Question 1

Industries that are characterized by permanent, ongoing, intense competition brought about by advancing technology or changing customer tastes, fads, and fashions are an example of

Accepted Answer

Hypercompetition refers to industries where there is constant and intense competition due to rapid technological changes and shifting consumer preferences.

Question 2

A company has a requirement that any manager who receives a gift from any of the company's customers worth more than $25 must report this gift to the company's human resources department. This is an example of a

Accepted Answer

The answer of A company has a requirement that any...

Question 3

TrueAim, Inc., sets a goal that every product line of the company should be either first or second in its industry in market share. This would be an example of a ________-level strategy.

Accepted Answer

The answer of TrueAim, Inc., sets a goal that every...

Question 4

A written set of instructions that describes the series of actions that a manager should take in a specific situation is known as a

Accepted Answer

A standing operating procedure is a written set of instructions detailing the actions to be taken in specific situations, often used to ensure consistency and efficiency in operations.

Question 5

Why is planning considered an important process for managers?

Accepted Answer

Planning is important for managers because it provides a sense of direction and purpose, helping to align organizational goals and strategies.

Question 6

To determine an organization's mission, managers must first define its

Accepted Answer

Defining the business is the foundational step in determining an organization's mission, as it clarifies what the organization does and the market it serves.

Question 7

A plan that is updated and changed every year to take into consideration how the organization's external and internal environments have changed is known as a ________ plan.

Accepted Answer

A rolling plan is updated regularly, typically annually, to reflect changes in the organization's internal and external environments.

Question 8

Which of the following qualities of an effective plan allows for alterations if the situation changes?

Accepted Answer

Flexibility allows for alterations if the situation changes.

Question 9

A general guide to action for the managers of an organization is known as a

Accepted Answer

A policy is a general guide to action that provides direction to managers in an organization.

Question 10

While managers at QualityFirst Manufacturing were conducting a SWOT analysis, they concluded that their product line is obsolete and narrow. Their product line would be categorized as a(n)

Accepted Answer

An obsolete and narrow product line is a weakness because it limits the company's ability to compete in the market.

Question 11

Managers at Ferwn Pvt., Ltd., is number two in market share in the local sports equipment manufacturing industry. As part of its business-level strategy, this company

Accepted Answer

The answer of Managers at Ferwn Pvt., Ltd., is number...

Question 12

Ace Components, Inc., conducted a SWOT analysis, which determined a major threat by

Accepted Answer

The answer of Ace Components, Inc., conducted a SWOT analysis,...

Question 13

The tool that is used in situations when programmed decision making is appropriate is a ________ plan.

Accepted Answer

Standing plans are used for programmed decision making as they provide guidelines for repetitive activities and ensure consistency in decision-making processes.

Question 14

The organizational strategy that specifies the activities of managers at the departmental level of the organization is a ________-level strategy.

Accepted Answer

Functional-level strategy refers to the specific actions and activities that managers undertake within individual departments or functions of an organization, such as marketing, finance, or production.

Question 15

The ability of the CEO and top managers to convey to their subordinates a compelling vision of what they want the organization to achieve is known as ________ leadership.

Accepted Answer

Strategic leadership involves the ability of top management to communicate a clear and inspiring vision for the organization's future.

Question 16

Managers at Dimensions, Inc., created an effective strategy formulation, which determined that the company has

Accepted Answer

Strategy formulation involves identifying strengths, weaknesses, opportunities, and threats (SWOT analysis), which is reflected in option B.

Question 17

A group of managers at Right Stuff, Ltd., analyzes both the internal strengths and weaknesses of their organization as well as the opportunities and threats of the external environment. Which of the following planning exercises does this indicate?

Accepted Answer

SWOT analysis is a planning exercise that analyzes both the internal strengths and weaknesses of an organization as well as the opportunities and threats of the external environment.

Question 18

TDS Corporation updates its five-year plan annually to take into account changing conditions within the organization and in the organization's external environment. Which of the following best explains this plan implemented by TDS Corporation?

Accepted Answer

A rolling plan is updated regularly, often annually, to reflect changes in the internal and external environment, making it suitable for TDS Corporation's approach.

Question 19

A formal, written guide to action for employees in an organization is known as a

Accepted Answer

The answer of A formal, written guide to action for...

Question 20

The strategy that explains the methods that a division or an organization will use to compete against its rivals in the industry is a ________-level strategy.

Accepted Answer

A business-level strategy outlines how a division or organization will compete in its industry, focusing on positioning against rivals.

Quiz 6: Planning, Strategy, and Competitive Advantage