CERTIFIED STRATEGIC PLANNING
PROFESSIONAL (CSPP) QUESTION AND
CORRECT ANSWERS (VERIFIED
ANSWERS) PLUS RATIONALES 2026 Q&A
INSTANT DOWNLOAD PDF
1. Strategic planning is best defined as:
A. Day-to-day operational decision-making
B. A systematic process of defining direction and allocating resources to
achieve long-term goals
C. Budget preparation for the fiscal year
D. Crisis response management
Rationale: Strategic planning focuses on long-term direction, goals, and
resource alignment.
2. The primary purpose of a mission statement is to:
A. Describe future aspirations
B. Outline financial objectives
C. Define the organization’s core purpose and reason for existence
D. Identify competitors
Rationale: A mission statement clarifies why the organization exists.
3. A vision statement primarily answers which question?
A. What do we do now?
B. What do we want to become in the future?
C. How much profit will we make?
D. Who are our suppliers?
Rationale: Vision statements focus on long-term aspirations.
,4. SWOT analysis is used to assess:
A. Financial performance only
B. Industry trends
C. Internal and external factors affecting strategy
D. Employee satisfaction
Rationale: SWOT examines strengths, weaknesses, opportunities, and
threats.
5. Which of the following is an internal factor in SWOT analysis?
A. Organizational culture
B. Economic conditions
C. Regulatory changes
D. Market competition
Rationale: Internal factors originate within the organization.
6. PESTLE analysis is primarily used to analyze:
A. Internal capabilities
B. Macro-environmental external factors
C. Customer satisfaction
D. Financial ratios
Rationale: PESTLE evaluates political, economic, social, technological,
legal, and environmental factors.
7. Which planning horizon is most associated with strategic planning?
A. Short-term (less than 1 year)
B. Medium-term (1–2 years)
C. Long-term (3–5 years or more)
D. Daily planning
Rationale: Strategic planning is long-term in nature.
8. The Balanced Scorecard integrates strategy with:
A. Organizational structure only
B. Marketing plans
C. Performance measurement across multiple perspectives
D. Risk management only
, Rationale: Balanced Scorecard links strategy to financial and non-financial
metrics.
9. Which is NOT a traditional Balanced Scorecard perspective?
A. Financial
B. Customer
C. Political
D. Learning and growth
Rationale: Political perspective is not part of the Balanced Scorecard.
10.Competitive advantage refers to:
A. Market share growth
B. Attributes that allow an organization to outperform competitors
C. Cost reduction only
D. Brand recognition alone
Rationale: Competitive advantage enables superior performance.
11.Michael Porter’s generic strategies include cost leadership, differentiation,
and:
A. Innovation
B. Market penetration
C. Focus
D. Diversification
Rationale: Porter identified cost leadership, differentiation, and focus
strategies.
12.Strategy formulation primarily involves:
A. Executing plans
B. Monitoring results
C. Developing strategies and strategic objectives
D. Training employees
Rationale: Formulation is about developing strategy, not execution.
13.Strategy implementation focuses on:
A. Environmental scanning
PROFESSIONAL (CSPP) QUESTION AND
CORRECT ANSWERS (VERIFIED
ANSWERS) PLUS RATIONALES 2026 Q&A
INSTANT DOWNLOAD PDF
1. Strategic planning is best defined as:
A. Day-to-day operational decision-making
B. A systematic process of defining direction and allocating resources to
achieve long-term goals
C. Budget preparation for the fiscal year
D. Crisis response management
Rationale: Strategic planning focuses on long-term direction, goals, and
resource alignment.
2. The primary purpose of a mission statement is to:
A. Describe future aspirations
B. Outline financial objectives
C. Define the organization’s core purpose and reason for existence
D. Identify competitors
Rationale: A mission statement clarifies why the organization exists.
3. A vision statement primarily answers which question?
A. What do we do now?
B. What do we want to become in the future?
C. How much profit will we make?
D. Who are our suppliers?
Rationale: Vision statements focus on long-term aspirations.
,4. SWOT analysis is used to assess:
A. Financial performance only
B. Industry trends
C. Internal and external factors affecting strategy
D. Employee satisfaction
Rationale: SWOT examines strengths, weaknesses, opportunities, and
threats.
5. Which of the following is an internal factor in SWOT analysis?
A. Organizational culture
B. Economic conditions
C. Regulatory changes
D. Market competition
Rationale: Internal factors originate within the organization.
6. PESTLE analysis is primarily used to analyze:
A. Internal capabilities
B. Macro-environmental external factors
C. Customer satisfaction
D. Financial ratios
Rationale: PESTLE evaluates political, economic, social, technological,
legal, and environmental factors.
7. Which planning horizon is most associated with strategic planning?
A. Short-term (less than 1 year)
B. Medium-term (1–2 years)
C. Long-term (3–5 years or more)
D. Daily planning
Rationale: Strategic planning is long-term in nature.
8. The Balanced Scorecard integrates strategy with:
A. Organizational structure only
B. Marketing plans
C. Performance measurement across multiple perspectives
D. Risk management only
, Rationale: Balanced Scorecard links strategy to financial and non-financial
metrics.
9. Which is NOT a traditional Balanced Scorecard perspective?
A. Financial
B. Customer
C. Political
D. Learning and growth
Rationale: Political perspective is not part of the Balanced Scorecard.
10.Competitive advantage refers to:
A. Market share growth
B. Attributes that allow an organization to outperform competitors
C. Cost reduction only
D. Brand recognition alone
Rationale: Competitive advantage enables superior performance.
11.Michael Porter’s generic strategies include cost leadership, differentiation,
and:
A. Innovation
B. Market penetration
C. Focus
D. Diversification
Rationale: Porter identified cost leadership, differentiation, and focus
strategies.
12.Strategy formulation primarily involves:
A. Executing plans
B. Monitoring results
C. Developing strategies and strategic objectives
D. Training employees
Rationale: Formulation is about developing strategy, not execution.
13.Strategy implementation focuses on:
A. Environmental scanning
