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Strategic Management: Multiple Choice Questions and Exercises, Exercises of Strategic Management

Alexandria UniversityStrategic Management

Strategic management Strategic management

Typology: Exercises

2019/2020

Uploaded on 06/21/2020

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Strategic Management
Section (2)
I-MCQ:
1- The ___________ environment consists of variables that are outside the organization and not
typically within the short-run control of top management.
A) Internal environment
B) External environment
C) Environmental scanning
D) Strategic factors
2- The type of environment which directly affect the organization. It includes elements such as:
government, suppliers, customers and competitors is:
A) Natural environment
B) Societal environment
C) Task environment
D) Ecological environment
3- Changes in oil prices have high impact on several industries such as automobile and shipping.
This is an example of:
A) Economic forces
B) Sociocultural forces
C) Technological forces
D) Political-legal forces
4- Increase in interest rates, GDP rates and unemployment rates is an example of _____ forces
while changes in lifestyles, heath care and birthrate levels are example of ________ forces.
A) Sociocultural, Political-legal
B) Technological, Sociocultural
C) Economic, Technological
D) Economic, Sociocultural
5- Digital technology allows movies and music to be available instantly over the internet which
affects video rental shops. This is an example of:
A) Economic forces
B) Sociocultural forces
C) Technological forces
D) Political-legal forces
6- High levels of taxation and government bureaucracy in some countries may push investors to
relocate their businesses to other locations. This is an example of:
A) Economic forces
B) Sociocultural forces
C) Technological forces
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Strategic Management

Section (2)

I-MCQ:

1- The ___________ environment consists of variables that are outside the organization and not typically within the short-run control of top management. A) Internal environment B) External environment C) Environmental scanning D) Strategic factors 2- The type of environment which directly affect the organization. It includes elements such as: government, suppliers, customers and competitors is: A) Natural environment B) Societal environment C) Task environment D) Ecological environment 3- Changes in oil prices have high impact on several industries such as automobile and shipping. This is an example of: A) Economic forces B) Sociocultural forces C) Technological forces D) Political-legal forces 4- Increase in interest rates, GDP rates and unemployment rates is an example of _____ forces while changes in lifestyles, heath care and birthrate levels are example of ________ forces. A) Sociocultural, Political-legal B) Technological, Sociocultural C) Economic, Technological D) Economic, Sociocultural 5- Digital technology allows movies and music to be available instantly over the internet which affects video rental shops. This is an example of: A) Economic forces B) Sociocultural forces C) Technological forces D) Political-legal forces 6- High levels of taxation and government bureaucracy in some countries may push investors to relocate their businesses to other locations. This is an example of: A) Economic forces B) Sociocultural forces C) Technological forces

D) Political-legal forces 7- __________ a group of firms that produces similar products or services. A) Industry B) Internal environment C) External environment D) Strategic group 8- When a client believe that it is difficult to him to change from Mobinil to Etisalat. This is an example of what type of entry barrier? A) Cost disadvantage due to size B) Economies of scale C) Switching cost D) Capital requirements 9- When Coca-Cola uses heavy advertising to support its strong brand name in the market A) Rivalry among existing firms B) Switching costs C) Threat of substitutes D) Differentiation 10- When Juhayna decided to stop dealing with farmers and establish its own farm. This is an example of_______ A) Threat of substitutes B) Threat of bargaining power of buyer C) Threat of bargaining power of supplier D) Rivalry among existing competitors 11- In 1973 war when Gulf countries decided to stop supplying oil to the foreign countries. This is an example of________ A) Threat of substitutes B) Threat of bargaining power of supplier C) Threat of bargaining power of buyer D) Rivalry among competitors 12- When WTO impose rules to prohibit the provision of subsidies on national agriculture products. This represents which kind of threat to local exporters A) Bargaining power of buyer B) Bargaining power of supplier C) Relative power of other stakeholders D) Rivalry among existing competitors 13- A sugar company worried that consumers may buy artificial sweetener instead of sugar is concerned about the ____________ A) Threat of new entrants B) Rivalry among existing firms C) Threat of substitutes D) Bargaining power of buyers

2-Cases:

I-Conduct a STEEP analysis for each of the following factors facing Bank Misr and explain whether it is a threat or opportunity: (STEEP Analysis…….>PESTL, External factors) For each of the following factors indicate: 1)Whether it is: 2) Whether it is: Threat (T) or Opportunity (O) a) Political b) Economic c) Social d)Technological e) Legal

  1. The Egyptian economy became so turbulent facing an increase in inflation rate, recession and the value of Egyptian pound dropped against the Dollar (E,T)
  2. Increase the hacking activities, which make people afraid of dealing with technology due to privacy issues (T,T)
  3. Ranking Egypt as one of top countries in anti- money laundering countries which can attract investors to Egypt (L,O)
  4. Increasing the use of ATMs in paying salaries and pensions (T,O)
  5. People in Egypt are now receiving higher education (college degrees) and the number of qualified youth increases which represents better employees for the bank. (S,O)

II-categories each of the following based on porter’s five competitive forces: a) Threat of new entrants b) Threat of Substitutes c)Existing competitors (Rivals) d)Bargaining power of buyers e) Bargaining power of suppliers

  1. People can invest their money in stock markets instead of banks. (Substitutes)
  2. There are many banks in Egypt (NBG bank, bank Misr, NSGB, HSBG and others) which compete intensively (Existing competition)
  3. Because clients now have range of choices, the bank can lose its client to another bank because it offers higher interest rates (Bargaining power of buyers)
  4. The central bank is responsible for the supply of money and sets the laws and regulations of banks, so it has high power on them(Bargaining power of suppliers)