Strategic Management MCQs

✅ The correct answer is option C.
Organization is called as a bundle of resources. An organization is a group of people who work together, like a neighborhood association, a charity, a union, or a corporation. Organization is also the act of forming or establishing something (like an organization).

✅ The correct answer is option B.
An organization’s strategies should be designed so that they incorporate resources and capabilities. An organizational strategy is the sum of the actions a company intends to take to achieve long-term goals. Together, these actions make up a company’s strategic plan. Strategic plans take at least a year to complete, requiring involvement from all company levels.

✅ The correct answer is option C.
To state objectives is not a role for a planner as discussed by Robinson (1986).

✅ The correct answer is option B.
An organization is said to have strategic business units when it has several different businesses that are independent and that formulate their own strategies. Strategic Business Unit (SBU) implies an independently managed division of a large company, having its own vision, mission and objectives, whose planning is done separately from other businesses of the company.

✅ The correct answer is option C.
The corporate level is where top management directs overall strategy for the entire organization. A corporate-level strategy is when a business makes a decision that affects the whole company. A corporate-level strategy affects a company’s finances, management, human resources, and where the products are sold.

✅ The correct answer is option A.
Formal planning form of strategy formation would be expected to be found in Defender organizations. Most of the organizations follows formal planning. It is written and focuses specifically on the long term goals of the organization. The planning which is discussed practically and the details, explanations are noted down helps the organization achieve its objectives smoothly.

✅ The correct answer is option D.
First step in developing a vision statement is conducting vision audit. The vision for your organization should be aggressive, yet attainable. Your organization will never be greater than the vision you create in this process.

✅ The correct answer is option C.
Innovation is the key variable in executing visionary strategy creation at the competitive strategy level. Innovation involves deliberate application of information, imagination and initiative in deriving greater or different values from resources, and includes all processes by which new ideas are generated and converted into useful products.

✅ The correct answer is option B.
Value for shareholders of a firm is measured by stock performance and profitability. Shareholder value is the value enjoyed by a shareholder by possessing shares of a company. It is the value delivered by the company to the shareholder.

✅ The correct answer is option A.
Costs associated with repairs and maintenance are common, related problem do for non-profit organizations such as the British Museum and the National History Museum often face.