1. What is the definition of competitiveness?

- A) Ability to provide the lowest-priced products in the market

- B) Ability to offer products that meet quality standards at competitive prices
- C) Ability to produce only for local markets
- D) Ability to eliminate competition

2. Which of the following is NOT one of Porter’s competitive strategies?

- A) Differentiation
- B) Cost leadership
- C) Diversification
- D) Focus

3. What is the main characteristic of the **focus** strategy?

- A) Targeting a specific regional market or buyer group
- B) Expanding into new business areas
- C) Lowering costs in all operations
- D) Entering international markets

4. Which system is self-sufficient and does not depend on its environment?

- A) Open system
- B) Closed system
- C) Internal system
- D) Competitive system

5. Who are stakeholders?

- A) Only employees of an organization
- B) People or groups with an investment or interest in the organization's performance
- C) Customers and competitors only
- D) Government officials and managers

6. What does the **economic dimension** in the general environment refer to?
- A) Overall economic health of the region in which the firm operates
- B) International trade policies
- C) Cultural norms and values
- D) Availability of natural resources

7. Which dimension of the environment is impacted by technological advancements?

- A) Legal-political dimension
- B) Sociocultural dimension
- C) Technological dimension
- D) Economic dimension

8. Which group is directly involved in day-to-day transactions with the organization?

- A) General environment
- B) Task environment
- C) Internal environment
- D) Natural environment

9. Which of the following is a PESTLE analysis factor?

- A) Bargaining power of buyers
- B) Political influence
- C) Technological differentiation
- D) Entry barriers

10. What does the **natural dimension** of the environment involve?

- A) Political policies
- B) Demographic trends
- C) Environmental impact and sustainability
- D) Technological innovations

11. In the **strategic management process**, what is a primary goal?

- A) Create competitive advantage for the organization
- B) Ensure maximum cost reduction
- C) Focus on day-to-day operations
- D) Expand into international markets

12. What is synergy in a strategic context?

- A) Achieving greater results through combined efforts than separate efforts
- B) Maximizing product differentiation
- C) Reducing the number of employees
- D) Lowering production costs

13. At which level of strategy is the question “What business are we in?” addressed?
- A) Functional level
- B) Business level
- C) Corporate level
- D) Operational level

14. What is the focus of **business-level strategy**?

- A) How to compete in specific business units or product lines
- B) Managing human resources effectively
- C) Expanding into new industries
- D) Handling day-to-day operations

15. What does a SWOT analysis evaluate?

- A) Barriers to market entry
- B) A company's strengths, weaknesses, opportunities, and threats
- C) Supplier and buyer power
- D) New product opportunities

16. In the BCG matrix, what does a **cash cow** represent?

- A) A business with low market share in a slow-growing industry
- B) A business with a large market share in a mature, slow-growth industry
- C) A high-growth, high-market share business
- D) A poor performer in a fast-growing industry

17. What strategy involves moving into a new line of business unrelated to the company's
current activities?
- A) Related diversification
- B) Unrelated diversification
- C) Differentiation
- D) Vertical integration

18. Which of the following is one of Porter’s five competitive forces?

- A) Product differentiation
- B) Threat of substitute products
- C) Technological innovation
- D) Entry barriers

19. What is the **bargaining power of suppliers** influenced by?

- A) Customer satisfaction levels
- B) Degree of supplier concentration
- C) Availability of natural resources
- D) Degree of technological advancements

20. What is a key challenge for managers in a highly uncertain environment?

- A) Lack of information to predict environmental changes
- B) Excessive profitability
- C) High employee turnover
- D) Strict government regulations

21. The **PESTLE** framework helps companies analyze:

- A) Competitors
- B) Internal resources
- C) External factors like political, economic, and social influences
- D) Management teams

22. What does the **technological dimension** refer to in the business environment?
- A) The development of new markets
- B) Legal restrictions on businesses
- C) Scientific and technological advancements that impact the industry
- D) Cultural norms and values

23. The **SWOT analysis** helps organizations:

- A) Define competitors’ weaknesses
- B) Identify internal and external factors affecting performance
- C) Develop unrelated diversification strategies
- D) Focus on legal-political factors

24. What is a **star** in the BCG matrix?

- A) A poor performer in a slow-growing market
- B) A business with a large market share in a fast-growing industry
- C) A small business unit with no growth potential
- D) A business with a dominant share in a declining industry

25. In Porter’s five forces model, the **threat of new entrants** is affected by:
- A) The number of existing suppliers
- B) Barriers to entry in the industry
- C) The level of customer loyalty
- D) Government regulations

26. What is the purpose of formulating a **corporate-level strategy**?

- A) To expand the company's product line
- B) To determine how the company competes in each unit
- C) To define the overall direction of the company
- D) To reduce costs in operations

27. A **dog** in the BCG matrix represents:

- A) A poor performer in a slow-growth market
- B) A rising star in a new industry
- C) A high-growth, high-share business unit
- D) A successful business in a mature industry

28. In **SWOT analysis**, what are **threats**?

- A) Internal factors that inhibit performance
- B) External factors that may prevent an organization from reaching its goals
- C) Opportunities to outperform competitors
- D) Internal strengths that help the organization
29. What is the goal of **cost leadership** strategy?
- A) To produce differentiated products at high prices
- B) To achieve the lowest operational costs in the industry
- C) To focus on a niche market
- D) To increase product prices to improve profitability

30. Which of the following is an example of **related diversification**?

- A) Expanding into a totally new line of business
- B) Moving into a business closely related to the existing one
- C) Competing only in international markets
- D) Switching from

31. In a competitive environment, what is the significance of customer loyalty?

A) It decreases the need for innovation
B) It increases the threat of substitutes
C) It provides a barrier to entry for new competitors
D) It reduces operational costs

32. The value chain concept focuses on:

A) Minimizing marketing expenses
B) Identifying and optimizing activities that create value for customers
C) Reducing the number of suppliers
D) Expanding into new geographic markets

33. What does the resource-based view (RBV) emphasize?

A) The importance of external market conditions
B) The value of internal resources and capabilities in achieving competitive advantage
C) The role of government regulations
D) The need for diversification

34. What role do key performance indicators (KPIs) play in assessing competitiveness?
A) They define the organization's mission
B) They help track performance and progress towards strategic goals
C) They replace the need for market research
D) They focus solely on financial metrics

1. B) Ability to offer products that meet quality standards at competitive prices

2. C) Diversification
3. A) Targeting a specific regional market or buyer group
4. B) Closed system
5. B) People or groups with an investment or interest in the organization's performance
6. A) Overall economic health of the region in which the firm operates
7. C) Technological dimension
8. B) Task environment
9. B) Political influence
10. C) Environmental impact and sustainability
11. A) Create competitive advantage for the organization
12. A) Achieving greater results through combined efforts than separate efforts
13. C) Corporate level
14. A) How to compete in specific business units or product lines
15. B) A company's strengths, weaknesses, opportunities, and threats
16. B) A business with a large market share in a mature, slow-growth industry
17. B) Unrelated diversification
18. B) Threat of substitute products
19. B) Degree of supplier concentration
20. A) Lack of information to predict environmental changes
21. C) External factors like political, economic, and social influences
22. C) Scientific and technological advancements that impact the industry
23. B) Identify internal and external factors affecting performance
24. B) A business with a large market share in a fast-growing industry
25. B) Barriers to entry in the industry
26. C) To define the overall direction of the company
27. A) A poor performer in a slow-growth market
28. B) External factors that may prevent an organization from reaching its goals
29. B) To achieve the lowest operational costs in the industry
30. B) Moving into a business closely related to the existing one
31. C) It provides a barrier to entry for new competitors
32. B) Identifying and optimizing activities that create value for customers
33. B) The value of internal resources and capabilities in achieving competitive advantage
34. B) They help track performance and progress towards strategic goals