C432 WGU HEALTHCARE MANAGEMENT AND STRATEGY
PRE ASSESSMENT QUESTIONS AND ANSWERS
Business-Level Strategy - CORRECT ANSWER✅✅a plan that indicates how a division intends to compete
against its rivals in an industry
Corporate-Level Strategy - CORRECT ANSWER✅✅A plan that indicates in which industries and national
markets an organization intends to compete.
Emergent-Strategy - CORRECT ANSWER✅✅any unplanned strategic initiative bubbling up from the
bottom of the organization
Functional-Level Strategy - CORRECT ANSWER✅✅Strategic scope and direction at the operating
division, department, or project level. This type of strategy is driven by product or service line.
Prospective Strategy - CORRECT ANSWER✅✅A planning function that forecasts an organization's future
situation and designs means to guide an organization's future decisions.
Industry - CORRECT ANSWER✅✅A particular category of business or economic activity; an aggregation
of sellers whose products are close substitutes.
Market Structure - CORRECT ANSWER✅✅The organizational characteristics of a market that exert a
strategic influence on the intensity and form of competition.
Markets - CORRECT ANSWER✅✅Places, systems, and processes through which buyers and sellers
exchange goods and services.
Patient-Origin Study - CORRECT ANSWER✅✅Data that describe the proportion and number of an
organization's customers (patients) who come from different geographic locations. This data can be
arrayed and graphed to display the provider's primary and secondary service areas.
,Perfect Competition - CORRECT ANSWER✅✅One of the four basic types of market structures. Perfect
competition exits in markets composed of many small organizations that produce an undifferentiated,
homogeneous product.
Societal Environment - CORRECT ANSWER✅✅The public and socioeconomic factors surrounding and
influencing an organization, such as general economic conditions, population demographics, cultural
values, governmental regulations, and technology.
Broad Differentiation Strategy - CORRECT ANSWER✅✅A type of strategy aimed at offering products
that consumers perceive to be distinct from competitors' products and that appeal to a wide segment of
a market.
Broad Low-Cost Strategy - CORRECT ANSWER✅✅A type of strategy aimed at providing low-cost
products to a broad customer segment.
Business Model - CORRECT ANSWER✅✅The underlying structure of an organization; the means
through which an organization creates and delivers value to its customers and earns revenues.
Customer Value - CORRECT ANSWER✅✅The perceived benefits of a product or service. Consumers may
find value in many aspects of products and services, including range and type, degree of customization,
availability and accessibility, and quality/cost trade-off.
Focused Differentiation Strategy - CORRECT ANSWER✅✅A type of strategy aimed at offering products
that consumers perceive to be distinct from competitors' products and that appeal to a limited industry
niche or customer segment.
Focused Low-Cost Strategy - CORRECT ANSWER✅✅A type of strategy aimed at providing low-cost
products to a limited subset of the broad mass market.
Generic Strategy - CORRECT ANSWER✅✅Commonly used strategies that combine a target market (ex. a
small segment of a population) and a type of differentiation (ex. low cost).
, Inputs - CORRECT ANSWER✅✅The combination, type, and mix of resources an organization uses to
provide a product or service, such as personnel; materials; and strategic assets such as facilities,
equipment, location, patents, networks, and partnerships.
Middle Strategy - CORRECT ANSWER✅✅A strategy that seeks to deliver low cost and differentiation
simultaneously.
Portfolio Analysis - CORRECT ANSWER✅✅A method of assessing an organization's products or SBUs
that considers various factors, including competitive position, profitability, growth, and mission
importance.
Process - CORRECT ANSWER✅✅A series of steps that transforms inputs into products/services
(outputs). Processes usually are established to organize functions and interface with external entities.
Profitability - CORRECT ANSWER✅✅The degree to which the revenues generated by a product or
service exceed the costs of producing that product or service.
Accountable Care Organization (ACO) - CORRECT ANSWER✅✅A payment and healthcare delivery
model in which a group of healthcare providers work together to coordinate a patient's care, improve
quality, and reduce costs.
Acquisition - CORRECT ANSWER✅✅The purchase (or merger) of an existing organization. Through this
method of growth, the acquiring organization gains an established product in the market and may also
reduce competition by eliminating one of its competitors.
Affordable Care Act (ACA) - CORRECT ANSWER✅✅A law passed by the federal government in 2010 that
seeks to decrease the number of uninsured to improve health outcomes and streamline the delivery of
healthcare.
Diversification - CORRECT ANSWER✅✅Strategic expansion into different businesses.
Horizontal Expansion (integration) - CORRECT ANSWER✅✅The acquisition and/or merger of two or
more organizations that produce similar products or services.
PRE ASSESSMENT QUESTIONS AND ANSWERS
Business-Level Strategy - CORRECT ANSWER✅✅a plan that indicates how a division intends to compete
against its rivals in an industry
Corporate-Level Strategy - CORRECT ANSWER✅✅A plan that indicates in which industries and national
markets an organization intends to compete.
Emergent-Strategy - CORRECT ANSWER✅✅any unplanned strategic initiative bubbling up from the
bottom of the organization
Functional-Level Strategy - CORRECT ANSWER✅✅Strategic scope and direction at the operating
division, department, or project level. This type of strategy is driven by product or service line.
Prospective Strategy - CORRECT ANSWER✅✅A planning function that forecasts an organization's future
situation and designs means to guide an organization's future decisions.
Industry - CORRECT ANSWER✅✅A particular category of business or economic activity; an aggregation
of sellers whose products are close substitutes.
Market Structure - CORRECT ANSWER✅✅The organizational characteristics of a market that exert a
strategic influence on the intensity and form of competition.
Markets - CORRECT ANSWER✅✅Places, systems, and processes through which buyers and sellers
exchange goods and services.
Patient-Origin Study - CORRECT ANSWER✅✅Data that describe the proportion and number of an
organization's customers (patients) who come from different geographic locations. This data can be
arrayed and graphed to display the provider's primary and secondary service areas.
,Perfect Competition - CORRECT ANSWER✅✅One of the four basic types of market structures. Perfect
competition exits in markets composed of many small organizations that produce an undifferentiated,
homogeneous product.
Societal Environment - CORRECT ANSWER✅✅The public and socioeconomic factors surrounding and
influencing an organization, such as general economic conditions, population demographics, cultural
values, governmental regulations, and technology.
Broad Differentiation Strategy - CORRECT ANSWER✅✅A type of strategy aimed at offering products
that consumers perceive to be distinct from competitors' products and that appeal to a wide segment of
a market.
Broad Low-Cost Strategy - CORRECT ANSWER✅✅A type of strategy aimed at providing low-cost
products to a broad customer segment.
Business Model - CORRECT ANSWER✅✅The underlying structure of an organization; the means
through which an organization creates and delivers value to its customers and earns revenues.
Customer Value - CORRECT ANSWER✅✅The perceived benefits of a product or service. Consumers may
find value in many aspects of products and services, including range and type, degree of customization,
availability and accessibility, and quality/cost trade-off.
Focused Differentiation Strategy - CORRECT ANSWER✅✅A type of strategy aimed at offering products
that consumers perceive to be distinct from competitors' products and that appeal to a limited industry
niche or customer segment.
Focused Low-Cost Strategy - CORRECT ANSWER✅✅A type of strategy aimed at providing low-cost
products to a limited subset of the broad mass market.
Generic Strategy - CORRECT ANSWER✅✅Commonly used strategies that combine a target market (ex. a
small segment of a population) and a type of differentiation (ex. low cost).
, Inputs - CORRECT ANSWER✅✅The combination, type, and mix of resources an organization uses to
provide a product or service, such as personnel; materials; and strategic assets such as facilities,
equipment, location, patents, networks, and partnerships.
Middle Strategy - CORRECT ANSWER✅✅A strategy that seeks to deliver low cost and differentiation
simultaneously.
Portfolio Analysis - CORRECT ANSWER✅✅A method of assessing an organization's products or SBUs
that considers various factors, including competitive position, profitability, growth, and mission
importance.
Process - CORRECT ANSWER✅✅A series of steps that transforms inputs into products/services
(outputs). Processes usually are established to organize functions and interface with external entities.
Profitability - CORRECT ANSWER✅✅The degree to which the revenues generated by a product or
service exceed the costs of producing that product or service.
Accountable Care Organization (ACO) - CORRECT ANSWER✅✅A payment and healthcare delivery
model in which a group of healthcare providers work together to coordinate a patient's care, improve
quality, and reduce costs.
Acquisition - CORRECT ANSWER✅✅The purchase (or merger) of an existing organization. Through this
method of growth, the acquiring organization gains an established product in the market and may also
reduce competition by eliminating one of its competitors.
Affordable Care Act (ACA) - CORRECT ANSWER✅✅A law passed by the federal government in 2010 that
seeks to decrease the number of uninsured to improve health outcomes and streamline the delivery of
healthcare.
Diversification - CORRECT ANSWER✅✅Strategic expansion into different businesses.
Horizontal Expansion (integration) - CORRECT ANSWER✅✅The acquisition and/or merger of two or
more organizations that produce similar products or services.
