STRATEGIC MANAGEMENT A
COMPETITIVE ADVANTAGE APPROACH
CONCEPTS AND CASES 18TH EDITION FRED
DAVID FOREST DAVID MEREDITH TEST
BANK PRACTICE SCRIPT UPDATED 2026
TESTED SOLUTIONS
⫸ Optimizing for tomorrow the trends of today is the purpose of
strategic management. Answer: False
⫸ Even though useful, strategic planning has been cast aside by
corporate America since the early 1990s. Answer: False
⫸ The decision to expand or diversify operations is a strategy-
formulation issue. Answer: True
⫸ The terms strategic management and strategic planning are
synonymous in this text. Answer: True
⫸ A vision statement identifies the scope of a firm's operations in
product and market terms. Answer: False
,⫸ Strategy implementation is often considered to be the most difficult
stage in the strategic-management process because it requires personal
discipline, commitment, and sacrifice. Answer: True
⫸ The final stage in strategic management is strategy implementation.
Answer: False
⫸ Formulation, implementation, and evaluation of strategy activities
occur at three hierarchical levels in a large organization: corporate,
divisional or strategic business unit, and functional. Answer: True
⫸ One of the fundamental strategy evaluation activities is reviewing
external and internal factors that are the basis for current strategies.
Answer: True
⫸ An objective, logical, systematic approach for making major
decisions in an organization is a way to describe the strategic-
management process. 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. Answer: True
⫸ Analytical and intuitive thinking should complement each other.
Answer: True
, ⫸ According to Albert Einstein, "Knowledge is far more important than
intuition." Answer: False
⫸ 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."
Answer: False
⫸ By occasionally monitoring external events, companies should be
able to identify when change is required. Answer: False
⫸ Firms, like organisms, must be "adept at adapting" or they will not
survive. Answer: True
⫸ U.S. firms are not being challenged in the computer industry.
Answer: False
⫸ Anything the firm does especially well compared to rival firms could
be considered a competitive advantage. Answer: True
⫸ Once a firm acquires a competitive advantage, they are usually able
to sustain the competitive advantage indefinitely. Answer: False
⫸ Newspaper companies in the United States provide a good example
of how a company can sustain a competitive advantage over the long-
term. Answer: False
COMPETITIVE ADVANTAGE APPROACH
CONCEPTS AND CASES 18TH EDITION FRED
DAVID FOREST DAVID MEREDITH TEST
BANK PRACTICE SCRIPT UPDATED 2026
TESTED SOLUTIONS
⫸ Optimizing for tomorrow the trends of today is the purpose of
strategic management. Answer: False
⫸ Even though useful, strategic planning has been cast aside by
corporate America since the early 1990s. Answer: False
⫸ The decision to expand or diversify operations is a strategy-
formulation issue. Answer: True
⫸ The terms strategic management and strategic planning are
synonymous in this text. Answer: True
⫸ A vision statement identifies the scope of a firm's operations in
product and market terms. Answer: False
,⫸ Strategy implementation is often considered to be the most difficult
stage in the strategic-management process because it requires personal
discipline, commitment, and sacrifice. Answer: True
⫸ The final stage in strategic management is strategy implementation.
Answer: False
⫸ Formulation, implementation, and evaluation of strategy activities
occur at three hierarchical levels in a large organization: corporate,
divisional or strategic business unit, and functional. Answer: True
⫸ One of the fundamental strategy evaluation activities is reviewing
external and internal factors that are the basis for current strategies.
Answer: True
⫸ An objective, logical, systematic approach for making major
decisions in an organization is a way to describe the strategic-
management process. 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. Answer: True
⫸ Analytical and intuitive thinking should complement each other.
Answer: True
, ⫸ According to Albert Einstein, "Knowledge is far more important than
intuition." Answer: False
⫸ 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."
Answer: False
⫸ By occasionally monitoring external events, companies should be
able to identify when change is required. Answer: False
⫸ Firms, like organisms, must be "adept at adapting" or they will not
survive. Answer: True
⫸ U.S. firms are not being challenged in the computer industry.
Answer: False
⫸ Anything the firm does especially well compared to rival firms could
be considered a competitive advantage. Answer: True
⫸ Once a firm acquires a competitive advantage, they are usually able
to sustain the competitive advantage indefinitely. Answer: False
⫸ Newspaper companies in the United States provide a good example
of how a company can sustain a competitive advantage over the long-
term. Answer: False
