MGMT 5560 Exam 1 Glo-Bus Questions and Answers
Green and Good Inc., a multinational company, relies on its media partner OmniSignal to regularly
advertise its offers, sales, and new products. OmniSignal is invested in this relationship because it
generates most of its revenue from advertising Green and Good's products. In this scenario, OmniSignal
is Green and Good Inc.'s
a. stockholder
b. workforce.
c. internal stakeholder.
d. external stakeholder. - (ANSWER)d. external stakeholder.
As the legal owners,______ have the most legitimate claim on a company's profits
a. creditors
b. Employees
c. Shareholders
d. board members - (ANSWER)c. Shareholders
Which of the following three important stakeholder attributes should managers pay special close
attention to in order to better understand stakeholder impact analysis?
a. competitive advantage, economic value, and time
b. power, legitimacy, and urgency
c. grace under pressure, financial control, and reward power
d. shareholder rights plan, board representation and CEO influence - (ANSWER)b. power, legitimacy, and
urgency
Which of the following terms describes the guiding policy to address the competitive challenge, and
uses corporate- and business-level strategy?
a. analysis
b. formulation
c. implementation
d. competitive advantage - (ANSWER)b. formulation
, MGMT 5560 Exam 1 Glo-Bus Questions and Answers
The first step in stakeholder impact analysis involves
a. formulating a stakeholder strategy to balance the different needs of various stakeholders.
b. identifying the opportunities and threats the stakeholders present.
c. describing the economic, legal, ethical, and philanthropic responsibilities of the firm toward society.
d. identifying the stakeholders that currently have, or potentially can have, a material effect on a
company. - (ANSWER)d. identifying the stakeholders that currently have, or potentially can have, a
material effect on a company.
Jill is interested in the concept of strategy and decides to create her own. As a result, Jill says that her
strategy is to focus on growth and marketing to achieve competitive advantage. How would you
evaluate Jill's statement?
a. Jill's strategy makes sense and she should move forward with it.
b. Jill's strategy reveals a clear strategic position and tradeoff, so she should proceed.
c. Jill should reevaluate her statement because it fails to mention human resources and finance.
d. Jill should reevaluate her statement because it fails to meet the principles of what a strategy should
be. - (ANSWER)d. Jill should reevaluate her statement because it fails to meet the principles of what a
strategy should be.
Which of the following tasks in the AFI strategy framework involves evaluating the internal and external
environments in which a firm operates?
a. analysis
b. Formulation
c. Implementation - (ANSWER)a. analysis
ECO Jeans, Inc. had a mission to become the leading producer of environmentally friendly blue jeans, an
emerging and in-demand category in the apparel industry. Its strategy involved leveraging a network of
organic cotton farmers and suppliers of environmentally responsible synthetic materials to create a
product that is durable, attractive, affordable, and 100% recyclable. However, because it did not
upgrade its outdated production facilities, ECO Jeans could not assemble its products at a low-enough
cost to offer the jeans at a price that was attractive to customers. ECO Jeans' strategy failed because
a. It failed to consider the competitive challenge.
b. It was not backed up with strategic commitments.
Green and Good Inc., a multinational company, relies on its media partner OmniSignal to regularly
advertise its offers, sales, and new products. OmniSignal is invested in this relationship because it
generates most of its revenue from advertising Green and Good's products. In this scenario, OmniSignal
is Green and Good Inc.'s
a. stockholder
b. workforce.
c. internal stakeholder.
d. external stakeholder. - (ANSWER)d. external stakeholder.
As the legal owners,______ have the most legitimate claim on a company's profits
a. creditors
b. Employees
c. Shareholders
d. board members - (ANSWER)c. Shareholders
Which of the following three important stakeholder attributes should managers pay special close
attention to in order to better understand stakeholder impact analysis?
a. competitive advantage, economic value, and time
b. power, legitimacy, and urgency
c. grace under pressure, financial control, and reward power
d. shareholder rights plan, board representation and CEO influence - (ANSWER)b. power, legitimacy, and
urgency
Which of the following terms describes the guiding policy to address the competitive challenge, and
uses corporate- and business-level strategy?
a. analysis
b. formulation
c. implementation
d. competitive advantage - (ANSWER)b. formulation
, MGMT 5560 Exam 1 Glo-Bus Questions and Answers
The first step in stakeholder impact analysis involves
a. formulating a stakeholder strategy to balance the different needs of various stakeholders.
b. identifying the opportunities and threats the stakeholders present.
c. describing the economic, legal, ethical, and philanthropic responsibilities of the firm toward society.
d. identifying the stakeholders that currently have, or potentially can have, a material effect on a
company. - (ANSWER)d. identifying the stakeholders that currently have, or potentially can have, a
material effect on a company.
Jill is interested in the concept of strategy and decides to create her own. As a result, Jill says that her
strategy is to focus on growth and marketing to achieve competitive advantage. How would you
evaluate Jill's statement?
a. Jill's strategy makes sense and she should move forward with it.
b. Jill's strategy reveals a clear strategic position and tradeoff, so she should proceed.
c. Jill should reevaluate her statement because it fails to mention human resources and finance.
d. Jill should reevaluate her statement because it fails to meet the principles of what a strategy should
be. - (ANSWER)d. Jill should reevaluate her statement because it fails to meet the principles of what a
strategy should be.
Which of the following tasks in the AFI strategy framework involves evaluating the internal and external
environments in which a firm operates?
a. analysis
b. Formulation
c. Implementation - (ANSWER)a. analysis
ECO Jeans, Inc. had a mission to become the leading producer of environmentally friendly blue jeans, an
emerging and in-demand category in the apparel industry. Its strategy involved leveraging a network of
organic cotton farmers and suppliers of environmentally responsible synthetic materials to create a
product that is durable, attractive, affordable, and 100% recyclable. However, because it did not
upgrade its outdated production facilities, ECO Jeans could not assemble its products at a low-enough
cost to offer the jeans at a price that was attractive to customers. ECO Jeans' strategy failed because
a. It failed to consider the competitive challenge.
b. It was not backed up with strategic commitments.
