Strategic Management - Study Mode

[#346] __________ refers to the purposes an organization strives to achieve
Correct Answer

(A) Strategic Intent

Explanation

Solution: Strategic Intent refers to the purposes an organization strives to achieve. Strategic Intent can be understood as the philosophical base of the strategic management process. It implies the purpose, which an organization endeavor of achieving. It is a statement, that provides a perspective of the means, which will lead the organization, reach the vision in the long run.

[#347] __________ strategy may require a firm to redefine its business and may involve divestment of a major product line or an SBU, abandon some markets or reduce its functions
Correct Answer

(B) Retrenchment Strategy

Explanation

Solution: Retrenchment Strategy may require a firm to redefine its business and may involve divestment of a major product line or an SBU, abandon some markets or reduce its functions. The Retrenchment Strategy is adopted when an organization aims at reducing its one or more business operations with the view to cut expenses and reach to a more stable financial position.

[#348] Which of the following statements is false? Formal strategic planning
Correct Answer

(C) should develop clear and rigid plans for the organization to implement

Explanation

Solution: Formal strategic planning should develop clear and rigid plans for the organization to implement is a false statement. Formal strategic planning is the most sophisticated form of plan- ning. It implies that a firm's strategic planning process involves explicit systematic. procedures used to gain the involvement and commitment of the stakeholders. most affected by the plan.

[#349] __________ strategy is often considered as entrepreneurial strategy where firm develops and introduce new products and markets or penetrate markets to build share
Correct Answer

(A) Expansion Strategy

Explanation

Solution: Expansion strategy is often considered as entrepreneurial strategy where firm develops and introduce new products and markets or penetrate markets to build share. An expansion strategy is synonymous with a growth strategy. A firm seeks to achieve faster growth, compete, achieve higher profits, grow a brand, capitalize on economies of scale, have greater impact, or occupy a larger market share.

[#350] Which of the following statements best describes the concept of strategic awareness?
Correct Answer

(D) Managers understanding the organizations strategy, its effectiveness

Explanation

Solution: Managers understanding the organizations strategy, its effectiveness statements best describes the concept of strategic awareness. Strategic awareness is a space where new ideas and innovation are constantly generated from a heightened non-contextual awareness. With this strategic awareness, leaders operate beyond the goal of competing to actively seize new and different possibilities.