Test Bank
#ew
Strategic Management and Business Policy: Globalization, Innovation
#ew #ew #ew #ew #ew #ew
and Sustainability, Global Edition,
#ew #ew #ew #ew
Thomas L. WheelenJ David HungerAlan N. Hoffman
#ew #ew #ew #ew #ew #ew
16th edition#ew
,Strategic Management and Business Policy, 16e, Global Edition (Wheelen)
Chapter 1 Basic Concepts of Strategic Management
1) What was strategic management originally called?
A) Business policy
B) Planning
C) Marketing strategy
D) Short-term planning
E) Operational planning
Answer: A
Difficulty: Easy
Learning Obj.: 1.1: Discuss the benefits of strategic management
AACSB: Application of knowledge
2) Research suggests that strategic management evolves through four sequential phases in
corporations. The first phase is
A) externally oriented planning.
B) b asic financial planning.
C) i nternally oriented planning.
D) forecast-based planning.
E) strategic management.
Answer: B
Difficulty: Easy
Learning Obj.: 1.1: Discuss the benefits of strategic management
AACSB: Application of knowledge
3) The time horizon involved with regard to forecast-based planning is usually
A) one year.
B) o ne quarter.
C) t hree to five years.
D) less than one month.
E) five to ten years.
Answer: C
Difficulty: Easy
Learning Obj.: 1.1: Discuss the benefits of strategic management
AACSB: Application of knowledge
4) A difference between basic financial planning and forecast-based planning is
A) the time horizon is shorter in forecast-based planning.
B) f orecast-based planning incorporates environmental data and extrapolates current trends.
C) b asic financial planning utilizes consultants with sophisticated techniques.
D) basic financial planning utilizes scenarios and contingency strategies.
E) basic financial planning relies heavily on input from lower levels in the organization.
Answer: B
Difficulty: Moderate
Learning Obj.: 1.1: Discuss the benefits of strategic management
AACSB: Analytical thinking
,5) Top-down #ewplanning #ewthat #ewemphasizes #ewformal #ewstrategy #ewformulation #ewand
#ewleaves #ewthe #ewimplementation #ewissues #ewto #ewlower #ewmanagement #ewlevels #ewis
#ewknown #ewas
A) forecast-based #ewplanning.
B) externally #eworiented #ewplanning.
C) strategic #ewmanagement.
D) basic #ewfinancial #ewplanning.
E) none #ewof #ewthe
#ewabove. #ewAnswer:
# e w B #ewDifficulty:
#ew Moderate
Learning #ewObj.: # e w 1.1: #ewDiscuss #ewthe #ewbenefits #ewof #ewstrategic
#ewmanagement #ewAACSB: # e w Application #ewof #ewknowledge
6) In #ewthe #ewfinal #ewphase #ewof #ewstrategic #ewmanagement, #ewstrategic #ewinformation #ewis #ewavailable #ewto
A) people #ewthroughout #ewthe #eworganization.
B) the #ewtop #ewmanagement #ewresponsible #ewfor #ewdecision-making.
C) middle #ewmanagement.
D) operational #ewpersonnel.
E) only #ewthose #ewresponsible #ewfor #ewimplementing #ewthe
#ewstrategy. #ewAnswer: # e w A
Difficulty: # e w # e w Moderate
Learning #ewObj.: # e w 1.1: #ewDiscuss #ewthe #ewbenefits #ewof #ewstrategic
#ewmanagement #ewAACSB: # e w Application #ewof #ewknowledge
7) In #ewa #ewsurvey #ewof #ew50 #ewcorporations, #ewwhich #ewof #ewthe #ewfollowing #ewwas #ewrated #ewas #ewone
#ewof #ewthe #ewthree #ewtop #ewbenefits #ewof #ewstrategic #ewmanagement?
A) Clearer #ewsense #ewof #ewstrategic #ewdirection #ewfor #ewthe #ewfirm
B) Higher #ewlevels #ewof #ewemployee #ewmotivation
C) Higher #ewlevels #ewof #ewjob #ewsatisfaction
D) Improved #ewproductivity
E) Lower#ewemployee
#ewturnover #ewAnswer: # e w A
Difficulty: # e w # e w Moderate
Learning #ewObj.: # e w 1.1: #ewDiscuss #ewthe #ewbenefits #ewof #ewstrategic
#ewmanagement #ewAACSB: # e w Application #ewof #ewknowledge
8) When #ewan #eworganization #ewis #ewinvolved #ewin #ewformal #ewstrategic #ewplanning, #ewwhich #ewis
#ewnot #ewone #ewof #ewthe #ewstrategic #ewquestions #ewthat #ewan #eworganization #ewgenerally #ewmay #ewask
#ewitself?
A) Where #ewis #ewthe #eworganization #ewnow?
B) Are #ewwe #ewon #ewtarget #ewto #ewhit #ewour #ewfinancial #ewobjectives #ewnext #ewyear?
C) If #ewno #ewchanges #eware #ewmade, #ewwhere #ewwill #ewthe #eworganization #ewbe #ewin #ewone #ewyear?
D) If #ewthe #ewevaluation #ewis #ewnegative, #ewwhat #ewspecific #ewactions #ewshould #ewmanagement #ewtake?
E) If #ewno #ewchanges #eware #ewmade, #ewwhere #ewwill #ewthe #eworganization #ewbe #ewin
#ew10 #ewyears? #ewAnswer: # e w B
Difficulty: # e w # e w Moderate
Learning #ewObj.: # e w 1.1: #ewDiscuss #ewthe #ewbenefits #ewof #ewstrategic
#ewmanagement #ewAACSB: # e w Analytical #ewthinking
, 2
.
#ew
Strategic Management and Business Policy: Globalization, Innovation
#ew #ew #ew #ew #ew #ew
and Sustainability, Global Edition,
#ew #ew #ew #ew
Thomas L. WheelenJ David HungerAlan N. Hoffman
#ew #ew #ew #ew #ew #ew
16th edition#ew
,Strategic Management and Business Policy, 16e, Global Edition (Wheelen)
Chapter 1 Basic Concepts of Strategic Management
1) What was strategic management originally called?
A) Business policy
B) Planning
C) Marketing strategy
D) Short-term planning
E) Operational planning
Answer: A
Difficulty: Easy
Learning Obj.: 1.1: Discuss the benefits of strategic management
AACSB: Application of knowledge
2) Research suggests that strategic management evolves through four sequential phases in
corporations. The first phase is
A) externally oriented planning.
B) b asic financial planning.
C) i nternally oriented planning.
D) forecast-based planning.
E) strategic management.
Answer: B
Difficulty: Easy
Learning Obj.: 1.1: Discuss the benefits of strategic management
AACSB: Application of knowledge
3) The time horizon involved with regard to forecast-based planning is usually
A) one year.
B) o ne quarter.
C) t hree to five years.
D) less than one month.
E) five to ten years.
Answer: C
Difficulty: Easy
Learning Obj.: 1.1: Discuss the benefits of strategic management
AACSB: Application of knowledge
4) A difference between basic financial planning and forecast-based planning is
A) the time horizon is shorter in forecast-based planning.
B) f orecast-based planning incorporates environmental data and extrapolates current trends.
C) b asic financial planning utilizes consultants with sophisticated techniques.
D) basic financial planning utilizes scenarios and contingency strategies.
E) basic financial planning relies heavily on input from lower levels in the organization.
Answer: B
Difficulty: Moderate
Learning Obj.: 1.1: Discuss the benefits of strategic management
AACSB: Analytical thinking
,5) Top-down #ewplanning #ewthat #ewemphasizes #ewformal #ewstrategy #ewformulation #ewand
#ewleaves #ewthe #ewimplementation #ewissues #ewto #ewlower #ewmanagement #ewlevels #ewis
#ewknown #ewas
A) forecast-based #ewplanning.
B) externally #eworiented #ewplanning.
C) strategic #ewmanagement.
D) basic #ewfinancial #ewplanning.
E) none #ewof #ewthe
#ewabove. #ewAnswer:
# e w B #ewDifficulty:
#ew Moderate
Learning #ewObj.: # e w 1.1: #ewDiscuss #ewthe #ewbenefits #ewof #ewstrategic
#ewmanagement #ewAACSB: # e w Application #ewof #ewknowledge
6) In #ewthe #ewfinal #ewphase #ewof #ewstrategic #ewmanagement, #ewstrategic #ewinformation #ewis #ewavailable #ewto
A) people #ewthroughout #ewthe #eworganization.
B) the #ewtop #ewmanagement #ewresponsible #ewfor #ewdecision-making.
C) middle #ewmanagement.
D) operational #ewpersonnel.
E) only #ewthose #ewresponsible #ewfor #ewimplementing #ewthe
#ewstrategy. #ewAnswer: # e w A
Difficulty: # e w # e w Moderate
Learning #ewObj.: # e w 1.1: #ewDiscuss #ewthe #ewbenefits #ewof #ewstrategic
#ewmanagement #ewAACSB: # e w Application #ewof #ewknowledge
7) In #ewa #ewsurvey #ewof #ew50 #ewcorporations, #ewwhich #ewof #ewthe #ewfollowing #ewwas #ewrated #ewas #ewone
#ewof #ewthe #ewthree #ewtop #ewbenefits #ewof #ewstrategic #ewmanagement?
A) Clearer #ewsense #ewof #ewstrategic #ewdirection #ewfor #ewthe #ewfirm
B) Higher #ewlevels #ewof #ewemployee #ewmotivation
C) Higher #ewlevels #ewof #ewjob #ewsatisfaction
D) Improved #ewproductivity
E) Lower#ewemployee
#ewturnover #ewAnswer: # e w A
Difficulty: # e w # e w Moderate
Learning #ewObj.: # e w 1.1: #ewDiscuss #ewthe #ewbenefits #ewof #ewstrategic
#ewmanagement #ewAACSB: # e w Application #ewof #ewknowledge
8) When #ewan #eworganization #ewis #ewinvolved #ewin #ewformal #ewstrategic #ewplanning, #ewwhich #ewis
#ewnot #ewone #ewof #ewthe #ewstrategic #ewquestions #ewthat #ewan #eworganization #ewgenerally #ewmay #ewask
#ewitself?
A) Where #ewis #ewthe #eworganization #ewnow?
B) Are #ewwe #ewon #ewtarget #ewto #ewhit #ewour #ewfinancial #ewobjectives #ewnext #ewyear?
C) If #ewno #ewchanges #eware #ewmade, #ewwhere #ewwill #ewthe #eworganization #ewbe #ewin #ewone #ewyear?
D) If #ewthe #ewevaluation #ewis #ewnegative, #ewwhat #ewspecific #ewactions #ewshould #ewmanagement #ewtake?
E) If #ewno #ewchanges #eware #ewmade, #ewwhere #ewwill #ewthe #eworganization #ewbe #ewin
#ew10 #ewyears? #ewAnswer: # e w B
Difficulty: # e w # e w Moderate
Learning #ewObj.: # e w 1.1: #ewDiscuss #ewthe #ewbenefits #ewof #ewstrategic
#ewmanagement #ewAACSB: # e w Analytical #ewthinking
, 2
.
