Chapter 8 and 9

A standing plan is

A plan designed for repeated use in response to commonly occurring events

______ refers to an organization's purchase of another organization or business to promote growth. A) Acquisition B) Differentiation strategy C) Barrier to entry D) Prospector

A) Acquisition

When an organization purchases another organization or business in order to grow it is called A) An Acquisition B) An Acquirement C) An Obtainment D) A Procuration

A) An Acquisition

Which term describes an obstacle that makes it difficult for an organization to enter a particular market or replicate a competitor's service and product offerings? A) Barrie to entry B) Demand- Side benefits of Scale C) Competitive intertia D) Customer switching costs

A) Barrier to entry

A corporate-level strategy that addresses the question "What business are we in?" and unites all parts of the organization refers to A) Organizational Strategy B) Divisional Strategy C) Functional Strategy D) Cost Leadership Strategy

A) Organizational Strategy

A company that uses strategies for high risk and fast growth through product and market innovation is known as a(n) A)Prospector B) First-mover C) Defender D) Analyzer

A) Prospector

"S" in the SMART goals refers to A) Specific B) Systematic C) Strategic D) Simple

A) Specific

The proximal goal is a goal that is almost unattainable and requires the full capacity of an individual, manager, team, or organization to accomplish. A) True B) False

B) False

Today, big company acquisitions are becoming nonexistent since companies strive to grow and compete on their own. A) True B) False

B) False

______ is a strategy in which an organization concentrates on a specific target market and may use cost leadership and/or differentiation strategies? A) Renewal Strategy B) Focus Strategy C) Vertical Integration D) Diversification Strategy

B) Focus Strategy

A plan that covers time periods of a year or more and is used to achieve future goals is known as a(n) A) Short-term plan B) Long-term plan C) Outstanding Plan D) standing plan

B) Long-term plan

At the beginning of the year, Arthur met with his manager and agreed to specific goals that were then used to measure his performance during the year. Arthur's manager is using a technique known as A) 360 Degree Feedback B) Management by Objectives (MBO) C) Benchmarking D) Balanced Scorecard

B) Management by Objectives (MBO)

______ is a company that uses strategies for high-risk and fast growth through product and market innovation. A) Reactor B) Prospector C) Analyzer D) Defender

B) Prospector

Which of the following is NOT one of the characteristics of S.M.A.R.T. goals? A) Measurable B) Realistic C) Specific D) Achievable

B) Realistic

President John F. Kennedy's announcement in 1961 of U.S. intentions to achieve the first human moon landing by the end of the decade is an example of which if the following? A) Short-term goal B) Stretch Goal C) Proximal Goal D) Tactical Goal

B) Stretch Goal

A tendency to continue competitive practices that had been successful in the past, even if they are less effective in the present is known as

Competitive inertia

A balanced scorecard augments traditional financial measures with benchmarks for performance in each of the following key nonfinancial areas EXCEPT A) A company's learning and growth B) A company's relationship with its customers C) A company's key internal processes C) A company's relationship with shareholders

D) A company's relationship with shareholders

What does "A" in the SMART goals represent? A) Approved B) Adaptable C) Action Oriented D) Achievable

D) Achievable

Which of the following identifies the specific action, people, and resources needed to accomplish a goal? A) Resource Plan B) Behavioral Plan C) Execution Plan D) Action Plan

D) Action Plan

Which of these describe a company whose strategies seek to maintain existing products and services while pursuing limited innovation? A) Prospector B) Defender C) Reactor D) Analyzer

D) Analyzer

Which term describe the activities and processes that an organization routinely does well in comparison to its competitors? A) Market Position B) Capacity C) Resources D) Core Capabilities

D) Core Capabilities

Which goals are primary or long-term goals? A) Proximal B) Stretch C) Operational D) Distal

D) Distal

Which of the following is NOT a barrier to entry? A) Customer switching costs B) Capital Requirements C) Unequal access to distribution channels D) Expansive government policy

D) Expansive government Policy

In an organization, personnel decisions are types of _____ strategies. A) Organizational B) Divisional C) Corporate D) Functional

D) Functional

Which term describes the motivation and determination needed to achieve a goal? A) Action Plan B) Performance Dashboard C) Management by Objectives D) Goal Commitment

D) Goal Commitment

What does "M" in the SMART goals represent? A) Monitored B) Mediated C) Marketed D) Measurable

D) Measurable

A plan that guides the day-to-day production or delivery of an organization's goods and services, and which enacts a functional strategy is known as a(n): A) Operations- based plan B) Directional Plan C) Tactical Plan D) Operational Plan

D) Operational Plan

Which term describes short-term goals that increase individuals' ability to reach distal goals by providing motivation and feedback? A) Stretch Goals B) Standing Goals C) Strategic Goals D) Proximal Goals

D) Proximal Goals

Which term describes the assets, people, processes, and capabilities of an organization? A) Capacity B) Market position C) Core capabilities D) Resources

D) Resources

Which of the following is NOT an example of the pitfalls of goal setting? A) Excessive risk-taking B) Increased in stress C) Short- range thinking D) Using goals as a baseline for performance

D) Using goals as a baseline for performance

A plan of action for achieving goals is known as A) Marketing B) Operating C) Structuring D) strategy

D) strategy

Functional strategy

Determines how employees will implement and achieve a tactical plan

Tactical plans involve stated actions and goals that support achieving which of the following levels of strategy?

Functional Strategy

The renewal strategy addresses declining performance through _____ and

Retrenchment; regrowth

Designing and defining strategies is a continuous process that helps organizations determine what they do, why they should be in business, how they can win and sustain market share, and how they can continually innovate in order to keep ahead of the competition. A) True B) False

True

The balanced scorecard framework intends to ensure that managers translate vision into strategy and execution of the strategy, both of which are critical to success.

True

The method of diversification in which an organization begins producing its own supplies is referred to as forward integration.

false

What is the appropriate action for an organization or product that is a Question Mark according the BCG Matrix?

invest heavily in order to achieve star status

Nolan, a production manager at Auto Inc., sets a goal for his organization. He promises 100% customer satisfaction to all the organization's customers, which is almost unattainable. Which of the following goals has Nolan set for the organization? A) Stretch Goal B) Marginal Goal C) Distal Goal D) Proximal Goal

A) Stretch Goal

Differentiation strategy is a strategy in which an organization seeks competitive advantage by providing goods or services that are significantly different from the competition. A) True B) False

A) TRUE

A balanced scorecard augments traditional financial measures with benchmarks for performance in three key nonfinancial areas: 1) a company's relationship with its customers, 2) its key internal processes, and 3) its learning and growth. A) True B) False

A) True

An action plan is the specific action, people, and resources needed to accomplish a goal. A) True B) False

A) True

Applying the balanced scorecard approach allows the management team to "augment traditional financial measures with benchmarks for performance in three key nonfinancial areas: 1) a company's relationship with its customers, 2) its key internal processes, and 3) its learning and growth". A) True B) False

A) True

Goals must be in line with the company's vision, mission, and values in order to succeed. A) True B) False

A) True

Key performance indicators (KPIs) are measurements that managers identify as vital to the company's performance with regard to financials, internal processes, customers, and learning/growth. A) True B) False

A) True

Options-based planning is a method of planning that preserves flexibility in contexts of uncertainty by investing in several alternatives. A) True B) False

A) True

People will be more committed to a goal if A) the task itself is important to them B) the goal is developed and assigned by a manager C) the outcome is important to them D) they truly believe they can achieve the goal

A) the task itself is important to them

Two strategies are consistent with a defender company: stability and cost leadership. A) True B) False

A) true

A method of diversification in which an organization begins producing its own supplies or takes on the distribution and selling of its products is called A) Vertical Integration B) Diversification Strategy C) Focus Strategy D) renewal strategy

A) vertical Integration

A(n) _____ is a company whose strategies seek to maintain existing products and services while pursuing limited innovation. A) Reactor B) Analyzer C) Defender D) Prospector

B) Analyzer

People tend to be more motivated by _____ goals. A) Easy B) Challenging C) Unspecified D) Vague

B) Challenging

_____ strategy seeks competitive advantage by reducing production costs and therefore consumer prices. A) First-Mover B) Cost Leadership C) Defender D) Prospector

B) Cost Leadership

Which of the following levels of strategy answers the question, "How will a business compete in a particular industry or market?" A) Organizational Strategy B) Divisional Strategy C) Functional Strategy D) Operational Strategy

B) Divisional Strategy

Core capability is a tendency to continue competitive practices that were successful in the past, even if they are less effective in the present. A) True B) False

B) False

Management by Objectives (MBO) are measurements that managers identify as vital to the company's performance with regard to financials, internal processes, customers, and learning/growth. A) True B) False

B) False

On a BCG Matrix, cash cows are organizations that have very little market presence and barely register on other companies' radars. A) True B) False

B) False

Renewal strategy refers to a risk-reduction strategy in which an organization adds new kinds of goods, services, or business units. A) True B) False

B) False

An organization's grandest aspiration for the future, one that differentiates it from all its competitors, is known as A) its vision B) A stretch goal C) a Big Hairy Audacious Goal (BHAG) D) its mission

C) A big Hairy Audacious Goal (BHAG)

The characteristics of an organization's products or services that distinguish it from competitors and provide an advantage in the marketplace is known as A) A business edge B) A distinguishing Feature C) A competitive Advantage D) A driving Factor

C) A competitive Advantage

Customer ability to switch from one hotel to another is an example of which of the five forces that shape competition? A) Threat of new entrants B) Bargaining power of suppliers C) Bargaining power of buyers D) Treat of substitute products or services

C) Bargaining power of buyers

Which of these is the quantitative part of a plan that allocates available financial resources? A) Rules and Regulations B) policy C) Budget D) Procedure

C) Budget

The motivation and determination needed to achieve a goal is known as A) Goal Enticement B) Goal Engagement C) Goal Commitment D) Goal Alignment

C) Coal Commitment

Earning a college Degree is an example of a _____ goal, while earning a good grade on this week's exam is an example of a _____ goal. A) Proximal; distal B) unspecified; vague C) distal; proximal D) vague; unspecified

C) Distal; proximal

A method of management in which management and employees agree to specific goals that are then used to evaluate individual performance is called A) Performance Dashboard B) Action Plan C) Management by objectives D) Goal Commitment

C) Management by Objectives

A visual representation of an organization's strategies and goals, which allows managers to track progress toward metrics and goals immediately, is called a A) Metic Analyzer B) Balanced Scorecard C) Performance Dashboard D) Visualized Goal Chart

C) Performance Dashboard

Which of these provide a visual representation of an organization's strategies and goals, which allows managers to easily track progress toward metrics and goals? A) Management by Objectives Operations-based Planning C) Performance Dashboard D) SMART Goals

C) Performance Dashboard

Which of the following is not a five force shaping industry competition as developed by Michael Porter? A) Rivalry B) Power of Buyers C) Power of Government D) Power of suppliers

C) Power of Government

"S" in the SWOT analysis represents A) Stars B) Strategy C) Strengths D) structure

C) Strengths

Question NumberQ 3: ______ are plans that cover an intermediate time scale and enact divisional strategies by allocating people and resources. A) Operational plans B) Long-term plan C) Tactical plans D) Directional plan

C) Tactical Plans

A plan that covers time periods of a year or more and is used to achieve future goals refers to A) standing plan. B) complex plan. C) long-term plan. D) short-term plan.

C) long-term plan.

_____ refers to the financial and human resources available to the company, which will enable or hinder it to achieve goals.

Capacity

Tide laundry detergent has a high market share in a low growth rate market. Tide would fall into which quadrant of the BCG Matrix?

cash cow

Activities and processes that an organization routinely does well in comparison to its competitors are

core capabilities

When an organization seeks competitive advantage by providing goods or services that are significantly different from the competition, it is pursuing a

differentiation strategy

_____ are organizations that have very little market presence and barely register on other companies' radars.

dogs