Test your basic knowledge |

Business Strategy

Subject : business-skills
Instructions:
  • Answer 50 questions in 15 minutes.
  • If you are not ready to take this test, you can study here.
  • Match each statement with the correct term.
  • Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.

This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.
1. A value creating strategy that creates more perceived value by primarily reducing costs






2. 1 Organizational Strategy 2 Business unit strategy 3 Functional Strategy






3. Serve the purpose similar to short term objectives but are completed in 1 to 3 years.






4. The benefits that develop through the extension and application of corporate resources to a newly acquired company.






5. Collateralized Loan Obligation. Large pool of bank loans bundled together by financial services firms and sold off to investors in slices - with the goal to spread default risk "an inch deep and a mile wide"






6. Value - Exploit - Rare - Imitate - Substitute






7. 1. improve bidding success 2. identify competitors key customers 3. identify expansion plans 4. improve understanding of competitors






8. These objectives are generally achieved within 3 to 5 years. Establishing these objectives provides direction - synergy and aids in establishing guidelines for evaluation.






9. A company in which 70-95% of revenue comes from a single business






10. When a corporation is able to combine similar primary value chain activities.






11. When a corporation can take synergistic advantage of administrative and support activities of the value chain in making an acquisition.






12. Combine both qualitative and quantitative measures - acknowledge the expectations of different stakeholders and relate an assessment of performance to choice of strategy.






13. Acquisition of a company that operates in the same industry using the same value chain.






14. Cost savings accomplished by operating combined companies more efficiently.






15. Ensuring that everything is carried out according to the plan. Eg: Measuring recruiting efforts and effectiveness.






16. The resources and competences of an organization needed for it to survive and prosper.






17. Suppliers - buyers - competitive rivalry - product substitutes and potential entrants; reinforces the importance of economic theory; analytical tool of previously lacking the field of strategy; determines the nature/level of competition and profit






18. It is the process that involves a systematic survey and interruption of relevant data to identify external opportunities and threats and to assess how these factors affect the organization currently and how they are likely to affect the organization






19. Views the world as its unit of analysis - Plants are built to provide local marketing advantages - recognizes the importance of being flexible at the country-level operations - more responsive to local needs






20. 1 Cost Benefit Analysis 2 Return On Investment 3 Breakeven Analysis 4 Financial Statement Analysis






21. The skills and abilities by which resources are deployed through an organization's activities and processes such as to achieve competitive advantage in ways that others cannot imitate or obtain.






22. Acquisition of another company upstream (supplier) or downstream (buyer) in the value chain of the same industry in which the corporation operates.






23. Acquisition of a company in a different industry - but which employs a similar value chain.






24. They are often based on industry best practice.






25. Risk associated with a particular business.






26. 1 The rule is proposed 2 Public comment is invited 3 The final rule is issued






27. Scheduling problems are largely resolved - and staffing and organizational culture begin to stabilize. Policies - procedures and rules are formalized and communicated to all employees. Training gains added emphasis in this phase to maintain flexibi






28. 1 Historical Data (HR records - census records) 2 Benchmarking and best practices reports 3 Purchased Data ( Gallup or Roper data) 4 Professional Journals - Books - and other media 5 Secondhand reports (grapevine reports)






29. Processes and activities used to formulate HR objectives - practices - and policies.






30. Divestiture in which a corporation creates a new company out of one of its businesses. The new company has its own shares of stock and shareholders - and its own board of directors. Typically - shareholders of the corporation will receive newly iss






31. A plant or service department is moved to another country. Although separated geographically - the off shored entity remains part of the organization - and workers are still employees of the organization.






32. Organization that follow this approach are not competing in an established market. They see themselves as a creating entirely new value. This strategy values innovation - creativity and rule breaking.






33. Refers to an intensive investigation of all factors surrounding a business decision to ensure that all risks are understood.






34. A value creating strategy that primary increases perceived value by increasing attractiveness of product






35. The political - economic - social - technological - environmental - and legal dimensions of an organization's external environment.






36. It is a vivid - guiding image of the organization's desired future. It is the ultimate picture of what leadership envisions for the organization.






37. When a corporation enters a new business in a different industry from that in which it currently operates and does not expect to achieve any value chain synergies through the combination.






38. 1 Capacity 2 Standards 3 Scheduling 4 Inventory 5 Control






39. Comparing operations in totally unrelated industries






40. 1 Strategy Formulation 2 Strategy Development 3 Strategy Implementation 4 Strategy Evaluation






41. Is concerned with the ways in which an organization exeeds its minimum obligations to stakeholders specified through regulation.






42. New ideas should not be dismissed simply because they originated at a grassroots level. Business innovations developed under these circumstances will create new objectives or modify existing ones and create an overlay of new direction compared to wha






43. 1. a graph demonstrating the different positions a firm can adopt in creating value 2. compares value and differentiation (Y) versus high cost to low cost (x)






44. Cut costs - add value - or increase prices






45. 1 Interest Rates 2 Gross Domestic Product (GDP) 3 Consumer Price Index (CPI) 4 Disposable Income 5 Inflation






46. It is a process not just written project plan that helps an organization focus on how to succeed in the future - where the company is now? - where does the company want to go? - How will the company get there?






47. Comparing 1 operation in the firm with another






48. Comparing similar functional firms in your industry






49. Economic - legal resp. - ethical - and discretionary






50. The choices made through the 4 Ps : Product - Price - Place and Promotion are what makes a product or service unique. This is distinctive blend of marketing decision.