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This set of Advanced Strategic Management Multiple Choice Questions & Answers (MCQs) focuses on Advanced Strategic Management Set 2
Q1 | Which one of the following is at the core of strategic management?
- Choosing which organisational objectives to focus on
- Being alert for opportunities to change work responsibilities
- Adapting the organisation to a changing external environment
- Choosing whether to make decisions autocratically or on the basis of participation
Q2 | The corporate level is where top management directs:
- all employees for orientation
- its efforts to stabilize recruitment needs
- overall strategy for the entire organization
- overall sales projections
Q3 | The three main organizational levels are:
- corporate level, business level, functional level
- corporate level, business unit level, functional level
- corporate strategy level, business unit level, functional level
- corporate strategy level, business level, specialist level
Q4 | The functional level strategy of marketing function is divided into various operating levelssuch as marketing research, sales promotion, etc. these types of strategies are called.
- Business strategy
- Corporate strategy
- Functional strategy
- Operational strategy
Q5 | Which of the following is/are not an element/s of strategic management Process?
- Scanning
- Formulation
- Implementation
- None of these
Q6 | Which one of the following is NOT included in the Porter’s Five Forces model?
- Potential development of substitute products
- Bargaining power of suppliers
- Rivalry among stockholders
- Rivalry among competing firms
Q7 | What is meant by the term ‘Stakeholder’?
- A person who is not related with a business.
- A person who is related with a business.
- A person who owns a business.
- A person who purchases the shares of a business.
Q8 | The strategic management process is
- a set of activities that will assure a temporary advantage and average returns for the firm.
- a decision-making activity concerned with a firm’s internal resources, capabilities, and competencies, independent of the conditions in its external environment.
- a process directed by top-management with input from other stakeholders that seeks to achieve above-average returns for investors through effective use of the organization’s resources.
- the full set of commitments, decisions, and actions required for the firm to achieve above-average returns and strategic competitiveness.
Q9 | The goal of the organization’s is to capture the hearts and minds of employees, challenge them, and evoke their emotions and dreams.
- vision
- mission
- culture
- strategy
Q10 | A firm’s mission:
- is a statement of a firm’s business in which it intends to compete and the customers which it intends to serve.
- is an internally-focused affirmation of the organization’s financial, social, and ethical goals.
- is mainly intended to emotionally inspire employees and other stakeholders.
- is developed by a firm before the firm develops its vision.
Q11 | The environmental segments that comprise the general environment typically willNOT include:
- demographic factors.
- sociocultural factors.
- substitute products or services.
- technological factors.
Q12 | An analysis of the economic segment of the external environment would include all of the following EXCEPT:
- interest rates.
- international trade.
- the strength of the U.S. dollar.
- the move toward a contingent workforce.
Q13 | Product differentiation refers to the:
- ability of the buyers of a product to negotiate a lower price.
- response of incumbent firms to new entrants.
- belief by customers that a product is unique.
- fact that as more of a product is produced the cheaper it becomes per unit.
Q14 | Which of the following is NOT an entry barrier to an industry?
- expected competitor retaliation
- economies of scale
- customer product loyalty
- bargaining power of suppliers
Q15 | Switching costs refer to the:
- cost to a producer to exchange equipment in a facility when new technologies emerge.
- cost of changing the firm’s strategic group.
- one-time costs suppliers incur when selling to a different customer.
- one-time costs customers incur when buying from a different supplier.
Q16 | New entrants to an industry are more likely when (i.e., entry barriers are low when…)
- it is difficult to gain access to distribution channels.
- economies of scale in the industry are high.
- product differentiation in the industry is low.
- capital requirements in the industry are high.
Q17 | All of the following are forces that create high rivalry within an industry EXCEPT
- numerous or equally balanced competitors.
- high fixed costs.
- fast industry growth.
- high storage costs.
Q18 | According to the five factors model, an attractive industry would have all of the following characteristics EXCEPT:
- low barriers to entry.
- suppliers with low bargaining power.
- a moderate degree of rivalry among competitors.
- few good products substitute.
Q19 | Internal analysis enables a firm to determine what the firm:
- can do.
- should do.
- will do.
- might do.
Q20 | An external analysis enables a firm to determine what the firm:
- can do.
- should do.
- will do.
- might do.
Q21 | is/are the source of a firm’s , which is/are the source of the firm’s
- Resources, capabilities, core competencies
- Capabilities, resources, core competencies
- Capabilities, resources, above average returns
- Core competencies, resources, competitive advantage
Q22 | In the airline industry, frequent-flyer programs, ticket kiosks, and e-ticketing are all examples of capabilities that are
- rare.
- causally ambiguous.
- socially complex.
- valuable.
Q23 | Firms with few competitive resources are more likely
- to not respond to competitive actions.
- respond quickly to competitive actions.
- delay responding to competitive actions.
- respond to strategic actions, but not to tactical actions.
Q24 | Competitors are more likely to respond to competitive actions that are taken by
- differentiators.
- larger companies.
- first movers.
- market leaders.
Q25 | ------- can be defined as the art and science of formulating, implementing andevaluating cross-functional decisions that enable an organization to achieve its objectives.
- Strategy formulation
- Strategy evaluation
- Strategy implementation
- Strategic management