Test Item File- Practice Test Bank - Strategic Management in Action,Coulter,5e

TEST BANK



CH. 1 Introducing the Concepts


1. Companies that use strategic management tend to have higher levels of
performance.
ANS: TRUE
Diff: 2 PAGE# 3
Topic: Explain Why Strategic Management Is Important
Reflective Thinking


2. Strategy should be developed from a number of approaches rather than a single
approach.
ANS: TRUE
Diff: 2 PAGE# 4
Topic: Explain Why Strategic Management Is Important
Reflective Thinking


3. An organization's simple action can be considered a strategy.
ANS: FALSE
Diff: 2 PAGE# 5
Topic: Explain What Strategic Management Is
Analytical Skills


4. Strategy involves only the examination of an organization's goals.
ANS: FALSE
Diff: 2 PAGE# 5

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Topic: Explain What Strategic Management Is
Analytical Skills


5. An organization's strategy is its goal-directed decisions and actions in which its
capabilities and resources are matched with the opportunities and threats in its
environment.
ANS: TRUE
Diff: 2 PAGE# 5
Topic: Explain What Strategic Management Is
Analytical Skills


6. A situation analysis is the first step in the sequential strategic management process.
ANS: TRUE
Diff: 1 PAGE# 7
Topic: Explain What Strategic Management Is
Analytical Skills


7. Functional strategies are the goal-directed plans and actions of the organization's
various functional departments.
ANS: FALSE
Diff: 1 PAGE# 7
Topic: Explain What Strategic Management Is
Reflective Thinking




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8. Business strategies are concerned with the broad and more long-term choices of
"what business(es. are we in or do we want to be in, and what do we want to do with
these businesses?"
ANS: FALSE
Diff: 2 PAGE# 8
Topic: Explain What Strategic Management Is
Reflective Thinking


9. Strategy implementation is the process of evaluating how the strategy has been
implemented as well as the outcomes of the strategy.
ANS: FALSE
Diff: 1 PAGE# 8
Topic: Explain What Strategic Management Is
Reflective Thinking


10. The Surprise Principle of War calls for striking at the enemy at a time or a place
that's unexpected.
ANS: TRUE
Diff: 1 PAGE# 10
Topic: Explain What Strategic Management Is
Analytical Skills


11. The fields of economics and organization studies provided the earliest academic
bases for strategic management.
ANS: TRUE
Diff: 2 PAGE# 10
Topic: Explain What Strategic Management Is

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Analytical Skills


12. A company's board of directors' legal obligation is to represent the shareholders
and protect their interests.
ANS: TRUE
Diff: 2 PAGE# 12
Topic: Explain Who's Involved With Strategic Management
Ethical Reasoning


13. Significant changes in legal mandates, investor activism, and corporate strategy
have changed the roles of many boards in the strategic management process.
ANS: TRUE
Diff: 2 PAGE# 12
Topic: Explain Who's Involved With Strategic Management
Ethical Reasoning


14. Preparation of strategic plans are a typical board responsibility.
ANS: FALSE
Diff: 1 PAGE# 12
Topic: Explain Who's Involved With Strategic Management
Reflective Thinking

15. The CEO's typical role is that of the chief strategist.
ANS: TRUE
Diff: 2 PAGE# 13
Topic: Explain Who's Involved With Strategic Management
Analytical Skills

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