Strategic Management - Study Mode
[#331] When actual performance results are better than what the plan called for, managers should:
Correct Answer
(D) increase prices
Explanation
Solution: When actual performance results are better than what the plan called for, managers should increase prices.
[#332] Which of the following is NOT a characteristic of strategic management that makes it different from other types of management?
Correct Answer
(D) It concerns the present direction of the organization
Explanation
Solution: Characteristic of strategic management that does not makes it different from other types of management is that it concerns the present direction of the organization.
[#333] The basic activities of strategic management include:
Correct Answer
(B) situation analysis, strategy formulation, implementation, and evaluation
Explanation
Solution: The basic activities of strategic management include situation analysis, strategy formulation, implementation, and evaluation. The process of strategic management includes goal setting, analysis, strategy formation, strategy implementation, and strategy monitoring.
[#334] An organization's strategies should be designed so that they incorporate:
Correct Answer
(B) resources and capabilities
Explanation
Solution: An organization's strategies should be designed so that they incorporate resources and capabilities. An organizational strategy is the sum of the actions a company intends to take to achieve long-term goals. Together, these actions make up a company's strategic plan. Strategic plans take at least a year to complete, requiring involvement from all company levels.
[#335] Situation analysis involves the process of:
Correct Answer
(B) analyzing the current environment of the organization
Explanation
Solution: Situation analysis involves the process of analyzing the current environment of the organization. Situation analysis is defined as an analysis of the internal and external factors of a business. It clearly identifies a business's capabilities, customers, potential customers and business environment, and their impact on the company.