Strategic Management Final

C. Learning and growth

"To achieve our vision, how will we sustain our ability to change and improve?" is part of which perspective in the Balanced Scorecard? A. Financial B. Customer C. Learning and growth D. Internal business process

D. Position power

___________ is the source of power many new managers expect to be able to rely on, but often the least useful. A. Referent power B. Reward power C. Punitive power D. Position power

D. The accelerated pace and complexity of business

___________ will increase pressure on corporations to push authority downward in their organizations. This means every line manager will have to exercise leadership prerogatives to an extent unthinkable a generation earlier. A. Globalization B. Fragmentation of industries C. Consolidation of industries D. The accelerated pace and complexity of business

C. Principles

____________ are your fundamental personal standards that guide your sense of honesty, integrity and ethical behavior. A. Values B. Ethics C. Principles D. Passions

B. Education and leadership development

____________ is the effort to familiarize future leaders with the skills important to the company and to develop exceptional leaders among the managers you employ. A. Identifying an action plan B. Education and leadership development C. Developing principles D. Creating passion

B. Transparency

_____________ can be seen in principles, honesty and "living by example." This can become a major force by which a leader will shape and move his or her organization. A. Prioritization B. Transparency C. Strategy D. Long-term objectives

D. Reputation effects

According to research, the primary vehicle for achieving superior financial performance from social responsibility is via A. Gift giving B. Global marketing efforts C. Internal audit effects D. Reputation effects

B. interpersonal leadership

According to researcher Ronald Riggio, ability to communicate falls under the _____ level of competence. A. self/personal leadership B. interpersonal leadership C. emotional leadership D. managerial leadership

C. dyadic leadership

According to researcher Ronald Riggio, which one of the following is NOT a recommended level where senior leaders should develop competency?: A. self/personal leadership B. interpersonal leadership C. dyadic leadership D. leading teams and organizations

C. Leader's vision

A _________ is an articulation of a simple criterion or characterization of what the leader sees the company must become to establish and sustain global leadership. A. Leader's principle B. Mission C. Leader's vision D. Strategic intent

C. Company mission statement

A broadly framed but enduring statement of a firm's intent is the: A. Company philosophy B. Company creed C. Company mission statement D. Company vision statement

B. Core competence

A capability or skill that a firm emphasizes and excels in doing while in pursuit of its overall mission is called a: A. Intangible asset B. Core competence C. Capability D. Distinctive Competence

C. Stakeholders

A firm's claimants are sometimes collectively referred to as A. Stockholders B. Employees C. Stakeholders D. Customers

A. Special alert control

A(n) _____________ is the thorough and often rapid, reconsideration of the firm's strategy because of a sudden, unexpected event. A. Special alert control B. Implementation control C. Milestone control D. Premise control

C. compete

A(n) strategy reflects a company's awareness of how, when and where is should ____, against whom it should _____ and for what purpose it should _____. A. cooperate B. ally C. compete D. plan

D. shaping organizational culture

Leaders galvanize commitment to embrace change through clarifying strategic intent, building an organization, and A. by strategic planning B. developing a mission C. developing a Vision D. shaping organizational culture

B. Selection and development of key managers

Leaders look to managers to execute strategy, accept risk and cope with the complexity of change. So, _________ becomes a major leadership role. A. Setting short-term strategy B. Selection and development of key managers C. Establishing priority among senior executives D. Limiting managerial "buy-in"

B. culture

Leaders shape organizational _____ through their passion for the enterprise and the selection/development of talented managers to be future leaders. A. strategic intent B. culture C. vision D. strategy

C. Increasingly

Leaders today _________ rely on their personal ability to influence others. A. Decreasingly B. Try not to C. Increasingly D. Should never

B. Integration process

Linking skills, knowledge and resources across units in the middle-management level demonstrates the: A. Renewal process B. Integration process C. Entrepreneurial process D. Innovation process

C. future

Vision is a ____ picture. A. present B. past C. future D. timely

C. simple

Vision should be A. varied B. complex C. simple D. long

D. Punitive power

___________ is the power exercised via coercion or fear of punishment for mistakes by a manager's subordinates. A. Expert influence B. Information power C. Position power D. Punitive power

A. Manifest themselves exponentially

A future leader's personal philosophies and choices ___________ for any key leaders of any organization. A. Manifest themselves exponentially B. Are usually diminished over time C. Always permeate the company D. Become less pronounced with time

D. Performance expectations

A key element of good organizational leadership is to make clear the ___________ a leader has for the organization and managers in it, as they seek to move toward the vision. This will help keep the firm on track in the present term. A. Strategic purpose B. Strategic goals C. Alternative structures D. Performance expectations

D. Seek to get the work of their unit done over time

A key way the characteristics of the desirable manager manifest themselves in a manager's routine activities is found in the way they: A. Seek to get favorable decisions from corporate management B. Collaborate with others C. Choose individual workers D. Seek to get the work of their unit done over time

A.Value chain

A perspective in which business is seen as a chain of activities that transforms inputs into outputs that customers value is called: A.Value chain B.Value chain analysis C.Resource-base D.Process division

A. Short and long-term measures

A properly constructed Balanced Scorecard is balanced between: A. Short and long-term measures B. Stakeholder financial measures C. Organizational and stakeholder performance perspectives D. Pricing and packaging of the firm's products

A. not necessarily

A strength is _______ a source of competitive advantage. A. not necessarily B. always C. never D. seldom

B. Its leaders show by example what principles are important

An effective organization is better built and is strongest when: A. Its leaders clearly articulate their vision for the firm B. Its leaders show by example what principles are important C. Its leaders "manage from afar" D. Its leaders micromanage the employees of the firm

B. Tribe

An organization is much like a(n) __________, in which new members must be initiated and earn trust and credibility among fellow members. A. Institution B. Tribe C. Army D. Elite club

C. culture

An organization's ______ is similar to an individual's personality. A. strategy B. leadership C. culture D. vision

C. Intangible

An organization's culture is A Stated B. Very obvious to outsiders C. Intangible D. Formalized

A. Referent influence

Asif was one of the most charismatic managers at Titan Systems. He had a great personality and was always very empathetic to employee needs. Asif can be characterized as having strong: A. Referent influence B. Peer influence C. Expert influence D. Information power

A. Internalization

Assumptions become shared assumptions through __________ among an organization's individual members. A. Internalization B. Externalization C. Reiteration D. Reflection

D. Corporate; business

At Office Supply, Inc., ____ -level managers would be responsible for determining whether the company should be involved in home furnishings or electronic appliance businesses, whereas ____ -level managers would be responsible for determining how the firm will compete in the selected product-market arena. A. Business; corporate B. Corporate; functional C. Functional; business D. Corporate; business

A. Near its all-time low

At present, the public's perception of the ethics of corporate executives in America is A. Near its all-time low B. At the highest level C. Moderately high D. Non-existent

C. Initiating price cuts

Attracting competitors' customers encompasses: A. Decreasing promotional efforts B. Establishing sharper brand similarities C. Initiating price cuts D. Increasing purchase size

A. Renewal process

Attracting resources and capabilities and developing the business at the front-line management level exemplifies the: A. Renewal process B. Integration process C. Innovation process D. Entrepreneurial process

C. Exploit new markets

Awareness of technological changes in its industry helps the firm to: A. Interpret new regulations B. Act slowly and carefully C. Exploit new markets D. Forecast social change

D. Requires rethinking the management role and the distribution of management roles within a twenty-first century company

Bartlett and Ghoshal studied several of the most successful global companies in the last decade. Their research suggests that combining flexible responsiveness with integration and innovation: A. Requires consistency in the management role in a twenty-first century company B. Is based on an institution, not a process in a twenty-first century company C. Determines the value of the management role in a twenty-first century company D. Requires rethinking the management role and the distribution of management roles within a twenty-first century company

B. Rebuilding or remaking

Because leaders are attempting to embrace change, they are often _____________ their organization. A. Abandoning B. Rebuilding or remaking C. Divesting businesses in D. Repositioning

D. Position power

By virtue of Sam's vice presidency in the organization, certain decision-making authorities and responsibilities are conferred that he is entitled to use to get things done. This is an example of: A. Peer influence B. Expert influence C. Punitive power D. Position power

A. The use of meaningful standards for comparison in internal analysis

Common to all the approaches to internal analysis is: A. The use of meaningful standards for comparison in internal analysis B. The use of external factors of analysis C. The process point of view D. Management market myopia

D. Eco-efficiency

Company actions that produce more useful goods and services while continuously reducing recourse consumption and pollution refers to A. Product differentiation B. Economics of scale C. Barriers to entry D. Eco-efficiency

A. Intangible asset

Company reputation is an example of a A. Intangible asset B. Tangible asset C. Organizational capability D. Organizational function

C. The company's relative dominance in the marketplace

Competitive position as a measure of corporate success is typically measured as: A. The input-output relationship of the company B. The earnings per share of the company C. The company's relative dominance in the marketplace D. The firm's stock value

D. All of the above.

Components of the mission statement are: A. unique competencies, market scope, and product scope B. philosophy, geographic domain, concern for survival C. quality, concern for public image, technology D. All of the above.

D. Financial returns

Conglomerate diversification is concerned primarily with: A. Stock appreciation B. Product development C. Market synergy D. Financial returns

B. Innovation

Creating a new-product life cycle is the underlying philosophy of a grand strategy of: A. Product development B. Innovation C. Horizontal integration D. Market development

D. Expedites decision making

Delegation ______ in response to varied competitive environments. A. Slows decision making B. Is a form out outsourcing C. Increases the management levels necessary D. Expedites decision making

B. Renewal process

Developing operating managers and supporting their activities occurs in middle management as part of the: A. Integration process B. Renewal process C. Innovation process D. Entrepreneurial process

A. cash flows

Direct penetration of foreign markets makes sense as a competitive weapon because a firm can drain vital ____ from a foreign competitor's domestic operations. A. cash flows B. export sales C. dividends D. debt

D. Make use of all seven sources of power, often in combination

Effective leaders: A. Choose just one key source of power and influence B. Tend to limit these types of influence and use more legitimate means C. Usually do not have reason to use more than one of these types of power at a time D. Make use of all seven sources of power, often in combination

B. Global mindset

Engendering trust through genuine awareness and openness to people from diverse backgrounds is called ______. A. Sympathy B. Global mindset C. Relationship D. Sensitivity

C. before

External and internal assessments are conducted ______ a firm enters global markets. A. after B. during C. before D. once

C. Specificity

Flexibility is usually increased at the expense of: A. Reliability B. Timeliness C. Specificity D. Mobility

B. Encouraging dissemination of legends about core values

Foto Show, an online full-service photo processing site, institutionalizes its storytelling among old and new employees alike--they even give awards to reinforce the given theme. This demonstrates: A. Emphasizing dominant values B. Encouraging dissemination of legends about core values C. Building time in the organization D. Managing organizational culture in a global organization

D. Availability of skills

Four factors are mentioned which affect a firm's access to needed personnel. One of these factors is: A. Geographic location B. Employee benefits C. National employment rates D. Availability of skills

B. emotional

Good leaders are inevitably good verbal and ___ communicators A. visual B. emotional C. oral D. loud

A. Major actions designed to accomplish long-term objectives

Grand strategies provide a comprehensive general approach to guide the organization's: A. Major actions designed to accomplish long-term objectives B. Major actions designed to accomplish short-term objectives C. Operational actions designed to accomplish short-term objectives D. Operational actions designed to accomplish intermediate term objectives

D. Forward vertical acquisition

If a textile producer acquires a shirt manufacturer, this is called: A. Vertical horizontal acquisition B. Backward horizontal acquisition C. Backward vertical acquisition D. Forward vertical acquisition

D. clarifying strategic intent

Leaders galvanize commitment to embrace change through __________, building an organization, and shaping organizational culture. A. by strategic planning B. developing a mission C. developing a Vision D. clarifying strategic intent

A. Activity-based cost accounting

In VCA, which method of cost accounting is preferred? A. Activity-based cost accounting B. Value-based cost accounting C. Traditional cost accounting D. Financial cost accounting

B. Entrepreneurial process

In front-line management, creating and pursuing opportunities and managing contiguous performance improvement is an example of the: A. Integration process B. Entrepreneurial process C. Renewal process D. Innovation process

D. Low cost leadership

Intense supervision of labor is a commonly required skill for which one of Michael Porter generic strategies? A. Differentiation B. Market development C. Product development D. Low cost leadership

B. Strengths

Internal assessment involves identification of the basic ______ of a firm's operations. A. Opportunities B. Strengths C. Threats D. Competitors

C. Information power

Jerry was using __________ when he asked his workers to reorganize the department. They did not yet know why they were doing this, but knew that Jerry had a good reason that he had not yet shared. A. Referent power B. Punitive power C. Information power D. Peer influence

A. Building time in the organization

Joe Germane, CEO of Brady Healthcare, has made sure to visit each of the international business units biannually since he was brought on in the firm. This demonstrates Joe's: A. Building time in the organization B. Emphasizing key themes C. Adapting common themes in a unique way D. Institutionalizing practices that reinforce desired beliefs

D. Market development

Marketing present products, often with only cosmetic modification, to customers in related market areas describes: A. Diversification B. Concentrated growth C. Product development D. Market development

B. Mission

Objectives should be suited to the broad aims of the organization which are expressed in the statement of the company: A. Profile B. Mission C. Philosophy D. Goals

B. Reward power

Often a power source, _________ is the type used when Jomar, a business unit manager, gave Elisa, his subordinate, the option to have a flexible work schedule or to work from home in return for her finishing several projects on-deadline. A. Referent power B. Reward power C. Information power D. Peer influence

A. static

One of the limitations of the SWOT analysis is that it can be _______. A. static B. dynamic C. simple D. complex

B. The manager's role in the organization

Organizational sources of power are derived from: A. The manager's tenure at the firm B. The manager's role in the organization C. The manager's style of working individually D. The manager's functional tactics

A. Commitment

Perseverance is the capacity to see a _______ through to completion long after most people would have stopped trying. A. Commitment B. Passion C. Principle D. Integrity

B. power

Personal influence is a form of A. strategy B. power C. motivation D. reward

B. Emphasis on key themes or dominant values

Power Fund is a long-standing brokerage firm with a great history of high returns and well-managed growth. The managers at Power Fund repeatedly refer to terms like "quality," "growth," and "reliability" in the firm's advertisements. This demonstrates managers': A. Dissemination of stories and legends about core values B. Emphasis on key themes or dominant values C. Building time into the organization D. Managing the firm globally

B. Reduce costs associated with design, manufacturing and marketing

Product teams: A. Can tend to slow down innovation B. Reduce costs associated with design, manufacturing and marketing C. Place an absolute limit on customer responsiveness D. Are temporary structures

C. Renewal process

Providing institutional leadership through shaping and embedding corporate purpose and challenging embedded assumptions at the top management level is reflective of the: A. Innovation process B. Integration process C. Renewal process D. Entrepreneurial process

C. Simplicity

SWOT analysis's value and continued use is found in its: A. Complexity B. Difficulty C. Simplicity D. Short-sighted nature

D. All of the above.

Some companies choose to not have a mission statement because: A. They have a level of comfort and complacency in their current position. B. They believe mission statements revel too much information. C. They believe it takes too much work to develop an effective mission statement. D. All of the above.

A. Forecast; know

Strategic decisions are based on what managers _____, rather than on what they _____. A. Forecast; know B. React to; anticipate C. Know; forecast D. Compromise with; analyze

A. Those events that change the direction of the company and the effects of which cannot be easily reversed.

Strategic events are defined as: A. Those events that change the direction of the company and the effects of which cannot be easily reversed. B. Things that are newsworthy. C. Any event listed in the public relations section of a company website. D. Those events the company participates in to promote social responsibility.

A. Major new product announcements, mergers, changes in the top leadership team, corporate restructurings of positions and titles

Strategic events may be classified into 4 distinct types: A. Major new product announcements, mergers, changes in the top leadership team, corporate restructurings of positions and titles B. Product enhancement, mergers, changes in the top leadership team, corporate restructurings of positions and titles C. Major new product announcements, mergers, changes in middle management, corporate restructurings of positions and titles D. Product enhancement, mergers, changes in middle management, corporate restructurings of positions and titles

B. Top

Strategic issues require which level of management decisions? A. Operative B. Top C. Front-line D. Middle

B. As unfocused as possible

Strategic surveillance must be kept: A. As focused as possible B. As unfocused as possible C. As fast as possible D. Internal

B. Differentiation

Striving to create and market unique products for varied customer groups is called: A. Cost leadership B. Differentiation C. Focus D. Concentrated growth

C. Industry

Supplier power is an example of a factor that falls within the _________ environment. A. Economic B. Operating C. Industry D. Remote

A. Integration process

The ___________ according to Bartlett and Ghoshal involves building and deploying organizational capabilities. A. Integration process B. Innovation process C. Entrepreneurial process D. Renewal process

A. Entrepreneurial process

The ___________ according to Bartlett and Ghoshal involves decisions about opportunities to pursue and resource deployment. A. Entrepreneurial process B. Integration process C. Innovation process D. Renewal process

B. Renewal process

The ___________ according to Bartlett and Ghoshal involves shaping organizational purpose and enabling change. A. Entrepreneurial process B. Renewal process C. Integration process D. Innovation process

D. Horizontal acquisition

The acquisition of one or more businesses operating at the same stage of the production-marketing chain is an example of: A. Market development B. Product development C. Innovation D. Horizontal acquisition

D. Punitive power

The assembly line workers had already received cutbacks in bonus compensation when profits fell last quarter. Rogeco's managers made it clear that unless productivity and profits were brought back up to the industry benchmarks within two quarters, further cuts would be made to base pay. This demonstrates: A. Expert influence B. Referent influence C. Information power D. Punitive power

B. Resource are more valuable when they are scarce

The availability of substitutes affects which of the RBV guidelines? A. Resources are more valuable when they are durable B. Resource are more valuable when they are scarce C. Resources are more valuable when they are critical to being able to meet a customer's need better than other alternatives

A. Social factors

The considerations involving the beliefs, values, attitudes and opinions of those in a firm's environment represent the ______. A. Social factors B. Personal factors C. Economic factors D. Political factors

D. "Steering control"

The control of strategy can be characterized as a form of: A. "Performance control" B. "Mission control" C. "Vision control" D. "Steering control"

C. Economic

The duty of managers, as agents of the company owners, to maximize stockholder wealth is referred to as ________ responsibilities. A. Legal B. Discretionary C. Economic D. Ethical

C. Remote, industry, operating

The external environment can be divided into various interrelated subcategories: A. Remote, political, social B. Remote, social, operational C. Remote, industry, operating D. Technological and social

B. External environment

The factors beyond the control of the firm that influence its choice of direction and action, organizational structure and internal processes refers to A. Directional strategies B. External environment C. Organizational processes D. Internal environment

B. Lower risk

Under stable conditions, concentrated growth is characterized as: A. Higher risk B. Lower risk C. Increasing resource needs D. Increasing costs

C. Unstated

The important assumptions shared by members of an organization are often: A. Very similar to all other organizations in that industry B. Very obvious to outsiders C. Unstated D. Formalized

D. Is easy to design, but difficult to implement

The matrix structure: A. is easy to design and easy to implement B. Is difficult to design and difficult to implement C. Is difficult to design, but easy to implement D. Is easy to design, but difficult to implement

C. Its inability to integrate forward

The power of each supplier depends on: A. Low concentration B. Its commodity-like product C. Its inability to integrate forward

A. Technological forecasting

The quasi-science of anticipating environmental and competitive changes and estimating their importance to an organizations operation refers to A. Technological forecasting B. Ecology C. Industry environment D. Operating environment

A. strategic control

The rapid, accelerating change of the global marketplace has made the need for ____________ key in managing a company. A. strategic control B. Mission clarification C. Long-term performance D. Alternative structures

D. Need to be shared and distributed across three management levels

The research of Bartlett and Ghoshal suggests that the critical management functions: A. Must be present in the organization, but not necessarily in all three levels of management B. Is strictly the domain of top management? C. Should be confined, typically, to the top two management levels D. Need to be shared and distributed across three management levels

B. Maximize synergy

Using a time of relative stability to remove organizational roadblocks to the desired culture is one broad theme in attempting to: A. Manage around culture B. Maximize synergy C. Link to mission D. Reformulate the strategy or culture

B. 5

The state of competition is an industry, according to Porter, depends on ______ basic forces. A. 3 B. 5 C. 8 D. 2

C. Leader's vision

The statement, "Facebook helps you connect and share with the people in your life," is an example of a A. Leader's principle B. Mission C. Leader's vision D. Strategic intent

C. Leader's vision

The statement, "Our company is a global business system for which we raise capital to make concentrate and sell it at an operating profit. Then we pay the cost of that capital. Shareholders pocket that difference," is an example of a A. Leader's principle B. Mission C. Leader's vision D. Strategic intent

B. Ecology

The term ______ refers to the relationships among human beings and other living things and the air, soil and water that supports them. A. Pollution B. Ecology C. Operating environment D. Remote environment

D. Turnaround

The type of strategy typically accomplished either by cost reduction and/or asset reduction is known as: A. Market development B. Innovation C. Liquidation D. Turnaround

C. Pollution

Threats to life-supporting ecology caused principally by human activities is an industrial society are commonly referred to as A. Technology B. Co-efficiency C. Pollution D. Product differentiation

B. Public relations activities

Through _______, managers attempt to enhance the image of their companies, products and services by supporting worthy causes. A. Good citizenship B. Public relations activities C. Social audits D. Full corporate responsibilities

A. Profitability, employee relations and social responsibility

To achieve long-term prosperity, strategic planners commonly establish objectives in which of the following? A. Profitability, employee relations and social responsibility B. Acceptability C. Flexibility D. Joint ventures only

B. Vision

Traditionally, the concept of _________ has been a description or picture of what the company could be that accommodates the needs of all its stakeholders. A. Mission B. Vision C. Strategy D. Performance

C. self

Trust starts with ____ A. others B. empathy C. self D. social-management

B. They have sought that the frameworks be more comprehensive

What have strategists sought in frameworks besides SWOT for conducting internal analysis? A. They have sought to get less detail from other frameworks B. They have sought that the frameworks be more comprehensive C. They have sought a less generic framework D. They have sought to better account for internal factors in light of external factors

D. Firms' intangible resources can be very difficult to imitate

What is the underlying premise of the resource-based view? A. Firms generally have very similar capabilities stemming from almost identical resources B. Imitation of resources is the best way to achieve competitive advantages C. Firms differ in fundamental ways because each firm possesses a unique bundle of resources D. Firms' intangible resources can be very difficult to imitate

B. Its broad conceptual approach

What makes SWOT analysis susceptible to key limitations? A. Its narrow focus on external factors B. Its broad conceptual approach C. Its vastly limited applicability D. Its portrayal of the essence of sound strategy formulation

D. Intrinsically rewarding

When a member internalizes the beliefs and values of the firm, the corresponding behavior is: A. A shared assumption B. Extrinsically rewarding C. Enforced using referent power D. Intrinsically rewarding

D. Conglomerate diversification

When the principal or sole consideration of the acquiring firm is the profit pattern of the venture, the grand strategy is usually one of: A. Innovation B. Horizontal integration C. Concentric diversification D. Conglomerate diversification

A. Managers should focus on reinforcing the culture and achieving synergies

When there is a high potential compatibility of changes with the existing culture and few changes in key organizational factors that are necessary to implement the new strategy: A. Managers should focus on reinforcing the culture and achieving synergies B. Managers should link changes to the basic mission and fundamental organizational norms C. Managers should manage around the culture D. Managers should reformulate strategy or prepare carefully for long-term, difficult cultural change

C. Managers should link changes to the basic mission and fundamental organizational norms

When there is a high potential compatibility of changes with the existing culture and many changes in key organizational factors that are necessary to implement the new strategy: A. Managers should manage around the culture B. Managers should reformulate strategy or prepare carefully for long-term, difficult cultural change C. Managers should link changes to the basic mission and fundamental organizational norms D. Managers should focus on reinforcing the culture and achieving synergies

B. Strategic surveillance

___________ is designed to monitor a broad range of events inside and outside the firm that are likely to affect the course of its strategy. A. Special alert control B. Strategic surveillance C. Premise control D. Implementation control

C. Managers should manage around the culture

When there is a low potential compatibility of changes with the existing culture and few changes in key organizational factors that are necessary to implement the new strategy: A. Managers should link changes to the basic mission and fundamental organizational norms B. Managers should focus on reinforcing the culture and achieving synergies C. Managers should manage around the culture D. Managers should reformulate strategy or prepare carefully for long-term, difficult cultural change

B. Managers should reformulate strategy or prepare carefully for long-term, difficult cultural change

When there is a low potential compatibility of changes with the existing culture and many changes in key organizational factors that are necessary to implement the new strategy: A. Managers should link changes to the basic mission and fundamental organizational norms B. Managers should reformulate strategy or prepare carefully for long-term, difficult cultural change C. Managers should focus on reinforcing the culture and achieving synergies D. Managers should manage around the culture

B. Economic factors

When we consider the level of disposable income, we are normally considering: A. Technological factors B. Economic factors C. Political factors D. Social factors

B. Sarbanes-Oxley Act

Which law revised and strengthened auditing and accounting standards? A. Federal Fair Packaging and Labeling Act B. Sarbanes-Oxley Act C. Truth in Lending Act D. National Environmental Policy Act

B. Long-term objectives

Which of the following are intended to provide benchmarks for the evaluation of the company's progress in achieving its aim? A. Mission B. Long-term objectives C. Grand strategies D. Business policies

A. Makes policy consistency a known standard

Which of the following is NOT a strategic disadvantage of the divisional organizational structure? A. Makes policy consistency a known standard B. Increases costs incurred through duplicate functions C. Creates difficulty maintaining overall corporate image. D. Fosters potentially dysfunctional competition for corporate-level resources

A. Involve every employee in corporate strategic decision making

Which of the following is NOT a way through which leaders galvanize commitment to embrace change? A. Involve every employee in corporate strategic decision making B. Shape organizational culture C. Build the organization D. Clarify strategic intent

B. Differentiation

Which of the following is a generic strategy developed by Michael Porter? A. Market development B. Differentiation C. Liquidation D. Innovation

D. Porter's five forces

Which of the following is a useful framework against which to examine a firm's potential strengths and weaknesses in a given industry? A. Isolating mechanisms B. The value chain C. Organizational capabilities D. Porter's five forces

D. Logistics

Which of the following is an example of a primary activity in the typical firm? A. Human resources management B. Research, technology and systems development C. General administration D. Logistics

B. The slower a resource depreciates, the more valuable it is

Which of the following statements is true? A. The faster a resource depreciates, the more valuable it is B. The slower a resource depreciates, the more valuable it is C. The larger a resource or asset, the more slowly it depreciates D. Intangible assets can have their depletion measures easily

C. Strategic surveillance

Which of the following types of strategic control has a low degree of focusing? A. Special alert control B. Implementation control C. Strategic surveillance D. Premise control

D. Implementation control

Which of the following types of strategic control seldom is used with environmental factors? A. Strategic surveillance B. Special alert control C. Premise control D. Implementation control

A. Social audit

Which of these attempts to measure a company's actual social performance against the social objectives it has set for itself? A. Social audit B. Mission statement C. Sarbanes-Oxley Act D. Discretionary responsibilities

A. Foreign licensing

Which of these represent the second level in the evolution of a global corporation? A. Foreign licensing B. Direct investment C. Export-import D. Bartering

C. Geographic closeness impacts communication

Which one of the following is NOT a factor that contributes to the increase in complexity of the global environment? A. Globals face multiple political, economic, legal, social and cultural environments B. Interactions between the national and foreign environments are complex C. Geographic closeness impacts communication D. Cultural and national differences make control difficult

C. A belief that suppliers should reign supreme

Which one of the following is NOT a typical belief that shapes organizational culture A. A belief in being the best B. A belief in superior quality and service C. A belief that suppliers should reign supreme D. A belief in the importance of informal communication

C. Visioning

Which one of the following is NOT a way by which good leaders go about building the organization they want and dealing with problems and issues? A. Education B. Perseverance C. Visioning D. Principles

A. Stakeholder

Which term is described below? A person, group or organization that has interest or concern in an organization. Can affect or be affected by the organization's actions, objectives and policies. Examples: creditors, directors, employees, government (and its agencies), owners (shareholders), suppliers, unions, and the community from which the business draws its resources. A. Stakeholder B. Stockholder

B. Stockholder

Which term is described below? Someone who has shares in a company; own a piece of that company A. Stakeholder B. Stockholder

D. Often conflict

With regards to stakeholders' specific claims vis-à-vis the firm, the claims of various stakeholders groups A. Are always in sync B. Are never resolved C. Must be ignored D. Often conflict

B. Three-circles analysis

_____ is an internal analysis technique wherein strategists examine customers' needs, company offerings, and competitors' offerings to more clearly articulate what their company's competitive advantage is and how it differs from those of competitors. A. Resource-based view B. Three-circles analysis C. SWOT analysis D. Value chain analysis

C. Perseverance

_____ is the capacity to see a commitment through to completion long after most people would have stopped trying. A. Principle B. Passion C. Perseverance D. Strategic intent

C. Standardization

______ is the use of a common product, service, and message across all markets to create a strong brand image. A. Globalization B. Horizontal integration C. Standardization D. Customization

C. Globalization

______ refers to the strategy of pursuing opportunities anywhere in the world that enable a firm to optimize its business functions in the countries in which it operates. A. Vertical integration B. Horizontal integration C. Globalization D. Franchising

C. Market development

_______ strategy allows firms to leverage some of their traditional strengths by identifying new uses of existing products and by finding new demographic or psychographic markets. A. Innovation B. Product development C. Market development D. Horizontal integration

B. Value chain analysis

_______ views a firm as a sequential process of value-creating activities. A. Resource-based analysis B. Value chain analysis C. SWOT analysis D. Primary internal analysis

B. Ethical standards

________ are a person's basis for differentiating right from wrong. A. Principles B. Ethical standards C. Morals D. Laws

D. SWOT analysis

________ is a historically popular technique through which managers create a quick overview of a company's strategic situation—it is based on achieving a sound fit between internal resources and the external situation. A. Internal analysis B. External analysis C. Value chain analysis D. SWOT analysis

A. Organizational culture

________ is the set of important assumptions that members of an organization share in common. A. Organizational culture B. Organizational leadership C. Organizational strategy D. Organizational change

B. Personal influence

________, a form of power, comes mainly from three sources: expert, referent and peer influences. A. External influence B. Personal influence C. Punitive influence D. Organizational influence

C. Social norms

_________ create differences across national boundaries that influence how people interact, read personal cues and otherwise interrelate socially. A. Values B. Religions C. Social norms D. Educations

A. Expert influence

_________ is derived from a leader's knowledge in a particular area or situation. A. Expert influence B. Information power C. Punitive power D. Peer influence

B. Global mindset

_________ is engendering trust through genuine awareness and openness to people from diverse backgrounds. A. Self-management B. Global mindset C. Social awareness D. Social skills

C. Position power

_________ is formally established based on the manager's position in the organization. A. Organization power B. Reward power C. Position power D. Information power

A. Values and attitudes

__________ about similar circumstances varies from country to country. In North America, individualism is central, but in Japan, the needs of the group dominate. A. Values and attitudes B. Religions C. Educations D. Social norms

C. Referent influence

__________ comes from having others want to identify with the leader. A. Expert influence B. Peer influence C. Referent influence D. Coercive power

C. Education

__________ differs across national borders in the various ways people are accustomed to learning. A. Social norms B. Social awareness C. Education D. Religion

C. Education

__________ differs across national borders. A. Vision B. Mission C. Education D. Intent

A. Passion

__________ is a highly motivated sense of commitment to what you do and want to do. A. Passion B. Patience C. Perseverance D. Principle

C. Reward power

__________ is available when the manager confers something in return for desired actions and outcomes. A. Punitive power B. Referent influence C. Reward power D. Information power

D. Self-awareness

__________ is to have a deep understanding of oneself, one's strengths and challenges. A. Social empathy B. Social awareness C. Social skills D. Self-awareness

C. Religion

__________, manifest in holidays, practices and belief structures, differ in fundamental ways that must be taken into account as one attempts to shape organizational culture in a global setting. A. Values and attitudes B. Social norms C. Religion D. Education

B. Peer influence

___________ can be a very effective way for leaders to influence the behaviors of others. This is used when leaders use the assignment of team members and the charge to the team to influence the outcomes produced. A. Punitive power B. Peer influence C. Information power D. Referent influence

A. Information power

___________ can be particularly effective and is derived from a manager's access to and control over the dissemination of information that is important to subordinates yet not easily available in the organization. A. Information power B. Organization power C. Expert influence D. Referent power

C. Trust

___________ is a key for any leader. A. Motivation B. Empathy C. Trust D. Self-management

A. Trust

___________ is character driven. A. Trust B. Empathy C. Communication D. Organizational management

A. Strategic surveillance

___________ is designed to check systematically and continuously whether the premises on which the strategy is based are still valid. A. Strategic surveillance B. Implementation control C. Special alert control D. Premise control

C. Organizational leadership

_____________ is the process and practice by key executives of guiding and shepherding people in an organization toward a vision over time and developing that organization's future leadership and organizational culture. A. Organizational structure B. Organizational strategy C. Organizational leadership D. Cultural context

C. Strategic control

_______________ is concerned with tracking a strategy as it is being implemented, detecting problems or changes in its underlying premises and making necessary adjustments. A. Strategy evaluation B. Strategic implementation C. Strategic control D. Strategic decision-making