Question 1

The final step in the strategic management process allows an organization to understand the ________.
A) effectiveness of the strategies used
B) implementation of the strategies
C) external environment
D) resources and capabilities it possesses

Accepted Answer

The final step in the strategic management process is evaluation and control, which involves analyzing and assessing the effectiveness of the strategies implemented by the organization. This step helps the organization understand whether its strategies have achieved the desired outcomes and identify areas for improvement. While the other options (B, C, D) are important components in the strategic management process, they do not capture the essence of the evaluation and control step, which is focused on measuring the success or failure of the strategies employed.

Question 2

Bella Vista Clothing targets teenage girls with a range of affordable ready-to-wear clothing. The company is opening two new outlets, as sales have been excellent. Which one of the following represents a strength for the company?
A) The company's in-house designers have a knack for identifying and popularizing fashion trends.
B) Disposable income is rising and consumers will have more money to spend on clothes.
C) Bella Vista has excess production capacity.
D) A long-time competitor recently went out of business and Bella Vista can cut down on its advertising budget.

Accepted Answer

The company's in-house designers' ability to identify and popularize fashion trends is a strength for Bella Vista Clothing as it allows them to create trendy and popular clothing for their target market of teenage girls.

Question 3

The combined external and internal analyses are called ________.
A) competitor analysis
B) industry analysis
C) market analysis
D) SWOT analysis

Accepted Answer

The combined external and internal analyses are called SWOT analysis, which stands for strengths, weaknesses, opportunities, and threats. It assesses the internal capabilities and external factors that affect a company's performance and helps in identifying areas for improvement and potential opportunities for growth. Competitor analysis, industry analysis, and market analysis are all a part of the external analysis that forms a part of the SWOT analysis. Thus, the best choice is D.

Question 4

Identify the six steps in the strategic management process and briefly explain what happens in each step.

Accepted Answer

The answer of Identify the six steps in the strategic...

Question 5

An organization's financial, physical, human, and intangible assets are known as its ________.
A) resources
B) capabilities
C) strengths
D) core competencies

Accepted Answer

An organization's financial, physical, human, and intangible assets are its resources. Capabilities refer to an organization's ability to use its resources effectively to achieve its goals. Strengths and core competencies are related to an organization's unique advantages or areas of expertise.

Question 6

A firm's reputation in the marketplace would be considered a resource.

Accepted Answer

The answer of A firm's reputation in the marketplace would...

Question 7

A bank estimates the capabilities of its customer service employees prior to implementing a new training program designed to change their method of providing customer service. The bank is ________.
A) conducting an external analysis
B) formulating its competitive strategies
C) performing an internal analysis
D) performing an employee audit

Accepted Answer

The bank is conducting an internal analysis by assessing its own employees' capabilities.

Question 8

Activities that an organization does well or resources that it has available are called capabilities.

Accepted Answer

The answer of Activities that an organization does well or...

Question 9

After the SWOT analysis is complete, managers are ready to ________.
A) begin production
B) identify competitors
C) formulate strategies
D) review the analysis

Accepted Answer

The SWOT analysis is a tool used to identify an organization's internal strengths and weaknesses along with external opportunities and threats. Once this analysis is complete, managers can use the information to formulate strategies that capitalize on the strengths and opportunities and address the weaknesses and threats. Therefore, C is the best choice. Beginning production, identifying competitors, and reviewing the analysis may all be steps in the process of formulating strategies, but none of these actions would be the immediate outcome of completing a SWOT analysis.

Question 10

Evaluating an organization's intangible assets is part of conducting an internal analysis in the strategic management process.

Accepted Answer

Evaluating an organization's intangible assets, such as its reputation, brand image, intellectual property, and human capital, is an important step in conducting an internal analysis as part of the strategic management process. It helps identify key strengths and weaknesses that can be leveraged or addressed in the development of the organization's strategy.

Question 11

Helen, the owner of Crazy Cupcakes, is conducting a SWOT analysis of her company. Which one of the following represents an opportunity for expansion?
A) There has been a trend toward personalized cupcakes for a variety of occasions.
B) The production process was found to be highly efficient and wastage was kept to a minimum.
C) In a taste test, Crazy Cupcakes products ranked higher than competitors in the taste and texture segments.
D) One of Crazy Cupcakes competitors has added cookies to its product line.

Accepted Answer

The trend toward personalized cupcakes for a variety of occasions represents an opportunity for expansion as Crazy Cupcakes can tap into this market and offer customized cupcakes for birthdays, weddings, corporate events, and other special occasions. This can potentially increase revenue and attract new customers.

Question 12

Exceptional or unique organizational resources are known as core capabilities.

Accepted Answer

The answer of Exceptional or unique organizational resources are known...

Question 13

Harness International, a global wiring harness company, allows each customer to access its engineering drawings on the company's extranet, speeding up the design process for every project. Harness would consider this to be a(n) ________.
A) resource
B) capability
C) competitive advantage
D) opportunity

Accepted Answer

The answer of Harness International, a global wiring harness company,...

Question 14

When conducting a SWOT analysis, threats are activities the organization doesn't do well or resources it needs but doesn't possess.

Accepted Answer

Threats in a SWOT analysis refer to external factors that may negatively impact the organization's performance or success, such as new competition, changes in regulations, or shifts in consumer behavior. It is not about activities the organization doesn't do well or resources it needs but doesn't possess - those would fall under weaknesses in a SWOT analysis.

Question 15

The major value-creating capabilities of the organization are known as its ________.
A) strengths
B) competitive advantages
C) core competencies
D) resources

Accepted Answer

Core competencies are the major value-creating capabilities of an organization, which are unique, difficult to imitate, and provide a competitive advantage. Strengths and resources are broad terms that may or may not contribute directly to creating value or a competitive advantage, while competitive advantages are the outcomes of core competencies.

Question 16

Newmark RV is performing an internal analysis. Which of the following would be considered a resource?
A) a patent for a special design feature
B) a method of production not used by competitors
C) strongly positive reviews from existing customers
D) membership in RVIA, the industry association

Accepted Answer

The answer of Newmark RV is performing an internal analysis....

Question 17

Casey realizes that she has a personal characteristic that suggests she is not comfortable interacting with strangers. She interprets this as a(n) ________ if she is to get a job as a salesperson.
A) threat
B) strength
C) weakness
D) opportunity

Accepted Answer

The personal characteristic of not being comfortable interacting with strangers would be interpreted as a weakness if Casey wants to get a job as a salesperson. Sales jobs typically require a high level of social interaction and persuasive communication with strangers, making this characteristic a hindrance to success in the role.

Question 18

The final step in the strategic management process is implementing the objectives.

Accepted Answer

The final step in the strategic management process is evaluating and controlling, where the implementation of strategies is monitored and adjustments are made as necessary.

Question 19

The first step in the strategic management process is analyzing the external environment.

Accepted Answer

The first step in the strategic management process is typically defining the organization's mission and objectives, which then guides the analysis of the external and internal environments.

Question 20

A SWOT analysis includes an analysis of an organization's environmental opportunities and threats.

Accepted Answer

SWOT analysis analyzes an organization's internal strengths and weaknesses as well as external opportunities and threats in its environment.

Quiz 9: Managing Strategy

The final step in the strategic management process allows an organization to understand the ________.

Bella Vista Clothing targets teenage girls with a range of affordable ready-to-wear clothing. The company is opening two new outlets, as sales have been excellent. Which one of the following represents a strength for the company?

The combined external and internal analyses are called ________.

Identify the six steps in the strategic management process and briefly explain what happens in each step.

An organization's financial, physical, human, and intangible assets are known as its ________.

A firm's reputation in the marketplace would be considered a resource.

A bank estimates the capabilities of its customer service employees prior to implementing a new training program designed to change their method of providing customer service. The bank is ________.

Activities that an organization does well or resources that it has available are called capabilities.

After the SWOT analysis is complete, managers are ready to ________.

Evaluating an organization's intangible assets is part of conducting an internal analysis in the strategic management process.

Helen, the owner of Crazy Cupcakes, is conducting a SWOT analysis of her company. Which one of the following represents an opportunity for expansion?

Exceptional or unique organizational resources are known as core capabilities.

Harness International, a global wiring harness company, allows each customer to access its engineering drawings on the company's extranet, speeding up the design process for every project. Harness would consider this to be a(n) ________.

When conducting a SWOT analysis, threats are activities the organization doesn't do well or resources it needs but doesn't possess.

The major value-creating capabilities of the organization are known as its ________.

Newmark RV is performing an internal analysis. Which of the following would be considered a resource?

Casey realizes that she has a personal characteristic that suggests she is not comfortable interacting with strangers. She interprets this as a(n) ________ if she is to get a job as a salesperson.

The final step in the strategic management process is implementing the objectives.

The first step in the strategic management process is analyzing the external environment.

A SWOT analysis includes an analysis of an organization's environmental opportunities and threats.