MGT 4810 Midterm #1 Exam With Actual Questions And Correctly Well Defined Answers.

To be effective, strategic management must be a process that familiarizes managers and employees with the key strategic issues facing an organization and the feasible alternatives for resolving those issues. - correct answer True Despite its great popularity in the 1980s, strategic planning by corporate America is now a valuable though rare activity. - correct answer False The strengths and weaknesses of an organization are determined relative to the strengths and weaknesses of its competitors. - correct answer True A vision statement describes an organization's values and priorities. - correct answer False Optimizing for tomorrow the trends of today is the purpose of strategic. - correct answer False Once an effective strategy is designed, modifications are rarely required. - correct answer False Commitment and understanding may be the most important benefits of strategic management. - correct answer True Management by intuition can be defined as operating from the "I've-already-made-up-my-mind-don't-bother-me-with-the-facts mode." - correct answer False Middle managers are the most visible and critical of all strategic managers. - correct answer False Strategists are usually found in higher levels of management and have considerable authority for decision-making in the firm. - correct answer True By the nature of what they do, strategists tend to have similar attitudes, values, ethics, and concerns for social responsibility. - correct answer False According to Albert Einstein, "knowledge is far more important than intuition". - correct answer False The terms strategic management and strategic planning are synonymous in this text. - correct answer True Strategic management is an attempt to organize qualitative and quantitative information in a way that allows effective decisions to be made under conditions of uncertainty. - correct answer True A vision statement commonly answers the question, "what is our business?", whereas a mission statement is more likely to answer the question "what do we want to become?". - correct answer False Firms with planning systems more closely resembling strategic-management theory generally exhibit superior long-term financial performance relative to their industries. - correct answer True Once a firm acquires a competitive advantage, they are usually able to sustain the competitive advantage indefinitely. - correct answer False All firms have a strategy, even if it is informal, unstructured, and sporadic. - correct answer True The most effective strategic management is ritualistic, predictable, and formal. - correct answer False Military success is usually the happy result of accidental strategies, but business success is the product of continuous attention to changing conditions and insightful adaptations to those conditions. - correct answer False Low-preforming firms typically underestimate their competitor's strengths and overestimate their own strengths. - correct answer True One of the fundamental strategy evaluation activities is reviewing the external and internal factors on which strategies are based. - correct answer True Most traditional retailers have tried in vain to use their online sales to boost in-store sales. - correct answer False An objective, logical, systematic approach for making major decisions in an organization is a way to describe the strategic-management process. - correct answer False U.S. firms are not being aggressively challenged in the computer industry. - correct answer False In most large organizations that engage in strategic management, the formulation, implementation, and evaluation of strategy activities occur at three hierarchical levels: corporate; divisional or strategic business unit; and functional. - correct answer True The lack of monetary rewards is one cause of managers not engaging in strategic planning. - correct answer True Strategic management focuses on integrating management, marketing, finance and accounting, production and operations, research and development, and information systems to achieve organizational success. - correct answer True By occasionally monitoring external events, companies should be able to identify when change is required. - correct answer False Analytical and intuitive thinking should complement each other. - correct answer True Application of the strategic-management process is typically more formal in larger and well-established organizations. - correct answer True According to Peter Drucker, "imagination is more important than knowledge, because knowledge is limited, whereas imagination embraces the entire world". - correct answer False Because the position of Chief Executive Officer (CEO) has assumed much responsibility for strategic management in the last five years, the number of firms with the position of Chief Strategic Officer (CSO) has diminished drastically during this period. - correct answer False Firms, like organisms, must be "adept at adapting" or they will not survive. - correct answer True A vision statement identifies the scope of a firm's operations in product and market terms. - correct answer False The best approach for strategists is to carefully develop strategic plans themselves and then present them to operating managers to execute. - correct answer False Substantial research indicates that a healthier workforce can more effectively and efficiently implement strategies. - correct answer True Many organizations mistakenly spend more time and effort on the implementation of a plan, than on the formulation of the plan itself. - correct answer False Firms can be more proactive with strategic management. - correct answer True Objectives should be measurable, challenging, reasonable, consistent, and clear. - correct answer True