MAN ch 3 PRACTICE QUESTIONS

What is true of a tactical plan?

It is developed to implement specific parts of a strategic plan.

How can managers use information provided by the GE Business Screen to manage their various business opportunities more effectively?

To determine asset allocation

Darien wants to introduce a new product within the organization's existing product line. Which type of plan should he use to do so?

Project

What does the BCG matrix use to evaluate an organization's set of businesses?

Growth rate and market share

The exact description of how specific activities are to be carried out would be found in which type of plan?

Rules and regulations

Amina is working on developing and implementing ideas in order to take advantage of business opportunities and challenges in the market. Which skills will Amina need to use to approach those challenges and opportunities?

Strategic management

Curl Up and Dye is a local hair salon that has a steady clientele from the surrounding community. However, a new salon has just opened in the area, and some clients have mentioned that the new salon offers similar services at lower prices. Curl Up and Dye now needs to pursue a strategy that will _____.

neutralize the impending threat

A cell phone company manager has a goal of boosting the profitability of her store in the next year. Which type of goal has the manager set?

operational

In the growth stage of the product life cycle, the _____.

sales of the product increase

What is a strategy?

A comprehensive plan for accomplishing an organization's goals

What is the advantage of setting business-level strategies?

Ability to focus efforts in a targeted manner

What is the difference between a standard operating procedure (SOP) and rules and regulations?

An SOP typically describes a sequence of activities, whereas rules and regulations focus on one activity.

In which way do organizations determine alternatives for working in a particular industry or market?

By setting business-level strategies

What does the GE Business Screen use to determine the attractiveness of an organization?

Competitive position

Most grocery stores carry a wide variety of national brands in addition to their own private label brands. The private label brands are often made by the same national brands they are competing with. Which type of strategy is a firm using when it creates a lower-priced private label brand in addition to its other, higher-priced brands?

Cost leadership

Product differentiation, low costs, and the development of new products or services are key to a company's success at which stage of the product life cycle?

Decline

Firms that successfully implement what type of strategy are generally able to charge more than competitors because customers are willing to pay more to obtain the extra value they perceive?

Differentiation

What is the first step that a manager should take in executing a tactical plan?

Evaluate every possible course of action in light of the goal it is intended to reach.

Ozlem has just finished reviewing the new mission for his organization. What will this mission help to determine?

Goals and plans

As the plant manager, Eli is concerned with having enough employees to meet production needs and managing cash flow for a specific product. Which stage of the product life cycle is Eli likely managing?

Introduction

Jewel often uses standing plans while managing inventory levels and ordering within her organization. Why are standing plans effective for this process?

Inventory and ordering occur regularly.

When a firm identifies a weakness within its organization, what can it do to address that weakness?

It can modify its mission.

Which types of events are used in the contingency-planning process?

Only those that will impact the organization

Tariq knows the production levels he wants to achieve this week and for the next three months. What does Tariq need to use when he determines the schedules of his employees?

Operational plan

Olesia is managing the diversification of divisions for her organization. She wants to monitor how to engage and manage subsidiaries to maximize corporate performance. What should Olesia use to track this information?

Portfolio management techniques

Which of the following is used to show how sales volume of a product can change over time?

Product life cycle

In order for a tactic to be successful, what must it include?

Specific resources and time frames

What is the advantage to those organizations who use unrelated diversification?

Stable performance over time

Which of the following is developed for activities that recur regularly over a period of time?

Standing plan

When developing tactical plans, what should be included so they can be properly executed?

Step-by-step processes

Rebeya is setting goals with the executive team of her organization. These goals include financial and productivity goals, as well as environmental and sustainability goals. Which type of goals is Rebeya establishing?

Strategic

Raj has empowered his senior managers and asked them to increase profitability by 20 percent over the next five years. What has Raj set for his senior managers?

Strategic goal

Marah has been tasked with the job of outlining decisions about resource allocation, priorities, and action steps that are necessary to reach one of his company's strategic goals. What is Marah developing?

Strategic plans

How does strategy formulation relate to strategy implementation?

Strategy formulation is the set of processes involved in creating an organization's strategies, whereas strategy implementation is the methods by which those strategies are operationalized.

Rumi has found that selling gluten-free products at her bakery has been an effective strategy and has allowed her to achieve some of her strategic goals for sales. Which of the following makes this an effective strategy for Rumi?

Superior alignment with her environment

In the introduction stage of the product life cycle, what do managers typically need to focus on?

Supply

As a middle manager, Luis sets goals for his staff. Which type of goals would Luis be expected to set?

Tactical

How do tactical plans differ from strategic plans?

Tactical plans focus on people and action, while strategic plans focus on resources, environment, and mission

Which of the following focuses primarily on people and action?

Tactics

What does the ultimate success of a tactical plan depend on?

The way it is carried out

Which of the following is true of tactical plans?

They must specify resources and time frames.

Which of the following will help organizations successfully weather a crisis?

Those with strong leadership

In which way can managers use information from the product life cycle?

To determine which strategies for products need to evolve

What is the one of the reasons why an organization would have organizational goals?

To set a unified direction for employees

Why is it critical for an organization to understand that eventually a product will go into the decline stage?

To stay in business

Organizational opportunities are:

areas in the environment that may generate higher performance.