SEVI 3013 Exam 3 Review (updated)
questions and answers passed
As a firm seeks to add vital resources and capabilities, what strategic framework is used? -
correct answer ✔✔Build, Borrow, Buy
In the United States, a firm's key stakeholder(s) is(are) the: - correct answer ✔✔shareholders
Which of the following is NOT one of the steps outlined in the Playing to Win model?
A. Where to Play
B. How to Win
C. Resources Needed
D. Financial Modeling - correct answer ✔✔Financial Modeling
Executive compensation is a governance mechanism that seeks to align managers' and owners'
interests through all of the following EXCEPT:
A. bonuses.
B. long-term incentives such as stock options.
C. salary.
D. penalties for inadequate firm performance. - correct answer ✔✔penalties for inadequate
firm performance.
Organizational structure specifies the firm's: - correct answer ✔✔formal reporting relationships,
procedures, controls, and authority and decision-making processes.
Being able to understand, evaluate and think strategically is a critical skill because it will benefit
you in which role?
, A. As a Manager in the company
B. As an Investor in a company
C. Both A & B are True
D. Neither A or B is accurate - correct answer ✔✔Both A & B are True
Which statement best describes the key questions that Strategic Leaders use to impact their
business:
A. What differentiation is required to achieve a low cost delivery and maximize our Shareholder
value?
B. What is my competitor doing that we must be prepared to copy and duplicate at all costs?
C. What other businesses can I buy with the excess cash flow provided by the business?
D. What Choices can we make with our resources that will provide a competitive advantage that
provides above average returns over a long period of time? - correct answer ✔✔What Choices
can we make with our resources that will provide a competitive advantage that provides above
average returns over a long period of time?
Simon Leagreet, the chairperson and CEO of L-EVA Industries, Inc., has long been the major
power at L-EVA. A majority of the directors are concerned that, while Mr. Leagreet has been
responsible for the firm's earning above-average returns, he has been displaying a tendency
toward personal extravagance at the firm's expense. In order to limit Mr. Leagreet's power, the
board of directors plans to:
A. elect an insider as the lead director.
B. appoint another individual as chairperson of the board of directors.
C. require Mr. Leagreet to personally certify the firm's financial reports.
D. reduce the size of the stock option package provided to Mr. Leagreet. - correct answer
✔✔appoint another individual as chairperson of the board of directors.
In the Playing to Win example, P&G worked through a strategic problem with their Oil of Olay
product by re-aligning the product line to a new market of consumers. This first Step was an
example of what key step in their process? - correct answer ✔✔Define Where to Play
questions and answers passed
As a firm seeks to add vital resources and capabilities, what strategic framework is used? -
correct answer ✔✔Build, Borrow, Buy
In the United States, a firm's key stakeholder(s) is(are) the: - correct answer ✔✔shareholders
Which of the following is NOT one of the steps outlined in the Playing to Win model?
A. Where to Play
B. How to Win
C. Resources Needed
D. Financial Modeling - correct answer ✔✔Financial Modeling
Executive compensation is a governance mechanism that seeks to align managers' and owners'
interests through all of the following EXCEPT:
A. bonuses.
B. long-term incentives such as stock options.
C. salary.
D. penalties for inadequate firm performance. - correct answer ✔✔penalties for inadequate
firm performance.
Organizational structure specifies the firm's: - correct answer ✔✔formal reporting relationships,
procedures, controls, and authority and decision-making processes.
Being able to understand, evaluate and think strategically is a critical skill because it will benefit
you in which role?
, A. As a Manager in the company
B. As an Investor in a company
C. Both A & B are True
D. Neither A or B is accurate - correct answer ✔✔Both A & B are True
Which statement best describes the key questions that Strategic Leaders use to impact their
business:
A. What differentiation is required to achieve a low cost delivery and maximize our Shareholder
value?
B. What is my competitor doing that we must be prepared to copy and duplicate at all costs?
C. What other businesses can I buy with the excess cash flow provided by the business?
D. What Choices can we make with our resources that will provide a competitive advantage that
provides above average returns over a long period of time? - correct answer ✔✔What Choices
can we make with our resources that will provide a competitive advantage that provides above
average returns over a long period of time?
Simon Leagreet, the chairperson and CEO of L-EVA Industries, Inc., has long been the major
power at L-EVA. A majority of the directors are concerned that, while Mr. Leagreet has been
responsible for the firm's earning above-average returns, he has been displaying a tendency
toward personal extravagance at the firm's expense. In order to limit Mr. Leagreet's power, the
board of directors plans to:
A. elect an insider as the lead director.
B. appoint another individual as chairperson of the board of directors.
C. require Mr. Leagreet to personally certify the firm's financial reports.
D. reduce the size of the stock option package provided to Mr. Leagreet. - correct answer
✔✔appoint another individual as chairperson of the board of directors.
In the Playing to Win example, P&G worked through a strategic problem with their Oil of Olay
product by re-aligning the product line to a new market of consumers. This first Step was an
example of what key step in their process? - correct answer ✔✔Define Where to Play
