Management Capstone Exam
Answer Key
Course Introduction
Management Capstone is a culminating course designed to integrate and apply the knowledge, skills, and concepts acquired throughout the management program. Students are challenged to analyze complex business issues, formulate strategies, and make strategic decisions through case studies, simulations, and real-world projects.
Emphasizing critical thinking, leadership, and teamwork, the course provides an experiential learning environment where students work collaboratively to diagnose organizational problems and propose effective solutions, preparing them for leadership roles in dynamic business environments.
Recommended Textbook
Strategic Management and Business Policy 15th Global Edition by J. David Hunger
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13 Chapters
1413 Verified Questions
1413 Flashcards
Source URL: https://quizplus.com/study-set/2028
Page 2
Chapter 1: Basic Concepts in Strategic Management
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112 Verified Questions
112 Flashcards
Source URL: https://quizplus.com/quiz/40312
Sample Questions
Q1) A goal differs from an objective because it
A) is open-ended.
B) is quantified.
C) specifies measurable results.
D) is clearly specified.
E) provides a time horizon.
Answer: A
Q2) Research of the planning practices of companies in the oil industry concludes that the real value of modern strategic planning is more in the ________ that is part of a future-oriented planning process than in any resulting written strategic plan.
A) planning
B) strategic thinking and organizational learning
C) resulting written strategic plan
D) formality of the process
E) improved communication within the organization
Answer: B
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Chapter 2: Corporate Governance
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99 Verified Questions
99 Flashcards
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Sample Questions
Q1) Catalyst-level boards of directors typically
A) are less involved than active participation boards.
B) take leading roles in establishing and modifying the company mission, objectives, and strategy.
C) are involved in a limited degree of key decision-making.
D) are held to a greater degree of legal responsibility.
E) experience more financial success than less involved boards.
Answer: B
Q2) A 2011 McKinsey and Company survey found that less than ten percent of a board's time is spent on current strategy.
A)True
B)False
Answer: False
Q3) Usually,the strategic planning staff is charged with supporting only top management in the strategic planning process.
A)True
B)False
Answer: False
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Chapter 3: Social Responsibility and Ethics in Strategic Management
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103 Verified Questions
103 Flashcards
Source URL: https://quizplus.com/quiz/40314
Sample Questions
Q1) In 2011,the Ethics Resource Center found that ________ percent of employees surveyed had witnessed misconduct at work and ________ percent had reported it.
A) 65; 45
B) 65; 65
C) 60; 20
D) 45; 65
E) 45; 45
Answer: D
Q2) An overarching strategy that explicitly communicates the firm's ethical relationship with its stakeholders is
A) an enterprise strategy.
B) a corporate strategy.
C) a stockholders strategy.
D) a functional strategy.
E) a strategic audit.
Answer: A
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Chapter 4: Environmental Scanning and Industry Analysis
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119 Verified Questions
119 Flashcards
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Sample Questions
Q1) Statistical modeling is a quantitative forecasting technique that attempts to discover causal or at least explanatory factors that link two or more time series together.
A)True
B)False
Q2) List eight current sociocultural trends in the United States that are transforming North America and the world.
Q3) In dynamic environments,the CEO's focus is on forces in the societal environment.
A)True
B)False
Q4) McDonald's and Olive Garden are in the same strategic group.
A)True
B)False
Q5) The origin of competitive advantage lies in the ability to A) gain major stockholders.
B) identify and respond to environmental change well in advance of competition. C) launch products quickly.
D) serve customers faster.
E) create surprise for others.
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Page 6
Chapter 5: Organizational Analysis and Competitive Advantage
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110 Verified Questions
110 Flashcards
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Sample Questions
Q1) The part of an industry's value chain that is most important to a company and the point where its greatest expertise and capabilities lie is called the company's
A) functional crossroads.
B) center of gravity.
C) dynamic equilibrium.
D) R&D intensity.
E) economy of scope.
Q2) In a process called ________,the once-isolated specialists now work side-by-side and compare notes constantly in an effort to design cost-effective products with features customers want.
A) simultaneous strategy
B) participatory planning
C) jointly designed objectives
D) concurrent engineering
E) cooperative design
Q3) Define a value chain and the significance of the center of gravity.
Q4) A value chain is a linked set of value-creating activities.
A)True
B)False
7
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Chapter 6: Strategy Formulation: Business Strategy
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113 Verified Questions
113 Flashcards
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Sample Questions
Q1) Populating a SWOT chart,by itself,is just the start of a strategic analysis.
A)True
B)False
Q2) What is the impact of hypercompetition on competitive advantage?
Q3) A licensing arrangement is an agreement in which the licensing firm grants rights to another firm in another country or market to produce and/or sell a product.
A)True
B)False
Q4) One risk of a cost leadership strategy is that the technology for production or of products may change.
A)True
B)False
Q5) A method developed in the mid-1990s as an efficient means to quickly consolidate a fragmented industry can be referred to as a A) merger.
B) strategic rollup.
C) cost strategy.
D) differentiation strategy.
E) focus strategy.
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Chapter 7: Strategy Formulation: Corporate Strategy
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108 Verified Questions
108 Flashcards
Source URL: https://quizplus.com/quiz/40318
Sample Questions
Q1) The purpose of vertical growth is to
A) take over a function previously supplied by a former employer.
B) take over a function previously provided by a supplier or by a distributor.
C) acquire a company of similar objective.
D) sell a company encumbered with debt.
E) expand to countries with strong trade alliances.
Q2) Research comparing concentric with conglomerate diversification concludes that A) conglomerate diversification is always less profitable than concentric diversification.
B) concentric diversification is always less profitable than conglomerate diversification.
C) the relationship between relatedness and performance follows an inverted U-shaped curve.
D) neither concentric nor conglomerate diversification are ever profitable.
E) for optimum effectiveness both conglomerate and concentric diversification should be utilized in tandem.
Q3) Define a retrenchment strategy.Discuss the more popular options.
Q4) Corporate parenting is the coordination of cash flow among units.
A)True
B)False
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Chapter 8: Strategy Formulation: Functional Strategy and Strategic Choice
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112 Verified Questions
112 Flashcards
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Sample Questions
Q1) When Smith & Wesson puts its name on others' products,like men's cologne,it is using which marketing strategy?
A) demand pricing
B) brand pricing
C) brand extension
D) penetration extension
E) demand extension
Q2) Once the best strategic alternative is selected,the broad guidelines for its implementation are then defined by A) trade-offs.
B) policies.
C) procedures.
D) resource allocation.
E) strategic options.
Q3) A product development strategy deals with pricing,selling,and distributing a product.
A)True
B)False
Q4) What is outsourcing? What are the seven major outsourcing errors that should be avoided?
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Chapter 9: Strategy Implementation: Global Strategy
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102 Verified Questions
102 Flashcards
Source URL: https://quizplus.com/quiz/40320
Sample Questions
Q1) An export division is established to oversee foreign sales offices in which stage of international development?
A) Stage 1
B) Stage 2
C) Stage 3
D) Stage 4
E) Stage 5
Q2) Cross border commuters are known as stealth expatriates.
A)True
B)False
Q3) Which of the following is not one of the ways MNCs can reduce taxes and capture profits from a subsidiary?
A) dividends
B) royalties
C) management fees
D) transfer pricing
E) exporting
Q4) The term production sharing was coined by Alfred Chandler.
A)True
B)False
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Chapter 10: Strategy Implementation: Organizing and Structure
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108 Verified Questions
108 Flashcards
Source URL: https://quizplus.com/quiz/40321
Sample Questions
Q1) The radical redesign of business processes to achieve major gains in cost,service,or time is called
A) total quality management.
B) reengineering.
C) management by objectives.
D) action planning.
E) statistical process control.
Q2) What is reengineering? What are the principles for reengineering proposed by Michael Hammer?
Q3) In a Stage I company,if the entrepreneur falters,the company usually flounders.This is labeled by Greiner as a crisis of
A) autonomy.
B) confidence.
C) clarity.
D) differentiation.
E) leadership.
Q4) The first stage of corporate development is the simple structure.
A)True
B)False
Page 12
Q5) How can a corporation's life cycle be extended?
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Chapter 11: Strategy Implementation: Staffing and Directing
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110 Verified Questions
110 Flashcards
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Sample Questions
Q1) Downsizing is often used to implement a(n)________ strategy.
A) retrenchment
B) growth
C) stability
D) hold
E) integration
Q2) When managing corporate culture,the first question management must ask is
A) what the change in strategy means to the corporate culture.
B) whether a change in culture is needed.
C) whether an attempt to change the culture is worth the likely costs.
D) whether it is possible to manage around the culture.
E) whether stakeholders will be impacted.
Q3) The method of managing two different cultures that is often accompanied by much confusion,conflict,resentment,and stress is
A) consolidation.
B) integration.
C) separation.
D) deculturation.
E) assimilation.
Q4) What are the four general methods of managing two different cultures?
Page 13
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Chapter 12: Evaluation and Control
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114 Verified Questions
114 Flashcards
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Sample Questions
Q1) The difference between the pre-strategy and post-strategy values for the business is
A) ROI.
B) EPS.
C) ROE.
D) EVA.
E) MVA.
Q2) Which type of control specifies what is to be accomplished by focusing on the end result of behaviors through the use of objectives and performance targets or milestones?
A) tactical control
B) strategic control
C) output control
D) functional control
E) behavior control
Q3) ABC accounting allows accountants to charge costs more accurately than the traditional method because it allocates overhead far more precisely.
A)True
B)False
Q4) Discuss the benchmarking process.
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Chapter 13: Suggestions for Case Analysis
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103 Flashcards
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Sample Questions
Q1) Which financial ratio measures the company's ability to pay off its short-term obligations from current assets,excluding inventories?
A) quick ratio
B) current ratio
C) cash ratio
D) strategic ratio
E) inventory ratio
Q2) If a firm's trends in common-size statements are generally in line with those of the rest of the industry,problems are less likely than if the firm's trends are worse than the industry average.
A)True
B)False
Q3) The case analysis approach provides students with what it is like to make and implement strategic decisions.
A)True
B)False
Q4) Case analysis is the most popular method of teaching strategy.
A)True
B)False
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