BQA FINAL EXAM PRACTICE SOLUTION
QUESTIONS AND ANSWERS FULL STUDY
PACK
●● purpose and goal of strategy
Answer: create a competitive advantage, determines where to engage
with the competition and choice of business model
Goal: superior performance, substantial positive return, above average
profitability, above average return on equity
●● Five Stages of the Strategic Management Process
Answer: Analysis - understand unique competitive strengths, how to
create value
Formulation - vison, mission, goals, objectives, strategic approach
Implementation - allocate resources, organizational structure,
employees, activities to engage in
Evaluation - think and respond based on results and analysis
Performance - success or failure of strategy
●● Five Questions to Define strategy
Answer: Why are firms different
How are competitive differences sustained?
What is special about strategic decisions
,What is the nature of strategy in multi-divisional firm?
How is strategic effectiveness measured?
●● Competitive Advantage
Answer: specialized approach to create value to meet market
expectations
●● Strategic Decision Making
Answer: non-routine, affect entire organizational functions, commitment
of resources needed, difficult to reverse, making a clear choice among
alternatives, easily identified as failure or success
Clear Choice - what will it do and not do
Resources and capabilities that set a company apart
Long term vision
Company business model
●● External Analysis
Answer: industries and competitors, how it is evolving, growing and the
importance
●● Internal Analysis
Answer: value chain and competitive advantage
, ●● Resource Based Analysis
Answer: Sustainable competitive advantage
●● Strategy vs Tactics
Answer: Strategy - long term plan, affects entire company, difficult to
change, fundamental to everything you do
Tactics - how to get there, day to day activities
●● how does strategy change over time
Answer: Technology, big data, rapid communication,
Globalization
Ease of access to finance and markets
24/7 pace of work
Rapid change and evolving conditions
●● how is strategy effectiveness measured
Answer: Financial performance metrics
Qualitative assessments
Stakeholder goals (internal and external)
●● SWOT Analysis
Answer: Strenghth
QUESTIONS AND ANSWERS FULL STUDY
PACK
●● purpose and goal of strategy
Answer: create a competitive advantage, determines where to engage
with the competition and choice of business model
Goal: superior performance, substantial positive return, above average
profitability, above average return on equity
●● Five Stages of the Strategic Management Process
Answer: Analysis - understand unique competitive strengths, how to
create value
Formulation - vison, mission, goals, objectives, strategic approach
Implementation - allocate resources, organizational structure,
employees, activities to engage in
Evaluation - think and respond based on results and analysis
Performance - success or failure of strategy
●● Five Questions to Define strategy
Answer: Why are firms different
How are competitive differences sustained?
What is special about strategic decisions
,What is the nature of strategy in multi-divisional firm?
How is strategic effectiveness measured?
●● Competitive Advantage
Answer: specialized approach to create value to meet market
expectations
●● Strategic Decision Making
Answer: non-routine, affect entire organizational functions, commitment
of resources needed, difficult to reverse, making a clear choice among
alternatives, easily identified as failure or success
Clear Choice - what will it do and not do
Resources and capabilities that set a company apart
Long term vision
Company business model
●● External Analysis
Answer: industries and competitors, how it is evolving, growing and the
importance
●● Internal Analysis
Answer: value chain and competitive advantage
, ●● Resource Based Analysis
Answer: Sustainable competitive advantage
●● Strategy vs Tactics
Answer: Strategy - long term plan, affects entire company, difficult to
change, fundamental to everything you do
Tactics - how to get there, day to day activities
●● how does strategy change over time
Answer: Technology, big data, rapid communication,
Globalization
Ease of access to finance and markets
24/7 pace of work
Rapid change and evolving conditions
●● how is strategy effectiveness measured
Answer: Financial performance metrics
Qualitative assessments
Stakeholder goals (internal and external)
●● SWOT Analysis
Answer: Strenghth
