Uploaded by MUHAMMAD UMER FAROOQ

FOM Quiz

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1. Heavy investment in dogs (BCG Matrix) will help take advantage of the market's growth
and help maintain high market share.
True
False
Question 2
1. An SBU is distict from something that can be categorized as a corporation.
True
False
Question 3
1. "In BCG matrix, a business unit that has a low anticipated growth rate but a high market
share is known as a cash cow."
True
False
Question 4
1. "In the BCG matrix, a business unit that has a high anticipated growth rate but a low
market share is known as a star."
True
False
Question 5
1. A company that competes by offering unique products that are widely valued by
customers is following a differentiation strategy.
True
False
Question 6
1. "When a totally new product, such as laser discs years ago, is introduced, it would be
considered a dog according to the BCG matrix."
True
False
Question 7
1. It is good for the firm if the bargaining power of supplier is high.
True
False
Question 8
1. "In the BCG matrix, a cash cow has a low anticipated growth rate and a low market
share."
True
False
Question 9
1. "When a company combines with firms in different and dissimilar industries, it indulges
in unrelated diversification."
True
False
Question 10
1. Star is the worst condition for a frm as per the BCG Matrix.
True
False
Question 11
1. A cost leadership strategy requires a firm to maintain lowest cost structure.
True
False
Question 12
1. Renewal strategies address declining performance through retrenchment and turnaround
strategies.
True
False
Question 13
1. A company that competes by offering unique products that are widely valued by
customers is following a cost leadership strategy.
True
False
Question 14
1. An organization that initially brings a product innovation to the market is known as the
first mover.
True
False
Question 15
1. "In an organization, the single independent businesses which formulate their own
competitive strategies are known as ________."
Strategic Business Unit
Functional Unit
Corporation
Question 16
1. Which of the following strategies involves a cost advantage or a differentiation advantage
in a narrow segment?
niche strategy
focus strategy
functional strategy
leadership strategy
Question 17
1. "In an organization, the single independent businesses which formulate their own
competitive strategies are known as function."
True
False
Question 18
1. Heavy investment in ________ will help take advantage of the market's growth and help
maintain high market share.
cash cows
stars
question marks
dogs
Question 19
1. SBU Stands for ___________.
Strategic Business Unit
Short Business Unit
Standard Business Unit
Question 20
1. Strategy should always be flexible in nature.
True
False
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