BBA Strategic Management — practice questions
120 free MCQs with worked solutions. Tap any question for the answer + explanation, or practice them all in the app.
Practice BBA Strategic Management in the app →Planning is best described as deciding in advance:Planning seeks to bridge the gap between where we are and:A firm sets goals so employees know what to do and work in one direction. This benefit is that planning:By anticipating change and preparing responses, planning:Planning gives the goals against which actual performance is measured, so it is a prerequisite for:Because all other managerial functions are performed within the framework of plans, planning is called the:Top management plans for the whole firm while supervisors plan day to day. This shows planning is:Planning looks ahead and is based on forecasting, which makes it:If only one course of action existed, there would be no need to plan because planning involves:Planning requires foresight, imagination and sound judgement, so it is called a:A well-defined plan that managers cannot change when conditions shift shows that planning leads to:Because top management makes the plans and others merely implement them, planning may:Boardroom meetings, expert consultations and preliminary investigations mean planning:A plan that worked before may not work again, which shows planning:The first step in the planning process is:The assumptions about the future on which plans are built are called:A plan developed for a one-time event or project, not likely to be repeated, is a:Policies, procedures, methods and rules are examples of:A comprehensive plan that sets long-term objectives, adopts a course of action and allocates resources is a:A general statement that guides thinking, such as a recruitment or pricing policy, is a:Specific statements that allow no flexibility or discretion, such as reporting for work on time, are:A statement of expected results expressed in numerical terms is a:Business environment means the sum total of all individuals, institutions and forces that are:Take the universe, subtract the organisation, and the remainder is the:Because business environment is the sum of everything external to a firm, it is called a:Investors, customers, competitors and suppliers, who affect a firm directly, are:Social, political, legal and technological conditions affecting all firms are:Longer life expectancy raised demand for health foods, which then changed lifestyles. This shows environment iBecause technology, tastes and competition keep changing, business environment is:It is hard to predict future happenings in fashion or information technology, so environment is:Environment is easier to understand in parts than as a whole, which shows it is:Demand for sarees is high in India but almost nil in France. This feature of environment is:Positive external trends that will help a firm improve performance are:Which company became the small car leader by spotting the need early?External trends and changes that will hinder a firm's performance are:Awareness of the environment lets managers spot dangers in time, acting as an:Finance, machines, raw materials, power and labour drawn from the environment are the firm's:Turbulent markets, weaker brand loyalty and intense global competition mean firms must be able to:Understanding opportunities and threats becomes the basis for deciding future courses of action, that is:The dimensions of business environment include economic, social, technological, legal and:Interest rates, inflation rates and the value of the rupee belong to which environment?A bulb that lasts twenty times as long as a standard bulb is an example of change in which environment?Low long-term interest rates help construction and automobile firms because they raise:Dharamveer Kamboj obtained funding of how much for his processing machine project?The Government of India defines small industries on the basis of investment in:Which Act of 2006 gave micro, small and medium enterprises a single legal framework?A manufacturing enterprise with investment in plant and machinery up to twenty-five lakh rupees is a:A manufacturing enterprise investing more than five crore but not above ten crore rupees is:For service enterprises, a micro unit has investment in equipment not exceeding:An industry located in a rural area, with fixed capital per artisan set by the central government, is a:Industries organised by individuals with family labour and simple equipment are:Small industries account for what share of the industrial units in India?Small industries are the second largest employers of human resources, after:Because they create more jobs per unit of capital, small industries are described as:Small units often depend on money lenders because they lack the credit worthiness to raise:Small firms have low bargaining power for raw materials mainly because they buy:A single owner with sound technical knowledge but weak marketing shows the problem of:Small firms often depend excessively on middlemen because their weak area is:Operating below full capacity raises operating costs and can lead to:India adopted liberalisation, privatisation and globalisation policies in:Access to developed country markets is limited by stringent quality certification such as:Which bank was set up in 1982 to promote integrated rural development?The National Small Industries Corporation was set up in:The scheme set up in 2005 to regenerate traditional industries in clusters is:The District Industries Centre was launched on:The process of setting up one's own business, rather than taking a job, is:A business owned, managed and controlled by one individual who takes all profits and risks is a:Sole proprietorship is most suitable for businesses that are:Starting a sole proprietorship needs hardly any legal formalities because:If a sole proprietor's firm owes 80,000 but its assets are only 60,000, the owner must bring in:The sole proprietor bears all the risk and in return receives:In the eyes of the law, a sole trader and the business have:Death, insanity or bankruptcy of the owner may close the firm, showing sole proprietorship suffers from:A sole proprietor can act on a market opportunity at once because of:A sole trader can keep business information secret partly because the law does not require him to:A major limitation of sole proprietorship is that resources are limited to personal savings and:Because creditors can reach personal assets, a sole proprietor is often less inclined to take risks in:One person rarely excels at purchasing, selling and financing together, which shows the limit of:Coca-Cola's syrup was created in Atlanta in 1886 by:Asa Candler achieved sole ownership of Coca-Cola in 1891 with an investment of:A business owned and carried on by members of a Hindu Undivided Family is a:Membership of a joint Hindu family business is acquired by:The head of a joint Hindu family business, who controls it, is called the:Members of a joint Hindu family business other than the karta are known as:In a joint Hindu family business, unlimited liability rests with the:When the karta dies, the joint Hindu family business:Which members can belong to a joint Hindu family business because membership comes by birth?Under the Hindu Succession Amendment Act of 2005, a daughter of a coparcener becomes:A business established, owned, operated and often financed by one person is a:An association of two or more people running a business together for profit is a:A partnership where all partners share in the management and the profits is a:A partnership with some partners of unlimited liability and others of limited liability is a:A legal entity with a life separate from its owners, who are not personally liable, is a:The owners of a corporation, holding shares that carry certain rights, are its:The group elected by those owners to handle overall management is the:A hybrid form giving the liability protection of a corporation with simpler taxation is a:A legal entity formed by people with similar interests, such as suppliers or customers, is a:Members joining together purely to gain combined purchasing power form a:Two or more companies forming an alliance for one specific project create a:A business arrangement letting one party trade under another's name and system is:The contract setting out the rules of that arrangement is the:The combination of two or more firms into one new company is a:The purchase of a target company by another corporation or an investor group is an:Two supermarket chains at the same stage of the same industry combine. That is a:A carmaker buys the firm that supplies its tyres. That is a:A media firm buys an unrelated food business to spread its risk. That is a:A takeover financed by very large amounts of borrowed money is a:The owner of a small shop wanting complete personal control would choose a:Which form protects an owner's personal assets from the firm's debts?Two firms wanting to pursue one project together without merging would set up a:A broad expression of what a firm's founders want the business to accomplish is the:The statement that takes that broad purpose and describes the products the firm will offer is the:Compared with a mission statement, a vision statement is usually:Many companies confuse the two statements, often calling a very broad statement their:The big-picture goals describing what the company will do to fulfil its mission are:The framework a firm uses to organise its activities within one business is a:A chief executive managing a group of businesses develops strategy at which level?At every level, a firm must first ask whether it wants to grow, hold steady or defend. Its answer sets its:A manager who decides to develop new offerings and win more customers has chosen a:A small coffee shop owner deciding to keep the business at its current size has chosen: