Question: What should be our strategy?

Answer: Strategy formulation answers the question:

Question: A firm’s strategy includes which of the following:

Answer: Captures how vision and mission will be achieved

Question: Characteristics of MBO includes which of the following?

Answer: Systematic and organized approach

Question: Success and progress in achieving goals and objectives will be indicated by how well the vision and mission are achieved

Answer: False

Question: Functional areas, like accounting and marketing, will need to have goals and objectives that help show how those functions are contributing to the organization’s goals and objectives

Answer: True

Question: Goals and objectives provide a form of control since they create a feedback opportunity regarding how well of how poorly the organization is executing its strategy

Answer: True

Question: Superiority in competitive advantage refers to all of the following EXCEPT:

Answer: Low cost

Question: For a differentiation strategy to be effective, the product should NOT be based on:

Answer: Price

Question: Straddling strategies as an approach to strategic management is not recommended for which reason:

Answer: It is an indication that the firm’s managers have not made necessary choices about the business and its strategy

Question: Using Porter’s analysis, firms are likely to generate higher profits if the industry includes which of the following:

Answer: Difficult to enter