Corporate Strategy
Textbook Exam Questions
Course Introduction
Corporate Strategy explores the formulation and implementation of strategies that guide companies in achieving long-term objectives and competitive advantage.
Through the study of frameworks and real-world cases, the course examines how organizations assess their external environments, leverage internal resources, and address challenges such as diversification, mergers and acquisitions, global expansion, and strategic alliances. Students develop the analytical tools needed to evaluate industry dynamics, create value across business units, and align corporate actions with overarching goals, preparing them to make sound strategic decisions in complex and dynamic business environments.
Recommended Textbook
Essentials of Strategic Management 3rd Edition by
Charles W. L. Hill
9 Chapters
712 Verified Questions
712 Flashcards
Source URL: https://quizplus.com/study-set/1334
Page 2
Chapter 1: The Strategy-Making Process
Available Study Resources on Quizplus for this Chatper
80 Verified Questions
80 Flashcards
Source URL: https://quizplus.com/quiz/26630
Sample Questions
Q1) Effective _________________ develop a network of formal and informal sources who keep them well informed about what is going on within their company
A) functional managers
B) divisional managers
C) strategic leaders
D) business-level managers
E) none of the above
Answer: C
Q2) The essential purpose of the external analysis is to identify strategic opportunities and threats in the organization's operating environment that will affect how it pursues its mission.
A)True
B)False
Answer: True
Q3) The comparison of strategy, weaknesses, operations, and threats is normally referred to as a SWOT analysis.
A)True
B)False
Answer: False
To view all questions and flashcards with answers, click on the resource link above.
Page 3
Chapter 2: The Mission, Governance, and Business Ethics
Available Study Resources on Quizplus for this Chatper
83 Verified Questions
83 Flashcards
Source URL: https://quizplus.com/quiz/26631
Sample Questions
Q1) Governance mechanisms help align the incentives between principals and agents, and monitor and control agents.
A)True
B)False
Answer: True
Q2) Discuss the ethical decision-making process.
Answer: A decision is acceptable on ethical grounds if a business person can answer "yes" to each of the following questions: 1. Does my decision fall within the accepted values or standards that typically apply in the organizational environment? 2. Am I willing to see the decision communicated to all stakeholders affected by it - for example, by having it reported in newspapers or on television? 3. Would the people with whom I have a significant personal relationship, such as family members, friends, or even managers in other businesses, approve of the decision?
Q3) In reality, there is a clear and distinct line between business ethics and personal ethics.
A)True
B)False
Answer: False
To view all questions and flashcards with answers, click on the resource link above.
4
Chapter 3: External Analysis: the Identification of Opportunities and Threats
Available Study Resources on Quizplus for this Chatper
80 Verified Questions
80 Flashcards
Source URL: https://quizplus.com/quiz/26632
Sample Questions
Q1) Which of the following industry structures consists of a large number of small and medium-sized companies, none of which is in a position to determine industry price?
A) Fragmented industry
B) Consolidated industry
C) Oligopoly
D) Monopoly
E) Sector
Answer: A
Q2) High exit barriers pose the greatest threat to companies in the _________ stage of the industry life cycle.
A) embryonic
B) growth
C) maturity
D) fragmented
E) decline
Answer: E
To view all questions and flashcards with answers, click on the resource link above.
Page 5
Chapter 4: Building Competitive Advantage
Available Study Resources on Quizplus for this Chatper
80 Verified Questions
80 Flashcards
Source URL: https://quizplus.com/quiz/26633
Sample Questions
Q1) Which of the following is not an intangible resource?
A) Technological know-how
B) A well-known brand name
C) a favorable corporate reputation
D) Marketing know-how
E) Plant and equipment
Q2) A company has a competitive advantage when its profitability is higher than the average for its industry.
A)True
B)False
Q3) To achieve a competitive advantage, a company must excel in all of the building blocks of competitive advantage-efficiency, quality, innovation, and responsiveness to customers.
A)True
B)False
Q4) Primary activities of the value chain relate to the design creation, and delivery of the product, its marketing, and its support and after-sale service.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 6
Chapter 5: Business-Level Strategy and Competitive Positioning
Available Study Resources on Quizplus for this Chatper
78 Verified Questions
78 Flashcards
Source URL: https://quizplus.com/quiz/26634
Sample Questions
Q1) A factor promoting the trend toward market fragmentation and niche marking is the substantial reeducation of the costs of differentiation as a result of flexible manufacturing.
A)True
B)False
Q2) Through chaining, companies increase their buying power, which allows them to negotiate large price reductions with their suppliers, which promotes their competitive advantage.
A)True
B)False
Q3) To compete in the fragmented restaurant industry, Red Lobster Corporation built and operated hundreds of restaurants across the United States and Canada. Red Lobster is using which type of strategy?
A) Acquisitions
B) Chaining
C) Franchising
D) Diversification
E) Horizontal mergers
To view all questions and flashcards with answers, click on the resource link above. Page 7
Chapter 6: Strategy in the Global Environment
Available Study Resources on Quizplus for this Chatper
74 Verified Questions
74 Flashcards
Source URL: https://quizplus.com/quiz/26635
Sample Questions
Q1) Through transnational strategy a firm tries to achieve low costs, product differentiation across geographic markets, and foster skills among different subsidiaries.
A)True
B)False
Q2) An international strategy may not be viable in the long term, and to survive, companies that are able to pursue it might ultimately need to shift towards a global standardization strategy.
A)True
B)False
Q3) Responding to pressures for cost reductions requires that a company try to minimize its ____________.
A) overhead costs.
B) tangible asset costs.
C) unit costs.
D) intangible asset costs.
E) none of the above.
Q4) Sony came to dominate the global television market via franchising.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 8
Chapter 7: Corporate-Level Strategy and Long-Run Profitability
Available Study Resources on Quizplus for this Chatper
80 Verified Questions
80 Flashcards
Source URL: https://quizplus.com/quiz/26636
Sample Questions
Q1) The strategy of ___________ involves choosing the value-added stages of the raw-material-to-consumer chain in which to compete.
A) diversification based on economies of scope
B) diversification based on acquisition and restructuring
C) cost leadership
D) differentiation
E) vertical integration
Q2) Diversification is the process of a company entering new industries distinct from its core industry.
A)True
B)False
Q3) A company achieves full integration when it produces all of a particular input needed for its processes or disposes of all of its output through its own operations.
A)True
B)False
Q4) One of the benefits of horizontal integration is that it lowers operating costs.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 9
Chapter 8: Strategic Change: Implementing Strategies to
Build and Develop a Company
Available Study Resources on Quizplus for this Chatper
76 Verified Questions
76 Flashcards
Source URL: https://quizplus.com/quiz/26637
Sample Questions
Q1) Bottom-up change is generally slower than top-down change.
A)True
B)False
Q2) The objective of bidding strategy is to
A) complete the acquisition quickly.
B) reduce the target population of potential acquisition candidates.
C) reduce the price that a company must pay for an acquisition candidate.
D) make sure that the acquired company's management does not remain after the acquisition is completed.
E) avoid companies that are undervalued by the stock market.
Q3) Under what conditions should a firm that is facing the need to diversify consider the use of an internal new venture strategy, an acquisition strategy, or a joint venture strategy?
Q4) Obstacles to change can be found at four levels in the organization: functional, corporate, divisional, and business unit.
A)True
B)False
Q5) Describe what is meant by the terms "restructuring" and "reengineering," and discuss when and why they would be used.
To view all questions and flashcards with answers, click on the resource link above. Page 10
Chapter 9: Implementing Strategy Through Organizational Design
Available Study Resources on Quizplus for this Chatper
81 Verified Questions
81 Flashcards
Source URL: https://quizplus.com/quiz/26638
Sample Questions
Q1) Each organizational function needs to develop a distinctive competency in a value creation activity in order to increase
A) efficiency.
B) quality.
C) customer responsiveness.
D) innovation.
E) all of the above.
Q2) Product structures arrange and group people on the basis of their common expertise and experience or because they use the same resources.
A)True
B)False
Q3) Authority is centralized when managers at upper levels of the organizational hierarchy retain the authority to make the most important decisions.
A)True
B)False
Q4) Give a real or a hypothetical organizational example of how structure, strategic control systems, and culture interact with each other.
To view all questions and flashcards with answers, click on the resource link above. Page 11