Question 1

When developing scenarios for analysis and planning,it is best to choose ________ within each driver.&#10;A) a single level&#10;B) all possible levels&#10;C) the most likely levels&#10;D) a few different levels

Accepted Answer

Choosing a few different levels within each driver allows for a range of possibilities to be considered without overwhelming the analysis and planning process. It also allows for the consideration of both optimistic and pessimistic scenarios. Choosing a single level or all possible levels may not provide enough variability or may be too complex to analyze. Choosing only the most likely levels may lead to a narrow focus and overlook potential risks or opportunities.

Question 2

Factors and forces that influence a firm's future are known as ________.&#10;A) scenarios&#10;B) drivers&#10;C) domains&#10;D) policies

Accepted Answer

Drivers are the factors and forces that influence a firm's future, including economic, social, technological, and political factors. Scenarios refer to possible future situations, domains refer to the different areas of a firm's business, and policies are specific plans and guidelines implemented by a company.

Question 3

What is a scenario analysis? What are the basic steps involved in conducting a scenario analysis?

Accepted Answer

Scenario analysis is an &#34;if ...and if ...and if ...and if ...[all at the same time],then ...&#34; tool in which multiple forces (&#34;drivers&#34; of future conditions)are simultaneously combined to create rich &#34;possible futures&#34; or scenarios.In scenario analysis,several drivers,such as interest rates,regulations,and competitive intensity,are combined to create descriptions of complex possible &#34;futures&#34;&#57348;which may not come true,but could.Scenario analysis can be reduced to a few basic steps:&#10;1.Define the scope of the analysis;&#10;2.Identify the drivers of future strategic contexts;&#10;3.Select specific levels,changes,or events within&#10;each driver to frame the future;&#10;4.Combine those drivers and levels/changes/events&#10;to develop comprehensive scenarios;&#10;5.Select three or four scenarios for analysis;&#10;6.Analyze and plan for each selected scenario; and&#10;7.Integrate results to identify near- and long-term&#10;directions,actions,and investments and&#10;to appraise strategic alternatives.

Question 4

Scenario analysis is primarily useful for ________.&#10;A) short-term strategizing&#10;B) internal assessment&#10;C) long-term strategizing&#10;D) economic assessment

Accepted Answer

Scenario analysis involves examining multiple possible future scenarios and their potential impact on an organization. This makes it particularly useful for long-term strategizing, as it allows decision-makers to consider a range of possible outcomes and plan accordingly.

Question 5

The use of scenario analysis necessitates precise forecasting data.

Accepted Answer

Scenario analysis involves creating a range of possible future situations and evaluating how an organization may respond to them. While having accurate forecasting data may improve the accuracy of the scenarios, it is not an absolute necessity. In fact, scenario analysis is often used when there is significant uncertainty or variability in the data, and multiple possible outcomes need to be considered.

Question 6

A ________ analysis is described in the text as an &#34;if...then...&#34; planning tool.&#10;A) SWOT&#10;B) scenario&#10;C) marketing&#10;D) forecasting

Accepted Answer

The text describes scenario analysis as an "if...then..." planning tool, which involves creating hypothetical situations and analyzing potential outcomes. SWOT analysis is a tool used for assessing internal strengths and weaknesses as well as external opportunities and threats. Marketing analysis is a broader term that encompasses various tools and techniques for researching and evaluating market conditions and consumer behavior. Forecasting involves using data and trends to predict future outcomes. None of these definitions match the description given in the text about an "if...then..." planning tool.

Question 7

When conducting a scenario analysis,a marketer focuses on a single factor to develop an effective and realistic strategy for possible future situations.

Accepted Answer

When conducting a scenario analysis, a marketer considers multiple factors to develop effective and realistic strategies for possible future situations.

Question 8

The scenario analysis process should result in ________ and ________ for each scenario.&#10;A) drivers; tactics&#10;B) futures; realities&#10;C) strategies; tactics&#10;D) drivers; strategies

Accepted Answer

The scenario analysis process should result in strategies and tactics for each scenario.

Question 9

During the scenario analysis process,a firm's current strategies should be tested within the framework of each scenario.

Accepted Answer

Testing current strategies within the framework of each scenario is a crucial step in scenario analysis as it helps the firm identify the strengths and weaknesses of its current strategies and decide whether they are appropriate for future uncertainties.

Question 10

According to the text,it is best to develop ________ scenarios when preparing future strategies.&#10;A) 1-2&#10;B) 3-4&#10;C) 5-6&#10;D) 7-8

Accepted Answer

The text states that "developing 3-4 scenarios is often cited as the best approach". Therefore, option B is the best choice. Options A, C, and D are either too few or too many scenarios according to the text.

Question 11

What is the final step in the scenario analysis process?&#10;A) assessing strategic alternatives&#10;B) developing multiple scenarios&#10;C) identifying significant drivers&#10;D) planning for each scenario

Accepted Answer

The answer of What is the final step in the...

Question 12

Which of the following is the LEAST relevant factor when defining the scope of a scenario analysis?&#10;A) time frame&#10;B) industry&#10;C) consumer&#10;D) market

Accepted Answer

The answer of Which of the following is the LEAST...

Question 13

Which of the following questions would most likely be answered by a scenario analysis?&#10;A) What will the world be like in the future?&#10;B) Who will our competitors be in the future?&#10;C) What should we do now to prepare for the future?&#10;D) What should we do to accurately assess the future?

Accepted Answer

The answer of Which of the following questions would most...

Question 14

As a marketer,you have already defined the scope of a scenario analysis.What should you do next?&#10;A) develop comprehensive scenarios&#10;B) choose a specific time frame&#10;C) analyze selected scenarios&#10;D) identify industry drivers

Accepted Answer

The answer of As a marketer,you have already defined the...

Deck 14: Note : Scenario Analysis