CFI CBCA Core Course Assessment UPDATED 2025/2026 COMPLETE QUESTIONS AND VERIFIED CORRECT ALREADY GRADED SOLUTIONS || 100% GUARANTEED PASS BRAND NEW VERSION

CFI CBCA Core Course Assessment UPDATED 2025/2026 COMPLETE QUESTIONS AND VERIFIED CORRECT ALREADY GRADED SOLUTIONS || 100% GUARANTEED PASS BRAND NEW VERSION Management Attitudes Toward Risk Objective: to assess management knowledge of sector, business risk and track record in taking action - ANSWER What is your strategy to counter the threat of competition? What strategy would you adopt if you lost your major customer(s) tomorrow? Do you have a disaster response plan? How much insurance do you have? The answers should show detailed understanding of how to manage risks in the business, steps taken to decrease the chances of risks being realized, and a response plan. Attitude to Growth Objective: to assess management attitude towards growth - ANSWER Do you want to expand the business? Are there plans to expand into new home or export markets? Is innovation encouraged? Are new products/services being developed? Are there management resources and experience available to expand? Looking at growth, you can determine if management is satisfied with their current operations or want to expand by offering new products or services. Internal Barriers to Growth - ANSWER Percentage of respondents citing factor as important (Least to Greatest) Preference to maintain small size, Lack of successful innovation, Reluctance to take on new debt, Reluctance to dilute ownership, Management team too small/stretched Attitude to Ownership Objective: to assess management attitude to ownership and succession planning - ANSWER Do you have outside investors in the business? What kind? Do you plan to sell to an outside party? Do you plan to sell to the employees? When do you plan to retire? What is the view on succession planning, and how does ownership impact the strategy? Ownership Styles - ANSWER Size vs. Exit Method Dynast - ANSWER Aim to grow; exit by family succession Business-oriented - ANSWER Aim to grow; exit by sale of the business or flotation Family-oriented - ANSWER Remain at current size; exit by family succession Protectionists - ANSWER Remain at current size; exit by sale of the business or flotation Opportunities for Competitive Position - ANSWER -Expand the business or maintain current size -Minimize shareholdings outside the family or have outside investors -Maximize personal income & investment or protect investment and pass to next generation -Prepared to use all available resources for growth or reluctant to push resources harder Protectionists... - ANSWER Maintain size Outside Maximize income and investment and sell business. Reluctant to push resources harder. Business-oriented... - ANSWER Expand Outside Maximize income and investment and sell business. Prepared to use all available resources. Dynast... - ANSWER Expand Family Protect investment to pass to next generation. Prepared to use all available resources. Family-oriented... - ANSWER Maintain size Family Protect investment to pass to next generation. Reluctant to push resources harder. Assessing Strategy & Business Plans Session Objectives - ANSWER 1. Strategic Frameworks 2. Assessment Method 3. Using a Scorecard 4. Examples Assessing Management's Strategy - ANSWER Objectives Strategies Measures Targets PESTEL is - ANSWER a useful framework for building expectations about the external environment: Political Economic Social Technological Environmental Legal Hax's Delta Model - ANSWER Customer Centric Strategy Dominant exchange - ANSWER Amazon Proprietary standard - ANSWER Microsoft Horizontal breadth - ANSWER Fidelity Exclusive channel - ANSWER Wall's Low cost - ANSWER Southwest Redefining the member relationship - ANSWER Saturn Member Integration - ANSWER EDS Differentiation - ANSWER Sony "The Delta Model is a... - ANSWER "...new strategy framework that places the customer at the centre of management. It examines the primary options available to establish customer bonding and it prescribes how to link strategy with execution through the alignment of adaptive processes. The presentation concludes with an attempt to integrate the Porter's Five Forces Model, the Resource-based View of the firm, and the Delta Model" • Concentrate on the Customer • Strategic Positioning among the three positions • Determine the strategic agenda that determines the action program to implement your desired strategic option. • Design the proper metrics and rewards to facilitate the strategy development. Ansoff Matrix - ANSWER Assess Attitude to Growth Products, Markets MARKET PENETRATION (1) - ANSWER existing products, existing markets PRODUCT DEVELOPMENT (2) - ANSWER new product, existing market MARKET DEVELOPMENT (3) - ANSWER existing product, new market DIVERSIFICATION (4) - ANSWER new product, new market More Strategic Frameworks - ANSWER Corporate-level (Portfolio) Business-level Market Functional-level Corporate-level (Portfolio) - ANSWER Portfolio approach to managing multiple businesses Business-level - ANSWER Market positioning strategies to gain competitive advantages in one or multiple industries Functional-level - ANSWER Activities within and between different functions aimed at improving efficiency of the overall business Objectives - ANSWER What are you trying to achieve? Strategies - ANSWER How are you going to achieve the objectives? What must you do to support the strategy? Measures - ANSWER What are the output measures? What are input measures? Targets - ANSWER Quantifiable Time-based Business Track Record Session Objectives - ANSWER 1. How to Assess a Track Record 2. Looking at the Right Data 3. Using a Scorecard 4. Examples Budget vs Actual - ANSWER Evaluating what has been budgeted in the past and actual performance is crucial Previous Statements - ANSWER Looking at previous statements to assess financial performance can provide insight into management Places to Find Statements - ANSWER Press Releases Interviews Articles Social Media Financial Trends - ANSWER Looking at forecasts for the business can also indicate how hopeful management is Financial Information - Forecasts - ANSWER Revenue EBITDA Free Cash Flow Net Income Earnings per Share Course Summary - ANSWER 1. Structured Approach to Assessing Management 2. Management Attitudes 3. Assessing Strategy & Business Plan 4. Assessing Track Record Assessing management ultimately is about - ANSWER assessing whether management has the ability and skills to run the business such that they will be able to repay. Highlight critical elements to consider - ANSWER when assessing management character. Understanding the ambitions of management - ANSWER will help you assess their ability to repay. The key to assessing management capabilities - ANSWER is to ask the right questions and listen to the answers. Questions for Management - ANSWER Microsoft Word Doc Course Objectives - ANSWER 1. Structured Approach to Assessing Management 2. Management Attitudes 3. Assessing Strategy & Business Plan 4. Assessing Track Record Course 1 Objectives - ANSWER 1. Why Assess Management 2. Why Use a Scorecard 3. Multi Criteria Analysis 4. How & Where to Find Quantitative and Qualitative Data