Question 1

At the functional level, the organization's strategic direction becomes
A)much more manageable since its offerings have been finalized.
B)the most specific and most focused in terms of implementing the company's goals.
C)broader since for less complex firms, the corporate and functional levels may merge.
D)more general to avoid the "not invented here syndrome" that could result in missed opportunities.
E)the sole responsibility of the CEO.

Accepted Answer

At the functional level, the organization's strategic direction becomes the most specific and most focused in terms of implementing the company's goals, as each department and functional area will have a clear understanding of their role in achieving the overall strategy.

Question 2

At the functional level, the marketing department
A)solicits talent from all levels of the organization for strategic corporate planning sessions.
B)promotes its goals to the organization's stakeholders.
C)looks outward, in part by listening to customers.
D)develops the corporate culture.
E)defines the overall strategic direction of the organization.

Accepted Answer

The marketing department's primary function is to look outward and understand and listen to customers in order to promote the organization's goals effectively. While the marketing department can contribute to strategic planning sessions and culture development, these are not the primary functions of the department. Defining the overall strategic direction of the organization is typically the responsibility of top-level executives or the CEO.

Question 3

People in the finance and the human resources departments traditionally operate at what organizational level?
A)corporate level
B)top management level
C)strategic business unit level
D)functional level
E)stakeholder level

Accepted Answer

The finance and human resources departments are functional departments and operate at the functional level of the organization.

Question 4

Overseeing strategic marketing efforts at the corporate level would most likely be the responsibility of the
A)CEO.
B)CMO.
C)CPM.
D)CPO.
E)COO.

Accepted Answer

The Chief Marketing Officer (CMO) is responsible for overseeing strategic marketing efforts at the corporate level. The CEO may have a hand in overall strategy, but the CMO is specifically dedicated to marketing efforts. CPM (Certified Purchasing Manager) and CPO (Chief Procurement Officer) roles are focused on procurement and supply chain management, while the COO (Chief Operating Officer) is responsible for overseeing day-to-day operations.

Question 5

The level at which managers set a more specific strategic direction for their businesses to exploit value-creating opportunities is referred to as the
A)marketing department level.
B)strategic business unit level.
C)corporate level.
D)functional level.
E)board of directors level.

Accepted Answer

The level at which managers set a more specific strategic direction for their businesses to exploit value-creating opportunities is referred to as the strategic business unit level. At this level, managers make decisions about allocating resources and developing strategies to increase the competitiveness of a particular business unit within the larger corporation.

Question 6

The highest-ranking person in an organization who oversees the organization's daily operations and spearheads its strategy planning efforts is often referred to as
A)the corporate executive overseer.
B)the chief executive officer.
C)the corporate executive official.
D)the chief marketing officer.
E)the coordinating executive official.

Accepted Answer

The chief executive officer (CEO) is the highest-ranking person in an organization who oversees the organization's daily operations and spearheads its strategy planning efforts. This individual is responsible for setting the tone for the organization, driving its vision and mission, and ensuring that its goals and objectives are met. Other titles such as corporate executive overseer, corporate executive official, chief marketing officer, and coordinating executive official do not accurately and specifically describe the role of the highest-ranking executive in an organization.

Question 7

In recent years, many large firms have changed the title of the head of marketing from vice president of marketing to
A)chief executive officer.
B)corporate marketing official.
C)coordinating marketing officer.
D)chief marketing officer.
E)corporate marketing executive.

Accepted Answer

Many large firms have changed the title of the head of marketing from vice president of marketing to chief marketing officer (CMO). This reflects a shift towards a more strategic and customer-focused approach to marketing, where the CMO plays a key role in driving growth and revenue for the company. The CMO typically has a seat at the executive table and is responsible for aligning marketing, sales, and product teams to deliver a cohesive customer experience.

Question 8

Each strategic business unit has marketing and other specialized activities (e.g., finance, manufacturing, or research and development) at the __________ level, where groups of specialists actually create value for the organization.
A)strategic
B)corporate
C)functional
D)business unit
E)compartmental

Accepted Answer

The question specifically mentions "marketing and other specialized activities" at the level where specialists "create value for the organization." This indicates the functional level, where specialists in different areas (such as finance, manufacturing, or research and development) work together to contribute to the organization's overall success. While the other choices (strategic, corporate, business unit, and compartmental) may also play a role in the organization, none of them specifically address the creation of value through specialized activities.

Question 9

A subsidiary, division, or unit of an organization that markets a set of related offerings to a clearly defined group of customers is referred to as a
A)strategic business unit.
B)strategic industry level.
C)private corporation.
D)product grouping.
E)marketing department.

Accepted Answer

A strategic business unit (SBU) is a subsidiary, division or unit of an organization that markets a set of related offerings to a clearly defined group of customers. SBUs typically have their own business strategy, objectives, and targets, and are managed as independent profit centers within the larger organization. This allows companies to focus their resources and efforts on specific markets and customers, and to adapt their marketing strategies to meet the unique needs and preferences of those customers. As such, SBUs are widely used in marketing and strategic planning to help companies organize their operations and achieve their business goals.

Question 10

Which of the following statements would most likely be heard at the functional level of an organization?
A)"We need to divest our Canadian operations that are performing poorly."
B)"How large a budget can we allot to the marketing department?"
C)"We plan to implement a Facebook advertising initiative within 90 days."
D)"We should hire the most culturally diverse cross-functional team possible in order to generate the best new-product ideas."
E)"What dividends should we pay stockholders next quarter?"

Accepted Answer

At the functional level,the organization's strategic direction becomes its most specific and focused.

Question 11

Groups of a small number of people from different departments in an organization who are mutually accountable to accomplish a task or a common set of performance goals are referred to as
A)designated teams.
B)strategic business units.
C)cross-functional teams.
D)business committees.
E)venture squads.

Accepted Answer

Cross-functional teams are composed of individuals from different departments or functional areas within an organization. The members work together on a specific project or task, combining their skills and knowledge to achieve a common goal. This approach can lead to improved communication, enhanced problem-solving, and increased creativity and innovation.

Question 12

The strategic business unit level
A)works most directly with the organization's target customers.
B)directs the overall strategy for the organization.
C)is most likely to change substantially over time.
D)provides more end-user analysis in order to design more customer-directed products.
E)is the level at which managers set a more specific strategic direction for their businesses to exploit value-creating opportunities.

Accepted Answer

The strategic business unit level is the level at which managers set a more specific strategic direction for their businesses to exploit value-creating opportunities. This level focuses on specific products or services that the organization offers to its customers and strives to meet the needs and preferences of those customers. Therefore, option (E) is the correct choice. The other options, while they may be relevant to the overall strategy of the organization, do not specifically apply to the strategic business unit level.

Question 13

Specialized functions such as marketing and finance are generally referred to as
A)teams.
B)groups.
C)divisions.
D)departments.
E)business units.

Accepted Answer

Specialized functions such as marketing and finance are typically organized into separate departments within a company. These departments have their own distinct responsibilities and goals and work together to ensure the overall success of the company.

Question 14

__________ have an increasingly important role in top management because of their ability to think strategically, bringing with them to the job multi-industry backgrounds, cross-functional management expertise, analytical skills, and intuitive marketing insights.
A)Chief marketing officers (CMOs)
B)Chief financial officers (CFOs)
C)Chief executive officers (CEOs)
D)Chief human resource officers (CHROs)
E)Chief operating officers (COOs)

Accepted Answer

Chief marketing officers (CMOs) are specifically responsible for developing and executing a company's marketing strategy. They tend to have a broad range of skills and expertise that make them well-suited for top management roles, including cross-functional experience, strategic thinking abilities, and strong analytical skills. Additionally, CMOs are often focused on driving growth and generating revenue, which are key priorities for many organizations.

Question 15

The corporate level in an organization is where
A)the department heads direct overall strategy for the entire organization.
B)groups of specialists actually create value for the organization.
C)a small number of people from different departments are mutually accountable to accomplish a task or a common set of performance goals.
D)a subsidiary, division, or unit of an organization markets a set of related offerings to a clearly defined group of customers.
E)top management directs overall strategy for the entire organization.

Accepted Answer

The corporate level in an organization is the highest level of management and the top executives at this level are responsible for directing overall strategy for the entire organization. Option E correctly identifies this responsibility. Option A is incorrect because department heads are not at the highest level of management. Option B is incorrect because specialists typically work at lower levels of management. Option C is incorrect because it describes a cross-functional team, which may exist at various levels of management. Option D is incorrect because it describes a business unit, which is a lower level of management within an organization.

Question 16

Which of the following statements regarding an organization's strategic business unit level is most accurate?
A)The strategic business unit level is the level that works most directly with an organization's targeted customers.
B)The overall strategy for the organization is directed at the strategic business unit level.
C)In the most complex organizations, the corporate level and the strategic business unit level may merge.
D)More end-user analysis is provided at the strategic business unit level than at the functional level.
E)The strategic direction is more specific at the strategic business unit level than at the corporate level.

Accepted Answer

The strategic business unit level is responsible for implementing the overall strategy set by the corporate level, but with more specific direction and focus. This level is focused on a specific market segment or product line, and therefore has a deeper understanding of that particular area. Hence, the strategic direction is more specific at the strategic business unit level than at the corporate level.

Question 17

The functional level in an organization is where
A)groups of specialists actually create value for the organization.
B)employees perform assigned tasks without actually having input into the decision making process.
C)all financial outlays are made.
D)all company hiring and firing occurs.
E)the strategic planners in SBUs make all decisions regarding which product benefits will be promoted during a promotional campaign.

Accepted Answer

The functional level is where groups of specialists actually create value for the organization by performing tasks related to their specific function, such as marketing, finance, or operations. This level is focused on executing the plans and strategies developed at higher levels of the organization. B is not correct because employees at the functional level may have input into decision making within their area of expertise. C and D are incorrect because financial outlays and hiring/firing occur at various levels of the organization, not just the functional level. E is incorrect because strategic planning occurs at higher levels of the organization, not the functional level.

Question 18

A key role of the marketing department is to "look outward." This is accomplished by
A)allocating financial resources across strategic business units.
B)communicating the vision of the marketing department forcefully enough to be incorporated into the overall mission of the company.
C)forming cross-functional teams to help solve the organization's marketing problems.
D)implementing new accounting methods passed by Congress.
E)listening to customers, developing and producing offerings, and implementing marketing program activities.

Accepted Answer

Looking outward refers to focusing on the needs and wants of customers, and developing marketing strategies and tactics to meet those needs. Option E describes the process of listening to customers, developing and producing offerings, and implementing marketing program activities, which is a key role of the marketing department in looking outward. The other options do not accurately describe how the marketing department can look outward.

Question 19

The CEO of SAP, which sells expensive enterprise resource planning software to large and mid-sized companies, operates at the __________ level of his organization.
A)business unit
B)functional
C)corporate
D)strategic
E)tactical

Accepted Answer

The answer of The CEO of SAP, which sells expensive...

Question 20

A strategic business unit (SBU) refers to
A)a single product or service identification code used to identify items for strategic marketing planning purposes.
B)a small number of people from different departments in an organization who are mutually accountable to accomplish a task or common set of performance goals.
C)a strategic product that has a unique brand, size, or price.
D)a privately owned franchise under the auspices of a larger group or organization bearing the same name.
E)a subsidiary, division, or unit of an organization that markets a set of related offerings to a clearly defined group of customers.

Accepted Answer

The definition provided matches the description of a strategic business unit (SBU) as being a subsidiary, division, or unit of an organization that markets a set of related offerings to a clearly defined group of customers. A is incorrect as it only pertains to identification codes. B is incorrect as it describes a cross-functional team. C is incorrect as it only pertains to characteristics of a product. D is incorrect as it describes a franchise.

Quiz 2: Developing Successful Organizational and Marketing Strategies

At the functional level, the organization's strategic direction becomes

At the functional level, the marketing department

People in the finance and the human resources departments traditionally operate at what organizational level?

Overseeing strategic marketing efforts at the corporate level would most likely be the responsibility of the

The level at which managers set a more specific strategic direction for their businesses to exploit value-creating opportunities is referred to as the

The highest-ranking person in an organization who oversees the organization's daily operations and spearheads its strategy planning efforts is often referred to as

In recent years, many large firms have changed the title of the head of marketing from vice president of marketing to

Each strategic business unit has marketing and other specialized activities (e.g., finance, manufacturing, or research and development) at the __________ level, where groups of specialists actually create value for the organization.

A subsidiary, division, or unit of an organization that markets a set of related offerings to a clearly defined group of customers is referred to as a

Which of the following statements would most likely be heard at the functional level of an organization?

Groups of a small number of people from different departments in an organization who are mutually accountable to accomplish a task or a common set of performance goals are referred to as

The strategic business unit level

Specialized functions such as marketing and finance are generally referred to as

__________ have an increasingly important role in top management because of their ability to think strategically, bringing with them to the job multi-industry backgrounds, cross-functional management expertise, analytical skills, and intuitive marketing insights.

The corporate level in an organization is where

Which of the following statements regarding an organization's strategic business unit level is most accurate?

The functional level in an organization is where

A key role of the marketing department is to "look outward." This is accomplished by

The CEO of SAP, which sells expensive enterprise resource planning software to large and mid-sized companies, operates at the __________ level of his organization.

A strategic business unit (SBU) refers to