Strategic Management MCQs

✅ The correct answer is option D.
Transnational strategy involves adopting a combined approach of low costs and high local respnsiveness simultaneously by the firms for their products and services. A transnational strategy is a set of planned actions defined by a company to have operations in markets abroad. This term generally applies to the methods and structures that allow a firm to initiate and maintain functions in foreign countries while preserving central coordination at one specific location.

✅ The correct answer is option D.
Assigning administrative tasks is NOT a major element of the strategic management process. The process of strategic management includes goal setting, analysis, strategy formation, strategy implementation, and strategy monitoring.

✅ The correct answer is option D.
Opportunities and Threats are outcomes from a study of the external environment.

✅ The correct answer is option D.
Organization is not an aspect of the MOST analysis. MOST Analysis is a technique for analysing what an organisation aims to achieve (mission & objectives) and how it aims to achieve this (strategy & tactics).

✅ The correct answer is option D.
Strategic planning is still important today because A critical success factor (often abbreviated “CSF”) may sound complicated, but it’s actually a pretty simple concept. Strategic planning is a process in which organizational leaders determine their vision for the future as well as identify their goals and objectives for the organization.

✅ The correct answer is option C.
Industry analysis is also referred to as external strategic management audit. An industry analysis is a business function completed by business owners and other individuals to assess the current business environment. This analysis helps businesses understand various economic pieces of the marketplace and how these various pieces may be used to gain a competitive advantage.

✅ The correct answer is option D.
Characteristic of strategic management that does not makes it different from other types of management is that it concerns the present direction of the organization.

✅ The correct answer is option B.
Outlining of competencies is not one of the elements of strategic thinking described by Campbell and Alexander (1997). A competency framework defines the knowledge, skills, and attributes needed for people within an organization. Each individual role will have its own set of competencies needed to perform the job effectively.

✅ The correct answer is option C.
Ensure consistency between desired strategic position and the chosen strategy is not suggested by Markides (1999) as a factor for competitive and strategic success. Markides (1999introduced ” breakthrough strategies ” that primarily focus on revitalizing business and markets in a competitive environment, also taking other strategic alliances into consideration. The combination of creative marketing strategies and effective implementation seems a logical approach for organizations to gain a competitive advantage.

✅ The correct answer is option D.
SBU stands for strategic business unit. A strategic business unit, popularly known as SBU, is a fully-functional unit of a business that has its own vision and direction.