Chapter 1- Strategic Management

Question 1

Strategic management

Answer 1

The set of decisions and actions that result in the formulation and implementation of plans designed to achieve a company’s objectives

Question 2

Strategy

Answer 2

Large scale future oriented plans for interacting with the competitive environment to achieve company objectives

Question 3

Dimensions of strategic decisions

Answer 3

• Require top management team decisions
• Require large amounts of the firms resources
• Often affect the firms long-term prosperity
• Are future oriented
• Issues have multi functional or multi business consequences
• Require considering the firms external environment

Question 4

Levels of strategy

Answer 4

Corporate level business level and functional level

Question 5

Corporate level

Answer 5

Board of Directors CEO and administrative offices

Responsible for enhancing the firms image

Responsible for the firms financial performance

Achievement of non-financial goals

Fulfilling social responsibilities