4970

Taylor's emphasis on maximizing organizational performance became redundant when strategic management as a field developed. True False

False

The cap-stone course established by the Ford Foundation focuses on the notion that a single way of addressing a problem leads to the success of a firm. True False

False

The economic segment of the general environment includes elements such as tax policies, changes in trade restrictions and tariffs, and the stability of governments. True False

False

_____ of performance relate to organizational effectiveness and profits. Customer measures Learning and growth measures Internal business process measures Public responsibility measures Financial measures

Financial measures

_____ is a dimension which refers to the tendency to pursue creativity and experimentation. Proactiveness Innovativeness Autonomy Competitive aggressiveness Risk taking

Innovativeness

_____ of performance relate to organizational efficiency. Customer measures Learning and growth measures Internal business process measures Public responsibility measures Financial measures

Internal business process measures

Which of the following statements holds true for strategy as a pattern? It refers to how executives interpret the competitive landscape around them. It is a carefully crafted set of steps that a firm intends to follow in order to be successful. It focuses on the extent to which a firm's actions over time are consistent. It is a specific move designed to outwit or trick competitors. It refers to a firm's place in the industry relative to its competitors.

It focuses on the extent to which a firm's actions over time are consistent.

_____ is a dimension which refers to the tendency to engage in bold rather than cautious actions. Proactiveness Innovativeness Autonomy Competitive aggressiveness Risk taking

Risk taking

_____ refers to a stage in strategic management process which involves developing specific strategies and actions. Strategy formulation Strategy evaluation and control Strategy implementation Strategy evolution Environmental and internal scanning

Strategy formulation

_____ refers to a stage in strategic management process which entails crafting an effective organizational structure and corporate culture. Strategy formulation Strategy evaluation and control Strategy implementation Strategy evolution Environmental and internal scanning

Strategy implementation

The environment is a source of opportunities and threats for an organization. True False

True

The icon CEO combines style and substance in the execution of his/her job responsibilities. True False

True

When an organization's environment is very stable and predictable, strategic planning can provide enough of a strategy for the organization to gain and maintain success. True False

True

The industry, a component of the environment of an organization, is also called the _____. micro-environment macro-environment common environment competitive environment meso-environment

competitive environment

Glen is an artist who started an online business of selling hand-painted cards. He intended to mail the cards to the customer's address. He started a Web site where customers could specify the type of designs they wanted. Glen would then paint the cards according to the specifications of the customer. He later dropped the idea of mailing the cards to the customers. The fact that he still runs an online card selling business, which caters to the needs of individual customers, is an example of a(n) _____ strategy. marked deliberate make over non-realized pre-termed

deliberate

Profit potential of an industry is one of the five forces proposed by Michael Porter in his five forces analysis. True False

False

Scoundrels are those CEOs who toil in relative obscurity while leading their firms to success. True False

False

Which of the following is true about strategic groups? A strategic group refers to different divisions within one organization. A strategic group refers to the group of senior managers in an organization. Strategic groups are sets of firms that follow different strategies. A strategic group consists of a set of industry competitors that have similar characteristics to each other but differ in important ways from the members of other groups. Strategic groups consist of the technical and operational heads of an organization.

A strategic group consists of a set of industry competitors that have similar characteristics to each other but differ in important ways from the members of other groups.

_____ stressed on how strategy and organizational structure need to be consistent with each other in order to ensure strong firm performance. Frederick W. Taylor Michael Porter Niccolò Machiavelli Alfred Chandler Thomas Friedman

Alfred Chandler

_____ is a dimension which tells whether an individual or team of individuals within an organization has the freedom to develop an entrepreneurial idea and then see it through to completion. Proactiveness Innovativeness Autonomy Competitive aggressiveness Risk taking

Autonomy

_____ offered concepts such as Five Forces Analysis and Generic Strategies that continue to strongly influence how executives choose strategies. The Principles of Scientific Management Competitive Strategy: Techniques for Analyzing Industries and Competitors The Prince Strategy and Structure: Chapters in the History of the Industrial Enterprise The World is Flat: A Brief History of the Twenty-First Century

Competitive Strategy: Techniques for Analyzing Industries and Competitors

_____ is a dimension which refers to the tendency to intensely and directly challenge competitors. Proactiveness Innovativeness Autonomy Competitive aggressiveness Risk taking

Competitive aggressiveness

_____ of performance relate to client attraction, satisfaction, and retention. Customer measures Learning and growth measures Internal business process measures Public responsibility measures Financial measures

Customer measures

Which of the following terms describes the processes, practices, and decision-making styles of organizations that act entrepreneurially? Entrepreneurial measure Entrepreneurial analysis Entrepreneurial orientation Entrepreneurial culture Entrepreneurial referent

Entrepreneurial orientation

_____ refers to a stage in strategic management process wherein managers must constantly look out for trends and events in the external environment that affect the overall economy and also monitor changes in the particular industry in which the firm operates. Strategy formulation Strategy evaluation and control Strategy implementation Strategy evolution Environmental and internal scanning

Environmental and internal scanning

Which of the following statements holds true for strategy as a plan? A)It refers to how executives interpret the competitive landscape around them. B)It is a carefully crafted set of steps that a firm intends to follow in order to be successful. C)It focuses on the extent to which a firm's actions over time are consistent. D)It is a specific move designed to outwit or trick competitors. E) It refers to a firm's place in the industry relative to its competitors.

It is a carefully crafted set of steps that a firm intends to follow in order to be successful

Which of the following statements holds true for strategy as a ploy? It refers to how executives interpret the competitive landscape around them. It is a carefully crafted set of steps that a firm intends to follow in order to be successful. It focuses on the extent to which a firm's actions over time are consistent. It is a specific move designed to outwit or trick competitors. It refers to a firm's place in the industry relative to its competitors.

It is a specific move designed to outwit or trick competitors.

With regard to CEOs, which of the following statements holds true for the term "scoundrels"? It refers to CEOs displaying low lack fame and enjoying negative reputations. It refers to CEOs possessing both fame and strong reputations. It refers to CEOs who are overlooked and ignored sources of harm to their firms. It refers to CEOs who lack fame but possess positive reputations. It refers to CEOs displaying high levels of relative fame but low levels of reputation.

It refers to CEOs displaying high levels of relative fame but low levels of reputation.

With regard to CEOs, which of the following statements holds true for the term "icons"? It refers to CEOs displaying low lack fame and enjoying negative reputations. It refers to CEOs possessing both fame and strong reputations. It refers to CEOs who are overlooked and ignored sources of harm to their firms. It refers to CEOs who lack fame but possess positive reputations. It refers to CEOs displaying high levels of relative fame but low levels of reputation.

It refers to CEOs possessing both fame and strong reputations.

With regard to CEOs, which of the following statements holds true for the term "silent killers"? It refers to CEOs displaying low lack fame and enjoying negative reputations. It refers to CEOs possessing both fame and strong reputations. It refers to CEOs who are overlooked and ignored sources of harm to their firms. It refers to CEOs who lack fame but possess positive reputations. It refers to CEOs displaying high levels of relative fame but low levels of reputation.

It refers to CEOs who are overlooked and ignored sources of harm to their firms.

With regard to CEOs, which of the following statements holds true for the term "hidden gems"? It refers to CEOs displaying low lack fame and enjoying negative reputations. It refers to CEOs possessing both fame and strong reputations. It refers to CEOs who are overlooked and ignored sources of harm to their firms. It refers to CEOs who lack fame but possess positive reputations. It refers to CEOs displaying high levels of relative fame but low levels of reputation.

It refers to CEOs who lack fame but possess positive reputations

Which of the following statements holds true for strategy as a position? It refers to how executives interpret the competitive landscape around them. It is a carefully crafted set of steps that a firm intends to follow in order to be successful. It focuses on the extent to which a firm's actions over time are consistent. It is a specific move designed to outwit or trick competitors. It refers to a firm's place in the industry relative to its competitors.

It refers to a firm's place in the industry relative to its competitors.

Which of the following statements holds true for strategy as a perspective? It refers to how executives interpret the competitive landscape around them. It is a carefully crafted set of steps that a firm intends to follow in order to be successful. It focuses on the extent to which a firm's actions over time are consistent. It is a specific move designed to outwit or trick competitors. It refers to a firm's place in the industry relative to its competitors.

It refers to how executives interpret the competitive landscape around them.

Taylor believed that businesses would be much more efficient if principles for management were derived through scientific investigation. True False

True

_____ of performance focus on innovation and proceed with an understanding that strategies change over time. Customer measures Learning and growth measures Internal business process measures Public responsibility measures Financial measures

Learning and growth measures

The book, "The Prince" was written by _____. Michael Porter Frederick W. Taylor Niccolò Machiavelli Thomas Friedman Alfred Chandler

Niccolò Machiavelli

Which of the following is true about fragmented industries? Over time some firms will try to steal customers from other firms. They do not offer similar products in the same city at the same time. Their advertising does not lampoon each other. A competitive move by one firm will be typically ignored by others. Rivalry between competitors tends to be polite.

Over time some firms will try to steal customers from other firms.

Which of the following is one of the five forces of Michael Porter's five forces analysis? Economic elements Governmental regulations Cultural and social trends affecting an industry Geographic origin of an industry Potential new entrants to an industry

Potential new entrants to an industry

_____ is a dimension which refers to the tendency to anticipate and act on future needs. Proactiveness Innovativeness Autonomy Competitive aggressiveness Risk taking

Proactiveness

_____ offers an insightful guide for conquering and ruling territories and recipes for success to government leaders. The Principles of Scientific Management Competitive Strategy: Techniques for Analyzing Industries and Competitors The Prince Strategy and Structure: Chapters in the History of the Industrial Enterprise The World is Flat: A Brief History of the Twenty-First Century

The Prince

_____ stressed on how organizations could become more efficient through identifying the "one best way" of performing important tasks. The Principles of Scientific Management Competitive Strategy: Techniques for Analyzing Industries and Competitors The Prince Strategy and Structure: Chapters in the History of the Industrial Enterprise The World is Flat: A Brief History of the Twenty-First Century

The Principles of Scientific Management

_____ argued that many of the advantages that firms in developed countries like the United States, Japan, and Great Britain take for granted are disappearing. The Principles of Scientific Management Competitive Strategy: Techniques for Analyzing Industries and Competitors The Prince Strategy and Structure: Chapters in the History of the Industrial Enterprise The World is Flat: A Brief History of the Twenty-First Century

The World is Flat: A Brief History of the Twenty-First Century

Which of the following assesses organizational performance taking into consideration the financial measures, customer measures, internal business measures and learning and growth measures? SWOT analysis PESTLE analysis The balanced scorecard The triple bottom line EFQM Model

The balanced scorecard

Which of the following components of the environment consists of organizations with which an organization interacts regularly, such as its suppliers, rivals, and customers? The opportunistic environment The competitive environment The meso-environment The micro-environment The intellectual environment

The competitive environment

Which of the following is also called the macro-environment of a business? The general environment The economic environment The political environment The social and cultural environment The competitive environment

The general environment

Members of a firm's strategic group are usually its closest rivals. True False

True

Strategy and organizational structure need to be consistent with each other in order to ensure strong firm performance. True False

True

A goal is _____ if achieving it presents a significant challenge to the organization. measurable realistic time-bound specific aggressive

aggressive

The five forces analysis differs from the PESTEL analysis in that the five forces analysis is used for: analyzing a firm's strengths and weaknesses along with the opportunities and threats that exist in the firm's environment. evaluating strategic groups in order to understand gaps in the industry that represent untapped opportunities. analyzing how much profit potential exists in an industry. evaluating profit potential of an organization's various business units or product lines. organizing factors within the general environment and identifying how these factors influence industries and the firms within them.

analyzing how much profit potential exists in an industry.

Buyers are more likely to be powerful relative to the firms from which they purchases goods and services if: buyers have the ability to become a new entrant to the industry if they wish. the good or service purchased by the buyers represents a small percentage of the buyer's costs. the industry's goods or services are highly differentiated. there are relatively few firms supplying the industry compared to the number of buyers. the good or service is of significant importance to the quality or price of the buyer's offerings.

buyers have the ability to become a new entrant to the industry if they wish.

The likelihood of new entrants joining an industry is low if differentiation among existing competitors is high because: new entrants struggle to match incumbents' prices. this discourages customers from buying a new entrant's offerings. new entrants struggle to gather enough cash to get started. each incumbent has a group of loyal customers that enjoy its unique features. new entrants struggle to get their offerings to customers.

each incumbent has a group of loyal customers that enjoy its unique features.

Mike owns a store which sells baseball bats. He soon realizes that the customers who buy baseball bats also ask for baseball jerseys. Therefore he starts stocking baseball apparel to cater to the needs of his customers. This is an example of a(n) _____ strategy. emergent marked pre-termed intended realized

emergent

New entrants are more likely to join an industry if: existing competitors enjoy economies of scale. access to distribution channels is limited. switching costs for consumers are high. capital requirements to enter the industry are high. expected retaliation from existing competitors is low.

expected retaliation from existing competitors is low.

Rivalry between competitors of an industry tends to be fierce when: exit barriers in the industry are low. fixed costs in the industry are high. competitors are differentiated from each other. competition is based on the uniqueness of the industry's offerings. the growth rate of demand for the industry's offerings is high.

fixed costs in the industry are high.

PESTEL analysis is an important tool: that considers a firm's strengths and weaknesses along with the opportunities and threats that exist in the firm's environment. for executives to analyze strategic groups in order to understand gaps in the industry that represent untapped opportunities. for analyzing how much profit potential exists in an industry. for evaluating profit potential of an organization's various business units or product lines. for organizing factors within the general environment and identifying how these factors influence industries and the firms within them.

for organizing factors within the general environment and identifying how these factors influence industries and the firms within them

Run and Play, a well-known athletic wear company, operates through a number of outlets which are owned and managed by private individuals. The company has allowed these outlets to use its brand name and products. They can do so after paying a fee to Run and Play. The outlets also pay a part of their revenue to the Run and Play. This is an example of: franchising. comparative scaling. differentiation. positioning. brand essence.

franchising

Jeff wants to open a fast food shop near a mall in order to attract the crowds that visit the shopping mall. This is an example of a(n) _____ strategy. emergent marked pre-termed intended realized

intended

A goal is _____ to the extent that whether the goal is achieved can be quantified. measurable realistic time-bound specific aggressive

measurable

Glen is an artist who started an online business of selling hand-painted cards. He intended to mail the cards to the customer's address. He started a Web site where customers could specify the type of designs they wanted. Glen would then paint the cards according to the specifications of the customer. He later dropped the idea of mailing the cards to the customers as he found it too costly. The fact that Glen dropped the idea of mailing the cards to the customers is an example of a(n) _____ strategy. marked deliberate make over non-realized pre-termed

non-realized

Understanding the nature of strategic groups within an industry is important because: this discourages customers from buying a new entrant's offerings. placing an emphasis on the members of a firm's group is helpful as these firms are usually its closest rivals. this provides a better understanding of a new entrant's struggle to match incumbent's prices. this helps a firm's suppliers streamline their processes and provide cost-effective products and services. each firm in a firm's group has a group of loyal customers that enjoy its unique features.

placing an emphasis on the members of a firm's group is helpful as these firms are usually its closest rivals.

Some hospital executives have noted that illegal immigrants put a strain on the health care system because immigrants seldom can pay for medical services and hospitals cannot by law turn them away from emergency rooms. For these hospitals, this aspect of illegal immigration represents the _____ segment of PESTEL analysis. political economic social technological environmental

political

A goal must be _____, meaning that its achievement should be feasible. measurable realistic time-bound specific aggressive

realistic

Glen is an artist who started an online business of selling hand-painted cards. He intended to mail the cards to the customer's address. He started a Web site where customers could specify the type of designs they wanted. Glen would then paint the cards according to the specifications of the customer. Glen soon started offering cash refunds in case the customer was not satisfied with the cards because he realized that other online businesses had also started offering the same facilities. He now runs a booming business. This is an example of a(n) _____ strategy. established marked pre-termed arranged realized

realized

Increasing participation of women in the paid workforce has benefited organizations like daycares. This example represents the _____ segment of PESTEL analysis. political economic social technological environmental

social

A goal is _____ if it is explicit rather than vague. measurable realistic time-bound specific aggressive

specific

Understanding the nature of strategic groups within an industry is important because: this discourages customers from buying a new entrant's offerings. such an analysis can reveal gaps in the industry that represent untapped opportunities. this provides a better understanding of a new entrant's struggle to match incumbent's prices. this helps a firm's suppliers streamline their processes and provide cost-effective products and services. each firm in a firm's group has a group of loyal customers that enjoy its unique features.

such an analysis can reveal gaps in the industry that represent untapped opportunities.

Suppliers are more likely to be powerful relative to the firms to which they sell their goods and services if: suppliers have the ability to enter the industry if they wish. the suppliers' industry is highly fragmented. there is an effective substitute for what the supplier group provides. suppliers' products are not differentiated. suppliers rely heavily on industry members to be profitable.

suppliers have the ability to enter the industry if they wish

A goal is _____ if it is achieved through the creation of deadlines. measurable realistic time-bound specific aggressive

time-bound