Strategic Management - Study Mode
[#296] Which one of the following is not one of the elements of strategic thinking described by Campbell and Alexander (1997)?
Correct Answer
(B) Outlining of competencies
Explanation
Solution: Outlining of competencies is not one of the elements of strategic thinking described by Campbell and Alexander (1997). A competency framework defines the knowledge, skills, and attributes needed for people within an organization. Each individual role will have its own set of competencies needed to perform the job effectively.
[#297] Acquisitions often fail to deliver the successes that were predicted prior to acquisition. What is the main reason for this failure?
Correct Answer
(B) Poor strategic leadership
Explanation
Solution: Acquisitions often fail to deliver the successes that were predicted prior to acquisition. Poor strategic leadership is the main reason for this failure. Strategic leaders act in ways that manage the tension between success in daily tasks and success in the long term. They facilitate other's strategic actions, too, by providing a balance of direction and autonomy, of learning from actions and rewarding appropriate risk-taking.
[#298] Which of these is not an issue in selecting a business as a divestment candidate?
Correct Answer
(D) The size of the business
Explanation
Solution: The size of the business is not an issue in selecting a business as a divestment candidate. Divestment is a form of retrenchment strategy used by businesses when they downsize the scope of their business activities. Divestment is a form of retrenchment strategy used by businesses when they downsize the scope of their business activities. Divestment usually involves eliminating a portion of a business. Firms may elect to sell, close, or spin-off a strategic business unit, major operating division, or product line. This move often is the final decision to eliminate unrelated, unprofitable, or unmanageable operations.
[#299] Which of the following is an aspect of implementation that can be changed indirectly if necessary?
Correct Answer
(C) Quality
Explanation
Solution: Quality is an aspect of implementation that can be changed indirectly if necessary. The quality strategy is a vital element to building the quality process and expectations of the organization. It is important that it reflects the business mission and provides vision, values and goals to the employees.
[#300] A small company, with power concentrated in the hands of one central figure, tends to be what?
Correct Answer
(B) Centralized and informal
Explanation
Solution: A small company, with power concentrated in the hands of one central figure, tends to be centralized and informal. Centralized authority refers to an organizational management structure where most of the major decision-making power and authority rests in the hands of a concentrated group of leaders.