Which of the following statements is CORRECT?
A) A firm's corporate purpose states the general philosophy of the business and provides managers with specific operational objectives.
B) Operating plans provide management with detailed implementation guidance, consistent with the corporate strategy, to help meet the corporate objectives. These operating plans can be developed for any time horizon, but many companies use a 5-year horizon.
C) A firm's mission statement defines its lines of business and geographic area of operations.
D) The corporate scope is a condensed version of the entire set of strategic plans.
E) Once a firm has defined its purpose, scope, and objectives, it must develop a strategy or strategies for achieving its goals. The statement of corporate strategies sets forth detailed plans rather than broad approaches for achieving a firm's goals.

Question

Quizplus · Accepted Answer

Operating plans provide specific implementation guidance to help the firm meet its corporate objectives. These plans can be developed for any time horizon, but a 5-year horizon is commonly used by many companies. A firm's corporate purpose states the general philosophy of the business and provides broad direction, while the mission statement defines the lines of business and geographic areas of operation. The corporate scope is the overall set of strategic plans developed by the firm, and the statement of corporate strategies sets forth the broad approaches for achieving the firm's goals.

Which of the Following Statements Is CORRECT