Question 1

Identify the levels of strategic managers and discuss their role in the strategic management process.

Accepted Answer

The answer of Identify the levels of strategic managers and...

Question 2

The ___________ of a company refers to some desired future state.
A) vision
B) values
C) goals
D) mission statement
E) stakeholders

Accepted Answer

The answer of The ___________ of a company refers to...

Question 3

Jeffrey Pfeffer believes that a manager's political power comes from his or her control over
A) employee's paychecks.
B) the firm's strategic vision.
C) the company's website.
D) internal communication channels.
E) organizational resources.

Accepted Answer

According to Jeffrey Pfeffer, a manager's political power comes from his or her control over organizational resources. This includes things like budget allocation, staffing decisions, and control over key projects or initiatives. By controlling these resources, a manager is able to influence others and establish their authority within the organization.

Question 4

Effective _________________ develop a network of formal and informal sources who keep them well informed about what is going on within their company
A) functional managers
B) divisional managers
C) strategic leaders
D) business-level managers
E) none of the above

Accepted Answer

Strategic leaders are responsible for the overall vision and direction of an organization. Part of their role involves developing a network of sources to stay informed about internal operations, enabling them to make informed strategic decisions.

Question 5

Discuss the elements of the external operating environment, including the industry environment, the national environment, and macro-environment.

Accepted Answer

The answer of Discuss the elements of the external operating...

Question 6

Feelings of personal responsibility for a project are most likely to lead to
A) prior hypothesis biases.
B) group-think
C) reasoning by analogy.
D) representativeness.
E) escalating commitment

Accepted Answer

Escalating commitment refers to the tendency to invest more resources, including time, money, and effort, into a project that is failing because of the commitment already made to it. Feelings of personal responsibility for a project can lead to this phenomenon. Option A, B, C, and D are not related to personal responsibility for a project.

Question 7

Which of the following cognitive biases occurs when decision makers commit even more resources if they receive feedback that the project is failing?
A) Prior hypothesis bias
B) Escalating commitment
C) Illusion of control
D) Reasoning by analogy
E) Representativeness

Accepted Answer

This phenomenon is known as escalating commitment or the sunk cost fallacy, where decision makers continue to invest resources in a failing project because they have already invested so much, even though their additional investments are unlikely to yield positive returns.

Question 8

Strong and effective leaders
A) stay well informed by using formal information channels.
B) do not get involved in strategy formulation.
C) maintain control over most decisions.
D) understand the feelings and viewpoints of subordinates and take those into account when making decisions.
E) delegate key decisions.

Accepted Answer

Understanding the feelings and viewpoints of subordinates can help leaders make more informed and inclusive decisions that take into account the needs and perspectives of those they lead, leading to more effective leadership overall. The other choices are not necessarily indicative of strong and effective leadership, as staying too much in control or delegating too many key decisions can limit innovation and collaboration. Formal information channels can be useful, but relying solely on them can also limit a leader's ability to see the big picture or get a sense of the more informal dynamics at play in their organization.

Question 9

Edward Wrapp's ideas about the astuteness of political power suggest that successful strategic managers
A) publicly commit themselves to bold strategic agendas.
B) are unwilling to "live with" less than total acceptance of their programs.
C) maintain tight control over as many decisions as possible.
D) often play the power game with skill and attempt to build consensus for their ideas rather than use their authority to force ideas through; they act as members or democratic leaders of a coalition rather than as dictators.
E) recognize the futility of pursuing intended strategies.

Accepted Answer

According to Edward Wrapp's ideas about the astuteness of political power, successful strategic managers often play the power game with skill and attempt to build consensus for their ideas rather than use their authority to force ideas through. They act as members or democratic leaders of a coalition rather than as dictators. This is in line with choice D which states that successful strategic managers act as members or democratic leaders of a coalition, building consensus for their ideas.

Question 10

Which of the following is not true with regard to individuals with emotional intelligence?
A) They are aware of their own limitations.
B) They make decisions by relying on their emotions.
C) They think before acting.
D) They get along well with others.
E) They are passionate in pursuing their goals.

Accepted Answer

Individuals with emotional intelligence do not make decisions based solely on their emotions. They are aware of their emotions and use them along with logical thinking to make informed decisions.

Question 11

Devil's advocacy
A) involves one group member being responsible for questioning the assumptions of a plan.
B) is vulnerable to the group-think phenomenon.
C) results in unproductive conflict.
D) is simpler than the expert approach.
E) results in a final plan that is a combination of a plan and a counterplan.

Accepted Answer

Devil's advocacy involves one group member taking on the role of questioning the assumptions of a plan, which can ultimately result in a more well-rounded and carefully considered final plan. This approach allows for the group to consider potential flaws or weaknesses in the plan and address them before implementing it.

Question 12

Which of the following cognitive biases refers to the fact that decision makers who have strong prior beliefs about the relationship between two variables tend to make decisions on the basis of these beliefs, even when presented with evidence that their beliefs are wrong?
A) Escalating commitment
B) Reasoning by analogy
C) Illusion of control
D) Prior hypotheses bias
E) Representativeness

Accepted Answer

Prior hypotheses bias, also known as confirmation bias or confirmatory bias, is the tendency for decision-makers to favor information that supports their pre-existing beliefs or hypotheses, even when presented with evidence that contradicts them. This bias can lead to tunnel vision and the failure to consider alternative perspectives or ideas.

Question 13

Which of the following is not a cognitive bias?
A) Ivory tower thinking
B) Reasoning by analogy
C) Escalating commitment
D) Representativeness
E) Illusion of control

Accepted Answer

Ivory tower thinking is not a cognitive bias, but rather a phrase used to describe someone who is isolated and disconnected from reality. The other choices listed are all examples of cognitive biases.

Question 14

One important way in which managers can make better use of their knowledge and information is to understand and manage their _____________ during the course of decision-making
A) dialectic inquiry
B) illusion of control
C) commitment
D) emotions
E) use of power

Accepted Answer

Emotions can greatly influence the decision-making process, and managers who are mindful of their own emotions and those of others can make better decisions. By understanding how emotions can impact their thought processes, managers can make efforts to regulate their emotions and make more rational decisions.

Question 15

Explain the formal strategic planning process, naming each step in the process, and describing the specific activities included in each step and the relationship between the steps.

Accepted Answer

The answer of Explain the formal strategic planning process, naming...

Question 16

Describe at least three of the cognitive biases that individual decision makers experience. Then, describe a real or hypothetical situation for each of the three biases, explaining how the bias was evident in the situation.

Accepted Answer

The answer of Describe at least three of the cognitive...

Question 17

_________________ is rooted in the tendency to generalize from a small sample or even a single vivid anecdote
A) Prior Hypothesis Bias
B) Reasoning by Analogy
C) Illusion of Control
D) Representativeness
E) Devil's Advocacy

Accepted Answer

Representativeness heuristic is based on the tendency to judge the likelihood of an event by how it matches our expectations or prototypes of that type of event. This can lead us to rely too much on small, unrepresentative samples and can result in faulty generalizations.

Question 18

Devil's advocacy, dialectic inquiry, and the outside view are techniques for enhancing the effectiveness of ______________________.
A) the willingness to delegate responsibilities.
B) emotional intelligence.
C) strategic decision-making.
D) the strategic direction of the organization.
E) none of the above.

Accepted Answer

Devil's advocacy, dialectic inquiry, and the outside view are all techniques for improving the quality of strategic decision-making. Devil's advocacy involves taking the position of the devil's advocate to challenge assumptions and poke holes in proposed solutions. Dialectic inquiry involves analyzing a problem by considering two opposing viewpoints. The outside view involves considering external factors and past examples rather than solely relying on internal expertise and experience. These techniques can help leaders make more informed and thoughtful decisions.

Question 19

Successful strategic planning
A) encompasses managers at all levels.
B) should be done by business and functional managers.
C) should be decentralized.
D) should use corporate-level planners as facilitators.
E) requires all of the above.

Accepted Answer

Successful strategic planning should involve managers at all levels, including business and functional managers, and should be decentralized. It may also involve the use of corporate-level planners as facilitators. Therefore, all of the above options are required for a successful strategic planning process.

Question 20

Describe at least three characteristics of strong strategic leaders. Explain how each of the three characteristics would help motivate and lead an organization's personnel.

Accepted Answer

The answer of Describe at least three characteristics of strong...

Quiz 1: The Strategy-Making Process

Identify the levels of strategic managers and discuss their role in the strategic management process.

The ___________ of a company refers to some desired future state.

Jeffrey Pfeffer believes that a manager's political power comes from his or her control over

Effective _________________ develop a network of formal and informal sources who keep them well informed about what is going on within their company

Discuss the elements of the external operating environment, including the industry environment, the national environment, and macro-environment.

Feelings of personal responsibility for a project are most likely to lead to

Which of the following cognitive biases occurs when decision makers commit even more resources if they receive feedback that the project is failing?

Strong and effective leaders

Edward Wrapp's ideas about the astuteness of political power suggest that successful strategic managers

Which of the following is not true with regard to individuals with emotional intelligence?

Devil's advocacy

Which of the following cognitive biases refers to the fact that decision makers who have strong prior beliefs about the relationship between two variables tend to make decisions on the basis of these beliefs, even when presented with evidence that their beliefs are wrong?

Which of the following is not a cognitive bias?

One important way in which managers can make better use of their knowledge and information is to understand and manage their _____________ during the course of decision-making

Explain the formal strategic planning process, naming each step in the process, and describing the specific activities included in each step and the relationship between the steps.

Describe at least three of the cognitive biases that individual decision makers experience. Then, describe a real or hypothetical situation for each of the three biases, explaining how the bias was evident in the situation.

_________________ is rooted in the tendency to generalize from a small sample or even a single vivid anecdote

Devil's advocacy, dialectic inquiry, and the outside view are techniques for enhancing the effectiveness of ______________________.

Successful strategic planning

Describe at least three characteristics of strong strategic leaders. Explain how each of the three characteristics would help motivate and lead an organization's personnel.