Question

3.        _______________ refers to top management’s plans to develop and sustain competitive advantage so that the organization’s mission is fulfilled.

           a. Vision                                                          c.    Strategy

           b. Mission                                                        d.    Competitive advantage

4.        The strategic management process can be summarized in all of the following steps EXCEPT

           a. Internal analysis                                           c.    Strategy Evaluation

           b. Strategy Formulation                                                d.   External Analysis

           e. Strategic Philosophy                                     f.   Strategic Control

           f. N/A, all of these are steps in the process

5.        A business model is the mechanism (plan) whereby the organization seeks to earn profit by selling goods or services and can change over time.

           a. True                                                             d.    False

6.        Companies that practice strategic planning usually don’t have any better financial results than other companies.

           a. True                                                             d.    False

7.        Strategic planning can increase forms’ chances for long-term survival in competition.

           a. True                                                             d.    False

8.        Which of the following perspectives assumes that industry structure is the primary influence on firm performance?

a.	Industrial organization theory	c.	Subjective value
b.	Resource-based theory	d.	None of the above

9.        Which of the following perspectives assumes that the firm’s use of its unique combination of strategic resources is the primary influence on firm performance?

a.	Efficient market hypothesis	c.	Contingency theory
b.	Resource-based theory	d.	None of the above

10.      Which of the following perspectives may be viewed as a “middle ground” between the other two?

a.	Industrial organization theory	c.	Contingency theory
b.	Resource-based theory	d.	None of the above

Answer 1

3.        _______________ refers to top management’s plans to develop and sustain competitive advantage so that the organization’s mission is fulfilled.

Ans: Strategy

5.        A business model is the mechanism (plan) whereby the organization seeks to earn profit by selling goods or services and can change over time.

        Ans:    a. True  

6.        Companies that practice strategic planning usually don’t have any better financial results than other companies.

           Ans. d.    False

7.        Strategic planning can increase forms’ chances for long-term survival in competition.

          Ans: a. True  

9.        Which of the following perspectives assumes that the firm’s use of its unique combination of strategic resources is the primary influence on firm performance?

Ans: b. Resource-based theory