strategic mkting

What is the cornerstone of effective strategy evaluation?

Adequate and timely feedback

Modern organizational realities demand that employees demonstrate greater

All of the above

Why is market segmentation an important variable in strategy implementation?

All of the above

How should financial budgets be thought of?

As a method for obtaining the most productive and profitable use of an organization's resources.

Which approach for managing and resolving conflict involves ignoring the problem in hopes that the conflict will resolve itself?

Avoidance

What has been shown to permit quick response to change, prevent panic in crisis situations, and make managers more adaptable?

Contingency planning

What is the basis for quantitative financial evaluation?

Financial ratios

Which item is not included in net worth?

Fixed Assets

A concern in matching managers with strategy is that jobs have relatively ________ responsibilities, while people are ________ in their development.

STATIC: DYNAMIC

Which of the following statements is true?

Seniority rather than performance has been the key factor in determining pay in Japan.

What becomes a more attractive financing technique when cost of capital is high?

Stock issuance

Matching of which factors would allow factories to produce desirable levels without extra shifts, overtime or subcontracting?

Supply and demand

Of the Fortune 500 firms, how many have a woman CEO?

Thirteen

Which of the following is not an example of a decision that may require finance/accounting policies?

To determine the amount of product diversification

Which of these is not a rule of thumb when using product positioning as a strategy-implementation tool?

Try to serve more than one segment with the same strategy."

In the course of strategy evaluation if you discover that major changes have occurred in the firm's internal strategic position, you should

take corrective actions.

Perhaps the most dramatic new market segmentation strategy is the

targeting of regional tastes.

Looking for a vacant niche helps a company determine

the best place to position a product.

All of the following are reasons strategy evaluation is more difficult today except:

the decreasing difficulty of predicting the future with accuracy.

The Fortune 50 includes all of the following except:

the largest hospitals.

Financial ratios are used to compare a firm's performance over different time periods, compare the firm's performance to industry averages, and compare a firm's performance with

the performance of competitors.

All of the following statements regarding the recent trend in Japan of switching from seniority-based pay to performance-based approaches are true except

the switch is boosting employee morale.

Proponents of the top-down approach contend that _______ are the only persons in the firm with the collective experience, acumen, and fiduciary responsibility to make key strategy decisions.

top executives

Approximately how many people in the United States are now part of two-career families?

60 million

What are the three categories of approaches for managing and resolving conflict?

A) Avoidance, defusion and confrontation

Which of the following is a management issue central to strategy implementation?

A) Devising policies B) Revising reward and incentive plans C) Minimizing resistance to change D) Linking performance and pay to strategies ***E) All of the above

Which of the following is a corrective action a company might take to correct unfavorable variances?

A) Divesting a division B) Revising objectives C) Raising capital with stock or debt D) Allocating resources differently ****E) All of the above

What corrective actions might a firm take during strategy evaluation?

A) Revising the business mission B) Issuing stock C) Revising objectives D) Selling a division ***E) All of the above

A change strategy that attempts to convince people that the change is to their personal advantage is

Rational

Changing a strategy to fit an existing culture

A) is usually less effective than changing a firm's culture to fit a new strategy.

Policies

A) let both employees and managers know what is expected of them. B) provide a basis for management control. C) allow coordination across organizational units. D) reduce the amount of time managers spend making decisions. ***E) all of the above

Considerable time and effort should be devoted to assuring objectives are well conceived because they represent the basis for

A) monitoring progress toward long-term objectives. B) establishing divisional priorities. C) allocating resources. D) evaluating managers. ***E) all of the above

A disagreement between two or more parties on one or more issues is called a(n)

CONFLICT

Which of the following is not included in measuring organizational performance?

Comparing results to competitors' expectations

72) Which approach for managing and resolving conflict involves exchanging members of conflicting parties so that each can gain an appreciation of the other's point of view?

Confrontation

In the low earnings period, too much ________ in the capital structure of an organization can endanger stockholders' return and jeopardize company survival.

Debt

Which approach for managing and resolving conflict involves playing down differences between conflicting parties while accentuating similarities and common interests?

Defusion

What is a drawback of using only equity to raise capital?

Dilution of the control of the company

Medium-sized firms are more likely to use which type of structure?

Divisional

Which two variables rank as marketing's most important contributions to strategic management?

E) Market segmentation and product positioning

Resistance to change can manifest itself through

E) all of the above

On average, CEOs at Japanese companies are paid more than CEOs at American or European companies.

FALSE

Which organizational structure is the most simple and inexpensive?

Functional

What type of organizational structure do most small businesses follow?

Functional structure

What is the stated reason for Boeing's firing of CEO Harry Stonecipher?

Having an extramarital affair

Why is market segmentation an important variable in the strategy-implementation process?

It directly affects marketing mix variables.

Which of the following is true regarding the design of a firm's strategy-evaluation system?

It should be determined based on the unique characteristics of a company.

Which of the following is in keeping with the current view of organizational change?

Organizational change is a continuous process.

In preparing projected statements, to project cost of goods sold and the expense items in the income statement, which of these methods is recommended?

Percentage-of-sales method

Which of the following variables are not directly affected by market segmentation?

Process

Which of the following is not a reason for the increasing difficulty of evaluating strategies?

Product life cycles are longer.

Which of these is not a key financial ratio?

Production quality

Which of the following is not an accepted for determining a business's worth?

What the firm's return on investment has been.

A benefit of using projected balance sheets and income statements is that

an organization can compute projected financial ratios under various scenarios.

Retained earnings is obtained by subtracting

any dividends to be paid for that year from net income

Corrective action should do all of the following except

avoid external opportunities.

All of these are Richard Rumelt's criteria to evaluate a strategy except:

distinctiveness.

If success for one organizational department means failure for another department, then strategies may be

inconsistent.

With the passage of time strategy evaluation is becoming

increasingly difficult.

Projected financial analysis is an important strategy-implementation technique because

it allows an organization to examine the expected results of various actions and approaches.

Too much emphasis on evaluating strategies

may be expensive and counterproductive.

Increased education and diversity of the workforce at all levels are reasons why

middle- and lower-level managers, and even nonmanagers, should be involved in the strategic planning process.

The strategy-evaluation process should foster

mutual understanding.

Corrective actions are almost always _______ except when external and internal factors have not significantly changed and the firm is progressing satisfactorily toward achieving stated objectives.

needed

Conflict in an organization is

not always bad.

All of the following are reasons to be completely open with the strategy process except

openness limits rival firms from imitating or duplicating the firm's strategies.

Subdividing a market into distinct subsets of customers according to their needs and the way they buy and use a product or service is known as

positioning.

R&D employees and managers perform all of the following tasks except:

researching resource availability.

All of the following are ways and means for altering an organization's culture except:

retrenchment

The strategy-evaluation process

should foster mutual understanding and trust.