,Chapter 1 The Strategic Management Process
True/False
1. Without a strategic plan, organizations can develop “organizational myopia” where myopia
refers to objects being seen clearly up close but distant objects are blurred.
ANS: T REF: 2
2. Without a strategic plan, organizations can develop “organizational myopia” where myopia
refers to objects being seen clearly at a distant but up close objects are blurred.
ANS: F REF: 2
3. A strategic plan involves developing a vision, a mission, and a strategy.
ANS: T REF: 2
4. The terms “strategic plan” and “strategic management” encompass the same set of activities
or steps.
ANS: F REF: 2
5. The strategic planning process is defined as a managerial process that involves matching an
organization’s capabilities and with its opportunities.
ANS: T REF: 3
6. The result of the strategic planning process should be a written strategic plan.
ANS: T REF: 3
7. Strategic planning is part of the overall strategic management process and results in a
strategic plan.
ANS: T REF: 3
1-1
Strategic Management Essentials. Copyright © 2020 Academic Media Solutions.
,1-2 Chapter 1 The Strategic Management Process
8. Strategic management includes developing operational plans to implement the strategies.
ANS: T REF: 3
9. Strategic planning starts when the strategic management process is complete.
ANS: F REF: 3
10. The first and probably the most important consideration when developing a strategic plan is
to define the vision and mission for the organization as a whole.
ANS: T REF: 4
11. The last step in the strategic management process is developing a vision and mission for the
organization as a whole.
ANS: F REF: 4
12. The vision statement should explain what the organization aspires to be in the future.
ANS: T REF: 4
13. SWOT is an acronym for strengths, weaknesses, obligations, and threats.
ANS: F REF: 6
14. A detailed SWOT analysis helps the organization view building on strengths and
eliminating or minimizing weaknesses.
ANS: T REF: 6
15. Often the words “key results,” “goals,” and “targets” are used synonymously with strategies
when managers are thinking about long- and short-term actions.
ANS: F REF: 6
16. Objectives must be clear, concise, written statements outlining what is to be accomplished
in key result areas within a certain time period.
ANS: T REF: 6
Strategic Management Essentials. Copyright © 2020 Academic Media Solutions.
, Chapter 1 The Strategic Management Process 1-3
17. Objectives don’t need to be written statements but can be broad desires of management.
ANS: F REF: 6
18. The firm’s scope involves the product and services the organization will offer, the
geographic location in which the firm operates, and the extent to which the firm is vertically
integrated.
ANS: T REF: 7
19. Operational or functional plans should be completed right before establishing objectives.
ANS: F REF: 7
20. Functional plans need to be developed in all the areas that are used to support the overall
strategy.
ANS: T REF: 7
21. Once the plan has been implemented, the strategic management process is complete.
ANS: F REF: 7
22. A plan is not complete until the controls are identified and the procedures for recording and
transmitting control information to the managers of the plan are established.
ANS: T REF: 7
23. A stakeholder may be defined as persons or groups that have, or claim, ownership, rights,
or interests in a corporation and its activities, past, present, or future.
ANS: T REF: 8
24. Although stakeholders are important to an organization, it is not feasible to include them in
the strategic management process.
ANS: F REF: 8
Strategic Management Essentials. Copyright (c) 2020 Academic Media Solutions.
True/False
1. Without a strategic plan, organizations can develop “organizational myopia” where myopia
refers to objects being seen clearly up close but distant objects are blurred.
ANS: T REF: 2
2. Without a strategic plan, organizations can develop “organizational myopia” where myopia
refers to objects being seen clearly at a distant but up close objects are blurred.
ANS: F REF: 2
3. A strategic plan involves developing a vision, a mission, and a strategy.
ANS: T REF: 2
4. The terms “strategic plan” and “strategic management” encompass the same set of activities
or steps.
ANS: F REF: 2
5. The strategic planning process is defined as a managerial process that involves matching an
organization’s capabilities and with its opportunities.
ANS: T REF: 3
6. The result of the strategic planning process should be a written strategic plan.
ANS: T REF: 3
7. Strategic planning is part of the overall strategic management process and results in a
strategic plan.
ANS: T REF: 3
1-1
Strategic Management Essentials. Copyright © 2020 Academic Media Solutions.
,1-2 Chapter 1 The Strategic Management Process
8. Strategic management includes developing operational plans to implement the strategies.
ANS: T REF: 3
9. Strategic planning starts when the strategic management process is complete.
ANS: F REF: 3
10. The first and probably the most important consideration when developing a strategic plan is
to define the vision and mission for the organization as a whole.
ANS: T REF: 4
11. The last step in the strategic management process is developing a vision and mission for the
organization as a whole.
ANS: F REF: 4
12. The vision statement should explain what the organization aspires to be in the future.
ANS: T REF: 4
13. SWOT is an acronym for strengths, weaknesses, obligations, and threats.
ANS: F REF: 6
14. A detailed SWOT analysis helps the organization view building on strengths and
eliminating or minimizing weaknesses.
ANS: T REF: 6
15. Often the words “key results,” “goals,” and “targets” are used synonymously with strategies
when managers are thinking about long- and short-term actions.
ANS: F REF: 6
16. Objectives must be clear, concise, written statements outlining what is to be accomplished
in key result areas within a certain time period.
ANS: T REF: 6
Strategic Management Essentials. Copyright © 2020 Academic Media Solutions.
, Chapter 1 The Strategic Management Process 1-3
17. Objectives don’t need to be written statements but can be broad desires of management.
ANS: F REF: 6
18. The firm’s scope involves the product and services the organization will offer, the
geographic location in which the firm operates, and the extent to which the firm is vertically
integrated.
ANS: T REF: 7
19. Operational or functional plans should be completed right before establishing objectives.
ANS: F REF: 7
20. Functional plans need to be developed in all the areas that are used to support the overall
strategy.
ANS: T REF: 7
21. Once the plan has been implemented, the strategic management process is complete.
ANS: F REF: 7
22. A plan is not complete until the controls are identified and the procedures for recording and
transmitting control information to the managers of the plan are established.
ANS: T REF: 7
23. A stakeholder may be defined as persons or groups that have, or claim, ownership, rights,
or interests in a corporation and its activities, past, present, or future.
ANS: T REF: 8
24. Although stakeholders are important to an organization, it is not feasible to include them in
the strategic management process.
ANS: F REF: 8
Strategic Management Essentials. Copyright (c) 2020 Academic Media Solutions.
