BPL 5100 Midterm Test Questions
and Answers All Correct
Strategic managers for all levels - Answer-Corporate -CEO, board of directors,
corporate stuff
Business Level - Divisional managers
Functional Level- functional managers, business functions
Corporate governance - Answer-the relationship among various participants in
determining the direction and performance of corporations. The primary participants are
the shareholders, the management, the board of directors
Secondary goals - Answer-Are objectives to be attained that lead to superior
performance.
Mission - Answer-set out why the organization exist and what should it be doing .
vision - Answer-Is a shared vision that reduces daily monotony, provides opportunity &
Challenge
BUSINESS LEVEL (ways to overcome 5 forces) - Answer--Overall Cost leadership
Attaining, then using the lowest total cost basis as a competitive advantage. (cons: too
much focus on an activity, increase in the cost of inputs, easily imitated, reduce
flexibility)
-Differentiation
Using product features or services to distinguish the firm's offerings from its competitors.
(cons: uniqueness is not valuable, too much differentiation, expensive prdct).
-Focus Strategy:s strategy to appeal to a narrow market segment within an industry.
(cons: erosion of cost adv., competition)
SWOT - Answer-Weaknesses (1. Snapshot, 2. A strength may not be a competitive
adv. 3. temporary 4. Starting Point
Internal Analysis (S/W) - Answer-Identify strength (Resources, capabilities,
competences):
-Quality and Quantity of resources available
-Distinctive competences
Identify Weaknesses:
-Inadequate resources
-Managerial and organizational deficiencies
, Strategic management - Answer-the analysis, decisions, and actions an organization
undertakes in order to create and sustain competitive advantage
Strategy - Answer-ideas. decisions, and actions that enable a firm to succeed. (Analyze,
formulate, implementate, evaluate)
Levels of strategy - Answer-1. corporate (where we going, businesses?)
2. competitive (how are we going to compete?)
3. Functional (resources/capabilities)
Effective Strategic leadership - Answer-1. set vision
2. exploiting core competencies
3. develop human capital
4. creating strong org. culture
5. balanced controls
6. ethical practices
Competitive advantage - Answer-a firm's resources and capabilities that enable it to
overcome the competitive forces in its industry
Strategic Competitiveness - Answer-1. internal org: What a firm can do (challenge:
managers face uncertainty, proprietary tech, changes in economic & politics, societal
values, environment)
2. External envir: firm might do
Core Competence - Answer-Unique set of lasting capabilities that a co. relies on to
achieve competitive adv. and add value (must be: Valuable, rare, costly-to-imitate, non-
substitutable capabilities).
Operational effectiveness - Answer-performing similar activities better than rivals
External control view of leadership - Answer-situations in which external forces- where
the leader has limited influence determine the organization's success
Romantic view of leadership - Answer-situations in which the leader is the key force
determining the organization's success -or lack thereof
4 Key attributes of Strategic Management - Answer--Directs the organization toward
overall goals and objectives
-Includes multiple stakeholders in decision-making
-Needs to incorporate sh-term l-term perspectives
-Recognizes trade-offs between efficiency and effectiveness.
Effectiveness - Answer-Tailoring actions to the needs of an organization rather than
wasting effort, or "doing the right thing".
and Answers All Correct
Strategic managers for all levels - Answer-Corporate -CEO, board of directors,
corporate stuff
Business Level - Divisional managers
Functional Level- functional managers, business functions
Corporate governance - Answer-the relationship among various participants in
determining the direction and performance of corporations. The primary participants are
the shareholders, the management, the board of directors
Secondary goals - Answer-Are objectives to be attained that lead to superior
performance.
Mission - Answer-set out why the organization exist and what should it be doing .
vision - Answer-Is a shared vision that reduces daily monotony, provides opportunity &
Challenge
BUSINESS LEVEL (ways to overcome 5 forces) - Answer--Overall Cost leadership
Attaining, then using the lowest total cost basis as a competitive advantage. (cons: too
much focus on an activity, increase in the cost of inputs, easily imitated, reduce
flexibility)
-Differentiation
Using product features or services to distinguish the firm's offerings from its competitors.
(cons: uniqueness is not valuable, too much differentiation, expensive prdct).
-Focus Strategy:s strategy to appeal to a narrow market segment within an industry.
(cons: erosion of cost adv., competition)
SWOT - Answer-Weaknesses (1. Snapshot, 2. A strength may not be a competitive
adv. 3. temporary 4. Starting Point
Internal Analysis (S/W) - Answer-Identify strength (Resources, capabilities,
competences):
-Quality and Quantity of resources available
-Distinctive competences
Identify Weaknesses:
-Inadequate resources
-Managerial and organizational deficiencies
, Strategic management - Answer-the analysis, decisions, and actions an organization
undertakes in order to create and sustain competitive advantage
Strategy - Answer-ideas. decisions, and actions that enable a firm to succeed. (Analyze,
formulate, implementate, evaluate)
Levels of strategy - Answer-1. corporate (where we going, businesses?)
2. competitive (how are we going to compete?)
3. Functional (resources/capabilities)
Effective Strategic leadership - Answer-1. set vision
2. exploiting core competencies
3. develop human capital
4. creating strong org. culture
5. balanced controls
6. ethical practices
Competitive advantage - Answer-a firm's resources and capabilities that enable it to
overcome the competitive forces in its industry
Strategic Competitiveness - Answer-1. internal org: What a firm can do (challenge:
managers face uncertainty, proprietary tech, changes in economic & politics, societal
values, environment)
2. External envir: firm might do
Core Competence - Answer-Unique set of lasting capabilities that a co. relies on to
achieve competitive adv. and add value (must be: Valuable, rare, costly-to-imitate, non-
substitutable capabilities).
Operational effectiveness - Answer-performing similar activities better than rivals
External control view of leadership - Answer-situations in which external forces- where
the leader has limited influence determine the organization's success
Romantic view of leadership - Answer-situations in which the leader is the key force
determining the organization's success -or lack thereof
4 Key attributes of Strategic Management - Answer--Directs the organization toward
overall goals and objectives
-Includes multiple stakeholders in decision-making
-Needs to incorporate sh-term l-term perspectives
-Recognizes trade-offs between efficiency and effectiveness.
Effectiveness - Answer-Tailoring actions to the needs of an organization rather than
wasting effort, or "doing the right thing".
