SECTION A – ANSWER ALL QUESTIONS FROM THIS SECTION
INDICATE YOUR ANSWER IN THE ANSWER BOOK PROVIDED.
A1) The corporate level strategy is not concerned with an organisation’s:
a) Direction and growth.
b) Competitive strategy of ‘Strategic Business Units’ (SBUs).
c) Scope.
(2 marks)
A2) Which of the following is not a way to sustain differentiation based advantage?
a) Entering a price war.
b) Co-specialisation with the buyer’s organisation.
c) Developing high switching costs.
(2 marks)
A3) Which of the following is a characteristic of a hypercompetitive environment?
a) Fast changing.
b) Stability.
c) Certainty.
(2 marks)
A4) Which of the following explains how a differentiation strategy leads to superior performance?
a) Creates a barrier to the entry of new competitors.
b) Price competitiveness leads to decline in sales volumes.
c) It enables a firm to sell their products at a lower price.
(2 marks)
A5) Which market entry mode has an advantage of not needing operational facilities in the host country, but a disadvantage that there are limited opportunities to gain knowledge about local markets and conditions?
a) Licensing.
b) Exporting.
c) Joint ventures.
(2 marks)
A6) In Porter’s value chain model, which of the following activity would be considered a secondary activity?
a) Technology development.
b) Marketing and Sales.
c) Inbound logistics.
(2 marks)

A7) The set of business activities in which a firm engages to develop, produce, and market its products or services is known as its
a) Competitive Advantage.
b) Value chain.
c) Organizational resources.
(2 marks)
A8) Select the strategy in the Ansoff matrix, which is used for developing new products for new markets?
a) Market position.
b) Market trend.
c) Diversification.
(2 marks)
A9) Which of the following is not considered as a driver of internationalisation?
a) Mode of entry.
b) Government.
c) Market.
(2 marks)
A10) Resources in the ________are defined as the tangible and intangible assets that a firm controls that it can use to conceive of and implement its strategies.
a) RUV.
b) RMV.
c) RBV.
(2 marks)

SECTION B – ANSWER ALL QUESTIONS FROM THIS SECTION
INDICATE YOUR ANSWER IN THE ANSWER BOOK PROVIDED.
Indicate in the ‘Answer Book’ provided which letter (A, B, C, D, E, F, G H, I or J) you believe to be the correct match for the following labels of ‘The Value Chain Activities’.
B1) _______Services
(2 marks)
B2) _______Procurement
(2 marks)
B3) _______Technological Development
(2 marks)
B4) _______Human Resource Management
(2 marks)
B5) _______Inbound Logistics
(2 marks)
B6) _______Margin
(2 marks)
B7) _______Outbound Logistics
(2 marks)
B8) _______Firm Infrastructure
(2 marks)
B9) _______Marketing & Sales
(2 marks)
B10) _______Operations
(2 marks)
Section Total: 20 marks
THE VALUE CHAIN ACTIVITIES (Within an organisation)
A
B
C
D
E
F
G
H
I
J

SECTION C – ANSWER ANY THREE QUESTIONS FROM THE FOLLOWING FIVE:
EACH QUESTION IN THIS SECTION IS WORTH EQUAL MARKS
INDICATE YOUR ANSWERS IN THE ANSWER BOOK PROVIDED
QUESTION C1
Discuss various models of change management and critically evaluate its impact on organisational competitive strategies.
(20 marks)
QUESTION C2
Critically assess with appropriate examples the concept of ‘Open and Closed’ innovation and the related factors.
(20 marks)
QUESTION C3
Strategists are always striving to improve organisational performance.
With reference to the ‘Models of Integration’, critically analyse with examples, stable, modular and dynamic integration.
(20 marks)
QUESTION C4
Critically analyse with examples, transformational leadership and its impact on various levels of organisational strategies.
(20 marks)
QUESTION C5
Evaluate the impact of PESTLE analysis (political, economic, social, technological, legal, and environmental) in relation to the challenges, opportunities and the strategic choices made by IKEA.
(20 marks)

Solution

Strategic Management Examination

Section A

A1)   C

A2)   B

A3)   A

Section B

B1)   I Services

B2)   D Procurement

B3)   C Technological development

Section 3

Question C2

In recent years, the demand for innovation management has changed rapidly. In the traditional corporate understanding, in-house research and development departments were deemed to be the most vital sources of innovational ideas. An exposure to the external world to better meet the enhanced demands alters this classical notion. The difference between closed and open innovation depends on the manner in which innovation is developed……………………………..To access the rest of the solution for $10, please click on the purchase button.