Chapter 6 Strategic Progress Check

________ includes the set of shared values, beliefs, attitudes, customs, norms, personalities, heroes and heroines that describe a firm. Question 11 options: A) Strategy B) Culture C) Mission D) Objectives E) QSPM

B) Culture

How many cells are in a SWOT Matrix?

nine

Which stage of the strategy-formulation framework contains the IFE Matrix? Question 17 options: A) Input stage B) Analysis stage C) Matching stage D) Decision stage E) Output stage

A) input stage

In the BCG Matrix, how would a division with a low relative market share position in a high growth industry be described? Question 14 options: A) Question Mark B) Cash Cow C) Star D) Stuck-in-the-middle E) Dog

A) question mark

An effective way to gain commitment and achieve desired results is to Question 12 options: A) emphasize that imposing a particular method is more important than achieving desired results. B) shift from specific to general issues and concerns. C) eliminate middle level managers from strategic decisions. D) switch from long-term to short-term issues and concerns. E) realize that it's better to achieve optimal results with an unpopular strategy than to achieve satisfactory results with a popular strategy.

B) shift from specific to general issue and concerns

Strategy analysis and choice largely involves making ________ decisions based on ________ information. Question 8 options: A) long-term; short-term B) subjective; objective C) short-term; long-term D) subjective; short-term E) objective; subjective

B) subjective; objective

Which of the following is a limitation associated with a SWOT Matrix? Question 19 options: A) Viewing every business as a Star, Cash Cow, Dog, or Question Mark is an oversimplification. B) Many businesses fall right in the middle of the matrix. C) It is a static assessment in time. D) Other variables besides relative market share position and industry growth rate in sales need to be considered. E) The matrix does not reflect whether or not various divisions or their industry are growing over time.

C) It is a static assessment in time

The match an organization makes between its internal resources and skills and the opportunities and risks created by its external factors can be defined as Question 9 options: A) input. B) concept formulation. C) strategy. D) SWOT. E) weakness.

C) strategy

In the BCG Matrix, which strategy would be most appropriate for a division classified as a Dog? Question 10 options: A) Market penetration B) Market development C) Product development D) Retrenchment E) Forward integration

D) Retrenchment

Which strategies use a firm's strengths to avoid or reduce the impact of external threats? Question 4 options: A) SO B) WO C) SW D) ST E) WT

D) ST

All of the following are principles of good organizational governance, as established by Businessweek, EXCEPT Question 18 options: A) each director attends at least 75 percent of all meetings. B) the audit, compensation and nominating committees are made up solely of outside directors. C) each director owns a large equity stake in the company. D) at least three directors are current or former company executives. E) the CEO is not also the Chairperson of the Board.

D) at least three directors are current or former company executives

Which section of the SWOT Matrix involves matching internal strengths with external opportunities? Question 16 options: A) The WT cell B) The SW cell C) The WO cell D) The ST cell E) The SO cell

E) The SO cell

The act of oversight and direction for an organization is referred to as Question 5 options: A) corporate lawmaking. B) centralized control. C) organizational direction. D) establishing norms. E) governance

E) governance

Which stage in the strategy-formulation framework focuses on generating feasible alternative strategies? Question 13 options: A) Input B) Output C) Decision D) Throughput E) Matching

E) matching

The BCG Matrix is designed specifically to enhance which type of firm's efforts to formulate strategies? Question 7 options: A) Companies with more than one division B) Large companies C) Companies with annual sales greater than $1 million D) Companies with annual sales of less than $1 million E) All companies

a) companies with more than one division

For companies located in Quadrant III of the Grand Strategy Matrix, the first strategy recommended is Question 15 options: A) extensive cost and asset reduction. B) asset expansion. C) employee expansion. D) immediate liquidation of assets. E) divestiture.

a) extensive cost and asset reduction

All of the following are limitations of the BCG Matrix EXCEPT Question 3 options: A) viewing every business as a star, cash cow, dog or question mark can be an oversimplification. B) the Matrix requires at least three years worth of data. C) the Matrix does not reflect divisional or industry growth over time. D) the Matrix does not allow a company to be classified as somewhere in between two categories. E) variables such as size of market and competitive advantages are not considered in the Matrix. Save

b.) the matrix requires at least three years worth of data

Which strategy-formulation technique reveals the relative attractiveness of alternative strategies and thus provides an objective basis for selecting specific strategies? Question 20 options: A) SWOT B) SPACE C) QSPM D) IFE E) CPM

c) QSPM

Which stage of the strategy-formulation framework involves the Quantitative Strategic Planning Matrix? Question 6 options: A) Stage 1 B) Stage 2 C) Stage 3 D) Stage 4

c) stage 3

Each of the nine techniques included in the strategy formulation framework rely on the use of

intuition and analysis