GM14 Online Exam Assignment AIMA 2020

Subject Code: GM14

Subject Name: STRATEGIC MANAGEMENT & ETHICS

Component name: TERM END  

Question 1:- Point out the correct/ True statement         

1. a) Financial control is based on measures of financial parameters.
2. b) Behaviour control specifies how something is to be done through policies, rules, standard operating procedures etc.
3. c) Implementation Control requires monitoring strategy implementation performance.
4. d) All statements are true

Question 2:- Corporate scandals underscore the fact that corporate irresponsibility has become a grave threat to the long term health and prosperity of businesses. Confidence can be restored through :  

1. a) greater emphasis on business ethics
2. b) more rigorous corporate governance
3. c) more robust disclosure and reporting
4. d) all options are true

Question 3:- Which of the following is not an element of `Cultural Web` of an organisation?            

1. a) Stories
2. b) Symbols
3. c) Strategic Direction
4. d) Organisation Structure                       

Question 4:- Which of the following is not part of `Action-Centred` Leadership Model?        

1. a) Individual
2. b) Team
3. c) Task
4. d) Hierarchy

Question 5:- Which of the following is not an `Issue` in understanding complexity of `Family Business`?             

1. a) similar educational levels
2. b) sibling rivalries
3. c) Differences in attitude towards employees
4. d) Differences in `Value System`

Question 6:- Micro and Family businesses have an advantage of:

1. a) Financial clout
2. b) Lack of bureaucracy                
3. c) staying power
4. d) technological resources

Question 7:- Which of these statements are true?           

1. a) Matrix Structure provides for lateral chains of influence
2. b) Horizontal structure is organised according to organisational outputs with a focus on results than on means
3. c) Both the statements are correct.
4. d) none of the previous statements are correct           

Question 8:- A group of companies that form a joint entity for a specific purpose – such as building a channel tunnel, and when project is finished, the group breaks up. Such a long term contractual form is called:             

1. a)               
2. b) Consortia
3. c) Strategic Partnership
4. d) Personnel Secondment               

Question 9:- Which of the following is a `False` Statement?         

1. a) A business portfolio is collection of Strategic Business Units that builds up to different product category.
2. b) the BCG growth share matrix is directly derived from the pattern of cash flow.
3. c) Question Marks are products that have poor cash characteristics because of high demands and low returns.
4. d) The BCG Matrix highlights the need for management to look into the products and analyse their performance based on the fact that the life of product is finite.                   

Question 10:- Which statement(s) are true in respect of `experience curve`?

1. a) It depicts the linear relationship between costs and cumulative production
2. b) As a strategic concept it is based on strong relationships between market share and accumulated production.
3. c) It shows that It is possible to deliberately acquire and manage competitive advantage.
4. d) All statements made are true.  

Question 11:- Which of the following factors may lead to decision about `restructuring the organisation`?            

1. a) changing technologies                      
2. b) rise in competition
3. c) both A and B
4. d) neither A nor B

Question 12:- Following are statements about competitive market and marketplace conditions; which of these is `False`?           

1. a) Order winning factors are those factors that are essential to maintain your presence in the market like quality or cost
2. b) A basic characteristic in a competitive market is the effect of the firms` cost cutting, quality -enhancing and speed strategies.
3. c) Increasing economic value derived from intangible assets.
4. d) Organisations are required to respond to market place conditions more quickly and structure their enterprises for maximum effectiveness and productivity.

Question 13:- Which of the following is NOT a constituent of `Michael Porter`s Five Forces Model?       

1. a) Threat of new Entrants
2. b) Threat of complementary Products
3. c) Bargaining Power of Suppliers
4. d) Bargaining Power of Buyers

Question 14:- The TOWS Matrix shows the approach to develop competitive advantage in the circumstances that exist. Different quadrants in the Matrix are- S-O, W-O, S-T, and W-T. What is the correct interpretation of Quadrant “S-T”?           

1. a) Strategies pursue opportunities that are a good fit to the Company`s strengths.
2. b) Strategies overcome weaknesses to pursue opportunities.                       
3. c) Strategies identify ways that the firm can use its strengths to reduce its vulnerability to external threats.
4. d) Strategies establish a defensive plan to prevent the firm`s weaknesses from making it highly susceptible to external threats.   

Question 15:- Creating Competitive advantage involves consideration of four key factors; two are internal to the organisation while two are external. One of the `External factors` is Industry Opportunities and threats; Which is the other external factor?        

1. a) Personal Values of Key Implementers.
2. b) Societal Expectations
3. c) Company Strengths and Weaknesses
4. d) Not mentioned in the options

Question 16:- There are two basic types of competitive advantage a firm can possess; low cost or differentiation. Which of the following does not help the organisation to exploit `Economies of Scale` to achieve low cost?;             

1. a) Volume of production and overhead costs
2. b) volume of production and specialized machines
3. c) Production complexity and sophistication
4. d) Volume of production and cost of plant and equipment

Question 17:- Economic Objective of Business refers to earning profits and other objectives necessary to achieve the profit objective. Other objectives of the Business are- Social, Human, and Global. Which of the following Objectives form part of Economic Objective?     

1. a) Adoption of fair trade practices
2. b) ensuring a minimal ecological footprint
3. c) both A and B
4. d) Neither A nor B

Question 18:- Point out the correct Hierarchy of Vision, Mission an Objectives:        

1. a) Objectives leading to Mission which further Leads to Vision   
2. b) Mission leads to Vision and then to Objectives
3. c) Vision leads to Mission and Values leading to Objectives
4. d) all options are correct

Question 19:- Which of the statement(s) is correct in the context of `levels of Strategy?      

1. a) Corporate Level is also called a Grand Strategy                
2. b) Business Unit Level Strategy is also called Competitive Strategy
3. c) both a and B are correct
4. d) neither A nor B is correct.

Question 20:- Competence can be improved by a number of tools designed to develop the capacity and ability of managers. These tools are meant to:             

1. a) Enhance the flexibility of managers
2. b) Their capacity to benchmark continuously to achieve the best practices;
3. c) nurture core competencies to stay ahead of rivals.
4. d) all statements are correct.                     

Case Study

SAMTEL COLOR LIMITED: CASE STUDY- Samtel Colour was incorporated in 1986 with initial technology from Mitsubishi Electric, Japan. It has a capacity to manufacture approximately 10.2 million tubes per annum at its facilities at Ghaziabad and Kota. Samtel is the largest exporter of colour picture tubes in India and has safety approvals from USA, Canada, Germany and Britain for its products. The Company has a workforce strength of around 1800, a gross sales turnover of around 1100 crore and employs fixed assets valued at about 690 Crore. The Vision, Values, Beliefs Quality Policy , Organisation Culture etc. indicate that the key driving force behind the Company’s activities are; (a) Business Ethics, (b) Open Culture and People striving from within. The whole business formulation process is based on ‘bottom- up and top- down’ process. In this process, all the relevant functional and operational staff provides their inputs to the Strategy Formulation based on Economic survey, Situational Analysis and Competitive Analysis reports etc. through their involvement in teams headed by their respective departmental heads After the presentation of the strategies outlined for the coming three years (which again is reviewed in the normal process in the next year while preparing the strategies for the then coming three years) to CMD and Board of Directors and based on their views, the final set of strategies (Strategy Formulation) are prepared. The coordination of the whole process is carried out by the Vice President (Strategic Planning & Business development). As the whole process has the involvement of all the concerned people at various levels, Strategy Formulation gets owned by the people of the company. Thus the whole process of strategy Formulation is in line with the company’s philosophy. Issues and Questions to be answered as follows:

Question 21:- Competence can be improved by a number of tools designed to develop the capacity and ability of managers. Which capacity and abilities are aimed at in the process?     

1. a) Enhance the flexibility of managers;
2. b) The capacity to benchmark continuously to achieve the best practices.
3. c) Nurture core competencies to stay ahead of rivals.               
4. d) All statements are true

Question 22:- According to Porter, the processes and linkages between activities can be better examined and understood through a Value Chain Analysis. In this context which of the following activities are support activities?          

1. a) Inbound logistics.
2. b) Technology Development
3. c)
4. d) Marketing and Sales

Question 23:- Point out the situation(s) / conditions where focus strategy works best:       

1. a) When rivals are concentrating on the same target segment.
2. b) When the Firm possess good amount of resources, and can go after a wider portion of the market.                    
3. c) When it is costly for multi-segment rivals to serve the specialised needs of the target market niche
4. d) When the industry does not have many segments.

Question 24:- A leader who expands the followers’ portfolio of needs, Increases the confidence of followers, Elevates follower’ expectations and encourages behavioural change is termed as;    

1. a)
2. b) Situational Leader
3. c) Transactional Leader
4. d) Transformational Leader

Question 25:- Good Business Ethics, like democracy, is a lot easier in theory than in practice. Which of the following benefits are derived from good business Ethics?             

1. a) These can reduce litigation expenses;
2. b) Improve organisations morale;
3. c) Both options A and B are true
4. d) None of the options is true.