CHAPTERONE
BASICCONCEPTSOFSTRATEGICMANAGEMENT
MULTIPLECHOICEQUESTIONS
(Theletteraftereachitemnumberisthecorrectanswer)
1B WhichisNOT oneofthestrategicquestionsthatanorganizationmustaskitself?
a.Whereistheorganizationnow?
b.Howcanfunctionalandoperationalareasbeimproved?
c.Ifnochangesaremade,wherewilltheorganization beinoneyear?
d.Iftheevaluationisnegative,whatspecificactionsshouldmanagementtake?
e.Ifnochangesaremade,wherewilltheorganizationbein10years?
2DWhichofthefollowingisNOT acharacteristicofstrategicdecisionsasmentioned inthetext?
a.directive
b.consequential
c.rare
d.continuous
3AStrategicplanningwithinasmallorganization
a.maybeinformalandirregular.
b.mustbeelaboratetoallowforfuturegrowth.
c.shouldbeformalizedand explicitlystated
d.shouldbedonebythepresidentonly.
e.isunnecessaryandawasteoftime.
4D Anorganizationthatisskilledatcreating,acquiring,andtransferringknowledgeandatmodifyingits behaviortoreflectnewknowledgeandinsights
a.asksifitshouldbeornotbe.
b.isoperatinginPhase1ofstrategicmanagement.
c.hasamechanisticstructure.
d.isalearningorganization.
e.iscrazy.
5B Researchsuggeststhatstrategicmanagementevolvesthroughfoursequentialphasesincorporations.The firstphaseis
a.externally-orientedplanning.
b.basicfinancialplanning.
c.internally-orientedplanning.
d.forecast-basedplanning.
e.strategicmanagement.
6AResearchdonebyHenryMintzbergsuggeststhatstrategyformulation
a.isanirregularandadiscontinuousprocess.
b.shouldbefollowedunswervinglytoensuresuccessoftheplan.
c.isworthless.
d.shouldbereviewedafter aspecificintervaloftimetomakesureitisstillapplicable.
e.ismerelyachecklistofactionsfollowingalogicalprocess.
7BWhichofthefollowingisNOT onethefivetriggeringeventsthatarethestimulusforastrategicchange?
a.Interventionbytheorganization'sbank
b.Entranceofanewcompetitorintotheindustry
c.Changeinownershipoftheorganization
d.NewCEO
e.Awarenessbymanagementofdecreasedprofitability
8B Thecorporatemissionisbestdescribedbywhichoneofthefollowing?
a.Adescriptionoftheactivitiescarriedoutbytheorganization.
b.Thepurposeorreasonforthecorporation'sexistence.
c.Adescriptionoftopmanagement'sresponsibilities.
d.Astatementofcorporateobjectives.
e.Thephilosophyofthefounder.
9A Agoaldiffersfromanobjectivebecauseit
a.isopen-ended.
b.isquantified.
c.specifiesmeasurableresults.
d.isclearlyspecified.
e.providesatimehorizon.
10C Asdefinedinthiscourse,apolicyis
a.thepurposeorreasonforacorporation'sexistence.
b.astatementofactivitiesorstepsneededtoaccomplishasingle-useplan.
c.abroadguidelineformakingdecisions.
d.acomprehensivemasterplanstatinghowacorporationwillachieveitsmissionandobjectives.
e.astatementofacorporation'sprogramsindollarterms.
11B Whichofthefollowingisanexampleofanobjective?
a.Diversifyproductlinetoappealto morepeople.
b.Increasesalesby10%overlastyear.
c.Payhighestsalariestokeephighqualityemployees.
d.Developandsellqualityappliancesworld-wide.
e.Divideasalesregioninto agroupofsalesdistricts.
12A Whichofthefollowingisanexampleofastrategy?
a.Diversifyproductlinetoappealto morepeople.
b.Increasesalesby10%overlastyear.
c.Payhighestsalariestokeephighqualityemployees.