WGU Principles of Management Exam 145 Questions with
Verified Answers
A unique skill and/or knowledge and organization possesses that gives it an edge
over competitors. - CORRECT ANSWER Core Competency/Capability
They can enhance a firms competitive advantage. - CORRECT ANSWER What does
Core Competency/Capability mean for an organization?
Strength
Weaknesses
Opportunities
Threats - CORRECT ANSWER SWOT analysis
Refers to internal resources such as effective sales and marketing, user friendly
software, relatively low price. - CORRECT ANSWER How is Strengths in SWOT
analysis used in strategic planning process?
Refers to internal resources like a lack of spare production capacity and the
absence of reliable suppliers. - CORRECT ANSWER How is Weaknesses in SWOT
analysis used in strategic planning process?
Rises in the Macroenvironment and Competerive environment. Geographical
expansion, more markets, new services-data discovery. - CORRECT ANSWER How
is Opportunities in SWOT analysis used in strategic planning process?
,Rises in the Macroenvironment and Competetive environment. Large vendors
with similar software, pressure on price, possibility of software becoming
standard. Might also include the possibility that competitors will enter the
underserved niche once it has been shown to be profitable. - CORRECT ANSWER
How is Threats in SWOT analysis used in strategic planning process?
Concentration-focuses on a single business competing in a single industry.
Vertical Integration-involves expanding the domain of the organization into supply
channels or to distributors. Generally is used to eliminate u certainties and
associated with suppliers or distributors.
Concentric Diversification-involves moving into new businesses that are related to
the company's original core business.
Conglomerate Diversification-corporate strategy that involves expansion in
unrelated business. - CORRECT ANSWER Types of corporate strategies that
organizations can use.
Both have 6 steps that more or less correspond to each other.
General: identifying and diagnosing the problem, generating alternative
solutions,evaluating alternatives,making the choice,implementing,evaluation.
, Formal: situational analysis,alternative goals and plans,goal and plan
evaluation,goal and plan selection,implementation,monitor and control. -
CORRECT ANSWER General Decision making stages vs Formal Planning steps
Strategic, tactical and operational.
Correspond with the three major management levels. - CORRECT ANSWER Three
levels of planning hierarchy:
All forces outside the organizations control, including its competitive environment
and the Macroenvironment. - CORRECT ANSWER External Environment
Macroenvironment deals with: economy, technology, legal and regulations,
demographics, social issues, natural ecology.
Competitive Environment deals with: rivals, suppliers, buyers, new entrants,
substitutes and compliments.
Internal Environment deals with: culture, values, climate. - CORRECT ANSWER
Macroenvironment vs Competitive Environment vs Internal Environment:
Rival Firms-current firms in the industry
New Entrants-new competitors may be limited by "Barriers to Entry"
Customers-can decide where to spend their money.
Substitutes/Complements- customers can use alternative and complementary
products.
Verified Answers
A unique skill and/or knowledge and organization possesses that gives it an edge
over competitors. - CORRECT ANSWER Core Competency/Capability
They can enhance a firms competitive advantage. - CORRECT ANSWER What does
Core Competency/Capability mean for an organization?
Strength
Weaknesses
Opportunities
Threats - CORRECT ANSWER SWOT analysis
Refers to internal resources such as effective sales and marketing, user friendly
software, relatively low price. - CORRECT ANSWER How is Strengths in SWOT
analysis used in strategic planning process?
Refers to internal resources like a lack of spare production capacity and the
absence of reliable suppliers. - CORRECT ANSWER How is Weaknesses in SWOT
analysis used in strategic planning process?
Rises in the Macroenvironment and Competerive environment. Geographical
expansion, more markets, new services-data discovery. - CORRECT ANSWER How
is Opportunities in SWOT analysis used in strategic planning process?
,Rises in the Macroenvironment and Competetive environment. Large vendors
with similar software, pressure on price, possibility of software becoming
standard. Might also include the possibility that competitors will enter the
underserved niche once it has been shown to be profitable. - CORRECT ANSWER
How is Threats in SWOT analysis used in strategic planning process?
Concentration-focuses on a single business competing in a single industry.
Vertical Integration-involves expanding the domain of the organization into supply
channels or to distributors. Generally is used to eliminate u certainties and
associated with suppliers or distributors.
Concentric Diversification-involves moving into new businesses that are related to
the company's original core business.
Conglomerate Diversification-corporate strategy that involves expansion in
unrelated business. - CORRECT ANSWER Types of corporate strategies that
organizations can use.
Both have 6 steps that more or less correspond to each other.
General: identifying and diagnosing the problem, generating alternative
solutions,evaluating alternatives,making the choice,implementing,evaluation.
, Formal: situational analysis,alternative goals and plans,goal and plan
evaluation,goal and plan selection,implementation,monitor and control. -
CORRECT ANSWER General Decision making stages vs Formal Planning steps
Strategic, tactical and operational.
Correspond with the three major management levels. - CORRECT ANSWER Three
levels of planning hierarchy:
All forces outside the organizations control, including its competitive environment
and the Macroenvironment. - CORRECT ANSWER External Environment
Macroenvironment deals with: economy, technology, legal and regulations,
demographics, social issues, natural ecology.
Competitive Environment deals with: rivals, suppliers, buyers, new entrants,
substitutes and compliments.
Internal Environment deals with: culture, values, climate. - CORRECT ANSWER
Macroenvironment vs Competitive Environment vs Internal Environment:
Rival Firms-current firms in the industry
New Entrants-new competitors may be limited by "Barriers to Entry"
Customers-can decide where to spend their money.
Substitutes/Complements- customers can use alternative and complementary
products.
