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NEW QUESTION 115
DF Company is undertaking a strategic review of its activities and has asked you to explain how a Force Field analysis would assist in the review process.
Which of the following statements would be most appropriate?
- A. Provide a framework for identifying forces for and against the proposed changes within DF.
- B. Identify forces facing DF's activities that may create barriers and resistance to change.
- C. Identify influential senior managers who will drive through changes in DF's strategic direction.
- D. As part of DF's strategic review, identify forces facilitating the need for proposed change.
Answer: A
NEW QUESTION 116
BCA is a long established international airline. Which of the following represent Threats to BCA's business?
(Choose all that apply.)
- A. A shortage of trained pilots in BCA.
- B. A substantial rise in the price of oil.
- C. A sudden increase in international terrorism.
- D. A higher level of private car ownership.
- E. Greater popularity of long-haul holidays.
Answer: A,B
NEW QUESTION 117
You have applied for a job with a large accountancy practice and have been requested to attend for an interview. You have also been informed that you will be required to give a ten minute presentation on Corporate Political Activity (CPA).
Which are valid statements with respect to Corporate Political Activity?
Select ALL that apply.
- A. It is acceptable for a company to make an election contribution for a particular candidate and then to try to influence subsequent parliamentary voting.
- B. CPA can be considered to be part of a company's strategy to generate and sustain profits.
- C. Companies can establish Coalitions to respond to specific political issues, but these are always formed on a temporary basis.
- D. The CIMA Code of Ethics does not consider it appropriate for a company to offer bribes to politicians to secure publicly-funded business.
- E. When established laws and regulations affect a firm's competitive environment, the company will not be able to use CPA to try to influence political decision-making.
Answer: A,B,D
NEW QUESTION 118
SDC is a medium sized IT systems development company SDC employs highly qualified and experienced systems development experts. It invests heavily in staff training and development and as a result, staff are highly motivated and staff turnover is low. SDC has a strong culture of team work and innovation, which the senior managers believe is the basis of SDC's success. The senior managers, who are also the founders of SDC, are highly experienced and have a strong vision for the business.
Which THREE of the following factors would be the mam focus of a resource audit for SDC?
- A. Make-up
B Markets - B. Machinery
- C. Money
- D. Management
- E. Manpower
Answer: A,D,E
NEW QUESTION 119
LMN sells fashion clothing at competitive prices through its own retail stores. The clothes are manufactured for LMN by contractors in other countries.
In the past 4 years LMN has progressively lost market share to rival shops and online stores. This has been the consequence of poor designs, poor quality, and poor customer service.
In the past 3 years LMN tried to respond to this declining market share in several ways:
* Used e-sourcing to increase the number of suppliers LMN uses in order to obtain a larger choice of designs.
* Used e-procurement to buy in greater quantities to reduce cost per item.
* Warned each supplier that LMN will use a different supplier unless prices are reduced and better designs provided.
* Closed its own design studio to save costs, relying instead on its suppliers for designs.
* Reallocated budgets away from funding for customer research towards increased advertising.
* Avoided costs of product returns by making it difficult for customers to return items for a refund.
* Cancelled investment in a Customer Relationship Management system (CRM) to use the funds to finance its rising inventories.
You have been asked to suggest ways to improve the supply chain of LMN. This requires you to make a presentation to the Board of LMN.
Which THREE of the following techniques would improve the supply chain of LMN?
- A. Customer relationships not transactions
- B. Pull not push
- C. Partnership not antagonism
- D. Websites not shops
- E. Make not outsource
Answer: A,B,C
NEW QUESTION 120
HHH is a mobile telecommunications provider in Country D.
HHH presently offers telephone and text services at a price per unit (a unit is defined as 1 minute or 160 text characters). It provides Internet connection from handsets at a fixed fee per month. Select the appropriate strategic response to each of the industry developments listed below.
Answer:
Explanation:
NEW QUESTION 121
JJJ is a publically quoted advertising agency. JJJ's competitive advantage is based on the expertise of its staff and its reputation in digital media advertising. JJJ has robust systems to protect its intellectual property. These include patents and copyrights. JJJ has also restricted access for most of its staff to its most sensitive data, such as studies of its customers' profitability.
JJJ's new Managing Director, Z, is concerned that when staff leave JJJ, the company loses whatever tacit knowledge they possess. These losses also impact on JJJ's reported profits. In order to remedy the losses of knowledge and the reduced profits Z wants to introduce a knowledge management strategy.
Which of the following steps support the introduction of a knowledge management strategy? (Choose all that apply.)
- A. JJJ should convince staff of the benefits of sharing their tacit knowledge.
- B. Z should gain the support of the Board of Directors.
- C. JJJ should integrate knowledge management and management accounting.
- D. JJJ should unfreeze current habits and standard operating procedures.
- E. JJJ needs to acquire and install appropriate hardware and software.
- F. Z should set a target for reported profit.
Answer: A,B,C
NEW QUESTION 122
GV is a manufacturer and retailer of high quality suede gloves. GV makes all of its sales in country F, and is extremely profitable. After many successful years trading, GV has accumulated significant cash reserves and would like to grow the business organically.
After some investigation work, GV has discovered an opportunity to sell leather shoes in country P.
Which of the following strategic directions is GV taking if it pursues this opportunity, according to Ansoff's product / market matrix?
- A. Market penetration
- B. Product development
- C. Market development
- D. Related diversification
Answer: D
NEW QUESTION 123
You have been asked to advise a junior member of your team what qualities they should look for when identifying a coach or mentor to work with.
Place the qualities associated with effective coaching and mentoring next to the relevant statements below.
Answer:
Explanation:
NEW QUESTION 124
Which of the following is NOT included in the Information Systems Strategy (ISS) of Earl's three levels of information strategy?
- A. Division / SBU / Function based
- B. Demand-orientation
- C. Management-focused
- D. Business-focused
Answer: C
NEW QUESTION 125
XYZ is a manufacturer of garden tools. It has defined 'Excellence of Manufacture' as a Critical Success Factor. Which THREE of the following would be appropriate to use as Key Performance Indicators in respect of this Critical Success Factor?.
- A. % of raw materials input which is scrapped.
- B. Tonnage of raw materials usage.
- C. Number of finished products rejected at final inspection.
- D. Average age of products.
- E. Amount of money budgeted for production process improvements.
- F. Raw materials identified as essential.
Answer: A,C,E
NEW QUESTION 126
Organizations have a variety of stakeholders, each with differing interests and requirements. This can lead to stakeholder conflict. This can be further complicated when individuals are members of more than one stakeholder group and when members of one group do not share the same principal interest.
Company FF has decided that it needs to undertake a stakeholder analysis in order to manage its stakeholders more effectively.
Which of the following statements are valid when undertaking stakeholder analysis?
Select ALL that apply.
- A. Determines the degree of power that each group holds.
- B. The analysis enables priorities to be set to minimize power clashes.
- C. Establishes stakeholder interests and claims on the Organization.
- D. The analysis only focuses on quantitative matters.
- E. Considers how to prevent stakeholder trouble before it starts.
Answer: A,B,C
NEW QUESTION 127
RRR is a medium sized company, which has built family homes in Country B for twenty years. The Board of RRR wishes to expand company operations and start building homes in the neighboring country The Board of RRR wishes to undertake a position audit to help in this decision Which of the following strategic analysis tools would be used in a position audit for RRR?
- A. PEST
- B. Five Forces
- C. Gap Analysis
- D. SWOT
Answer: C
NEW QUESTION 128
'Big data' refers to datasets whose size is beyond the ability of typical database software tools to capture, store, manage and analyse.
Which of the following statements is NOT a valid statement regarding 'big data'?
- A. 'Big data' will require the right infrastructure, incentives and safeguards to address public concerns.
- B. Sufficient analytical and managerial talent is available to exploit the opportunities associated with 'big data'.
- C. As technology advances over time, the size of datasets that qualify as 'big data' will also increase.
- D. The definition of 'big data' can vary by sector, depending on the software tools and dataset sizes common to a particular industry.
Answer: B
NEW QUESTION 129
BCD is an independent training provider in Country P. It provides training to a wide range of corporate customers in business related subjects. All of its tutors must possess a nationally accredited training qualification before they are allowed to teach. Also, all of its courses follow nationally accredited programs and are externally monitored. This is considered to be a critical aspect of its business reputation.
BCD has one major competitor, JKL, within Country P. JKL offers similar courses to BCD but its tutors do not have to have an accredited training qualification. In addition its courses do not follow the national accredited programs and the content and style of courses varies significantly between JKL centres.
There are a number of universities which offer nationally accredited courses within Country P. BCD does not consider these as competitors, as they typically attract students wishing to undertake degree courses. The average university pass rate for nationally accredited programs is currently higher than BCD's Which of the following types of benchmarking would be most useful for BCD?
- A. Internal
- B. Competitor
- C. Strategic
- D. Process
Answer: D
NEW QUESTION 130
HHH is a mobile telecommunications provider in Country D.
HHH presently offers telephone and text services at a price per unit (a unit is defined as 1 minute or 160 text characters). It provides Internet connection from handsets at a fixed fee per month. Select the appropriate strategic response to each of the industry developments listed below.
Answer:
Explanation:
NEW QUESTION 131
BCD manufactures a well known breakfast cereal, the 'Weetyflake'. As a result of a steady slow down in the market growth of this product in its home country in the last five years, BCD is considering a number of possible strategic directions.
Select the label which best describes each of the strategic directions being considered by BCD.
Answer:
Explanation:
NEW QUESTION 132
JJJ is a private company belonging to a famous former athlete. It operates gyms and fitness clubs across its home country. Each gym or fitness club is treated as a profit centre and the manager of each centre is paid bonuses based on its financial performance.
Three years ago it introduced multidimensional performance measures into its management control systems.
These measure capacity utilisation, financial performance, competitiveness, innovation, and the flexibility of its centres to cope with changing demands.
The managers of its centres have been leaving at a very high rate over the last two years. They have claimed that the measures are too open to interpretation and when they think they are improving the centre's performance they are told they are doing the wrong thing. They also complain that the managers in the centres near big cities find it much easier to reach their targets than the managers of other centres.
Using Fitzgerald and Moon's Building Block model, where does the problem lie?
- A. Standards, Dimensions and Rewards
- B. Dimensions and Rewards
- C. Standards and Rewards
- D. Dimensions and Standards
Answer: C
NEW QUESTION 133
Johnson. Scholes and Whittington define strategy as the direction and scope of an organisation over the long term'. Which THREE of the following are advantages of deliberate long-term planning1?
- A. The organisation's mission, objectives and targets are made explicit which will improve goal congruence.
- B. By undertaking detailed analysis management can identify key risks.
- C. Management will have to generate ideas using their experience and ability to innovate.
- D. The organisation has a competitive advantage over others in its industry that do not use long-term planning.
- E. Long-term planning will enable equal importance to be given to the different perspectives of the organisation's Balanced Scorecard.
- F. The organisation will comply with external reporting standards
Answer: A,C,D
NEW QUESTION 134
LLL is considering entering Country B to sell its zero emissions car.
LLL has invested heavily in fuel cell technology for its car. It does not rely on any polluting fuels for its energy. This means that LLL's car is the only true zero emissions car.
Research conducted in Country B for LLL has revealed the following:
* Country B's Government is concerned that all forms of pollution have risen to dangerous levels.
* Despite being worried about pollution the Government of Country B has not yet adopted taxation policies to encourage the use of low pollution cars.
* Drivers choosing a car continue to rank the speed and appearance of a car very much higher than its impact on environmental pollution.
* About 2% of motorists own an electric or hybrid powered car.
* A high rate of sales tax levied on the price of new cars in Country B encourages motorists to continue to drive older, more polluting, cars.
LLL recognises that it needs to plan its strategy for Country B over the long-term.
Which THREE of the following strategies would you advise LLL to use to build its long-term sales in Country B?
- A. Provide schools and colleges with pre-prepared lesson resources that teach the science behind fuel cell technology and why it leads to zero emissions.
- B. Try to win the affection of motorists by donating funds to campaigns that resist attempts by the government to impose taxes on cars, according to the pollution they generate.
- C. Approach government lawyers in Country B and offer to engage them as paid consultants in exchange for their help in drafting taxation legislation that favours zero emission cars.
- D. Sponsor environmental groups in Country B to launch a campaign to take older cars off the road by calling on government to reduce the sales tax on new cars according to its emissions.
- E. Meet relevant members of the government of Country B to present the value of including emissions from electricity generating stations in their calculation of vehicle pollution to help reduce pollution.
Answer: A,D,E
NEW QUESTION 135
A is a private healthcare organisation aiming to provide affordable and accessible high quality patient services.
A is introducing Big Data, which has not yet been adopted by the competition A's database will store a huge amount of information about its patients Clear access to wide sources of accurate information will enable patients to make more informed choices. Patients will be able to compare not only the prices of drugs, treatments and physicians but also their relative effectiveness Which of the following concerns should A have about its use of Big Data?
- A. Privacy issues
- B. Veracity of information
- C. Variety of information
- D. Lack of competitive advantage
Answer: C
NEW QUESTION 136
Which of the following is NOT a key attribute of a successful stretch target?
- A. Set at a level which motivates staff to perform at their highest level.
- B. Encourages ethically responsible behaviour to achieve the stretch target.
- C. Staff must understand the reason for the stretch target set.
- D. Set at a level which is easily achievable.
Answer: A
NEW QUESTION 137
Company TTT produces a range of products, including products T1 and T5
Product T1. Profitability has declined in recent years, although small profits continue to be made as the market contracts due to changing customer preferences Overall market share is low and continues to reduce However, in addition to external sales T1 is also used as a component of product T5.
Product T5 A market leader within a low growth market, sources components both externally and from I I Is other subsidiaries T5 benefits from significant economies of scale and TTT has recently considered modernising its T5 production line but following a cost benefit analysis, decided not to proceed Which of the following is an appropriate strategy for TTT to adopt?
- A. Harvest product T1 and Divest product T5.
- B. Divest product T1 and Harvest product T5
- C. Divest both product T1 and product T5.
- D. Harvest both product T1 and product T5.
Answer: B
NEW QUESTION 138
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