BBA Unit-3 Planning

1. The three organizational levels includes______

A. Corporate level
b. Business level
c. Functional level
d. All of the above
Answer D

2. Corporate level of management consists of –

(A) the Chief Executive Officer (CEO), other senior executives, the board of directors, and
corporate staff
(B) general managers are concerned with strategies that are specific to a particular business.
(C) managers are responsible for the specific business functions or operations (human resources,
purchasing, product development, customer service, and so on)
(D) none of the above
Answer: A

3. Adapting the firm to take advantage of opportunities in its constant changing environment is
called …………
(A) Long-range planning
(B) Annual planning
(C) Strategic planning
(D) Environmental scanning
Answer C

4. Long term strategy which defines the overall character and mission of the organization.
a) SBU strategy
b) Corporate strategy
c) Functional strategy
d) All of the above
Ans: b

5. Company culture can be traced from-

a) Company manager behaviour
b) Methods of decision-making
c) Overall outlook of the management
d) All of the above
Ans: d

6. Manager regards changes in business environment as-

a) Threats
b) Forecast
c) Opportunities
d) Challenges
Ans: c

7. One of the characteristics of a good strategic plan is ___.

a. Personality of top executives
b. Minimum mistakes
c. Uses available resources
d. Centralised planning
Ans: C

8. Strategic planning is also called as _______

A. Tactical planning
B. Short term planning
C. Long term planning
D. Business policy
Answer C. Long term planning

9. Strategic planning is _________ exercise.

A. nothing but a step by step
B. more than a step-by-step
C. short term tactical business management
D. non essential and avoidable
Answer B. more than a step-by-step

10. Strategic planning is done by which level of management?

A. floor level management
B. middle level management
C. top level management
D. both A & B
Answer C. top level management

11. Strategic planning is formalization of planning where plans are made for ______ periods
A. indefinite
B. medium
C. short
D. long
Answer D. long

12. Strategic planning is done by _________

A. high level of management
B. middle level management
C. low level of management
D. floor level of management
Answer A. high level of management
13. Strategic planning as a broad concept consists of _______
A. micro and macro environmental analysis
B. inputs as well as outputs
C. business & corporate strategy
D. strategy formulation and strategy implementation
Answer D. strategy formulation and strategy implementation

14. Another name for strategic planning is _______

A. business myopia
B. short term planning
C. long term planning
D. tactical business policy
Answer C. long term planning

15. Strategic planning is done by _________

A. senior managers
B. middle managers
C. top managers
D. owners only
Answer C. top managers

16. Strategic planning is based on ______ environmental scanning

A. external
B. extensive
C. selective
D. short term
Answer B. extensive

17. Strategic planning is a _______ process.

A. short term
B. one time
C. continuous
D. discrete
Answer C. continuous

18. Strategic planning is the process of determining a company’s _______.

A. long-term goals
B. short-term goals
C. nearby goals
D. current i.e. today’s
Answer A. long-term goals

19. Strategic planning is _______ in nature

A. descriptive
B. theoretical
C. creative
D. analytical
Answer D. analytical

20. Strategic planning is a process in which ________ determine their vision for the future for the
organization.
A. permanent employees
B. organizational leaders
C. operational managers
D. organisational suppliers
Answer B. organizational leaders

21. A strategic plan is _______ a business plan.

A. different from
B. same as
C. not important as compared to
D. none of the above
Answer A. different from

22. Strategic planning is the art & science of __________in regard to a company’s overall long-
term goals or desires.
A. creating specific business strategies
B. implementing specific business strategies
C. evaluating results of executed plans
D. all of the above
Answer D. all of the above

23. A strategic plan is typically focused on ______ goals.

A. short term
B. long term
C. mid term
D. both B & C
Answer D. both B & C

24. In strategic planning or thinking, the long term is approximately ______.

A. up to 2 years
B. 5 years or more
C. 3 years
D. less than 1 year
Answer B. 5 years or more

25. The primary focus of strategic management is ______

A. strategy implementation
B. the total organisation
C. strategic analysis
D. strategy formulation
Answer B. the total organisation

26. ……….. 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
Answer: (B) Strategic analysis

27. 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
Answer: (D) All of the above

28. Arrange the Strategic Analysis Process in proper sequence:

I. Formulate plans.
II. Recommend and implement the most viable strategy.
III. Determine the effectiveness of existing strategies.
IV. Perform an environmental analysis of current strategies.
Select the correct answer from the options given below.
(A) iv,ii,i,iii
(B) iv,iii,i,ii
(C) ii,iii,i,iv
(D) iv,i,iii,ii
Answer: (B) iv,iii,i,ii

29. ………… 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
Answer: (A) Situational analysis

30. Which of the following is NOT ‘external environment considerations?

(A) Political trends
(B) Economic shifts
(C) Operational inefficiencies
(D) Changes in consumer taste
Answer: (C) Operational inefficiencies

31. 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
Answer: (D) All of the above

32. Potential strategic alternatives include -………

(A) Changes in capital structure
(B) Changes in supply chain management
(C) Changes in business process
(D) All of the above
Answer: (D) All of the above

33. Which of the following is NOT element of Situation Analysis?

(A) Product Situation
(B) Competitive Situation
(C) Distribution Situation
(D) Profit Situation
Answer: (D) Profit Situation

34. Environment scanning applies to –

1. External scanning processes
2. Motivational scanning processes
3. Internal scanning processes
4. Lead scanning processes
Select the correct answer from the options given below -………
(A) None of the given
(B) Except 4 all other
(C) Both 1 and 3
(D) 1 only
Answer: (C) Both 1 and 3

35. Which of the following is a detailing process in the mission, objectives, strategies, and
policies?
(A) Strategy formulation
(B) Strategy implementation
(C) Strategic strategy
(D) Strategy achievement
Answer: A Strategy formulation
36. ………. widely is used for the evaluation of the organization’s product portfolio in marketing
and sales planning.
(A) SWOT analysis
(B) BCG Matrix
(C) Ansoff’s matrix
(D) TOWS matrix
Answer: (B) BCG Matrix

37. Corporate level strategy is concerned with the following –

(A) How do we want to compete?
(B) Where do we want to compete?
(C) How to support the strategy imple-mentation?
(D) All of the above
Answer: (B) Where do we want to compete?

38. ‘Strategic group mapping’ involves -………..

(A) Identifying the strongest rival companies
(B) Identifying weakest rival companies
(C) Identifying weakest and strongest rival companies
(D) None of the above
Answer: (C) Identifying weakest and strongest rival companies

39. …………… is the maximum possible time required to accomplish an activity or a path, assuming
everything goes wrong.
(A) Optimistic Time.
(B) Pessimistic Time
(C) Most Likely Time
(D) Expected Time
Answer: (B) Pessimistic Time

40. ……………. 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
Answer: (A) Expansion Strategy

41. The long-term direction of the organization in which it wants to proceed in the future is
known as __________
a) Strategic Planning
b) Short-Term Planning
c) Operational Planning
d) Contingency Planning
Answer: a

42. Identify the correct option with respect to the activities involved in Strategic Planning.
a) Developing goals only
b) Developing objectives only
c) Developing action plans only
d) Developing goals, objectives and action plans
Answer: d

43. Which of the following is correct in terms of the scope for Strategic Planning?
a) One month
b) Two months
c) Three months
d) Four years
Answer: d

44. Strategic Planning is one of the critical aspects of leadership.

a) True
b) False
Answer: a

45. The attempts that are made to improve an organization’s performance by making mission
statements concrete are called ________
a) Goals
b) Objectives
c) Plans
d) Action Plans
Answer: a

46. Which of the following is not a best practice for an organization when it is planning its goals?
a) Improving customer satisfaction target
b) Cost reduction targets in a year
c) Improving market share
d) Decreasing market share
Answer: d

7. The operational definition of goals is called __________

a) Goals
b) Objectives
c) Plans
d) Action Plans
Answer: b

48. Which of the following describes special tactics, assigned responsibilities, how resource
allocation is done, scheduled activities and efforts and specify vision target?
a) Goals
b) Special Objectives
c) Plans
d) Objectives
Answer: c

49. Which of the following is not an example of strategic planning in an organization?

a) The planned growth rate in sales
b) Diversification of business into new lines
c) Types of products to be offered
d) The planning for natural disasters
Answer: d

50. Identify the correct option with respect to the goals and objectives of an organization having
a strategic quality planning.
a) They are Process and Result oriented
b) They are Process oriented
c) They are Result oriented
d) They are neither Process oriented nor Result oriented
Answer: a

51. Identify the correct option with respect to the goals and objectives of an organization having
a strategic quality planning.
a) They are based on data and driven by trend or pattern analysis
b) They are based on hunches or guesses
c) They are based on neither data nor guesses
d) They are based on social media
Answer: a

52. Improvement activities in strategic quality planning are focused on activities critical to
success.
a) True
b) False
Answer: a

53. Which of the following statement is incorrect with respect to strategic quality planning cycle?
a) The identification of customer needs is the first step
b) The determination of customer positioning is the second step
c) It is necessary to predict the future and is the third step
d) The study of gap analysis and how to open the gap
Answer: d

54. Strategic planning is _______ in nature

A. descriptive
B. theoretical
C. creative
D. analytical
Answer: D analytical

55. Strategic planning is a process in which ________ determines their vision for the future of the
organization.
A. permanent employees
B. organizational leaders
C. operational managers
D. organizational suppliers
Answer: B organizational leaders

56. A strategic plan is _______ a business plan.

A. different from
B. same as
C. not important as compared to
D. none of the above
Answer: A different from

57. Strategic planning is the art & science of __________in regard to a company’s overall long-
term goals or desires.
A. creating specific business strategies
B. implementing specific business strategies
C. evaluating results of executed plans
D. all of the above
Answer: D all of the above

58. A strategic plan is typically focused on ______ goals.

A. short term
B. long term
C. midterm
D. both B & C
Answer: D both B & C

59. In strategic planning or thinking, the long term is approximately ______.

A. up to 2 years
B. 5 years or more
C. 3 years
D. less than 1 year
Answer: B 5 years or more
60. The primary focus of strategic management is ______
A. strategy implementation
B. the total organization
C. strategic analysis
D. strategy formulation
Answer:B the total organization

61. Strategic planning is also called _______

A. Tactical planning
B. Short term planning
C. Long term planning
D. Business policy
Answer: C Long term planning

62. Strategic planning is _________ exercise.

A. nothing but a step by step
B. more than a step-by-step
C. short term tactical business management
D. nonessential and avoidable
Answer: B more than a step-by-step

63. Strategic planning is done by which level of management?

A. floor level management
B. middle-level management
C. top-level management
D. both A & B
Answer: C top-level management

64. Strategic planning is a formalization of planning where plans are made for ______ periods
A. indefinite
B. medium
C. short
D. long
Answer: D long

65. Strategic planning is done by _________

A. high level of management

B. middle-level management
C. low level of management
D. floor level of management
Answer: A high level of management

66. Strategic planning as a broad concept consists of _______

A. micro and macro environmental analysis
B. inputs as well as outputs
C. business & corporate strategy
D. strategy formulation and strategy implementation
Answer: D strategy formulation and strategy implementation

67. Another name for strategic planning is _______

A. business myopia
B. short term planning
C. long term planning
D. tactical business policy
Answer: C long term planning

68. Strategic planning is done by _________

A. senior managers
B. middle managers
C. top managers
D. owners only
Answer: C top managers

69. Strategic planning is based on ______ environmental scanning

A. external
B. extensive
C. selective
D. short term
Answer: B extensive

70. Strategic planning is a _______ process.

A. short term
B. one time
C. continuous
D. discrete
Answer: C continuous

71. Strategic planning is the process of determining a company’s _______.

A. long-term goals
B. short-term goals
C. nearby goals
D. current i.e. today’s
Answer: A long-term goals

72. Procedure is developed or designed by _______

A. Line Managers
B. Top Management
C. Operator
D. Government
Answer A

73. A performance rating system is _________

A. Ratings for last years objectives
B. The extent to which the work objectives met
C. Yearly achievements during specified period
D. A grade or score relating to the overall performance

Answer: D

74. ______ is the type of business policy according to the Nature of Origin.
A. Originated Policy
B. Imposed Policy
C. Appealed Policy
D. All of the above
Answer: D

75. ______ is the type of business policy according to the structure of the organization.
A. Internal Policy
B. External Policy
C. Recruitment and selection policy
D. All of the above
Answer D

76. According to the Scope, business policies can be classified into______

A. General, Specific & Directive Policy
B. Internal & External Policy
C. Oral, Written & Implied Policy
D. All of the above
Answer: D

77. ________can be defined as the decision to select from among the grand strategies
considered, the strategy which will best meet the enterprise’s objectives.

A. Business Policy
B. Strategic Management
C. Strategic Choice
D. Risk Management
Answer: C

78. The timescale for performance appraisals is usually –

A. Quarterly
B. Monthly
C. One Year
D. Three Years
Answer: C

79. ________ is a formal document outlining the ways in which an organization intends to
conduct its affairs and act in specific circumstances.
A. Corporate Strategy
B. Policy Statement
C. Blue Ocean Strategy
D. Procedure Statement
Answer: B

80. Producing a ______ reduces the quantity of defects product

a. Cost of sale
b. Cost of Production
c. Advantage of Profit
d. Quality of Product
Answer D

81. Which statement is true?

A. The strategic management involve the determination of the organisation's mission, strategic
policies, and strategic objectives
B. Strategic management is a stream of decisions and action which leads to the development or
an effective strategy or strategies to help achieve corporate objectives
C. The strategic management process is the way in which strategists determine objectives and
make strategic decisions.
D. All of the above.
Answer D

82. The strategic management process is the way in which strategists

determine objectives and
A. Make recording
B. Make coordinating
C. Make strategic decision
D. Make planning
Answer C

83. A business mission statement is an explicit form of words that

captures the broad aims of the company. True or false?
a) True
b) False
Answer A
84. Which helps the managers to determine whether the overall strategy is
Progressing as desired or whether there is need for readjustment?
a) Milestone Reviews
b) Premise Control
c) Special Alert Control
d) Monitoring Strategic Thrusts
Answer D

85. ___________ strategy affects an organization from top to bottom; it

affects all functional & dicisional areas of a business.
a) Planning
b) Implementation
c) Crafting
D) Portfolio
Answer B

86. Which is broader term?

a) Strategy
b) Policies
c) Procedures
d) Goals & Rules
Answer A

87. Formulation Principle in Blue Ocean Strategy

focuses on
a) Extending demand
b) Focusing on big picture
c) Reconstructing market boundaries
d) All of the above
Answer D

88. Which is the functional area of Strategic Management?

a. Production and operation
b. Finance
c. Marketing
d. All of the above
Answer D

89. Strategic planning is done by which level of management?

A. Floor level management
B. Middle level management
C. Top level management
D. Both A & B
Answer C

90. Strategic planning id formalization of planning where plans are made for ____ periods
A. Indefinite
B. Medium
C. Short
D. Long
Answer D

91. Another name for strategic planning is _____

A. Business myopia
B. Short term planning
C. Long term planning
D. Tactical business policy
Answer C

92. strategic planning is based on ______ environment scanning

A. External
B. Extensive
C. Selective
D. Short term
Answer B

93. strategic planning is the process of determining a company’s ____

A. Long-term goals
B. Short-term goals
C. Nearby goals
D. Current i.e. today’s
Answer A

94. strategic planning is a process in which _____ determine their vision for the future for the
organization
A. Permanent employees
B. Organizational leaders
C. Operational managers
D. Organizational suppliers
Answer B

95. strategic planning is the art & science of ____ in regard to a company’s overall long-term
goals or desires
A. Creating specific business strategies
B. Implementing specific business strategies
C. Evaluating results of executed plans
D. All of above
Answer F

96. A strategic plan is _____ a business plan

A. Different form
B. Same as
C. Not important as compared to
D. None of above
Answer A

97. In strategic planning or thinking the long term is approximately ______

A. Up to 2 years
B. 5 years or more
C. 3 years
D. Less than 1 year
Answer B

98. The primary focus of strategic management is ______

A. Strategic implementation
B. The total organization
C. Strategic analysis
D. Strategic formulation
Answer B

98. All of the following are ways that marketing plays a key role in the company's strategic
planning EXCEPT:
a. marketing provides a guiding philosophy.
b. marketing is the only discipline that can provide a formal structure for the planning
effort.
c. marketing provides inputs to strategic planners by helping to identify attractive
market opportunities.
d. within individual business units, marketing designs strategies for reaching the unit's
objectives.
Answer B

99. The purpose of strategic planning is to find ways in which the company can best:
a. overcome losses.
b. use its strengths to take advantage of attractive opportunities in the environment.
c. avoid paying taxes.
d. avoid the expense of costly research and development while still getting the
benefits.
Answer B

100. In a market where demand from customers is strong, but the organization faces acute
shortages of staff, which element of its marketing environment is likely to be most important in
corporate planning?
a. Internal environment
b. Regulatory environment
c. Micro-economic environment
d. Physical environment
Ans. (a)