Strategic Analysis & Planning – Financial and Strategic Management MCQBy CACSMockTest / November 25, 2022 1 Strategic Analysis & Planning – Financial and Strategic Management MCQ 1 / 49 Benchmarking___ (A) Helps businesses in improv¬ing performance by learning from the best practices and the processes by which they are achieved. (B) Is a process of continuous improvement in search of compet¬itive advantage. (C) Is an approach of setting goals and measuring the productivity of firms based on best industry practices or against the products, services, and practices of its competitors or other acknowledged leaders in the industry. (D) All of the above 2 / 49 TOWS Matrix is an analytical tool that helps build over your and make the best use of available while also minimizing the (A) Threats; Opportunities; Strengths (B) Strengths; Opportunities; Threats (C) Opportunities; Strength; Threats (D) Strengths; Threats; Opportunities 3 / 49 In BCG Matrix, what is the label of the Vertical axis? (A) Relative Market share (B) Business Strength (C) National Growth Rate (D) Market Growth Rate 4 / 49 A business organization can redefine its business by divesting a major product line or market. This is supported by – (A) Retrenchment Strategy (B) Combination Strategy (C) Growth Strategy (D) Incline Strategy 5 / 49 Another name for GE/McKinsey Matrix is____ (A) Business Making Matrix ‘ (B) Business Planning Matrix (C) Business Portfolio Matrix (D) Business Grow Matrix 6 / 49 Car manufacturers ‘Maruti’ and ‘Tata Motors’ work on reducing their costs to sell their cars in the popular segment at attractive prices. This is an example of ___ (A) Growth Strategy (B) Turnaround Strategy (C) Cost Leadership Strategy (D) Unique Strategy 7 / 49 If Industry Attractiveness is ‘Low’ and Business Unit Strength is ‘High’, then which of the following strategy should be followed as per GE Matrix – (A) Hold/selective (B) Divest/harvest (C) Invest/selective (D) Invest/grow 8 / 49 In the BCG matrix, what is the label of the horizontal axis? (A) Relative Market share (B) Business Strength (C) Industry Growth Rate (D) Market Growth Rate 9 / 49 ‘NDTV’, a TV Channel has identified a profitable audience niche in the electronic media. It has further exploited that niche through the addition of new channels like ‘NDTV’ Profit and Image’. According to Porter, this is an example of __ (A) Differentiation Strategy (B) Focus Strategy (C) Cost Leadership Strategy (D) Diversification Strategy 10 / 49 Dell Computer has decided to rely exclusively on direct marketing. This is an example of ___ (A) Differentiation Strategy (B) Focus Strategy (C) Cost Leadership Strategy (D) Diversification Strategy 11 / 49 _____is implemented by redefining the business by adding the scope of business substantially increasing the efforts of the current business. (A) Expansion Strategy (B) Differentiation Strategy (C) Retrenchment Strategy (D) Cost Leadership Strategy 12 / 49 If the organization chooses to transform itself into a leaner structure and focuses on ways and means to reverse the process of decline, it adopts a __ (A) Turnaround Strategy (B) Liquidation Strategy (C) Divestment Strategy (D) Differentiation Strategy 13 / 49 Four generic strategies as discussed by Glueck and Jauch are – (A) Stability Strategies, Expansion Strategies, Retrenchment Strategy & Combination Strategies (B) Growth Strategies, Stable Strategies, Retrenchment Strategy & Combination Strategies (C) Stability Strategies, Expansion Strategies, Decline Strategy & Divest Strategies (D) Corporate Strategies, Business Strategies, Operational Strategies & Functional Strategies 14 / 49 A renowned auto manufacturing company launches ungeared scooters in the market.In the context of Ansoff’s Product-Market Growth Matrix, identity, the type of growth strategies followed for the given case. (A) Market Development (B) Product Development (C) Diversification (D) Market Penetration 15 / 49 If Industry Attractiveness is ‘High’ and Business Unit Strength is ‘Medium’, then which of the following strategy should be followed as per GE Matrix – (A) Invest/grow (B) Hold/selective (C) Divest/harvest (D) Invest/selective 16 / 49 There are four categories of industry maturity as per ADL Matrix: (A) Strong, favorable, mature, and decline (B) Strong, favorable, tenable and weak (C) Embryonic, growth, mature and aging (D) Embryonic, growth, tenable and weak 17 / 49 What is shown in the Arthur D. Little (ADL) Matrix? (A) It classifies strategy options according to market coverage and competitive advantage dimensions. (B) This 5 X 4 model offers strategy prescriptions according to the competitive position of an organization and the stage of maturity of its market. (C) It relates an organization’s competitive position and industry attractiveness to determine appropriate strategies. (D) It shows the relative market share and market growth rates of the organization’s portfolio of SBUs 18 / 49 One of India’s premier utility vehicles manufacturing company ventures to foray into foreign markets.In the context of Ansoff’s Product-Market Growth Matrix, identity, the type of growth strategies followed for the given case. (A) Market Development (B) Product Development (C) Market Penetration (D) Market improvement 19 / 49 The ADL Matrix or Arthur D Little Strategic Condition Matrix is a Portfolio Management technique that is based on the – (A) Market Growth Strategy (MGS) (B) Corporate Portfolio Investment (CPI) (C) Product Life Cycle (PLC) (D) Strategic Business Units (SBU) 20 / 49 What do Dogs symbolize in the BCG matrix? (A) Invest (B) Harvest (C) Build (D) Divest 21 / 49 As per ADL Matrix, the company’s competitive position is determined by – (A) Cash Cows & Growth Stage (B) Market Improvement & Strategic Actions (C) Strategic Actions & Competitor’s Strategies (D) Strong & Stable Strategies 22 / 49 A business giant in the hotel industry decides to enter into the dairy business.In the context of Ansoff’s Product-Market Growth Matrix, identity, the type of growth strategies followed for the given case. (A) Market Development (B) Product Development (C) Diversification (D) Market Penetration 23 / 49 Which of the following refers to a situation where a product generates high profits which can then be invested in developing new products? (A) Dogs (B) Cash cows (C) Question marks (D) Growth stage 24 / 49 Which of the following executes strategy into everyday execution tactics? (A) Goal setting (B) Technical planning (C) Operational planning (D) None of the above 25 / 49 Which of the following is not a limitation of SWOT (Strengths, Weaknesses, Opportunity, Threats) analysis? (A) Organizational strengths may not lead to competitive advantage (B) SWOT gives a one-shot view of a moving target (C) SWOT’s focus on the external environment is too broad and integrative (D) None of the above 26 / 49 Which of the following is not a limitation of SWOT (Strengths, Weaknesses, Opportunity, Threats) analysis? (A) Organizational strengths may not lead to competitive advantage (B) SWOT gives a one-shot view of a moving target (C) SWOT’s focus on the external environment is too broad and integrative (D) SWOT overemphasizes a single dimension of strategy 27 / 49 Which of the following is an element of Situation Analysis? (A) Environmental Factors (B) Distribution Situation (C) Both (A) and (B) (D) Neither (A) nor (B) 28 / 49 The process by which an organization deals with a major event that threatens to harm the organization, its stakeholders or the general public is known as – (A) Stress management (B) Crisis management (C) TQM (D) None of the above 29 / 49 Which section of the SWOT Matrix involves matching internal strengths with external opportunities? (A) The WT cell (B) The SW cell (C) The SO cell (D) The ST cell 30 / 49 ___generally relate to external factors. (A) Strengths and weaknesses (B) Opportunities and threats (C) Weaknesses and Threats (D) Strengths and Opportunities 31 / 49 Which of the following SWOT elements are internal factors for a business? (A) Strengths and Weaknesses (B) Opportunities and Threats (C) Strengths and Opportunities (D) Weaknesses and Threats 32 / 49 An organization that has a low relative market share position and competes in a slow-growth industry is referred to as a (A) Dog (B) Question Mark (C) Star (D) Cash Cows 33 / 49 SWOT analysis Originated by – (A) Heinz Weirich (B) United States Navy (C) Albert S Humphrey (D) James E. Kelley 34 / 49 In SWOT analysis the ‘O’ stands for____ (A) Objections (B) Openings (C) Opportunities (D) Obstacles 35 / 49 Identification of opportunities and avoiding or mitigating losses is called____ (A) Risk management (B) Stress management (C) Change management (D) Co-ordination 36 / 49 The low growth, low share businesses in the BCG matrix are: (A) Cows (B) Dogs (C) Cats (D) Question Marks 37 / 49 Which of the following is NOT an element of Situation Analysis? (A) Product Situation (B) Competitive Situation (C) Distribution Situation (D) Profit Situation 38 / 49 A situation analysis should be conducted ___ (A) After developing a strategy. (B) At the beginning of any program or project (C) Before a company is incorporated (D) At a later stage in quality management 39 / 49 ‘Build,’ ‘Hold,’ ‘Harvest,’ and ‘Divest’ are the strategies pursued in: (A) Boston Consulting Group Growth-Share Matrix (B) Value chain Analysis (C) Managerial Grid Matrix (D) Ansoff’s Product Matrix Growth Matrix 40 / 49 Potential strategic alternatives include – (A) Changes in capital structure (B) Changes in supply chain manage¬ment (C) Changes in business process (D) All of the above 41 / 49 Strategists must ask themselves question such as: (A) Is our strategy failing or succeeding? (B) Will we meet our stated goals? (C) Does our strategy align with our vision, mission, and values (D) All of the above 42 / 49 Strategists must ask themselves question such as: (A) Is our strategy failing or succeeding? (B) Will we meet our stated goals? (C) Does our strategy align with our vision, mission, and values (D) All of the above 43 / 49 Which of the following is NOT ‘external environment considerations? (A) Political trends (B) Economic shifts (C) Operational inefficiencies (D) Changes in consumer taste 44 / 49 Which of the following is NOT ‘internal environment considerations? (A) Operational inefficiencies (B) Changes in consumer taste (C) Employee morale (D) Constraints from financial issues 45 / 49 ___is the process we use to gain understanding and insight into our present situation. (A) Situational analysis (B) Sensitive analysis (C) Simulation analysis (D) All of the above 46 / 49 The purpose of a strategic analysis is to_____ (A) Analyze an organization’s external and internal environment (B) Assess current strategies (C) Generate and evaluate the most successful strategic alternatives. (D) All of the above 47 / 49 ADL matrix has been propounded by: (A) Arthur D. Lowey (B) Arthur D. Little (C) Arthur D. Levin (D) Arthur D. Louise 48 / 49 The strategic analysis involves: (A) Identifying and evaluating data relevant to the company’s strategy. (B) Defining the internal and external environments to be analyzed. (C) Using several analytic methods such as Porter’s five forces analysis, SWOT analysis, etc. (D) All of the above 49 / 49 ___refers to the process of conducting research on a company and its operating environment to formulate a strategy. (A) Strategic management (B) Strategic analysis (C) Sensitive analysis (D) Simulation analysis Your score is LinkedIn Facebook Twitter VKontakte Related