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You can read the details below. By accepting, you agree to the updated privacy policy. Thank you! View updated privacy policy We've encountered a problem, please try again. We’ve updated our privacy policy so that we are compliant with changing global privacy regulations and to provide you with insight into the limited ways in which we use your data. You can read the details below. By accepting, you agree to the updated privacy policy. Thank you! View updated privacy policy We've encountered a problem, please try again. MGT603 Solved MCQs from Book by David (chap 5b) 79. When a domestic company first begins
to export to India, it is an example of 80. Which strategy generally entails large research and development expenditures? 81. All of the following
situations are conducive to market development except: Which strategy is appropriate when an organization competes in an industry
characterized by rapid technological developments? Diversification Strategies 83. Adding new, unrelated products or services for present customers is called 84. Which strategy should an organization use if it competes in a no-growth or a slow-growth industry. 85. Which of the following is not an example of when an organization should use an unrelated diversification strategy? 86. Adding new, unrelated products or services is called Defensive Strategies 87. Win-Dixie closing one-third of its stores and eliminating 22,000 jobs in an attempt to emerge from bankruptcy would be an example
of: 88. What kind of strategy is retrenchment? 89. Bankruptcy 90. Which chapter of the bankruptcy code applies to municipalities? 91. The Family Farmer Bankruptcy Act of
1986 created 92. Retrenchment would be an effective strategy when an organization 93. What term refers to selling a division of an organization. 94.
Which strategy should be implemented when a division is responsible for an organization’s overall poor performance? 95. Selling all of a company’s assets in parts for their tangible worth is called 96. Which strategy would be effective when the stockholders of a firm can minimize their losses by selling the organization’s assets. Michael Porter’s Five Generic Strategies 97. Under which strategy would you offer products or services to a wide range of customers at the lowest
price available on the market? 98. According to Porter, which strategy offers products or services to a small range of customers at the lowest price available on the market? 99. Under which condition would a cost
leadership strategy be especially effective? 100. Under which condition would a differentiation strategy be especially effective? Means for Achieving Strategies 101. What occurs when two or more companies form a temporary partnership or consortium for the purpose of capitalizing on some opportunity. 102. All of the following are cooperative arrangements except: 103. Which of the following is not a reason joint ventures fail? 104. Which strategy would be most
appropriate when the distinctive competencies of two or more firms complement each other especially well? Merger/Acquisition 105. When two organizations of about equal size unite to form one enterprise, which of these occurs? 106. Mergers and acquisitions are created for all of the following reasons except to 107. When companies take over functional operations of other firms, such as human resources,
information systems, payroll, accounting, or customer service, this is called Strategic Management in Small Firms 108. According to journalists’ findings, what is a serious obstacle for many small business owners. 109. Define and give an example of three integrative strategies. 110. List some guidelines for when forward integration would be a particularly good strategy to pursue. 111. Define and give an
example of three intensive strategies. 112. List some guidelines for when market
development would be a particularly good strategy to pursue. 113. Define and give an example of the two diversification strategies. 114. List some guidelines for when related diversification would be a particularly good strategy to pursue. 115. Define and give examples of joint venture, retrenchment, divestiture and liquidation. 116. Compare and contrast the five types of bankruptcy: Chapters 7, 9, 11, 12 and 13. 117. Discuss Michael Porter’s five generic strategies. 118. What are the characteristics of a firm that is successfully pursuing a cost leadership strategy? 119. Discuss four common problems that cause joint ventures to fail. 120. Name at least six reasons for performing mergers or
acquisitions. Which of these strategies is effective when the number of suppliers?Answer and Explanation: The correct answer is D) Backward integration. Reason: When a small number of suppliers and a high number of competitors or business firms are present in the market, then a backward integration strategy will be useful.
Which strategy should be implemented when a division is responsible for an organization overall poor performance?The right answer option is B: divestiture. Divestiture should be implemented when a division is responsible for an organization's overall poor performance.
Which strategy would be effective when the stockholders of a firm can minimize their losses by selling the organization's assets?The correct option is: E) Liquidation
Explanation: In business terms, liquidation is defined as a strategy where the company sells its closures and assets to generate cash and distributed among the claimants. This strategy will help the company to minimize its loss by selling the assets.
Which strategy should an organization use if it competes in a no growth or a slow growth industry?Related diversification may be an effective strategy when: An organization competes in a no growth or a slow growth industry. Adding new, but related, products would significantly enhance the sales of current products. New, but related, products could be offered at highly competitive prices.
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