BU.150.620 Strategic Management Final Assessment Review 2026 (Qns & Ans)

BU.150.620

Strategic Management


Final Assessment Review


(With Solutions)



2026




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,1. Case: A hospital faces declining patient satisfaction scores. Leadership
conducts a SWOT analysis.
Question: Which element of SWOT would “aging infrastructure” fall
under?
- A. Strength
- B. Weakness
- C. Opportunity
- D. Threat
Answer: B. Weakness
Rationale: Internal limitations like outdated facilities are weaknesses.

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2. Case: A health startup identifies unmet demand for telehealth in rural
areas.
Question: Which strategic approach is most appropriate?
- A. Cost leadership
- B. Differentiation
- C. Retrenchment
- D. Diversification
Answer: B. Differentiation
Rationale: Offering unique telehealth services differentiates from
competitors.

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3. Case: A pharmaceutical company faces generic competition after
patent expiry.
Question: Which strategy best preserves market share?
- A. Vertical integration
- B. Brand loyalty programs
- C. Retrenchment
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, - D. Cost cutting only
Answer: B. Brand loyalty programs
Rationale: Differentiation through brand trust mitigates generic
erosion.

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4. Case: A hospital system evaluates external forces using Porter’s Five
Forces.
Question: Which force is most impacted by new entrants offering low-
cost clinics?
- A. Supplier power
- B. Buyer power
- C. Threat of new entrants
- D. Industry rivalry
Answer: C. Threat of new entrants
Rationale: New competitors increase entry threat.

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5. Case: A health NGO considers expanding into vaccine distribution.
Question: Which strategy type applies?
- A. Market penetration
- B. Market development
- C. Product development
- D. Diversification
Answer: D. Diversification
Rationale: Entering a new product-market domain is diversification.

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6. Case: A hospital merges with a diagnostic lab.
Question: Which integration strategy is this?
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