answer

The answer of What is the purpose of an organizational...

Question 13

What is a vision statement and, related, how can a leader/CEO have vision?

Accepted Answer

The answer of What is a vision statement and, related,...

Quiz 4: Strategic Management and Planning in a Global Environment

Match each term with the correct statement below. -asks the question, "What is the current position of the organization?"

Match each term with the correct statement below. -designed to increase sales and profits of the organization

Match each term with the correct statement below. -designed to ensure continuity in the operations and performance of the organization, and implying that the organization will remain in the same lines of business as it has in the past

Match each term with the correct statement below. -designed to reverse negative sales and profitability trends, typically requiring the elimination of one or business units

Match each term with the correct statement below. -a strategy for competing by offering products or services that are generally considered better, by the consumer, from those of competitors

Match each term with the correct statement below. -a strategy for competing by targeting a specific and narrow segment of the market

Match each term with the correct statement below. -a strategy for competing on the basis of cost

Match each term with the correct statement below. -a strategy to achieve the advantages of both differentiation and low cost.

What is the purpose of strategic planning? What would a firm lose if it did not complete a strategic plan?

What is the purpose of an internal analysis?

The general environment includes forces that are typically beyond a firm's control. Why, then, is it necessary for a firm to understand its general environment?

What is the purpose of an organizational mission statement? Should a mission statement be narrow or broad?

What is a vision statement and, related, how can a leader/CEO have vision?