WGU C483- Principles of Management-
Test Prep
Delivery of products or services ANS: A value chain is the sequence of activities that begins with raw
materials.
What result does a value chain end with?
Choose 1 answer
Supply and demand
Operations and logistics
Outsourcing or insourcing
Delivery of products or services
Profit margins are increased. ANS: What happens when an effective value chain is created?
Choose 1 answer
Profit margins are increased.
A mission statement is developed.
Customized products are standardized.
Total quality management is not required.
Analysis of external opportunities and threats ANS: Industry and market analysis, competitor analysis,
and social analysis are examples of which step in the strategic planning process?
Analysis of mission, vision, and goals
Analysis of management implementation
,Analysis of external opportunities and threats
Analysis of internal strengths and weaknesses
Strengths ANS: Skilled management, positive cash flow, and well-known brands are examples of which
component of the SWOT analysis?
Threats
Strengths
Weaknesses
Opportunities
Core competencies ANS: What denotes skills or expertise in an activity that constitutes the roots of
competitiveness in an organization?
Choose 1 answer
Strategic values
Core competencies
Products and services
Opportunities and threats
Suppliers can reduce manufacturing time and increase product quality. ANS: According to Michael
Porter's competitive environment model, how can suppliers influence strategic planning?
Suppliers can reduce the threat from substitute products.
Suppliers can reduce the numbers of new entrants in the market.
Suppliers can reduce manufacturing time and increase product quality.
Suppliers can reduce technological, demographic, and legal threats in the environment.
,Differentiation ANS: A company offers unique products in its industry to create a competitive
advantage.
Which type of strategy is the company using?
Valorization
Differentiation
Customization
Standardization
Vertical integration ANS: Happy Inc. is a leading provider of family entertainment and BCD is a
broadcasting company with news, cable, and entertainment networks. Happy Inc. recently acquired BCD
in hopes of boosting its primary business of family entertainment.
Which type of corporate strategy is represented by Happy Inc.'s purchase of their distribution network?
Choose 1 answer
Vertical integration
Strategic alliances
Networking
Horizontal benchmarking
Strategic vision ANS: A local business has provided services to its customers for 40 years. The business's
mission is "To give our customers the best service in town." The owner of the business has had a long-
standing dream to franchise the business and become the best provider of its service in the United
States.
What describes the owner's dream?
, Choose 1 answer
Strategic vision
Strategic mission
Strategic planning
Strategic management
Developing a strategic mission ANS: What is the first step of organizational strategic planning?
Choose 1 answer
Developing operational goals
Developing internal strengths
Developing a strategic mission
Developing external opportunities
Six Sigma ANS: The introduction of statistical tools to analyze the causes of product defects is associated
with which quality improvement approach?
Six Sigma
Flexible Process
Customer Process
Quality Customization
To revolutionize key organizational systems and processes ANS: What is the principal idea of
reengineering?
Choose 1 answer
To analyze system failures
Test Prep
Delivery of products or services ANS: A value chain is the sequence of activities that begins with raw
materials.
What result does a value chain end with?
Choose 1 answer
Supply and demand
Operations and logistics
Outsourcing or insourcing
Delivery of products or services
Profit margins are increased. ANS: What happens when an effective value chain is created?
Choose 1 answer
Profit margins are increased.
A mission statement is developed.
Customized products are standardized.
Total quality management is not required.
Analysis of external opportunities and threats ANS: Industry and market analysis, competitor analysis,
and social analysis are examples of which step in the strategic planning process?
Analysis of mission, vision, and goals
Analysis of management implementation
,Analysis of external opportunities and threats
Analysis of internal strengths and weaknesses
Strengths ANS: Skilled management, positive cash flow, and well-known brands are examples of which
component of the SWOT analysis?
Threats
Strengths
Weaknesses
Opportunities
Core competencies ANS: What denotes skills or expertise in an activity that constitutes the roots of
competitiveness in an organization?
Choose 1 answer
Strategic values
Core competencies
Products and services
Opportunities and threats
Suppliers can reduce manufacturing time and increase product quality. ANS: According to Michael
Porter's competitive environment model, how can suppliers influence strategic planning?
Suppliers can reduce the threat from substitute products.
Suppliers can reduce the numbers of new entrants in the market.
Suppliers can reduce manufacturing time and increase product quality.
Suppliers can reduce technological, demographic, and legal threats in the environment.
,Differentiation ANS: A company offers unique products in its industry to create a competitive
advantage.
Which type of strategy is the company using?
Valorization
Differentiation
Customization
Standardization
Vertical integration ANS: Happy Inc. is a leading provider of family entertainment and BCD is a
broadcasting company with news, cable, and entertainment networks. Happy Inc. recently acquired BCD
in hopes of boosting its primary business of family entertainment.
Which type of corporate strategy is represented by Happy Inc.'s purchase of their distribution network?
Choose 1 answer
Vertical integration
Strategic alliances
Networking
Horizontal benchmarking
Strategic vision ANS: A local business has provided services to its customers for 40 years. The business's
mission is "To give our customers the best service in town." The owner of the business has had a long-
standing dream to franchise the business and become the best provider of its service in the United
States.
What describes the owner's dream?
, Choose 1 answer
Strategic vision
Strategic mission
Strategic planning
Strategic management
Developing a strategic mission ANS: What is the first step of organizational strategic planning?
Choose 1 answer
Developing operational goals
Developing internal strengths
Developing a strategic mission
Developing external opportunities
Six Sigma ANS: The introduction of statistical tools to analyze the causes of product defects is associated
with which quality improvement approach?
Six Sigma
Flexible Process
Customer Process
Quality Customization
To revolutionize key organizational systems and processes ANS: What is the principal idea of
reengineering?
Choose 1 answer
To analyze system failures
