Question 1

Business plans differ in the time horizons that they cover.Discuss the three major types of business plans in terms of their intended duration and explain why all three of these types of plans are important to a business.

Accepted Answer

The answer of Business plans differ in the time horizons...

Question 2

PepsiCo purchased KFC so that it could replace Coke products with Pepsi products in KFC restaurants.This is an example of which of the following strategies?

Accepted Answer

A)  Horizontal integration 
B)  Vertical integration 
C)  Low-cost strategy 
D)  Global strategy 
E)  Diversification strategy

Question 3

Madison Hotels sells a foreign organization the rights to use its brand name and operating know-how in return for a lump-sum payment and a share of the profits.This is an example of which mode of international expansion?

Accepted Answer

A)  Franchising 
B)  Licensing 
C)  Strategic alliance 
D)  Joint venture 
E)  Wholly owned foreign subsidy

Question 4

The ability of the CEO and top managers to convey a compelling vision of what they want the organization to achieve to their subordinates is known as:

Accepted Answer

A)  qualitative leadership. 
B)  strategic leadership. 
C)  autocratic leadership. 
D)  tactical leadership. 
E)  transformational leadership.

Question 5

Corporate-level strategy involves choosing the industry in which a company will compete.

Accepted Answer

A) True 
 B)False

Question 6

When Gallo purchased a company that makes wine bottles,it was involved in:

Accepted Answer

A)  horizontal integration. 
B)  backward vertical integration. 
C)  forward vertical integration. 
D)  upward integration. 
E)  strategic alliance.

Question 7

According to Michael Porter's theory,it is possible for managers to pursue both a low-cost strategy and a differentiation strategy at the same time.

Accepted Answer

A) True 
 B)False

Question 8

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:

Accepted Answer

A)  standing plan. 
B)  short-term plan. 
C)  rolling plan. 
D)  single-use plan. 
E)  standard operating plan.

Question 9

A program-an integrated set of plans for achieving certain goals-is an example of a standing plan.

Accepted Answer

A) True 
 B)False

Question 10

Write a brief note on the different modes of international expansion.

Accepted Answer

The answer of Write a brief note on the different...

Question 11

The reason managers pursue vertical integration is that it allows them either to add value to their products by making them unique or to lower the costs of making and selling them.

Accepted Answer

A) True 
 B)False

Question 12

Achievement of goals does not have any time constraints.

Accepted Answer

A) True 
 B)False

Question 13

Discuss what is meant by a SWOT analysis.Explain briefly the steps involved in a SWOT analysis.

Accepted Answer

The answer of Discuss what is meant by a SWOT...

Question 14

Managers at Ferwn Pvt.Ltd.which is number two in market share in the local sports equipments manufacturing industry,develop strategies to take over the number-one spot.Under which of the following levels of organizational strategies would this strategy fall?

Accepted Answer

A)  Corporate-level 
B)  Top-management level 
C)  Functional-level 
D)  Business-level 
E)  Departmental-level

Question 15

Michael Porter presented four ways in which the top management of an organization could select a business-level strategy for their organization.Discuss any two of these four ways of increasing the value of the organization's products and explain the advantages and disadvantages of the strategies that you choose.

Accepted Answer

The answer of Michael Porter presented four ways in which...

Question 16

An intermediate-term plan has a time horizon between five and ten years.

Accepted Answer

A) True 
 B)False

Question 17

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. 
E)  backward vertical integration.

Question 18

Write a brief note on global strategies and multidomestic strategies.Also mention one advantage and one disadvantage of each.

Accepted Answer

The answer of Write a brief note on global strategies...

Question 19

Managers should attempt to collect and use all available information in the organization's planning process.Which of the following aspects of planning is being emphasized?

Accepted Answer

A)  Unity 
B)  Flexibility 
C)  Continuity 
D)  Accuracy 
E)  Synergy

Question 20

A written set of instructions which describes the series of actions that a manager should take in a specific situation is known as a:

Accepted Answer

A)  policy. 
B)  standing operating procedure. 
C)  scenario plan. 
D)  rolling plan. 
E)  rule.

Exam 6: Planning, Strategy, and Competitive Advantage

Business plans differ in the time horizons that they cover.Discuss the three major types of business plans in terms of their intended duration and explain why all three of these types of plans are important to a business.

PepsiCo purchased KFC so that it could replace Coke products with Pepsi products in KFC restaurants.This is an example of which of the following strategies?

Madison Hotels sells a foreign organization the rights to use its brand name and operating know-how in return for a lump-sum payment and a share of the profits.This is an example of which mode of international expansion?

The ability of the CEO and top managers to convey a compelling vision of what they want the organization to achieve to their subordinates is known as:

Corporate-level strategy involves choosing the industry in which a company will compete.

When Gallo purchased a company that makes wine bottles,it was involved in:

According to Michael Porter's theory,it is possible for managers to pursue both a low-cost strategy and a differentiation strategy at the same time.

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:

A program-an integrated set of plans for achieving certain goals-is an example of a standing plan.

Write a brief note on the different modes of international expansion.

The reason managers pursue vertical integration is that it allows them either to add value to their products by making them unique or to lower the costs of making and selling them.

Achievement of goals does not have any time constraints.

Discuss what is meant by a SWOT analysis.Explain briefly the steps involved in a SWOT analysis.

Managers at Ferwn Pvt.Ltd.which is number two in market share in the local sports equipments manufacturing industry,develop strategies to take over the number-one spot.Under which of the following levels of organizational strategies would this strategy fall?

An intermediate-term plan has a time horizon between five and ten years.

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:

Write a brief note on global strategies and multidomestic strategies.Also mention one advantage and one disadvantage of each.

Managers should attempt to collect and use all available information in the organization's planning process.Which of the following aspects of planning is being emphasized?

A written set of instructions which describes the series of actions that a manager should take in a specific situation is known as a: