AWADHOOT BHAGWAN RAM

POST GRADUATE COLLEGE

ANPARA SONBHADRA (U.P)

STRATEGIC MANAGEMENT
(MCQS OF UNIT-3)

SUBMITTED BY:- SUBMITTED TO:-

PIYUSH KUMAR SINGH MRS. JAINAB BANO
B.B.A. 6TH SEMESTER (ASSISTANT PROFESSOR)
MULTIPLE CHOICE QUESTIONS

1). _________ refers to the process of conducting research on a

company and its operating environment to formulate a strategy.
a). SWOT Analysis b). Strategic implementation
c). Strategic analysis c). Strategic turnaround

2). Vertical integration may be beneficial when:

a). Lower transaction costs and improved coordination are vital and
achievable through vertical integration.
b). Flexibility is reduced, providing a more stationary position in the
competitive environment.
c). Various segregated specialization will be combined.
d). The minimum efficient scales of two corporations are different.

3). When to organisations combine to increase their strength and

financial gains along with breaking the trade barriers is called _____.
a). Hostile takeover b). Liquidation
c). Merger d). Acquisition

4). What is a strategic alliance?

a). Any form of partnership between one firm and another.
b). Formal agreement committing two or more firms to exchange
resources to produce products or services.
c). Formal agreement to share profits from a shared investment.
d). Formal agreement to share knowledge.

5). _________ strategy is often considered as an entrepreneurial

strategy.
a). Expansion strategy b). Retrenchment strategy
c). Combination strategy d). Stability strategy

6). Porter’s Generic strategies are:

a). Low price, Differentiation, Focus
b). Cost leadership, Differentiation, Focus differentiation, Cost focus
c). Price leadership, Differentiation, Focus differentiation, Cost focus
d). Low cost, Differentiation, Focus differences

7). Low cost, Differentiation and Focus are examples of

a). Corporate strategies b). Operational strategies
c). Business strategies d). Functional strategies

8). Buying another company by one company means:

a). Joint venture b). Acquisition
c). Amalgamation d). Merger

9). Stability strategy is a _______ level strategy.

a). Functional b). Corporate
c). Business d). Strategic
10). The sketch of the BCG matrix _________ is the label of the
horizontal axis.
a). Market growth b). Market share
c). Business strength d). Industry growth rate

11). Functional strategies are sometimes called ___________.

a). Process strategies
b). Corporate strategies
c). Business-unit level strategies
d). Operational strategies

12). Strategic position and action evaluation matrix is used in

a). Formulation framework b). Matching stage
c). External factor evaluation d). Decision stage

13). Cash cows are always in

a). Introductory industry b). Growing industry
c). Mature industry d). Declining industry

14). In BCG Matrix, the reason for choosing relative market share,
rather than just profits, is that
a). It carries more information than just cash flow
b). It shows where the brand is positioned against its main
competitors
c). It indicates where it might be likely to go in the future
d). All of the mentioned options

15). ____________ identifies a firm’s major competitors and their

particular strengths and weakness in relation to a simple firm’s
strategic position.
a). Competitive profile matrix
b). External factor evaluation matrix
c). Internal factor evolution matrix
d). Boston consulting group matrix

16). _________ involves assessing the costs, benefits, and risks

associated with marketing decisions.
a). Customer analysis b). Opportunity analysis
c). Marketing research d). Product and service planning

17). Those firms must make some drastic changes quickly to avoid
further demise and possible liquidation that fall in ___________ of
grand strategy matrix.
a). Quadrant – 1 b). Quadrant - 2
c). Quadrant – 3 d). Quadrant – 4

18). Strategy-formulation concepts and tools

a). Do not differ greatly for different size and type of organisations
b). Differ greatly for different size and type of organisations
c). Do not differ greatly for profit or non profit organisations but
differ in small and large organisations
d). None of the mentioned options

19). BCG Matrix is based on

a). Attractiveness of industry and business strength
b). Growth of industry and business strength
c). Attractiveness of industry and relative markets here
d). Growth rate of industry and relative market share

20). Cash cows in the BCG matrix symbolize

a). Invest b). Stable
c). Liquidate d). Remain diversified

21). How many cells are there in a SWOT matrix?

a). 9 b). 6
c). 3 d). 2

22). Selling all of our company’s assets in parts of their tangible work
is called
a). Divestiture b). Liquidation
c). Concentric diversification d). Unrelated integration

23). Divestment is what kind of strategy?

a). An asset-reduction strategy
b). A weakness-reduction strategy
c). A product-reduction strategy
d). A cost-reduction strategy

24). The following are considered grand strategies, except for

a). A Retrenchment strategy
b). Strategic business unit
c). A growth strategy
d). Related diversification

25). Which environment can create new markets and new business
segments?
a). Political environment
b). Economic environment
c). Socio cultural environment
d). Technological environment