MCQ-Strategic Management

Please select the most appropriate answer (only one) and write down your answer in the sheet itself.
1. To find out what an organization's strategy is, you should: a) Read the mission statement b) Look at what the organization actually does c) Read the strategic plan d) Ask the CEO

2. Which of the following statements is not true when describing a successful strategy? a) It provides some property that is unique or distinctive b) It provides the means for renewing competitive advantage c) It addresses changes in the external environment d) It guarantees long term survival

3. In the context of strategic management resources can be defined as: a) The knowledge and skills within the organization b) Something that an organization owns, controls or has access to on a semi-permanent basis c) The physical assets of the organization

4. In the context of strategic management, stakeholders can be defined as: a) An individual or group with a financial stake in the organization b) An external individual or group that is able to impose constraints on the organization c) Internal groups or individuals that is able to influence strategic direction of the organization d) An individual or group with an interest in the organization's activities and who seeks to influence them

5. Which of the following is NOT part of the micro environment? a) Competitors b) Customers c) Technology d) Publics

6. GDP, inflation rate, per capita income, tariffs etc. are sub-factors of ______________ factor of environment.

7. In companys environment, companys customers are part of which of the following? a) Internal environment b) Micro environment c) Macro environment

8. ___________________ scanning is considered to be the best method of environment scanning.

9. Cultural values would be part of which of the following factor in macro environment? a) Economic b) Natural c) Social d) Ecological

10. In the case where an organization acquires its supplier, this is an example of: a) Horizontal integration b) Forwards vertical integration c) Backwards vertical integration

11. When a firm seeks the benefits of global integration and local adaptation, it is best described as which type of strategy? a) Transnational b) Global c) Multi-national d) Global-local

12. What does Dog symbolize in BCG matrix? a) Growth b) Decline c) Maturity d) Introduction

12. What does Stars symbolize in BCG matrix? a) Growth b) Decline c) Maturity d) Introduction

14.'Reputation' in the context of an organization's resources can provide competitive advantage because: a) It is difficult to copy b) It is based on word-of-mouth c) It is a threshold resource d) It is explicit

15. A strategic manager that seeks to reach acceptable profit targets as opposed to making as much profit as possible is making decisions of which type?

a) Satisfactory b) Satisfying c) Irrational d) Optimal

16. In strategic thinking, how long is the long term, approximately? a)1 to 12 months b) 1 to 5 years c) More than 5 years d) None of these

17. What are stages 2, 3 and 4 of the outline strategy process? a) Generate options; select strategy; implement strategy b) Strategy selection; strategy implementation; strategic control c) Deliberate strategy; emergent strategy; realized strategy. d) Appraisal of strengths and weaknesses; choice of strategic direction; strategy implementation

18. The strategy of TATA Motors would be: a) Functional Strategy b) Corporate Strategy c) Business Strategy

19. Growth, retrenchment and stability are examples of __________________? a) Corporate strategies b) Business Strategies c) Functional Strategies d) None of the above

20. In terms of R&D strategy Apple company is most likely to be designated to be following ________________________.

21. Low cost, Differentiation and Focus are examples of __________________? a) Corporate strategies b) Business Strategies c) Functional Strategies d) None of the above

22. The word tactic is most likely to be associated with: a) Corporate strategy b) Business Strategy c) Operational Strategy d) All of the above

23. In BCG matrix, what is the label of the horizontal axis? a) Stage in product life cycle b) Market share c) Industry growth rate d) Business strength e) Product range f) Market growth rate

24. Which of these is not a reason why some firms do not have strategic planning? a) Laziness b) Competitive leadership c) Honest difference of opinion d) Poor reward structures

25 .Developing a vision and mission, identifying an organization's external opportunities and threats, and determining internal strengths and weaknesses are all __________ activities. a) strategy-formulation b) strategy-implementation c) long-range planning d) short-range planning

26. The _________ answers the question "What do we want to become?" whereas _________answers the question "What is our business?" a) Vision statement; mission statement b) Short-term objectives; long-term objectives c) Objectives; strategies d) Mission; vision

27. What is the recommended length of an effective mission statement? a) One page b) Less than 200 words c) One sentence of 10 to 20 words. d) There is no recommendation.

28. Which one of these is NOT a __________ part of Porter's competitive forces in industry analysis. a) Potential entry of new competitors b) Bargaining power of suppliers c) Development of substitute products d) Threat of substitute products and services

29. __________ is based on the assumption that the future will be just like the past. a). Delphi forecasts b. Econometric models c. Linear regression d. Scenario forecasts

30. __________ is adding new, unrelated products or services for present customers. a) Concentric diversification b) Horizontal diversification c) Conglomerate diversification d) Product development

Answer Key

1(c), 2(a), 3(a), 4(d), 5(c), 6(economic), 7(b), 8(continuous), 9(c), 10(c), 11(d), 12(b), 13(a), 14(a), 15(d), 16(c), 17(b), 18(c), 19(a), 20(technological leadership), 21(b), 22(c), 23(b), 24(b), 25(a), 26(a), 27(d), 28(c), 29(c), 30(c).