Corporate Strategy - Exam questions and answers

Corporate
Strategy
-
Exam
questions
and
answers
1.
Which
of
the
following
strategies
is
about
how
to
successfully
compete
in
specific
markets?
a.
Generic
strategy
b.
Business
strategy
c.
Functional
(Operation-level)
strategy
d.
Corporate
strategy
b.
Business
strategy
2.
IKEA
sells
furniture
for
a
cheap
price
while
still
focusing
on
design
and
quality.
As
such,
which
of
the
following
strategies
is
IKEA
pursuing?
a.
Mixed-cost
strategy
b.
Price-based
strategy
c.
Differentiation
strategy
d.
Hybrid
strategy
d.
Hybrid
strategy
Full
screen
3.
What
are
the
two
sources
of
competitive
advantage?
a.
Lower
cost
and
diversification
b.
Lower
cost
and
differentiation
c.
Premium
prices
and
differentiation
d.
Premium
prices
and
diversification
b.
Lower
cost
and
differentiation
4.
Which
of
the
following
best
describes
the
maturity
stage
of
the
industry
life
cycle?
a.
Companies
face
increased
rivalry
due
to
slower
growth
and
some
firms
exiting
the
sector
b.
Companies
reach
maximum
revenue,
profits
and
cash
flows
because
customer
demand
is
fairly
high
and
consistent
within
the
sector
c.
Companies
experience
low
rivalry
due
to
high
differentiation
and
innovation
within
the
sector
d.
Companies
encounter
strong
buyers
due
to
low
growth
and
standardized
products
within
the
sector
b.
Companies
reach
maximum
revenue,
profits
and
cash
flows
because
customer
demand
is
fairly
high
and
consistent
within
the
sector d.
Companies
encounter
strong
buyers
due
to
low
growth
and
standardized
products
within
the
sector
5.
An
organisation's
general
expression
of
its
overall
purpose
is
known
as
its:
a.
Goal
b.
Mission
c.
Vision
d.
Objective
b.
Mission
6.
Traditionally
the
typical
clients
of
the
beer
industry
were
bars
and
restaurants.
Recently
the
beer
industry
began
to
sell
less
and
less
to
these
traditional
clients,
and
more
and
more
to
big
retailers
such
as
Carrefour
and
Aldi.
This
has
the
following
effect:
a.
It
decreases
the
bargaining
power
of
firms
within
the
beer
industry
b.
It
increases
the
bargaining
power
of
firms
within
the
beer
industry
c.
It
has
no
effect
on
firms
within
the
beer
industry
d.
It
decreases
the
bargaining
power
of
the
clients
purchasing
from
the
beer
industry
a.
It
decreases
the
bargaining
power
of
firms
within
the
beer
industry
7.
Which
of
the
following
is
not
a
generic
strategy
according
to
M.E.
Porter?
a.
Cost
leadership
b.
Differentiation
c.
Cost
differentiation
d.
Cost
focus
c.
Cost
differentiation
8.
According
to
the
BCG
Matrix,
question
marks
are
usually
characterized
by:
a.
Low
market
growth,
high
market
share
b.
Low
market
growth,
low
market
share
c.
High
market
growth,
low
market
share
d.
High
market
growth,
high
market
share
c.
High
market
growth,
low
market
share
9.
Accor
Group's
analysis
for
the
Saudi
Arabian
market
reveals
a
high
growth
of
the
young
(16
to
31
years
old)
population.
This
information
belongs
to
which
of
the
following
components
of
the
PESTEL
framework?
a.
Economic
b.
Social c.
Demographic
d.
Socioeconomic
b.
Social
10.
What
is
the
main
goal
of
a
differentiation
strategy
with
price
premium?
a.
Increased
market
share
b.
Increased
cost
leadership
c.
Increased
economies
of
scale
d.
Increased
margins
d.
Increased
margins
11.
A
store
selling
locally
adapted
products
and
paying
a
great
deal
of
attention
to
cost
reduction
is
pursuing
which
of
the
following
international
strategies?
a.
Global
strategy
b.
Multi-domestic
strategy
c.
Simple
export
strategy
d.
Transnational
strategy
d.
Transnational
strategy
12.
The
scenario
approach
for
forecasting
follows
a
process
of
five
basic
steps.
Which
of
the
following
is
not
one
of
these
five
steps:
a.
Identifying
the
key
drivers
for
change
using
PESTEL
to
uncover
issues
b.
Identifying
impacts
of
alternative
scenarios
c.
Assigning
scenarios
based
on
the
likelihood
of
growth
rates
obtained
from
macroeconomic
indicators
d.
Monitoring
progress
over
time
to
alert
whether
and
how
potential
developments
fit
scenario
expectations
c.
Assigning
scenarios
based
on
the
likelihood
of
growth
rates
obtained
from
macroeconomic
indicators
13.
Which
of
the
following
best
describes
a
situation
whereby
clients
are
cutting
out
suppliers
who
act
as
intermediaries:
a.
Backwards
vertical
integration
b.
Forward
vertical
integration
c.
Horizontal
integration
d.
Forward
diversification
a.
Backwards
vertical
integration