Corporate and Division Strategic Planning - Quiz

1. A corporate mission that focuses on satisfying customer needs is considered:

Technology-oriented

Profit-driven

Production-oriented

Market-oriented

2. A strategic business unit (SBU) is defined by all the following EXCEPT:

Operating within a specific market

Having its own set of competitors

Being responsible for its own profits and losses

Sharing the same strategies as other SBUs

3. Which of the following describes a star SBU in the BCG Matrix?

A unit with high market share in a high-growth market

A unit in a low-growth market

A unit with low market share in a high-growth market

A unit with low potential for revenue generation

4. Which of the following best describes a company’s mission?

A list of specific product features

A strategic plan for achieving financial goals

A detailed marketing strategy

A broad statement of the organization’s purpose and what it seeks to achieve

5. The main objective of resource allocation in corporate strategic planning is:

Cutting down on employee numbers

Maximizing long-term profitability by investing in high-potential business units

Reducing marketing expenses

Expanding all SBUs equally

6. Which of the following is NOT a typical characteristic of a question mark SBU?

High cash generation

Requiring substantial investment

Low market share

High growth potential

7. The corporate mission statement is crucial for:

Guiding the overall strategy and providing a clear direction for the company

Reducing advertising costs

Limiting customer engagement

Increasing product variety

8. Strategic planning for SBUs involves:

Assigning each business unit a specific role in achieving corporate objectives

Aligning all SBUs to the same marketing strategy

Focusing solely on internal processes

Reducing investments across all SBUs

9. Cash cows in the BCG Matrix are known for:

Being in a high-growth market with low market share

Rapid growth and high profits

Needing heavy reinvestment to grow

Providing a steady stream of cash with minimal investment

10. Each SBU should:

Have its own competitors and market strategies

Share market strategies with other SBUs

Compete only within the company

Focus on internal process improvement

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