Management MCQs

Heller (1998) suggested organizations must address seven key issues effectively to sustain competitive advantage. Which of the following is not one of those issues?

by
A. Effectiveness
B. Innovation
C. Costs
D. Speed
✅ The correct answer is option D.
Heller (1998) suggested organizations must address seven key issues effectively to sustain competitive advantage. Speed is not one of those issues.

Why is strategic management important?

by
A. It has little impact on organizational performance
B. It is involved in many of the decisions that managers make
C. Most organizations do not change
D. Organizations are composed of similar divisions and functions
✅ The correct answer is option B.
Strategic management important because It is involved in many of the decisions that managers make. It acts as a foundation for all key decisions of the firm. It attempts to prepare the organization for future challenges and play the role of pioneer in exploring opportunities and also helps in identifying ways to reach those opportunities.

What is necessary for effective communication to occur?

by
A. the right environment, the right people, a message in a timely manner
B. the right information, the right environment, feedback
C. the right people, the right information, a message in a timely manner
D. the right people, feedback, the right information
✅ The correct answer is option C.
The right people, the right information, a message in a timely manner is necessary for effective communication to occur. Effective communication can help to foster a good working relationship between you and your staff, which can in turn improve morale and efficiency.

Value of conversion option to bond holder is $550 and rate of return on non-convertible bond is $270 then rate of return on convertible bond is

by
A. 2.04%
B. $2.04
C. $280
D. $820
✅ The correct answer is option C.
Rate of return on convertible bond = Value of conversion option to bond holder – Rate of return on non-convertible bond
= $550 – $270 = $280.

Type of structured market through which funds flow with help of financial instruments such as bonds and stocks is classified as

by
A. financial markets
B. non-financial markets
C. funds market
D. flow market
✅ The correct answer is option A.
Type of structured market through which funds flow with help of financial instruments such as bonds and stocks is classified as financial markets. A financial market is a broad term describing any marketplace where trading of securities including equities, bonds, currencies, and derivatives occur.

The exchange rate is the.

by
A. total yearly amount of money changed from one country’s currency to another country’s currency
B. total monetary value of exports minus imports
C. Exchange value of one country currency in terms of another country currency
D. Price of one country currency in terms of another country currency
✅ The correct answer is option D.
The exchange rate is the Price of one country currency in terms of another country currency. An exchange rate is the value of a nation’s currency in terms of the currency of another nation or economic zone.

A useful framework used to assess a company’s investments/divisions is called:

by
A. unit production analysis
B. corporate insight analysis
C. company productivity analysis
D. business portfolio analysis
✅ The correct answer is option D.
A useful framework used to assess a company’s investments/divisions is called business portfolio analysis. A business portfolio analysis is essentially a process of looking at a company’s products and services and categorizing them based on how well they’re performing and their competitiveness.

In military analogy, what is the outcome if in strategy creation the organization has both capability and intent?

by
A. Capacity
B. Credibility
C. Emergent strategy
D. Intended strategy
✅ The correct answer is option B.
In military analogy, Credibility is the outcome if in strategy creation the organization has both capability and intent. Strategic credibility has to do with how favourably key stakeholders view the strategic foundations of the firm.