Question 1

Vice presidents of large companies are typically in charge of ________ planning.

Accepted Answer

D

Question 2

Kimball Gardens is a company that operates as two distinct businesses: one that sells lawn and garden products and one that markets booklets.Each business is called a ________.

Accepted Answer

Each business is referred to as a strategic business unit (SBU), which is a standalone entity that operates under a larger company umbrella. SBUs are responsible for their own profitability and strategic decision-making, and are often evaluated separately from the rest of the company based on their financial performance.

Question 3

A business plan ________.

Accepted Answer

A business plan includes decisions that guide the entire organization or its business units, such as financial goals, operations plans, and marketing strategies. It is not just focused on marketing strategies or control measures, nor is it another name for a marketing plan or SWOT analysis.

Question 4

Which of the following is a true statement about business planning?

Accepted Answer

Business planning is an ongoing process that involves setting objectives, developing strategies to achieve those objectives, and continually reviewing and updating those strategies. It encompasses both short-term and long-term goals and is used to guide decision-making and resource allocation within an organization. Taking action before developing objectives (option A) is not effective or efficient and can lead to wasted resources. Business planning does not solely focus on the long term (option C) or short term (option D), but rather considers both timeframes. Lastly, business planning can take place before or after development of the marketing plan (option E), as marketing is just one component of business planning.

Question 5

Orkin Pest Control Service knows homeowners skimp on maintenance such as pest control during recessions.It also knows that the more consumers know about bugs,the more likely they are to buy the company's services.So Orkin teamed with the Smithsonian Institution on the Insect Safari,a traveling exhibit designed to teach people about the critters.The Safari truck visited 108 cities during one year,leaving a wake of creeped-out insectophobes reaching for the phone numbers of the local Orkin franchise.Business increased in each city the Safari truck visited.Decisions on which cities to visit and what kinds of promotion to use in each city visited are both examples of ________ plans.

Accepted Answer

Operational plans are short-term and very specific plans that guide day-to-day activities. In this case, deciding which cities to visit and the types of promotion to use are operational decisions aimed at executing the broader strategy of educating the public and increasing demand for pest control services.

Question 6

The three levels of business planning are ________.

Accepted Answer

The three levels of business planning are strategic, functional, and operational. Strategic planning involves setting overall goals and objectives for the organization, while functional planning involves developing plans to achieve specific objectives in different areas of the business, such as marketing, finance, and operations. Operational planning involves creating detailed plans for day-to-day activities and processes. Option A is incorrect because promotional planning is only a component of functional planning. Option C is incorrect because portfolio planning is not a commonly recognized level of business planning. Option D is incorrect because SWOT analysis is a tool used in strategic planning and is not a level of planning. Option E is incorrect because functional and operational planning are two different levels of planning, and tactical is not commonly recognized as a distinct level of planning in the Three Levels Model.

Question 7

Which of the following is true about functional planning?

Accepted Answer

Functional planning is conducted by the various functional areas of a firm, such as marketing, finance, or operations. It focuses on specific tasks and activities necessary to achieve the overall objectives set forth in the strategic plan.

Question 8

________ is the third,or "nuts-and-bolts," level of planning.

Accepted Answer

The third level of planning is operational planning, which involves the development of detailed action plans to achieve specific goals and objectives. This level of planning focuses on the day-to-day activities of an organization and involves the coordination of resources and personnel to ensure that tasks are completed efficiently and effectively. Strategic planning is the highest level of planning and focuses on long-term goals and objectives, while functional planning is typically focused on specific departments or functions within an organization. Product development and business planning are also important aspects of planning, but they are not necessarily considered distinct levels of planning.

Question 9

Market planning is a type of ________.

Accepted Answer

The answer of Market planning is a type of ________.
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Question 10

The CEO,president,and top executive officers are responsible for ________ in the strategic plan.

Accepted Answer

The CEO, president, and top executive officers are primarily responsible for defining the firm's purpose in the strategic plan. This involves setting the overall direction and goals of the organization, which serves as a framework for all other operational planning and decision-making. While they may also be involved in other aspects of the strategic plan, such as high-level pricing strategy and evaluating employee benefits, these tasks are secondary to defining the firm's purpose. Designing ad campaigns would typically be the responsibility of the marketing department, which would work within the strategic plan established by top leadership.

Question 11

________ is the first,or "big picture," level of planning.

Accepted Answer

Strategic planning is the first level of planning as it involves setting long-term goals and objectives for the organization as a whole, and defining the strategies to achieve them. It is a big picture approach that provides direction and vision to the entire organization. Other levels of planning such as functional planning, operational planning, product development, and business planning are more focused and specific in nature.

Question 12

A sales manager sets an objective for her team to increase the units sold by five percent for the quarter.This objective is most likely part of a detailed ________ plan that is created annually,semiannually,or quarterly.

Accepted Answer

The objective given by the sales manager is focused on increasing sales for a specific time period, suggesting that it is part of an operational plan that sets specific goals and activities to achieve them. Strategic plans focus on the overall direction and goals of the organization, while functional plans focus on specific areas such as marketing or finance. Product development plans are specific to creating new products or improving existing ones, and human resources plans focus on managing personnel.

Question 13

Which of the following types of managers would be most likely to engage in operational planning on a regular basis?

Accepted Answer

The sales manager would be most likely to engage in operational planning on a regular basis because their responsibilities involve the day-to-day operations of the sales department, which requires constant planning and adjustment to ensure that targets are met. The CEO, vice presidents, and CFO would likely engage in higher-level strategic planning, while the vice president of human resources would be more focused on staffing and personnel-related planning.

Question 14

Areas of business within a firm that are distinct enough to have their own missions,business objectives,resources,managers,and competitors are referred to as ________.

Accepted Answer

Strategic business units are distinct areas of business within a firm with their own missions, objectives, resources, managers, and competitors. This allows them to operate independently and focus on their specific goals while still being a part of the overall organization. Market development and market penetration units may be subsets of strategic business units, but they do not encompass all of the aspects listed. Standard business units and competitive intelligence units do not accurately describe this concept.

Question 15

________ is the managerial decision process that matches the organization's resources and capabilities to its market opportunities for long-term growth.

Accepted Answer

Strategic planning involves identifying and evaluating market opportunities and matching them with the organization's resources and capabilities to achieve long-term growth. Operational planning focuses on short-term goals and day-to-day implementations. Portfolio analysis and SWOT analysis are tools used in strategic planning but do not encompass the entire process. Marketing planning is a specific type of strategic planning that focuses on the marketing objectives and tactics to achieve them.

Question 16

Columbia Sportswear makes nylon activewear.Its marketing manager set a goal to increase sales 12 percent over the next three years through the introduction of a new line of comfortable,lightweight clothing for people who fish.The marketing manager is engaged in ________.

Accepted Answer

The answer of Columbia Sportswear makes nylon activewear.Its marketing manager...

Question 17

A detailed quarterly plan that states how many units of product each salesperson on the team needs to sell per month is an example of a(n)________.

Accepted Answer

An operational plan details the specific, short-term actions and processes that help achieve strategic goals, including specific sales targets and the allocation of resources to meet those targets, making it the correct choice for a detailed quarterly sales plan.

Question 18

A(n)________ is a document that describes the marketing environment,outlines the marketing objectives and strategies,and identifies how the company will implement the strategies.

Accepted Answer

A marketing plan is a document that outlines all of the marketing objectives and strategies of a company, including how they plan to implement those strategies within the marketing environment. It is a comprehensive plan that includes information about the company's target audience, competition, and marketing budget.

Question 19

SBU stands for ________.

Accepted Answer

SBU stands for Strategic Business Units, which are individual business units within a larger corporation that operate like separate companies with their own budgets, strategies, and objectives.

Question 20

Strategic planning for a large firm such as Disney with several SBUs probably occurs ________.

Accepted Answer

Large firms such as Disney generally engage in strategic planning at both the overall corporate level and at the individual SBU level to ensure alignment with the overall corporate strategy and goals, as well as to address specific needs and challenges faced by each business unit.

Quiz 3: Strategic Market Planning