MULTIPLE CHOICE QUESTIONS
1. The __________ for PepsiCo is inspirational—something that can ignite the
loyalty of employees and others with whom the organization comes in contact.
a) mission statement
b) organisational code of conduct
c) functional code
d) benefits statement
e) marketing concept
2. Emergent strategy comes about through
a) Implementing new ideas
b) Leveraging core competences into new markets
c) Strategic plans
d) Everyday routines, activities and processes in organisations
3. Which of the following best describes an 'intended' strategy?
a) An expression of desired strategic direction deliberately formulated
or planned by managers
b) A strategic direction that emerges from a stream of decisions
c) An expression of desired strategic direction deliberately formulated or
planned by managers that is realised in the fullness of time
d) A strategy that is the product of competitive pressure
4. Which of the following best describes the process of strategic management
a) Strategic management is the process of determining and meeting the
requirements of shareholder groups that are affected by the organisation
activities
b) Strategic management is the process of identifying, evaluating and
implementing strategies in order to meet the organisations’ objective
c) Strategic management is the annual planning prose’s which determines
the financial targets and budget allocations
d) The strategic management process identifies organisational issues and
provided a plan to address them
5. An effective short-hand summary of the situation analysis is a:
a) BCG analysis
b) SWOT analysis
c) SBU analysis
d) Competition analysis
e) AWOL
Corporate Strategy Page 0
,6. Which of the following term represents the enduring statement of purpose that
distinguish one business from other similar firms?
a) Vision
b) Strategy
c) Mission
d) Tactics
7. Able& Ammar is the sole manufacturer of leather goods in Gauteng. The local.
Government has lowered the tax rates for this industry keeping in view of
promoting other new firms to enter this industry. Lowering the tax rates of this
industry will confront Able& Ammar with which of the following?
a) Strength
b) Weakness
c) Opportunity
d) Threat
8. Abdullah group of industries is involved in the sale of its marginal businesses.
It is most likely to say that Abdullah group is implementing which one of the
following strategies?
a) Retrenchment
b) Liquidation
c) Acquisition
d) Joint venture
9. What kind of strategy is retrenchment?
a) A reorganization strategy
b) An expansion strategy
c) A diversification strategy
d) An integration strategy
10. Adding new but unrelated products or services for appealing present
customers is known as:
a) Forward integration
b) Backward integration
c) Conglomerate diversification
d) Horizontal diversification
11. The three levels of strategy in organizations are:
a) product mix, product line, unit product
b) strategic, tactical, and functional
c) corporate, business unit, and functional.
d) corporate, functional, and departmental.
e) strategic, corporate, and departmental
12. Selling all of a company’s assets in parts for their tangible worth is known as:
a) Joint venture
b) Divestiture
Corporate Strategy Multiple Choice QuestionsPage 1
, c) Liquidation
d) Integration
13. The external environmental trends and events that could significantly harm an
organization in the future may be known as:
a) Strengths
b) Weaknesses
c) Opportunities
d) Threats
14. Which of the following is a strategy in which companies create a co-owned
business that operates for their mutual benefit?
a) Retrenchment
b) Divestiture
c) Joint venture
d) Liquidation
15. Which of these basic questions does a vision statement answers?
a) What is our business?
b) Who are our employees?
c) What do we want to become?
d) Who are our competitors
16. Most likely, what was the cash cow in the past?
a) Dog
b) Failure
c) Question mark
d) Star
17. Which one of the following is the characteristic of Question marks?
a) Excess cash generation
b) Low cash generation
c) Opportunities for growth
d) No-market-growth industry
18. When a division of an organization has a high relative market share and is in
a fast-growing industry, it will be categorized as which type in BCG matrix
a) Star
b) Cash cow
c) Question mark
d) Dog
19. Which of the following are the five forces that affect the level of competition in
anindustry?
a) Threat of entrants; power of buyers; power of suppliers; threat of
substitutes; competitive rivalry
b) Threat of buyers; power of entry; power of substitutes; threat of suppliers;
threat of recession
Corporate Strategy Multiple Choice QuestionsPage 2
, c) Threat of recession; power of buyers; power of suppliers; threat of
management failure; competitive rivalry
d) Threat of entry; power of buyers; power of suppliers; threat of substitutes;
government action
20. Which one of the following is NOT an advantage of QSPM?
a) Sets of strategies can be examined simultaneously.
b) No limit for number of strategies to be evaluated.
c) Can be used by large as well as small firms.
d) It integrates only external factors in decision process
21. In the SPACE analysis, what does a (+6, +3) strategy profile portray
a) A strong industry
b) A unstable stable environment
c) A stable environment
d) A weak industry
e) A weak financial position
22. “SPACE” matrix stands for:
a) Strategic Position and Action Evaluation
b) Strategic Partner and Action Evaluation
c) Strategic Phase and Action Evaluation
d) Strategic Position and Academic Evaluation
23. Space Matrix contains four quadrants framework, the upper left
contain__________ strategy
a) Aggressive
b) Conservative
c) Defensive
d) Competitive
24. Which of the following terms correctly describes each of the four boxes of the
Boston Consulting Group (BCG) matrix
a) star; cash cow; dog; war horse
b) dodo; question mark; star; cash cow
c) war horse; star; question mark; dog; cash cow
d) cash dog; cash cow; star; question mark
e) star; question mark; cash cow; dog
25. Which of the following are two-positive-rated dimensions on SPACE Matrix?
a) FS and CA
b) CA and ES
c) FS and IS
d) IS and ES
26. Which of the following are the two internal dimensions represented on the
axes of the SPACE Matrix?
a) Environmental stability and industrial strength
Corporate Strategy Multiple Choice QuestionsPage 3
1. The __________ for PepsiCo is inspirational—something that can ignite the
loyalty of employees and others with whom the organization comes in contact.
a) mission statement
b) organisational code of conduct
c) functional code
d) benefits statement
e) marketing concept
2. Emergent strategy comes about through
a) Implementing new ideas
b) Leveraging core competences into new markets
c) Strategic plans
d) Everyday routines, activities and processes in organisations
3. Which of the following best describes an 'intended' strategy?
a) An expression of desired strategic direction deliberately formulated
or planned by managers
b) A strategic direction that emerges from a stream of decisions
c) An expression of desired strategic direction deliberately formulated or
planned by managers that is realised in the fullness of time
d) A strategy that is the product of competitive pressure
4. Which of the following best describes the process of strategic management
a) Strategic management is the process of determining and meeting the
requirements of shareholder groups that are affected by the organisation
activities
b) Strategic management is the process of identifying, evaluating and
implementing strategies in order to meet the organisations’ objective
c) Strategic management is the annual planning prose’s which determines
the financial targets and budget allocations
d) The strategic management process identifies organisational issues and
provided a plan to address them
5. An effective short-hand summary of the situation analysis is a:
a) BCG analysis
b) SWOT analysis
c) SBU analysis
d) Competition analysis
e) AWOL
Corporate Strategy Page 0
,6. Which of the following term represents the enduring statement of purpose that
distinguish one business from other similar firms?
a) Vision
b) Strategy
c) Mission
d) Tactics
7. Able& Ammar is the sole manufacturer of leather goods in Gauteng. The local.
Government has lowered the tax rates for this industry keeping in view of
promoting other new firms to enter this industry. Lowering the tax rates of this
industry will confront Able& Ammar with which of the following?
a) Strength
b) Weakness
c) Opportunity
d) Threat
8. Abdullah group of industries is involved in the sale of its marginal businesses.
It is most likely to say that Abdullah group is implementing which one of the
following strategies?
a) Retrenchment
b) Liquidation
c) Acquisition
d) Joint venture
9. What kind of strategy is retrenchment?
a) A reorganization strategy
b) An expansion strategy
c) A diversification strategy
d) An integration strategy
10. Adding new but unrelated products or services for appealing present
customers is known as:
a) Forward integration
b) Backward integration
c) Conglomerate diversification
d) Horizontal diversification
11. The three levels of strategy in organizations are:
a) product mix, product line, unit product
b) strategic, tactical, and functional
c) corporate, business unit, and functional.
d) corporate, functional, and departmental.
e) strategic, corporate, and departmental
12. Selling all of a company’s assets in parts for their tangible worth is known as:
a) Joint venture
b) Divestiture
Corporate Strategy Multiple Choice QuestionsPage 1
, c) Liquidation
d) Integration
13. The external environmental trends and events that could significantly harm an
organization in the future may be known as:
a) Strengths
b) Weaknesses
c) Opportunities
d) Threats
14. Which of the following is a strategy in which companies create a co-owned
business that operates for their mutual benefit?
a) Retrenchment
b) Divestiture
c) Joint venture
d) Liquidation
15. Which of these basic questions does a vision statement answers?
a) What is our business?
b) Who are our employees?
c) What do we want to become?
d) Who are our competitors
16. Most likely, what was the cash cow in the past?
a) Dog
b) Failure
c) Question mark
d) Star
17. Which one of the following is the characteristic of Question marks?
a) Excess cash generation
b) Low cash generation
c) Opportunities for growth
d) No-market-growth industry
18. When a division of an organization has a high relative market share and is in
a fast-growing industry, it will be categorized as which type in BCG matrix
a) Star
b) Cash cow
c) Question mark
d) Dog
19. Which of the following are the five forces that affect the level of competition in
anindustry?
a) Threat of entrants; power of buyers; power of suppliers; threat of
substitutes; competitive rivalry
b) Threat of buyers; power of entry; power of substitutes; threat of suppliers;
threat of recession
Corporate Strategy Multiple Choice QuestionsPage 2
, c) Threat of recession; power of buyers; power of suppliers; threat of
management failure; competitive rivalry
d) Threat of entry; power of buyers; power of suppliers; threat of substitutes;
government action
20. Which one of the following is NOT an advantage of QSPM?
a) Sets of strategies can be examined simultaneously.
b) No limit for number of strategies to be evaluated.
c) Can be used by large as well as small firms.
d) It integrates only external factors in decision process
21. In the SPACE analysis, what does a (+6, +3) strategy profile portray
a) A strong industry
b) A unstable stable environment
c) A stable environment
d) A weak industry
e) A weak financial position
22. “SPACE” matrix stands for:
a) Strategic Position and Action Evaluation
b) Strategic Partner and Action Evaluation
c) Strategic Phase and Action Evaluation
d) Strategic Position and Academic Evaluation
23. Space Matrix contains four quadrants framework, the upper left
contain__________ strategy
a) Aggressive
b) Conservative
c) Defensive
d) Competitive
24. Which of the following terms correctly describes each of the four boxes of the
Boston Consulting Group (BCG) matrix
a) star; cash cow; dog; war horse
b) dodo; question mark; star; cash cow
c) war horse; star; question mark; dog; cash cow
d) cash dog; cash cow; star; question mark
e) star; question mark; cash cow; dog
25. Which of the following are two-positive-rated dimensions on SPACE Matrix?
a) FS and CA
b) CA and ES
c) FS and IS
d) IS and ES
26. Which of the following are the two internal dimensions represented on the
axes of the SPACE Matrix?
a) Environmental stability and industrial strength
Corporate Strategy Multiple Choice QuestionsPage 3
