Strategic Management, 2nd Ed Test Bank Chapter 1

In: Business and Management

Submitted By JustinOsbo
Words 23148
Pages 93
Chapter 01
What Is Strategy, and Why Is It Important?

Multiple Choice Questions 1. | Keeping in mind Apple's competitive advantage, which of the following products was introduced by Apple in 2007? A. | iPad | B. | iPhone | C. | iPod | D. | iTunes | | 2. | _____ is best described as an integrative management field that combines analysis, formulation, and implementation in the quest for competitive advantage. A. | Supply chain management | B. | Integrated technology management | C. | Strategic management | D. | Inventory management | | 3. | _____ is best described as a set of goal-directed actions a firm takes to gain and sustain superior performance relative to competitors. A. | Behavior modification | B. | Strategy | C. | Credo | D. | Competency management | | 4. | Which of the following stages of the strategic management process involves an evaluation of a firm's external and internal environments? A. | Strategy analysis | B. | Strategy implementation | C. | Strategy formulation | D. | Strategy control | | 5. | In _____, a firm frames a guiding policy to address the competitive challenge. A. | strategy control | B. | strategy implementation | C. | strategy formulation | D. | strategy analysis | | 6. | Through _____, a firm puts its guiding policy into practice by employing a set of coherent actions. A. | strategy control | B. | strategy implementation | C. | strategy formulation | D. | strategy analysis | | 7. | A firm that achieves superior performance relative to other firms in the same industry or the industry average has a(n) _____. A. | competitive advantage | B. | balanced scorecard | C. | power position | D. | equity leverage | | 8. | Cadia Foods Inc. was the first company to start selling…...

Similar Documents

Chapter 17: Multinational Financial Management Test Banks

...CHAPTER 17 MULTINATIONAL FINANCIAL MANAGEMENT (Difficulty Levels: Easy, Easy/Medium, Medium, Medium/Hard, and Hard) Please see the preface for information on the AACSB letter indicators (F, M, etc.) on the subject lines. Multiple Choice: True/False (17-2) Multinational fin. mgmt. F T Answer: a EASY [i]. Multinational financial management requires that financial analysts consider the effects of changing currency values. a. True b. False (17-2) Multinational fin. mgmt. F T Answer: b EASY [ii]. Legal and economic differences among countries, although important, do NOT pose significant problems for most multinational corporations when they coordinate and control worldwide operations and subsidiaries. a. True b. False (17-3) Currency appreciation F T Answer: a EASY [iii]. When the value of the U.S. dollar appreciates against another country's currency, we may purchase more of the foreign currency with a dollar. a. True b. False (17-3) Floating exchange rates F T Answer: a EASY [iv]. The United States and most other major industrialized nations currently operate under a system of floating exchange rates. a. True b. False (17-4) Exchange rates F T Answer: b EASY [v]. Exchange rate quotations consist solely of direct quotations. a. True b. False (17-4) Cross rates F T Answer: a EASY [vi]. Calculating a currency cross rate involves determining the......

Words: 5866 - Pages: 24

Test Bank Chapter 13

...CHAPTER 13 CURRENT LIABILITIES AND CONTINGENCIES IFRS questions are available at the end of this chapter. TRUE-FALSE—Conceptual Answer No. Description F 1. Zero-interest-bearing note payable. F 2. Dividends in arrears. T 3. Examples of unearned revenues. T 4. Reporting discount on Notes Payable. F 5. Currently maturing long-term debt. F 6. Excluding short-term debt refinanced. T 7. Accounting for sales tax collected. F 8. Accounting for sick pay. T 9. Social security taxes as liabilities. F 10. Definition of accumulation rights. T 11. Recognizing compensated absences expense. F 12. Accruing estimated loss contingency. T 13. Disclosing gain contingencies. F 14. Sales-type warranty profit. T 15. Fair value of asset retirement obligation. T 16. Reporting a litigation liability. F 17. Expense warranty approach. F 18. Acid-test ratio components. F 19. Affect on current ratio. T 20. Reporting current liabilities. Multiple Choice—Conceptual Answer No. Description d 21. Definition of a liability. d 22. Nature of current liabilities. a 23. Recording of accounts payable. a 24. Classification of notes payable. b 25. Classification of discounts on notes payable. d 26. Identify current liability. c 27. Bonds reported as current liability. d 28. Identify item which is not a current liability. c 29. Dividends reported as current liability. d 30. Classification of stock dividends......

Words: 14522 - Pages: 59

Pindyck 7th Ed Test Bank

...Test Bank to Accompany Microeconomics Seventh Edition by Pindyck / Rubinfeld Pearson Education © 2009 8/12/2008 Contents Chapter 1   Chapter 2   Chapter 3  Chapter 4  Chapter 5   Chapter 6   Chapter 7   Chapter 8  Chapter 9   Preliminaries ........................................................................................................................1  The Basics of Supply and Demand..................................................................................16  Consumer Behavior...........................................................................................................55   Individual and Market Demand...................................................................................125  Uncertainty and Consumer Behavior ...........................................................................179  Production ........................................................................................................................236  The Cost of Production ...................................................................................................273  Profit Maximization and Competitive Supply ............................................................327  The Analysis of Competitive Markets ..........................................................................375  Chapter 10   Market Power: Monopoly and Monopsony.................................................................438  Chapter 11  Pricing with Market Power .....

Words: 4883 - Pages: 20

Strategic Management of Allied Bank

...|INTERNATIONAL ISLAMIC UNIVERSITY ISLAMABAD | |[pic] | |ALLIED BANK LIMITED | |FACULTY : FMS | |COURSE TITLE : PRINCIPLE OF MANAGEMENT | |COURSE CODE : MGT-202 | |SUBMITTED TO : SIR HASSAN BIN HAROON | |SUBMITTED BY | |WALEED WAZIR 6021 | |MUHAMMAD SOHAIL 6022 | |FAHAD RAHIM 6023 ...

Words: 3711 - Pages: 15

Test Bank Accounting Chapter 4

...ch04 Student: ___________________________________________________________________________ On July 1, 20X9, Link Corporation paid $340,000 for all of Tinsel Company's outstanding common stock. On that date, the costs and fair values of Tinsel's recorded assets and liabilities were as follows: 1. Based on the preceding information, the differential reflected in a consolidation worksheet to prepare a consolidated balance sheet immediately after the business combination is: A. $0. B. $25,000. C. $70,000. D. $45,000. Based on the preceding information, what amount should be allocated to goodwill in the consolidated balance sheet, prepared after this business combination? A. $0 B. $25,000 C. $70,000 D. $45,000 2. On December 31, 20X9, Add-On Company acquired 100 percent of Venus Corporation's common stock for $300,000. Balance sheet information Venus just prior to the acquisition is given here: At the date of the business combination, Venus's net assets and liabilities approximated fair value except for inventory, which had a fair value of $60,000, land which had a fair value of $125,000, and buildings and equipment (net), which had a fair value of $250,000. 3. Based on the information provided, what amount of inventory will be included in the consolidated balance sheet immediately following the acquisition? A. $60,000 B. $75,000 C. $15,000 D. $45,000 4. Based on the information provided, what amount of goodwill will be included in the consolidated balance...

Words: 3367 - Pages: 14

Financial Management Test Bank

...Assignment #1 True/False Indicate whether the statement is true or false. __F__ 1. The form of organization for a business is not an important issue, as this decision has very little effect on the income and wealth of the firm's owners. __?__ 2. The major advantage of a regular partnership or a corporation as a form of business organization is the fact that both offer their owners limited liability, whereas proprietorships do not. __T__ 3. There are three primary disadvantages of a regular partnership: (1) unlimited liability, (2) limited life of the organization, and (3) difficulty of transferring ownership. These combine to make it difficult for partnerships to attract large amounts of capital and thus to grow to a very large size. __T__ 4. Two disadvantages of a proprietorship are (1) the relative difficulty of raising new capital and (2) the owner's unlimited personal liability for the business' debts. __T__ 5. One key value of limited liability is that it lowers owners' risks and thereby enhances a firm's value. __F__ 6. If a firm's goal is to maximize its earnings per share, this is the best way to maximize the price of the common stock and thus shareholders' wealth. __T__ 7. If Firm A's business is to obtain savings from individuals and then invest them in financial assets issued by other firms or individuals, Firm A is a financial intermediary. __F__ 8. If an individual investor buys or sells a currently outstanding stock......

Words: 5408 - Pages: 22

Strategic Management Test Bank Chapter 10

...Chapter 10--Corporate-Level Strategy: Formulating and Implementing Related and Unrelated Diversification Student: ___________________________________________________________________________ 1. Diversification is the process of a company entering new industries distinct from its core industry, using a multibusiness model. True False 2. Free cash flow refers to additional funds from a government stimulus program. True False 3. If a company generates free cash flow, that money technically belongs to shareholders. True False 4. Transferring competencies across industries involves taking a distinctive competency developed in one industry and implanting it in an existing business unit in another industry. True False 5. A 100-year-old industrial giant, 3M serves as an example of how a company can leverage technology to create successful new business. True False 6. If a company's core skills are highly specialized and have few applications outside the core business, then a company should pursue a related diversification strategy. True False 7. A company should pursue related diversification only to enhance the competitive position of its core business. True False 8. Economies of scope arise when one or more of a diversified company's business units are able to realize cost-saving or differentiation advantages because they can more effectively pool, share, and utilize resources or capabilities. True False 9. Firms with superior strategic...

Words: 4090 - Pages: 17

Chapter 6 Mis Test Bank

...Management Information Systems, 13e (Laudon/Laudon) Chapter 6 Foundations of Business Intelligence: Databases and Information Management 1) A grouping of characters into a word, a group of words, or a complete number is called a record. Answer: FALSE Diff: 1 Page Ref: 211 AACSB: Use of information technology CASE: Content Objective: 6.3 2) Each characteristic or quality describing a particular entity is called an attribute. Answer: TRUE Diff: 1 Page Ref: 211 AACSB: Use of information technology CASE: Content Objective: 6.3 3) Program-data dependence refers to the coupling of data stored in files and software programs that use this data such that changes in programs require changes to the data. Answer: TRUE Diff: 2 Page Ref: 214 AACSB: Use of information technology CASE: Content Objective: 6.1 4) A DBMS separates the logical and physical views of data. Answer: TRUE Diff: 2 Page Ref: 215 AACSB: Use of information technology CASE: Content Objective: 6.2 5) Every record in a file should contain at least one key field. Answer: TRUE Diff: 1 Page Ref: 217 AACSB: Use of information technology CASE: Content Objective: 6.3 6) NoSQL technologies are used to manage sets of data that don't require the flexibility of tables and relations. Answer: TRUE Diff: 1 Page Ref: 217 AACSB: Use of information technology CASE: Content Objective: 6.2 7) Data governance deals with the policies and......

Words: 5114 - Pages: 21

Mgmt 309 Chapter 1 Test Bank

...The News Corporation, Smile Train, Delta Airlines and Gucci are all examples of a. bureaucracies. b. corporations. c. organizations. d. managerial hierarchies. e. centralized units of operation. ANS: C PTS: 1 REF: p. 4 OBJ: 1.1 NAT: AACSB: R MSC: Type: App 2. Which of the following is an example of an organization? a. The Department of Education b. Princeton University track team c. Starbucks d. Swoopo, online auction site e. All of these choices ANS: E PTS: 1 REF: p. 4 OBJ: 1.1 NAT: AACSB: R MSC: Type: App 3. Amy, Frank, Puz, and Tiaro started a Bible study group. They are engaged in a. starting a corporation. b. starting an organization. c. creating a managerial hierarchy. d. creating a bureaucracy. e. creating an organizational matrix. ANS: B PTS: 1 REF: p. 4 OBJ: 1.1 NAT: AACSB: R MSC: Type: App 4. Ken and Jan Robelot have started an organization to sell Kenny's Cajun Popcorn, a peppery-flavored popcorn. The startup process for this organization included a. deciding on a product to make. b. identifying potential competitors for the flavored popcorn. c. finding an initial location in which to house the organization. d. making financial arrangements to order supplies. e. All of these choices ANS: E PTS: 1 REF: p. 4 OBJ: 1.1 NAT: AACSB: R MSC: Type: App 5. Which of the following is NOT an example of a physical resource needed to operate the company that produces Kenny's Cajun Popcorn, a "low-calorie snack with a......

Words: 5762 - Pages: 24

Bank Test Laudon Chapter 1

...Management Information Systems, 12e (Laudon) Chapter 1 Information Systems in Global Business Today 1) Internet advertising is growing at approximately 10 percent a year. Answer: TRUE Diff: 3 Page Ref: 6 AACSB: Reflective Thinking CASE: Content Objective: 1.1 2) Developing a new product, fulfilling an order, and hiring a new employee are examples of business processes. Answer: TRUE Diff: 1 Page Ref: 11 AACSB: Reflective Thinking CASE: Content Objective: 1.3 3) A fully digital firm produces only digital goods or services. Answer: FALSE Diff: 2 Page Ref: 11 AACSB: Reflective Thinking CASE: Content Objective: 1.1 4) A business model describes how a company produces, delivers, and sells a product or service to create wealth. Answer: TRUE Diff: 1 Page Ref: 13 AACSB: Reflective Thinking CASE: Content Objective: 1.3 5) Information technology (IT) consists of all the hardware that a firm needs to use in order to achieve its business objectives, whereas information systems consist of all the software and business processes needed. Answer: FALSE Diff: 2 Page Ref: 15 AACSB: Use of IT CASE: Content Objective: 1.3 6) Computers are only part of an information system. Answer: TRUE Diff: 1 Page Ref: 17 AACSB: Use of IT CASE: Content Objective: 1.3 7) Information systems literacy describes the behavioral approach to information systems, whereas computer literacy describes the technical approach. Answer: ......

Words: 4839 - Pages: 20

Fins1613 Chapter 1 Test Bank

...Test Bank True/false questions Multiple choice questions Problems to accompany Multinational Finance by Kirt C. Butler Third Edition PART I Overview and Background Chapter 1 An Introduction to Multinational Finance True/False 1. MNCs have investment or financial operations in more than one country. ANS: True. 2. Because of globalization in the world’s markets, a multinational financial manager is more likely than a domestic financial manager to specialize in finance to the exclusion of other fields of business. ANS: False. The multinational financial manager must be well versed in each of the business disciplines in which the MNC is involved. 3. The domestic financial manager must be knowledgeable in several areas within finance, whereas the multinational financial manager usually specializes in a single area, such as corporate finance, investments, or financial markets. ANS: False. The multinational financial manager is likely to require knowledge of several fields within finance. 4. The investment opportunity set is the set of investments available to the corporation; that is, the set from which the company must select. ANS: True. 5. Types of market efficiency used to describe the performance of financial markets are allocational, operational, and transactional efficiency. ANS: False. Three types of market efficiency are allocational, operational, and informational. 6. An informationally efficient......

Words: 1437 - Pages: 6

Test Bank Imc Chapter 2

...Chapter 02 The Role of IMC in the Marketing Process   Multiple Choice Questions   1. According to the marketing and promotions process model, the marketing process begins with the:  A. development of the marketing mix. B. development of a marketing strategy and analysis. C. development of the promotional mix. D. determination of the target market. E. establishment of marketing objectives.   2. A(n) _____ is a document that evolves from an organization's overall corporate strategy and serves as a guide for specific marketing programs and policies.  A. strategic marketing plan B. integrated marketing communications plan C. situation analysis D. opportunity analysis E. competitive plan   3. _____ is a detailed assessment of the current marketing conditions facing the company, its product lines, or its individual brands.  A. Strategic marketing plan B. Integrated marketing communications plan C. Situation analysis D. Opportunity analysis E. Competitive plan   4. _____ are defined as external areas where there are favorable demand trends, customer needs and wants are not being satisfied, and where a company thinks it can compete effectively.  A. Market opportunities B. Market segments C. Competitive advantages D. Market strengths E. Market plans   5. To reach tweens (8-12 year olds), Jell-O brand gelatin marketers introduced X-treme Jell-O in wild berry, green apple, and watermelon flavors. The ads describe the gelatin flavors......

Words: 17182 - Pages: 69

Strategic Management Chapter 1

...Chapter 1- Introduction to Strategic Management Overview Strategy: set of related actions that managers take to increase their company’s performance -for most, if not all companies, achieving superior performance relative to rivals is the ultimate challenge -if a company’s strategies result in superior performance, it is said to have a competitive advantage -Ex: Dell’s strategies produced superior performance from mid-1990s until mid-2000s, as a result, Dell enjoyed competitive advantage over its rivals -How did they achieve competitive advantage? -due to successful pursuit of varying strategies: Direct selling, customization and efficient supply chain mgmt. -enabled company to lower cost structure, charge low prices, gain market share, and become more profitable than its rivals -Dell lost competitive advantage in later half of 2000s HP offered bundled products, needed to find ways to sell to intermediaries & Apple differentiation -first step toward achieving objective is to describe in more detail what superior performance/competitive adv mean and to explain pivotal role that managers play in leading strategy-making process Strategic Leadership: creating competitive adv through effective mgmt. of the strategy-making process -strat-making process is the process by which managers select/implement a set of strategies that ain to achieve a competitive adv Strategy Formulation: selecting strategies based on analysis of an org’s external/internal......

Words: 4937 - Pages: 20

Chapter 1 Management

...MANAGEMENT Leading & Collaborating in a Competitive World Foundations of Management • Managing • The External Environment and Organizational Culture • Managerial Decision Making Planning: Delivering Strategic Value • Planning and Strategic Management • Ethics and Corporate Responsibility • International Management • Entrepreneurship Strategy Implementation Organizing: Building a Dynamic Organization • Organization Structure • Organizational Agility • Human Resources Management • Managing the Diverse Workforce Leading: Mobilizing People • • • • Leadership Motivating for Performance Teamwork Communicating Controlling: Learning and Changing • Managerial Control • Managing Technology and Innovation • Creating and Managing Change PART ONE Foundations of Management The three chapters in Part One describe the foundations of management. Chapter 1 discusses the imperatives of managing in today’s business landscape and introduces the key functions, skills, and competitive goals of effective managers. In other words, it discusses what you need to do and accomplish to become a high-performing manager. Chapter 2 describes the external environment in which managers and their organizations operate— the context that both constrains and provides opportunities for managers. It also discusses what can be described as the organization’s internal environment: its culture. Chapter 3 discusses the most fundamental managerial activity: decision making. Because managers......

Words: 27982 - Pages: 112

Intermediate Accounting - (Kieso) - 14th Edition - Chapter 1 Test Bank

...CHAPTER 1 FINANCIAL ACCOUNTING AND ACCOUNTING STANDARDS IFRS questions are available at the end of this chapter. TRUE-FALSE—Conceptual Answer No. Description F 1. Definition of financial accounting. T 2. Purpose of financial statements. T 3. Definition of financial accounting. T 4. Capital allocation process. F 5. Objective of financial reporting. T 6. Decision-Usefulness approach. T 7. Users of financial statements. F 8. Committee on Accounting Procedure. F 9. Passage of FASB standards. T 10. Financial Accounting Concepts. T 11. Creation of Accounting Principles Board. F 12. FASB Codification. T 13. Code of Professional Conduct. F 14. GAAP and political action. T 15. Public Company Accounting Oversight Board. T 16. Expectations gap. F 17. Financial reports. F 18. Fair value information. F 19. International Financial Reporting Standards. F 20. Ethical issues. Multiple Choice—Conceptual Answer No. Description a 21. Financial accounting. d 22. Users of financial reports. d 23. Identify the major financial statements. a 24. Financial reporting entity. d 25. Differences between financial and managerial accounting. b 26. Financial reporting communication. b 27. Managerial accounting. a 28. Capital allocation process. d 29. Efficient use of resources. d 30. Capital allocation process. c 31. Financial statement information. c 32. Accounting profession challenge. c 33. Financial reporting......

Words: 5033 - Pages: 21