MGT 8803 BUSINESS STRATEGY ACTUAL
TEST FULL QUESTIONS AND CORRECT
ANSWERS EXPERT REVIEW
●● business model
Answer: how the firm is configured to create profitable revenue streams
●● The business model is the end result of...
Answer: strategic decisions and trade-offs made by senior managers
over time
●● Analysis can _ uncertainty
Answer: reduce
●● Planning
Answer: the process of anticipating future events and determining
strategies to achieve organizational objectives in the future; includes
defining goals, establishing strategies, and developing plans to
coordinate activities
●● Organizing (and Staffing)
Answer: Process of ensuring that the necessary human and physical
resources are available to achieve the planning goals; Includes
,determining what tasks to be done, who is to do them, how the tasks are
to be grouped, who reports to whom, and where decisions are to be
made. Also includes recruiting, selecting, training, and performance
evaluation
●● Leading
Answer: inspiring and motivating workers to work hard to achieve
organizational goals; includes motivating employees, directing the
activities of others, selecting the most effective communication channel
and resolving conflicts
●● Controlling
Answer: monitoring performance, comparing it with goals, and taking
corrective action as needed
●● Management Process
Answer: planning, organizing, leading, and controlling the use of
resources to accomplish performance goals
●● Hierarchy of Plans
Answer: planning flows in a top-down sequence from overall vision,
mission, and objectives to more specific detailed level of plans (strategic
goals -> strategic plans -> tactical goals -> tactical plans -> operational
goals -> operational plans)
,●● context for planning
Answer: general environmental factors, suppliers, competitors,
regulators, partners and shareholders, customers, communities
●● Why is planning important?
Answer: 1. Planning is necessary to give the organization a sense of
direction and purpose
2. Planning is a useful way of getting managers to participate in decision
making about the appropriate goals and strategies for an organization
3. A plan helps coordinate managers of the different functions and
divisions of an organization to ensure that they all pull in the same
direction and work to achieve its desired future state
4. A plan can be used as a device for controlling managers within an
organization
●● Types of Plans
Answer: strategic, tactical, operational
●● Types of organizational structures
Answer: hierarchical (tall), flat (networked)
●● Hierarchical Organizational Structure
Answer: an organization form or structure based on the concepts of
division of labor, specialization, spans of control and unity of command
, ●● Flat Organizational Structure
Answer: An organizational structure that has only a few levels of
management and emphasizes decentralization
●● Levels of Management
Answer: top managers, middle managers, first-line managers, team
leaders
●● Most common plans
Answer: strategic planning (corporate, business unit, and functional)
functional planning
tactical/operational planning (work plans, schedules, etc.; responsible
typically for budgeting and scheduling)
●● Strategic Plans
Answer: plans that apply to the entire organization and establish the
organization's overall goals; aim for competitive advantage
●● Strategic Business Unit (SBU)
Answer: a subgroup of a single business or collection of related
businesses within the larger organization
TEST FULL QUESTIONS AND CORRECT
ANSWERS EXPERT REVIEW
●● business model
Answer: how the firm is configured to create profitable revenue streams
●● The business model is the end result of...
Answer: strategic decisions and trade-offs made by senior managers
over time
●● Analysis can _ uncertainty
Answer: reduce
●● Planning
Answer: the process of anticipating future events and determining
strategies to achieve organizational objectives in the future; includes
defining goals, establishing strategies, and developing plans to
coordinate activities
●● Organizing (and Staffing)
Answer: Process of ensuring that the necessary human and physical
resources are available to achieve the planning goals; Includes
,determining what tasks to be done, who is to do them, how the tasks are
to be grouped, who reports to whom, and where decisions are to be
made. Also includes recruiting, selecting, training, and performance
evaluation
●● Leading
Answer: inspiring and motivating workers to work hard to achieve
organizational goals; includes motivating employees, directing the
activities of others, selecting the most effective communication channel
and resolving conflicts
●● Controlling
Answer: monitoring performance, comparing it with goals, and taking
corrective action as needed
●● Management Process
Answer: planning, organizing, leading, and controlling the use of
resources to accomplish performance goals
●● Hierarchy of Plans
Answer: planning flows in a top-down sequence from overall vision,
mission, and objectives to more specific detailed level of plans (strategic
goals -> strategic plans -> tactical goals -> tactical plans -> operational
goals -> operational plans)
,●● context for planning
Answer: general environmental factors, suppliers, competitors,
regulators, partners and shareholders, customers, communities
●● Why is planning important?
Answer: 1. Planning is necessary to give the organization a sense of
direction and purpose
2. Planning is a useful way of getting managers to participate in decision
making about the appropriate goals and strategies for an organization
3. A plan helps coordinate managers of the different functions and
divisions of an organization to ensure that they all pull in the same
direction and work to achieve its desired future state
4. A plan can be used as a device for controlling managers within an
organization
●● Types of Plans
Answer: strategic, tactical, operational
●● Types of organizational structures
Answer: hierarchical (tall), flat (networked)
●● Hierarchical Organizational Structure
Answer: an organization form or structure based on the concepts of
division of labor, specialization, spans of control and unity of command
, ●● Flat Organizational Structure
Answer: An organizational structure that has only a few levels of
management and emphasizes decentralization
●● Levels of Management
Answer: top managers, middle managers, first-line managers, team
leaders
●● Most common plans
Answer: strategic planning (corporate, business unit, and functional)
functional planning
tactical/operational planning (work plans, schedules, etc.; responsible
typically for budgeting and scheduling)
●● Strategic Plans
Answer: plans that apply to the entire organization and establish the
organization's overall goals; aim for competitive advantage
●● Strategic Business Unit (SBU)
Answer: a subgroup of a single business or collection of related
businesses within the larger organization
