Business Unit Strategic Planning - Quiz

1. In business unit strategic planning, strategic fit refers to:

The market growth rate of the business unit

The business unit’s employee performance

The alignment between the business unit’s strategy and its available resources or capabilities

The product development strategy

2. A business unit’s mission statement should focus on:

Immediate revenue generation

Reducing employee size

Broad goals that reflect its core values and customer needs

Long-term profitability

3. In the BCG Matrix, a dog is an SBU that:

Requires continuous investment for growth

Generates high revenue with minimal investment

Has low market share in a low-growth market

Has low market share in a high-growth market

4. Portfolio analysis in business unit strategic planning helps to:

Set employee performance targets

Assess the performance of different business units and allocate resources accordingly

Develop new products

Increase operational efficiency

5. A business unit’s mission statement should emphasize:

Product innovation alone

Internal employee objectives

The unit’s purpose, goals, and how it creates value for customers

Short-term financial gains

6. Core competencies in a business unit provide:

A way to reduce costs

A unique set of skills and resources that distinguish the business from its competitors

A method to limit marketing efforts

A temporary competitive advantage

7. SBU performance is measured primarily by:

Customer satisfaction

Internal cost reductions

Sales growth, profitability, and market share

Number of employees hired

8. A focus strategy in business unit strategic planning targets:

A specific market niche or segment

Internal business operations

A broad market

A large customer base

9. The first step in business unit strategic planning is:

Developing a marketing plan

Defining the business mission

Conducting market research

Allocating resources

10. A cost leadership strategy in business unit planning aims to:

Provide products at the lowest possible cost to gain market share

Introduce new technology at higher costs

Expand into international markets

Focus on premium pricing strategies

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