Question 1

Organizational strengths are derived from earlier assessment of the environment.

Accepted Answer

Organizational strengths are internal attributes and capabilities that support a company in achieving its objectives, not directly derived from assessing the external environment.

Question 2

Weakness-opportunity alternatives may be either offensive or defensive.

Accepted Answer

Weakness-opportunity alternatives can be used in either an offensive or defensive strategy, depending on the situation. Offensive strategies aim to capitalize on opportunities and eliminate weaknesses, while defensive strategies aim to protect against threats and minimize weaknesses.

Question 3

Physical resources include the firm's systems and processes,including its strategies,structure,culture,financial base,research and development,marketing,information systems,and control systems.

Accepted Answer

Physical resources refer specifically to tangible assets such as buildings, machinery, equipment, and raw materials. The firm's systems and processes, including strategies, structure, culture, financial base, research and development, marketing, information systems, and control systems, are considered organizational resources rather than physical resources.

Question 4

The first step in the strategy formulation process is the SW/OT matrix.

Accepted Answer

The first step in the strategy formulation process is conducting a situation analysis, which includes assessing internal strengths and weaknesses as well as external opportunities and threats. The SWOT analysis is typically conducted after this step as a tool for organizing and summarizing the findings.

Question 5

Which of the following is a valid reason why a firm might pursue a flexible strategy?
A)Flexibility is necessary to pursue first mover advantages.
B)Organizational resources change.
C)Performance is not acceptable.
D)All of the above are valid reasons.

Accepted Answer

Each of the reasons listed (A, B, C) is a valid rationale for a firm to pursue a flexible strategy, making D the correct answer. Flexibility can help a firm adapt to new opportunities, manage resource changes, and address performance issues.

Question 6

The SWOT analysis precedes the SW/OT matrix.

Accepted Answer

The SWOT analysis is the first step in creating the SW/OT matrix. It involves identifying the strengths, weaknesses, opportunities, and threats of a business or project. The SW/OT matrix is then used to analyze these factors and develop a strategic plan.

Question 7

Research suggests that strategic alternatives most likely to lead to success are defensive in nature.

Accepted Answer

Research suggests that aggressive and proactive strategies are more likely to lead to success in the long-term, rather than defensive strategies. Defensive strategies may be effective in the short-term for protecting against threats, but may not result in sustainable growth or competitive advantage.

Question 8

A firm may change its strategy as a response to a change in the environment.

Accepted Answer

A firm may need to adapt and change its strategy in response to changes in the competitive environment, customer needs and preferences, technological advancements, regulation changes, among other factors. This allows the firm to remain competitive and relevant in its industry.

Question 9

Opportunities and threats are associated with factors outside the organization.

Accepted Answer

Opportunities and threats are part of the external analysis that helps businesses understand the market environment in which they operate. They are influenced by factors such as competitors, economic conditions, technological advancements, government policies, and social trends.

Question 10

Which of the following is an example of an organizational resource?
A)experience
B)strategies
C)employee knowledge & skills
D)None of the above.

Accepted Answer

The answer of Which of the following is an example...

Question 11

The purpose of the SW/OT matrix is to identify blind spots in an organization's environment.

Accepted Answer

The SWOT matrix is designed to identify strengths, weaknesses, opportunities, and threats related to business competition or project planning, not specifically to identify blind spots in an organization's environment.

Question 12

Implementation issues should be considered before a decision to adopt a strategy is made.

Accepted Answer

It is important to consider any potential hurdles or challenges that may arise during the implementation of a strategy before deciding to adopt it. This includes factors such as resource allocation, resistance from stakeholders, and potential risks that may arise during the implementation process. Ignoring implementation issues can result in the failure of the strategy and a waste of resources.

Question 13

Which of the following is an example of a physical resource?
A)restructuring efforts
B)strategies
C)experience of top managers
D)None of the above.

Accepted Answer

Physical resources typically refer to tangible assets such as equipment, land, buildings, and materials. Restructuring efforts and strategies are intangible and do not qualify as physical resources. The experience of top managers may be considered a human resource, another type of non-physical resource.

Question 14

In the context of the SW/OT matrix,opportunities and alternatives are often synonymous.

Accepted Answer

Opportunities refer to external factors that can be leveraged by an organization for its benefit, while alternatives refer to different options or courses of action that can be taken by the organization. They are not synonymous.

Question 15

Organizational resources include the experience,capabilities,knowledge,skills,and judgment of all the firm's employees.

Accepted Answer

The answer of Organizational resources include the experience,capabilities,knowledge,skills,and judgment of...

Question 16

Which of the following is not a category of firm resources?
A)organizational resources
B)physical resources
C)human resources
D)All of the above are categories of firm resources.

Accepted Answer

All of the choices listed are categories of firm resources. Therefore, D is the correct answer.

Question 17

An organization's weaknesses are derived from its set of resources.

Accepted Answer

An organization's weaknesses can arise from a lack of necessary resources or the inability to effectively utilize available resources, making resources a crucial factor in an organization's strengths and weaknesses.

Question 18

The tool that analyzes a firm's strengths and weaknesses to understand how they might translate into competitive advantage is known as the
A)value chain.
B)SWOT analysis.
C)SW/OT matrix.
D)None of the above.

Accepted Answer

The answer of The tool that analyzes a firm's strengths...

Question 19

Weaknesses and threats are associated with factors inside the organization.

Accepted Answer

Weaknesses are associated with factors inside the organization, but threats are external factors that could cause trouble for the organization.

Question 20

Strength-threat alternatives are always offensive in nature.

Accepted Answer

Strength-threat alternatives can also be defensive in nature. Organizations may use them to prevent competitors from entering their market, protect themselves from new technologies, or defend against regulatory changes.

Quiz 9: Strategy Formulation