Answer the following statements true (T) or false (F)
1. Formal business plans can be dangerous to the survival of new businesses; many who try them fail because of the resources required to write and agree upon the plan.
2. A strategy is a large-scale action plan that sets direction for an organization.
3. Strategic management is the process of involving nonmanagerial employees in the formulation and implementation of strategies and strategic goals.
4. An organization should adopt strategic management and strategic planning to encourage new ideas.
1. FALSE
Evidence suggests that firms with formal business plans are more apt to survive. For example, research examined 396 entrepreneurs in Sweden and found that a greater number of firms that failed never had a formal business plan
2. TRUE
A strategy is a large-scale action plan that sets the direction for an organization.
3. FALSE
Strategic management is a process that involves managers from all parts of the organization in the formulation and the implementation of strategies and strategic goals.
4. TRUE
An organization should adopt strategic management and strategic planning for three reasons: They can (1) provide direction and momentum, (2) encourage new ideas, and above all (3) develop a sustainable competitive advantage.
You might also like to view...
Which era in the history of marketing continued until the end of World War II?
A. customer orientation B. production orientation C. sales orientation D. marketing concept E. relationship marketing
Because emails are short and informal, writers using this channel may begin most sentences with "I."
Indicate whether the statement is true or false
People with a(n) ________________ seek to demonstrate their competence to others by achieving goals and by doing tasks that they are good at performing.
a. prove goal orientation b. learning goal orientation c. avoid goal orientation d. stretch goal orientation
Which of the following is true of the balance sheet presentation of the Allowance for Bad Debts?
A) It is reported as a current liability. B) It is reported as an operating expense. C) It is reported as a separate, independent line item under current assets. D) It is shown as a contra account related to accounts receivable.