BUSI 1301 TEST 1 QUESTIONS WITH VERIFIED
ANSWERS
A plan that guides the way firms make choices about developing and deploying scarce
resources to achieve their international objectives is called a(n) _________. - Answers -
international strategy
The process by which an organization determines where it is going in the future, how it
will get there, and how it will assess whether and to what extent it has achieved its goals
is called ___________. - Answers - strategic planning
Who is the ultimate manager of strategic planning and strategy making? - Answers -
CEO
A set of interlinked activities that adds value to the final product or service is called the -
Answers - value chain
Answers the following questions:
1) where the firm is going in the future
2) how the firm will get to where its going
3) how the firm will assess the extent to which it has achieved its goals - Answers -
strategic planning
1) analyze the external and internal environment
2) define the business and mission
3) set corporate objectives
4) quantify goals
5) formulate strategies
6) make tactical plans - Answers - strategic planning
a set of interlinked activities that adds value to the final product or service - Answers -
value chain
3 key questions managers as as part of value chain analysis - Answers - how will the
customer value be created; what value does the company want to deliver; who are the
companys targets
The practices that organizations and their managers use for identifying, creating,
acquiring, developing, dispersing, and exploiting competitively valuable knowledge are
called - Answers - knowledge management
,Google's statement that it wants "to organize the world's information and make it
universally accessible and useful" is the company's _______ statement. - Answers -
mission
Corporate objectives are typically easier to quantify at which level of a corporation? -
Answers - operational
A broad statement that defines the purpose of a company's existence, including its
business, objectives, and approach for reaching those objectives is called the
___________ statement. - Answers - mission
The statement that provides a description of a company's desired future position, of
what it hopes to accomplish if it can acquire the necessary competencies and
successfully implement its strategy, is called the ________ statement. - Answers -
vision
Actions plans to help organizations reach their objectives are called _________. -
Answers - competitive strategies
Objectives are typically more quantifiable as they progress ________ through the
organization. - Answers - down
The best strategy for competing internationally depends on the relative amount of
pressure the company faces to adapt to its local markets and to achieve _______. -
Answers - cost reductions
A firm facing relatively weak pressures for local responsiveness and cost reduction
should pursue a _______ strategy. - Answers - home replication
The two conflicting strategic alternatives facing international firms are _________. -
Answers - reducing costs and adapting to local markets
To develop a strategy for reaching its objectives, a company must _______ them. -
Answers - quantify
Strategy:
1) marketing strategy is controlled by the home country office
2) production development occurs in the home market - Answers - home replication
strategy
5 strategies a company can use to compete internationally - Answers - global;
multidomestic; home replication; regional; transnational
, A firm facing strong pressure for local adaptation and strong pressure for cost reduction
should pursue a ________ strategy. - Answers - transnational
If a company needs to reduce costs and doesn't feel pressured to adapt its products to
a local market, it should use a _________ strategy to compete internationally. -
Answers - global
Under the home replication strategy, new product development takes place in the _____
market - Answers - home
A firm facing high pressure to reduce costs and low pressure for local adaptation should
follow a _________ strategy in order to compete internationally. - Answers - global
If a company is facing strong pressure to adapt its product to the local market, the
___________ strategy is most effective. - Answers - mulitdomestic
Firms that pursue a global strategy typically offer _____________ products and
services. - Answers - standardized
North America, the European Union, and Asia account for ______ of the worldwide
revenue of large multinationals in the manufacturing and service sectors. - Answers -
80%
Historically, companies have tended to standardize their R&D and manufacturing
strategies _________ than their marketing strategies. - Answers - more
Multiple, plausible stories about how decisions might affect a company's future are
known as _______ - Answers - scenarios
When a firm makes plans for the best- or worst-case scenarios or for critical events that
could have a severe impact on the firm, the firm is doing __________ planning. -
Answers - contingency
The broad guidelines issued by a company's upper management for the purpose of
assisting lower-level managers handle recurring problems are called ___________. -
Answers - policies
3 things the balanced score card approach can help a firm monitor progress in
achieving strategic objectives - Answers - financial; internal; customer
Typically, the time frame for short-range plans is ____________. - Answers - 1-3 years
A prediction of future sales performance is called a _________. - Answers - sales
forecast
ANSWERS
A plan that guides the way firms make choices about developing and deploying scarce
resources to achieve their international objectives is called a(n) _________. - Answers -
international strategy
The process by which an organization determines where it is going in the future, how it
will get there, and how it will assess whether and to what extent it has achieved its goals
is called ___________. - Answers - strategic planning
Who is the ultimate manager of strategic planning and strategy making? - Answers -
CEO
A set of interlinked activities that adds value to the final product or service is called the -
Answers - value chain
Answers the following questions:
1) where the firm is going in the future
2) how the firm will get to where its going
3) how the firm will assess the extent to which it has achieved its goals - Answers -
strategic planning
1) analyze the external and internal environment
2) define the business and mission
3) set corporate objectives
4) quantify goals
5) formulate strategies
6) make tactical plans - Answers - strategic planning
a set of interlinked activities that adds value to the final product or service - Answers -
value chain
3 key questions managers as as part of value chain analysis - Answers - how will the
customer value be created; what value does the company want to deliver; who are the
companys targets
The practices that organizations and their managers use for identifying, creating,
acquiring, developing, dispersing, and exploiting competitively valuable knowledge are
called - Answers - knowledge management
,Google's statement that it wants "to organize the world's information and make it
universally accessible and useful" is the company's _______ statement. - Answers -
mission
Corporate objectives are typically easier to quantify at which level of a corporation? -
Answers - operational
A broad statement that defines the purpose of a company's existence, including its
business, objectives, and approach for reaching those objectives is called the
___________ statement. - Answers - mission
The statement that provides a description of a company's desired future position, of
what it hopes to accomplish if it can acquire the necessary competencies and
successfully implement its strategy, is called the ________ statement. - Answers -
vision
Actions plans to help organizations reach their objectives are called _________. -
Answers - competitive strategies
Objectives are typically more quantifiable as they progress ________ through the
organization. - Answers - down
The best strategy for competing internationally depends on the relative amount of
pressure the company faces to adapt to its local markets and to achieve _______. -
Answers - cost reductions
A firm facing relatively weak pressures for local responsiveness and cost reduction
should pursue a _______ strategy. - Answers - home replication
The two conflicting strategic alternatives facing international firms are _________. -
Answers - reducing costs and adapting to local markets
To develop a strategy for reaching its objectives, a company must _______ them. -
Answers - quantify
Strategy:
1) marketing strategy is controlled by the home country office
2) production development occurs in the home market - Answers - home replication
strategy
5 strategies a company can use to compete internationally - Answers - global;
multidomestic; home replication; regional; transnational
, A firm facing strong pressure for local adaptation and strong pressure for cost reduction
should pursue a ________ strategy. - Answers - transnational
If a company needs to reduce costs and doesn't feel pressured to adapt its products to
a local market, it should use a _________ strategy to compete internationally. -
Answers - global
Under the home replication strategy, new product development takes place in the _____
market - Answers - home
A firm facing high pressure to reduce costs and low pressure for local adaptation should
follow a _________ strategy in order to compete internationally. - Answers - global
If a company is facing strong pressure to adapt its product to the local market, the
___________ strategy is most effective. - Answers - mulitdomestic
Firms that pursue a global strategy typically offer _____________ products and
services. - Answers - standardized
North America, the European Union, and Asia account for ______ of the worldwide
revenue of large multinationals in the manufacturing and service sectors. - Answers -
80%
Historically, companies have tended to standardize their R&D and manufacturing
strategies _________ than their marketing strategies. - Answers - more
Multiple, plausible stories about how decisions might affect a company's future are
known as _______ - Answers - scenarios
When a firm makes plans for the best- or worst-case scenarios or for critical events that
could have a severe impact on the firm, the firm is doing __________ planning. -
Answers - contingency
The broad guidelines issued by a company's upper management for the purpose of
assisting lower-level managers handle recurring problems are called ___________. -
Answers - policies
3 things the balanced score card approach can help a firm monitor progress in
achieving strategic objectives - Answers - financial; internal; customer
Typically, the time frame for short-range plans is ____________. - Answers - 1-3 years
A prediction of future sales performance is called a _________. - Answers - sales
forecast
