Adding new but unrelated products or services for appealing present customers is known as:

• A) Horizontal diversification
• B) Backward integration
• C) Conglomerate diversification
• D) Forward integration

Which one of the following is NOT a major region of IE matrix?

• A) Harvest or divest
• B) Grow and build
• C) Hold and maintain
• D) Grow and maintain

Matching stage of the strategy formulation framework comprises of formulating which of the following set of strategies?

• A) BCG, SPACE and EFE Matrix
• B) BCG, SPACE and QSPM Matrix
• C) BCG, SPACE and TOWS Matrix
• D) SPACE, TOWS and IFE Matrix

Which one of the following strategies you would recommend to a firm that is continuously losing a large amount of money and the only alternative left is bankruptcy?

• A) Liquidation
• B) Joint venture
• C) Forward integration
• D) Horizontal diversification

A chance for advancement, progress or profit prevailing in external environment of a company is known as:

• A) Weakness
• B) Threat
• C) Strength
• D) Opportunity

Product development involves going in the direction of which one of the following?

• A) Present products to new markets
• B) Present products to present markets
• C) New products to present markets
• D) New products to new markets

If Bank Al-Habib completely sells all of its assets. What is this strategy called?

• A) Concentric Diversification
• B) Conglomerate Diversification
• C) Horizontal Diversification
• D) Liquidation

If the average score of a firm in environmental stability (ES) & competitive advantage (CA) is -5 & -1, identify the strategic position of a firm while undertaking the SPACE Matrix.

• A) Competitive
• B) Defensive
• C) Aggressive
• D) Conservative

Which one of the following strategy must obey the given guidelines like “firm is very successful at what it does and untapped or unsaturated markets”?

• A) None of the given options
• B) Market development
• C) Product development
• D) Market penetration

Which one of the following is a decentralized activity that directly involves all managers in an organization?

• A) Establishing shot-term objectives
• B) Establishing semi-annual objectives
• C) Establishing annual objectives
• D) Establishing long-term objectives

All of the following situations are conducive to market development EXCEPT:

• A) When an organization has excess production capacity
• B) When new channels of distribution are expensive
• C) When new untapped or unsaturated markets exist
• D) When an organization’s basic industry is becoming rapidly global

If the average score of a firm in financial strength (FS) & industry strength (IS) is +4 & +4, identify the strategic position of a firm while undertaking the SPACE Matrix.

• A) Aggressive
• B) Competitive
• C) Defensive
• D) Conservative

According to the Grand Strategy Matrix, in which quadrant organizations have a strong competitive position but are in a slow-growth industry?

• A) III
• B) IV
• C) I
• D) II

Which of the following is a defensive strategy that involves the reduction of costs and assets by a company in order to survive and recover from declining profits?

• A) Retrenchment
• B) Liquidation
• C) Divestiture
• D) Low cost

If “Bonus” washing powder is produced with the lowest cost as compared to other washing powders to acquire competitive edge, then the management of this brand is using:

• A) Cost Leadership Strategies
• B) Focus Strategies
• C) Differentiation Strategies
• D) None of the given options

Which one of the following is an assumption of slow market penetration strategy?

• A) Launching in a new area
• B) Excess production capacity
• C) Untapped market
• D) Lower price but unchanged promotional activities

Wal-Mart opened 60 stores in China in 2015 and plans to nearly double that number in 2016. Wal-Mart is pursuing which one of the following type of strategies?

• A) Product development
• B) Market penetration
• C) Market development
• D) Forward integration

Which of the following is NOT a part of resource allocation plan?

• A) None of the given options
• B) Primary allocation mechanism
• C) Basic allocation decision
• D) Contingency mechanisms

All of the following are the steps for the development of IE matrix EXCEPT:

• A) Plot EFE total weighted scores on the y axis
• B) Determine the quadrant where position vector lies
• C) Determine the region into which the division falls
• D) Plot IFE total weighted scores on the x-axis

When a division of an organization has a high relative market share and is in a fast-growing industry, it will be categorized as which type in BCG matrix?

• A) Star
• B) Question mark
• C) Dog
• D) Cash cow