Exam 7: The Basics of Planning and Strategic Management

It is possible to prepare a formal plan with a well-defined strategy and not practice strategic management.

Rules like procedures have to specify sequence.

If a strategy does not fit with the current organizational policies,the conflicting policies must be modified.

_____ occurs when a company moves into areas it previously served either as a supplier to or as a customer for its current products or services.

Procedures and rules may be thought of as low-level policies.

The _____ criteria offer helpful guidelines for stating and writing objectives.

An organization that faces very positive market opportunities but is constrained by relatively weak internal resources should opt for the _____ strategy.

The formulation stage of the strategic management process involves developing the corporate- and business-level strategies to be pursued.

The basic purpose of a differentiation strategy is to deliver the product or service for a lower cost than the competition.

How do organizational factors affect strategic implementation?

Which of the following refers to the process of deciding what objectives to pursue during a future time period and what to do to achieve those objectives?

Differentiate business strategies from corporate strategies.

_____ aims to make the product or service unique in its category,thus permitting the organization to charge higher-than-average prices.

An organization's current structure places certain restrictions on strategy implementation.

Divestiture occurs when the entire company is sold or dissolved.

Long-range organizational objectives should derive from the mission statement.

Functional strategy is chosen during the _____ phase of the strategic management process.

_____ address the what-ifs of the manager's job.

Intermediate plans are derived from long-range plans and short-range plans are derived from intermediate plans.

Outline areas for establishing objectives in most organizations.