Question 1

Scenario planning is often used to strengthen SWOT analysis.

Accepted Answer

A) True 
 B)False

Question 2

An advantage of the differentiation strategy is ________.

Accepted Answer

A)  less expensive new products 
B)  higher level of employee skills 
C)  reduced turnover of employees 
D)  greater barriers to entry 
A)  less expensive new products 
B)  higher level of employee skills 
C)  reduced turnover of employees 
D)  greater barriers to entry

Question 3

Why is planning considered an important process for managers?

Accepted Answer

A)  It gives a sense of direction and purpose. 
B)  It ensures only top-level managers make decisions. 
C)  It creates a time horizon for different planning levels. 
D)  It identifies which markets to enter or avoid. 
A)  It gives a sense of direction and purpose. 
B)  It ensures only top-level managers make decisions. 
C)  It creates a time horizon for different planning levels. 
D)  It identifies which markets to enter or avoid.

Question 4

A general guide to action for the managers of an organization is known as a ________.

Accepted Answer

A)  rolling plan 
B)  rule 
C)  policy 
D)  standard operating procedure 
A)  rolling plan 
B)  rule 
C)  policy 
D)  standard operating procedure

Question 5

When a company is successful in pursuing the strategy of concentration on a single industry, it uses its divisional skills to develop new products or expand its locations.

Accepted Answer

A) True 
 B)False

Question 6

Frame Corporation updates its five-year plan annually to take into account changing conditions within the organization and in the organization's external environment. Which of the following best explains this plan implemented by Frame Corporation?

Accepted Answer

A)  Standing plan 
B)  Short-term plan 
C)  Rolling plan 
D)  Single-use plan 
A)  Standing plan 
B)  Short-term plan 
C)  Rolling plan 
D)  Single-use plan

Question 7

Firestone Tire and Rubber Company set up a chain of Firestone retail stores to sell its tires to American consumers. This is an example of ________.

Accepted Answer

A)  forward vertical integration 
B)  global strategy 
C)  focused differentiation strategy 
D)  multidomestic strategy 
A)  forward vertical integration 
B)  global strategy 
C)  focused differentiation strategy 
D)  multidomestic strategy

Question 8

A formal, written guide to action for employees in an organization is known as a ________.

Accepted Answer

A)  policy 
B)  rule 
C)  standard operating procedure 
D)  rolling plan 
A)  policy 
B)  rule 
C)  standard operating procedure 
D)  rolling plan

Question 9

Explain a SWOT analysis. Describe briefly the steps involved in a SWOT analysis.

Accepted Answer

SWOT analysis is a planning exercise in

Question 10

When only one central, guiding plan is put into operation to achieve an organizational goal, the organization is experiencing ________.

Accepted Answer

A)  accuracy 
B)  flexibility 
C)  unity 
D)  continuity 
A)  accuracy 
B)  flexibility 
C)  unity 
D)  continuity

Question 11

List and describe the four ways to expand internationally.

Accepted Answer

In general, four basic ways to operate i

Question 12

With a multidomestic strategy, managers decide to sell the same product with the same marketing approach in all of the countries in which the product is sold.

Accepted Answer

A) True 
 B)False

Question 13

Industries that are characterized by permanent, ongoing, intense competition brought about by advancing technology or changing customer tastes, fads, and fashions are an example of ________.

Accepted Answer

A)  a joint venture 
B)  differentiation 
C)  focused competition 
D)  hypercompetition 
A)  a joint venture 
B)  differentiation 
C)  focused competition 
D)  hypercompetition

Question 14

Concentration on a single industry, vertical integration, diversification, and international expansion are principal strategies of a ________ level of an organization.

Accepted Answer

A)  functional 
B)  department 
C)  corporate 
D)  business 
A)  functional 
B)  department 
C)  corporate 
D)  business

Question 15

Distinguish related diversification from unrelated diversification. Provide suitable examples.

Accepted Answer

Related diversification is the strategy

Question 16

Managers pursuing a focused differentiation strategy serve just one or a few segments of the market and aim to make their organization the most differentiated company serving that segment.

Accepted Answer

A) True 
 B)False

Question 17

Managers of Matrix Ltd. attempted to give the organization a competitive advantage by driving the production costs to as low a level as possible. We can say that the organization is pursuing a differentiation strategy.

Accepted Answer

A) True 
 B)False

Question 18

What is the major advantage of a multidomestic strategy?

Accepted Answer

A)  The ability to gain market share or charge higher prices for customized product offerings and marketing approaches to local conditions 
B)  The significant cost savings associated with not having to customize products and marketing approaches to different national conditions 
C)  The high-quality skills of foreign manufacturers and the specialized knowledge of foreign managers about the needs of local customers 
D)  The reduced level of risk owing to the managers' full control over all aspects of their foreign subsidiary's operations 
A)  The ability to gain market share or charge higher prices for customized product offerings and marketing approaches to local conditions 
B)  The significant cost savings associated with not having to customize products and marketing approaches to different national conditions 
C)  The high-quality skills of foreign manufacturers and the specialized knowledge of foreign managers about the needs of local customers 
D)  The reduced level of risk owing to the managers' full control over all aspects of their foreign subsidiary's operations

Question 19

A plan that is updated and changed every year to take into consideration how the organization's external and internal environments have changed is known as a ______________ plan.

Accepted Answer

A)  standing 
B)  short-term 
C)  rolling 
D)  single-use 
A)  standing 
B)  short-term 
C)  rolling 
D)  single-use

Question 20

When PepsiCo purchased Frito-Lay and expanded its operations into the snack-food business, it was pursuing a ________ strategy.

Accepted Answer

A)  vertical integration 
B)  market penetration 
C)  diversification 
D)  market development 
A)  vertical integration 
B)  market penetration 
C)  diversification 
D)  market development

Scenario planning is often used to strengthen SWOT analysis.

An advantage of the differentiation strategy is ________.

Why is planning considered an important process for managers?

A general guide to action for the managers of an organization is known as a ________.

When a company is successful in pursuing the strategy of concentration on a single industry, it uses its divisional skills to develop new products or expand its locations.

Frame Corporation updates its five-year plan annually to take into account changing conditions within the organization and in the organization's external environment. Which of the following best explains this plan implemented by Frame Corporation?

Firestone Tire and Rubber Company set up a chain of Firestone retail stores to sell its tires to American consumers. This is an example of ________.

A formal, written guide to action for employees in an organization is known as a ________.

Explain a SWOT analysis. Describe briefly the steps involved in a SWOT analysis.

When only one central, guiding plan is put into operation to achieve an organizational goal, the organization is experiencing ________.

List and describe the four ways to expand internationally.

With a multidomestic strategy, managers decide to sell the same product with the same marketing approach in all of the countries in which the product is sold.

Industries that are characterized by permanent, ongoing, intense competition brought about by advancing technology or changing customer tastes, fads, and fashions are an example of ________.

Concentration on a single industry, vertical integration, diversification, and international expansion are principal strategies of a ________ level of an organization.

Distinguish related diversification from unrelated diversification. Provide suitable examples.

Managers pursuing a focused differentiation strategy serve just one or a few segments of the market and aim to make their organization the most differentiated company serving that segment.

Managers of Matrix Ltd. attempted to give the organization a competitive advantage by driving the production costs to as low a level as possible. We can say that the organization is pursuing a differentiation strategy.

What is the major advantage of a multidomestic strategy?

A plan that is updated and changed every year to take into consideration how the organization's external and internal environments have changed is known as a ______________ plan.

When PepsiCo purchased Frito-Lay and expanded its operations into the snack-food business, it was pursuing a ________ strategy.

The Management Process Today

Values, Attitudes, Emotions, and Culture: the Manager As a Person

Managing Ethics and Diversity

Managing in the Global Environment

Decision Making, Learning, Creativity, and Entrepreneurship

Designing Organizational Structure

Control, Change, and Entrepreneurship

Motivation

Leaders and Leadership

Effective Team Management

Building and Managing Human Resources

Communication and Information Technology Management

Operations Management: Managing Vital Operations and

Filters

Exam 6: Planning, Strategy, and Competitive Advantage

Scenario planning is often used to strengthen SWOT analysis.

An advantage of the differentiation strategy is ________.

Why is planning considered an important process for managers?

A general guide to action for the managers of an organization is known as a ________.

When a company is successful in pursuing the strategy of concentration on a single industry, it uses its divisional skills to develop new products or expand its locations.

Frame Corporation updates its five-year plan annually to take into account changing conditions within the organization and in the organization's external environment. Which of the following best explains this plan implemented by Frame Corporation?

Firestone Tire and Rubber Company set up a chain of Firestone retail stores to sell its tires to American consumers. This is an example of ________.

A formal, written guide to action for employees in an organization is known as a ________.

Explain a SWOT analysis. Describe briefly the steps involved in a SWOT analysis.

When only one central, guiding plan is put into operation to achieve an organizational goal, the organization is experiencing ________.

List and describe the four ways to expand internationally.

With a multidomestic strategy, managers decide to sell the same product with the same marketing approach in all of the countries in which the product is sold.

Industries that are characterized by permanent, ongoing, intense competition brought about by advancing technology or changing customer tastes, fads, and fashions are an example of ________.

Concentration on a single industry, vertical integration, diversification, and international expansion are principal strategies of a ________ level of an organization.

Distinguish related diversification from unrelated diversification. Provide suitable examples.

Managers pursuing a focused differentiation strategy serve just one or a few segments of the market and aim to make their organization the most differentiated company serving that segment.

Managers of Matrix Ltd. attempted to give the organization a competitive advantage by driving the production costs to as low a level as possible. We can say that the organization is pursuing a differentiation strategy.

What is the major advantage of a multidomestic strategy?

A plan that is updated and changed every year to take into consideration how the organization's external and internal environments have changed is known as a ______________ plan.

When PepsiCo purchased Frito-Lay and expanded its operations into the snack-food business, it was pursuing a ________ strategy.

The Management Process Today

Values, Attitudes, Emotions, and Culture: the Manager As a Person

Managing Ethics and Diversity

Managing in the Global Environment

Decision Making, Learning, Creativity, and Entrepreneurship

Designing Organizational Structure

Control, Change, and Entrepreneurship

Motivation

Leaders and Leadership

Effective Team Management

Building and Managing Human Resources

Communication and Information Technology Management

Operations Management: Managing Vital Operations and

Filters