Strategic Management - A6

Over dependence on a single product line in a mature market indicates: Strategic disadvantage.

Lifestyle, uniqe customer requirement provided, in all markets, the scope for Focus [P-127, U-6]

Consolidation Strategies means: Better profit Strategies [P-94, U-5]
Maintain Strategies mans: No change strategy
Small Exploration Strategies mans: Pause/proceed with Caution strategies

The major (6) principles that explain the linkage between strategy and performance in PIMS Model includes: Quality of the products & services, Market Share, High investment, Cash flow position, vertical integration, Return on investment [P-199, U-8]

Maruti Udyog Limited has retained leadership position throughout due to the following:
Focused on the Indian geographical conditions, Analyzed unmet needs which catered to millions of customers in India, Large number of distribution channel and service centers throughout the countr. [P-33, U-2]

Marketing strategy for a niche market includes: continuously creating new niches. [P-129, U-6]

Core Competence is the collective learning of an organization. [P-79, U-4]

Financial Strength and competitive advantage – are two internal dimension of Space Matrix.
Environment stability and Industry strength – are two external dimensions of Space Matrix. [P-209, U-8]

A pictorial depiction of various outcomes of a decision is – Decision Tree. [P-226, U-9]

Decision making is defined as the selection of a course of action from among alternative; it is the core of planning. [P-224, U-9]

Strategic decision making is the task of a senior manager. [P-224, U-9]

Divestiture is opposed to diversification – False

For a high cash generation, one requires – high return and slow growth. [P-183, U-8]

Strategic Management Process is an effort to satisfy key organizational stakeholders – False.

The tool used for decision making in ‘A range of futures’ scenario is: Technology forecasting [P-139, U-7]

In a Win-Win situation there is a high resistance from competition – False; low [P-203, U-8]

Increase in “Volumes of Business” was characteristic of: Industrial Revolution [P-10, U-1]

It is better not to invest in a ‘Question mark’ if there’s already an established leader in market. But, if there are a number of competitors but no dominant one, investment may be worth while. [P-180, U-8]

Magnitude of the decision outcome and scope of the impact on the decision maker’s domain of activity is – Significance [P-222, U-9]

Strategic Intent induces which of the followings? Use of competitive intelligence at all levels, reciprocal responsibility and competitive innovation. [P-59, U-3]

The Delphi method characterized by: Structuring of information flow, feedback to the participants, anonymity for the participants. [P-205, U-8]

The Route Map for navigation the firm through all fluctuations and turbulences the company may face is – Primary corporate strategy [P-47, U-3]

Social responsibilities of a business mean the obligations, which it has to discharge towards the section of the community: - True

Strategic Intent involves: Sizeable stretch, reciprocal responsibility, Documenting failure – Strategic intent is clear about the ends, but flexible about the means [P-59, U-3]

Under functional strategies we have vertical fit & horizontal fit – True [P-284, U-11]

Figurehead role = Interpersonal Role
Spokesperson role = Informational Role
Ability to see big picture = Conceptual role
Team work = Human Skill

The business scenario changed after Liberalization and includes changes like: Formation of WTO, IT Revolution, Online trading. [P-11, U-1]

Retrenchment strategy means: Contraction of business activities [P-119, U-6]

Traditional cost accounting measures the cost of production and ignores the cost of non-producing [P-156, U-7]

Apollo Tyres = P-7
Arvind Mills = P-8
Nicholas Piramal Limited = P-13
Maruti Udyog = P-27

• The portfolio concept works only when the Competitive advantage is: choose only one
Real
Maximum
Increasing
Stable

• Grand strategies operate over different dimensions, namely