Strategic Planning B - Strategy Dev., Impl., & Monitoring

Question 1

External environment factors include:

Answer 1

• business cycles
• competitor actions
• government regulation
• opportunities
• threats

Question 2

In a make or buy decision, the FC ______ affect the VC

Answer 2

do not

*disregard FC

Question 3

In developing a strategic plan and using SWOT, the product mix and the well put together marketing team would be a

Answer 3

Strength

Question 4

Material Requirements Planning (MRP) is

Answer 4

a planning system that is used to determine the amount and timing of inventories that are dependent on the demand for finished goods

Question 5

Jackson Co. is considering a project that will use 2,000 square feet of storage space at one of its facilities to store used equipment. To determine the opportunity cost use

Answer 5

the value of the next best use of the space

Question 6

Jones Corp. had an opportunity to use its capacity to produce an extra 5,000 units with a contribution margin of $5 per unit, or to rent out the space for $10,000. The opportunity cost is

Answer 6

$10,000

Question 7

Internal environment factors include:

Answer 7

• competitive advantages
• strengths
• weaknesses

Question 8

The time frame for strategic planning is

Answer 8

long-term and ongoing in nature

Question 9

An evaluation process to conduct on a firm’s internal and external environment is

Answer 9

SWOT analysis

Question 10

The cost assigned to goods that were either purchased or manufactured for resale are

Answer 10

product costs

Question 11

Product costs =

Answer 11

DL + DM + MOH

Question 12

In strategic planning, the external environment includes

Answer 12

• limitations
• opportunities
• threats

*outside factors

Question 13

JIT is defined as

Answer 13

an inventory mgmt system based on having inventory available only when needed