Question 1

Which of the following is NOT a variation of the multidivisional structure?

Accepted Answer

A)  Competitive form 
B)  Regional form 
C)  Cooperative form 
D)  Strategic business unit form 
A)  Competitive form 
B)  Regional form 
C)  Cooperative form 
D)  Strategic business unit form

Question 2

The __________ structure is best for implementing the related constrained diversification strategy.

Accepted Answer

A)  functional 
B)  competitive form of the multidivisional 
C)  SBU form of the multidivisional 
D)  cooperative form of the multidivisional 
A)  functional 
B)  competitive form of the multidivisional 
C)  SBU form of the multidivisional 
D)  cooperative form of the multidivisional

Question 3

Functional structures work best for firms for all of the following EXCEPT:

Accepted Answer

A)  cost leadership strategy. 
B)  differentiation strategy. 
C)  related constrained diversification strategy. 
D)  single or dominant business corporate strategy. 
A)  cost leadership strategy. 
B)  differentiation strategy. 
C)  related constrained diversification strategy. 
D)  single or dominant business corporate strategy.

Question 4

Selecting the organizational structure and controls that effectively implement the chosen strategy is a challenge for managers because:

Accepted Answer

A)  firms must be flexible while retaining a degree of stability. 
B)  managers are never able to obtain all the information necessary to make the best selection. 
C)  the structure of a firm should not duplicate the structures of its competitors. 
D)  the environment changes too rapidly for corporations to maintain a consistent corporate structure. 
A)  firms must be flexible while retaining a degree of stability. 
B)  managers are never able to obtain all the information necessary to make the best selection. 
C)  the structure of a firm should not duplicate the structures of its competitors. 
D)  the environment changes too rapidly for corporations to maintain a consistent corporate structure.

Question 5

Ichabod Industries has a Latin American Division, a European Division, an Industrial Lubricants Division, and a Food Service Division.Ichabod Industries probably uses the __________ organizational structure.

Accepted Answer

A)  horizontal complementary strategic alliance 
B)  competitive multidivisional 
C)  strategic business unit multidivisional 
D)  hybrid combination 
A)  horizontal complementary strategic alliance 
B)  competitive multidivisional 
C)  strategic business unit multidivisional 
D)  hybrid combination

Question 6

The center firm in a strategic network of vertical relationships might be expected to undertake all of the following EXCEPT:

Accepted Answer

A)  reducing its transaction costs by promoting longer-term contracts with subcontractors. 
B)  enabling engineers in upstream companies to have better communication with those companies with which it has contracts for services. 
C)  encouraging subcontractors to modernize their facilities and providing them with technical and financial assistance to do so. 
D)  decreasing communications between network members to reduce communication costs. 
A)  reducing its transaction costs by promoting longer-term contracts with subcontractors. 
B)  enabling engineers in upstream companies to have better communication with those companies with which it has contracts for services. 
C)  encouraging subcontractors to modernize their facilities and providing them with technical and financial assistance to do so. 
D)  decreasing communications between network members to reduce communication costs.

Question 7

Define the three major dimensions of organizational structure: specialization, centralization, and formalization.How do these dimensions vary in organizations implementing the cost leadership, differentiation, and cost leadership/differentiation strategies?

Accepted Answer

Specialization is concerned with the num

Question 8

The primary disadvantage of the multidomestic strategy and worldwide geographic area structure relates to limited:

Accepted Answer

A)  centralization. 
B)  coordination across divisions. 
C)  ability to meet local market needs. 
D)  potential for global efficiency. 
A)  centralization. 
B)  coordination across divisions. 
C)  ability to meet local market needs. 
D)  potential for global efficiency.

Question 9

According to Michael Dell, an overemphasis on financial controls to produce attractive short-term results contributed to performance difficulties at Dell, Inc.This point emphasizes the importance of properly balancing the use of strategic and financial controls.

Accepted Answer

A) True 
 B)False

Question 10

For firms in a vertical complementary alliance (such as between Toyota and its suppliers), it is more difficult to identify the strategic center firm than in a horizontal complementary alliance (e.g., airline alliances).

Accepted Answer

A) True 
 B)False

Question 11

Implementing the multidomestic strategy requires decentralization to:

Accepted Answer

A)  facilitate the tailoring of products to the demand in local markets. 
B)  develop economies of scale. 
C)  achieve economies of scope. 
D)  reduce bureaucracy and speed up decision making. 
A)  facilitate the tailoring of products to the demand in local markets. 
B)  develop economies of scale. 
C)  achieve economies of scope. 
D)  reduce bureaucracy and speed up decision making.

Question 12

AviMin uses a differentiation strategy, delivering products that customers perceive as unique in ways that create value.AviMin likely focuses on what functions?

Accepted Answer

A)  Finance and accounting 
B)  Manufacturing and process R&D 
C)  Product R&D and marketing 
D)  Process and product R&D 
A)  Finance and accounting 
B)  Manufacturing and process R&D 
C)  Product R&D and marketing 
D)  Process and product R&D

Question 13

A worldwide geographic area structure is an organizational form in which:

Accepted Answer

A)  multiple alliances across the globe link complementary businesses. 
B)  standardized products are offered across country markets. 
C)  national interests dominate and management adapts to local or cultural differences. 
D)  responsiveness to local demand is combined with economies of scale. 
A)  multiple alliances across the globe link complementary businesses. 
B)  standardized products are offered across country markets. 
C)  national interests dominate and management adapts to local or cultural differences. 
D)  responsiveness to local demand is combined with economies of scale.

Which of the following is NOT a variation of the multidivisional structure?

The __________ structure is best for implementing the related constrained diversification strategy.

Functional structures work best for firms for all of the following EXCEPT:

Selecting the organizational structure and controls that effectively implement the chosen strategy is a challenge for managers because:

Ichabod Industries has a Latin American Division, a European Division, an Industrial Lubricants Division, and a Food Service Division.Ichabod Industries probably uses the __________ organizational structure.

The center firm in a strategic network of vertical relationships might be expected to undertake all of the following EXCEPT:

Define the three major dimensions of organizational structure: specialization, centralization, and formalization.How do these dimensions vary in organizations implementing the cost leadership, differentiation, and cost leadership/differentiation strategies?

The primary disadvantage of the multidomestic strategy and worldwide geographic area structure relates to limited:

According to Michael Dell, an overemphasis on financial controls to produce attractive short-term results contributed to performance difficulties at Dell, Inc.This point emphasizes the importance of properly balancing the use of strategic and financial controls.

For firms in a vertical complementary alliance (such as between Toyota and its suppliers), it is more difficult to identify the strategic center firm than in a horizontal complementary alliance (e.g., airline alliances).

Implementing the multidomestic strategy requires decentralization to:

AviMin uses a differentiation strategy, delivering products that customers perceive as unique in ways that create value.AviMin likely focuses on what functions?

A worldwide geographic area structure is an organizational form in which:

Strategic Management and Strategic Competitiveness

The External Environment: Opportunities, Threats, Industry Competition, and Competitor Analysis

The Internal Organization: Resources, Capabilities, Core Competencies, and Competitive Advantages

Business-Level Strategy

Competitive Rivalry and Competitive Dynamics

Corporate-Level Strategy

Merger and Acquisition Strategies

International Strategy

Cooperative Strategy

Corporate Governance

Strategic Leadership

Strategic Entrepreneurship

Filters

Exam 11: Organizational Structure and Controls

Which of the following is NOT a variation of the multidivisional structure?

The __________ structure is best for implementing the related constrained diversification strategy.

Functional structures work best for firms for all of the following EXCEPT:

Selecting the organizational structure and controls that effectively implement the chosen strategy is a challenge for managers because:

Ichabod Industries has a Latin American Division, a European Division, an Industrial Lubricants Division, and a Food Service Division.Ichabod Industries probably uses the __________ organizational structure.

The center firm in a strategic network of vertical relationships might be expected to undertake all of the following EXCEPT:

Define the three major dimensions of organizational structure: specialization, centralization, and formalization.How do these dimensions vary in organizations implementing the cost leadership, differentiation, and cost leadership/differentiation strategies?

The primary disadvantage of the multidomestic strategy and worldwide geographic area structure relates to limited:

According to Michael Dell, an overemphasis on financial controls to produce attractive short-term results contributed to performance difficulties at Dell, Inc.This point emphasizes the importance of properly balancing the use of strategic and financial controls.

For firms in a vertical complementary alliance (such as between Toyota and its suppliers), it is more difficult to identify the strategic center firm than in a horizontal complementary alliance (e.g., airline alliances).

Implementing the multidomestic strategy requires decentralization to:

AviMin uses a differentiation strategy, delivering products that customers perceive as unique in ways that create value.AviMin likely focuses on what functions?

A worldwide geographic area structure is an organizational form in which:

Strategic Management and Strategic Competitiveness

The External Environment: Opportunities, Threats, Industry Competition, and Competitor Analysis

The Internal Organization: Resources, Capabilities, Core Competencies, and Competitive Advantages

Business-Level Strategy

Competitive Rivalry and Competitive Dynamics

Corporate-Level Strategy

Merger and Acquisition Strategies

International Strategy

Cooperative Strategy

Corporate Governance

Strategic Leadership

Strategic Entrepreneurship

Filters