– Functional and Competitive Strategies

36 Multiple Choice Questions

 

1) The role of top-level decision makers in the strategic management process is to

1. A) develop the overall goal that the organization hopes to achieve.
2. B) establish the overall operational goals.
3. C) establish functional strategies.
4. D) supervise line managers.
5. E) None of the answer choices is correct.

 

2) The ________ point(s) to the strategic issues organizational decision makers need to address in their pursuit of sustainable competitive advantage and high levels of performance.

1. A) portfolio analysis
2. B) distinctive capabilities
3. C) strengths
4. D) SWOT analysis
5. E) core competencies

 

3) Which of the following is included under the product functional strategies?

1. A) Marketing
2. B) Management
3. C) Supervision
4. D) Leadership
5. E) Control

 

4) ________ strategies are the short-term goal-directed decisions and actions of the organization’s various functional areas.

1. A) Competitive
2. B) Coordinating
3. C) Corporate
4. D) Business
5. E) Functional

 

5) ________ refer(s) to the process of creating and providing goods and services.

1. A) Production-operations
2. B) Marketing
3. C) High-performance work practices
4. D) Information system
5. E) None of the answer choices is correct.

 

6) Product design strategies typically involve an organization’s ________ functional area.

1. A) finance
2. B) R&D
3. C) accounting
4. D) HR
5. E) corporate governance

 

7) Which of the following is a possible production-operations management strategy?

1. A) Selective specialization
2. B) Inventory management systems
3. C) User positioning
4. D) Market logistics
5. E) Database marketing

 

8) Which are the two biggest factors in marketing?

1. A) Competitors and pricing
2. B) Product and competitors
3. C) Customers and competitors
4. D) Pricing and customers
5. E) Layout and distribution

 

9) The marketing mix is commonly known as the

1. A) 4Ps
2. B) 5Ps
3. C) 7Ss
4. D) 4Ss
5. E) 5Ss

 

10) Which of the following should be included in an organization’s marketing mix strategies?

1. A) Product strategies
2. B) Pricing strategies
3. C) Promoting strategies
4. D) Distribution strategies
5. E) All of the answer choices are correct.

 

11) The four Ps in marketing are

1. A) product, price, promotion, and place.
2. B) production, placement, personnel, and place.
3. C) promotion, price, positioning, and perception.
4. D) perception, perspective, promotion, and price.
5. E) None of the answer choices is correct.

 

12) One factor that would lead to high-performance work practices is

1. A) using contingent pay.
2. B) forming problem-solving groups.
3. C) conducting attitude surveys.
4. D) All of the answer choices are correct.
5. E) None of the answer choices is correct.

 

13) An organization’s ________ strategies reflect its commitment to and treatment of its employees.

1. A) procurement
2. B) corporate
3. C) HR
4. D) competitive.
5. E) cooperative.

 

14) Which of the following is an example of high-performance work practices?

1. A) Fixed job assignments
2. B) Centralized decision making
3. C) Self-managed work teams
4. D) Limited employee involvement
5. E) None of the answer choices is correct.

 

15) The strategic decisions associated with the organization are the choice of a system and the choice of type of system needed for which system type?

1. A) Marketing
2. B) Human resources
3. C) Information
4. D) Financial-accounting
5. E) None of the answer choices is correct.

 

16) Designing which of the following systems involves making sure we have the information we need, when the information is needed, and in the form needed?

1. A) Marketing
2. B) Human resources
3. C) Information
4. D) Financial-accounting
5. E) None of the answer choices is correct.

 

17) The two main support processes in an organization are

1. A) production systems and marketing systems.
2. B) procurement systems and HR systems.
3. C) financial accounting systems and HR systems.
4. D) information systems and HR systems.
5. E) information systems and financial accounting systems.

 

18) Determining the optimum mix of equity or debt is a decision made by which organizational support process?

1. A) Financial-accounting systems
2. B) Corporate governance systems
3. C) Procurement systems
4. D) Product development systems
5. E) None of the answer choices is correct.

 

19) One of the two strategic decisions most associated with the organization’s information system is

1. A) optimum equity mix.
2. B) creating an approved vendor list.
3. C) selecting the correct marketing mix.
4. D) corporate budgeting.
5. E) the choice of system technology.

 

20) Ms. diMatteo discovered in opening her second restaurant, she needed to pay attention to which of the following concerns?

1. A) The product
2. B) The people
3. C) The support processes
4. D) All the above answer choices are correct.
5. E) None of the answer choices are correct.

 

21) If Ms. diMatteo wanted to introduce high-performance work practices in her organization, which of the following practices would she adopt?

1. A) Centralized decision making
2. B) Fixed job assignments
3. C) Limited communication
4. D) Self-managed work teams
5. E) Seniority-based compensation

 

22) Francesca’s has had a higher than desirable level of server turnover. Ms. diMatteo decided she needed to pay better attention to which strategies?

1. A) Marketing
2. B) Human resources
3. C) Information
4. D) Financial-accounting
5. E) None of the answer choices is correct.

 

23) Ms. diMatteo has decided to use a computerized order taking and fulfillment system in the new location demonstrating her ability to give attention to which of the following strategies?

1. A) Marketing
2. B) Human resources
3. C) Information
4. D) Financial-accounting
5. E) None of the answer choices is correct.

 

24) ________ is when organizations battle or vie for some desired object or outcome.

1. A) Competition
2. B) Strategy
3. C) Goal
4. D) Objective

 

25) Which of the following is NOT a possible dimension for identifying strategic groups?

1. A) Units sold
2. B) Price
3. C) Quality
4. D) Geographic scope

 

26) Which of the following is NOT one of Miles and Snow’s adaptive strategies?

1. A) Cost leader
2. B) Prospector
3. C) Defender
4. D) Analyzer

 

27) According to the Miles and Snow typology, a defender

1. A) searches for market stability.
2. B) seeks innovation.
3. C) simply reacts to environmental changes.
4. D) makes strategic adjustments only when forced to do so.

 

28) The ________ strategy is one in which an organization continually innovates by finding and exploiting new product and market opportunities.

1. A) prospector
2. B) defender
3. C) analyzer
4. D) reactor

 

29) When a company builds a profitable business by “stealing” ideas from other successful peers, it is following a(n) ________ strategy.

1. A) analyzer
2. B) defender
3. C) prospector
4. D) reactor

 

30) Which of the following is not a recommended competitive strategy for developing a competitive advantage?

1. A) Reactor
2. B) Defender
3. C) Analyzer
4. D) Prospector

 

31) In Porter’s cost leadership strategy, the main goal of the cost leader is to have the lowest ________ in the industry.

1. A) costs
2. B) prices
3. C) profits
4. D) products

 

32) When an organization competes by providing unique products with features that customers value, perceive as different, and are willing to pay a premium price for, it is using a strategy of

1. A) differentiation.
2. B) focus.
3. C) cost leadership.
4. D) niche.

 

33) The ________ works hard to establish brand loyalty.

1. A) differentiator
2. B) cost leader
3. C) defender
4. D) reactor

 

34) Which of the following is NOT a way to segment specialized market niches?

1. A) Price consciousness
2. B) Geographical
3. C) Type of customer
4. D) Product line segment

 

35) When an organization hasn’t developed a low cost or a differentiation competitive advantage, it is said to be

1. A) stuck-in-the-middle.
2. B) using an integrated strategy.
3. C) using a strategy of best cost.
4. D) pursuing a niche-based competitive advantage.

 

36) In Mintzberg’s typology, ________ is a way to differentiate.

1. A) price
2. B) adaptability
3. C) focus
4. D) niche