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STRATEGIC MANAGEMENT POTENTIAL
EXAM 2026 LATEST QUESTIONS AND
ANSWERS| ACE YOUR GRADES.
Before liquidating, Circuit City took several actions to try to satisfy
its (BLANK) stakeholders.
a. capital market
b. product market
c. organizational
d. governmental - correct answer -A
The Chambers of Commerce of cities and towns often implore
citizens to buy from local businesses. This is because the
organization's role as a taxpayer is most important to (BLANK) as
stakeholders.
a. major suppliers of capital
b. shareholders
c. host communities
d. unions - correct answer -C
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Although it closed stores, changed the top management team,
and sought potential buyers, none of these actions resulted in
outcomes that allowed Circuit City to meet the expectations of its
(BLANK) stakeholders.
a. product market
b. capital market
c. organizational
d. governmental - correct answer -B
Organizational stakeholders are usually satisfied when
a. their return on investment has been maximized.
b. customers pay the highest sustainable price for the goods and
services they receive.
c. companies provide a dynamic, stimulating, and rewarding work
environment.
d. companies are paying the highest prices to suppliers. - correct
answer -C
Product market stakeholders include
a. suppliers.
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b. shareholders.
c. employees.
d. the firm's chief executive officer. - correct answer -A
Refuge Nursing Homes, Inc., (RNH) has been highly profitable in
the past 10 years, providing its investors higher returns than those
earned by its direct competitors' investors. RNH has a reputation
for providing high-paying managerial and hourly-employee jobs.
However, recent investigations have revealed that the nursing
home residents have been provided substandard care, including
non-nutritious and unappetizing meals, non-functional medical
equipment, and inadequate patient-care staffing. Which statement
best describes the situation?
a. RNH has been earning below-average returns, so it has had to
prioritize the demands of its various stakeholders.
b. RNH has prioritized the demands of capital market
stakeholders over the demands of product market stakeholders.
c. RNH has earned above-average returns and so has satisfied
the needs of all relevant stakeholders.
d. RNH has been attempting to minimally satisfy the d - correct
answer -B
A prominent national accounting firm runs television
advertisements showing an accountant working alone late in the
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office on a client's project, while clenching a long-stemmed rose
in his teeth and grinning ecstatically. The message of the ad is
that this firm's accountants love their work. This ad seeks to
convey a sense of the organization's (BLANK) to the viewers.
a. culture
b. mission
c. vision
d. personality - correct answer -A
The global economy, globalization, rapid technological change,
and the increasing importance of knowledge are creating the
need to
a. delegate strategic responsibilities to employees "closer to the
action."
b. split responsibilities between the CEO and the board of
directors as a result of corporate scandals triggered by unethical
CEOs.
c. re-centralize the responsibility for strategy to the CEO.
d. expand the strategic responsibilities to all organizational
stakeholders. - correct answer -A
The strategic leader's work is characterized by
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STRATEGIC MANAGEMENT POTENTIAL
EXAM 2026 LATEST QUESTIONS AND
ANSWERS| ACE YOUR GRADES.
Before liquidating, Circuit City took several actions to try to satisfy
its (BLANK) stakeholders.
a. capital market
b. product market
c. organizational
d. governmental - correct answer -A
The Chambers of Commerce of cities and towns often implore
citizens to buy from local businesses. This is because the
organization's role as a taxpayer is most important to (BLANK) as
stakeholders.
a. major suppliers of capital
b. shareholders
c. host communities
d. unions - correct answer -C
1 | Page
, Page | 2
Although it closed stores, changed the top management team,
and sought potential buyers, none of these actions resulted in
outcomes that allowed Circuit City to meet the expectations of its
(BLANK) stakeholders.
a. product market
b. capital market
c. organizational
d. governmental - correct answer -B
Organizational stakeholders are usually satisfied when
a. their return on investment has been maximized.
b. customers pay the highest sustainable price for the goods and
services they receive.
c. companies provide a dynamic, stimulating, and rewarding work
environment.
d. companies are paying the highest prices to suppliers. - correct
answer -C
Product market stakeholders include
a. suppliers.
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b. shareholders.
c. employees.
d. the firm's chief executive officer. - correct answer -A
Refuge Nursing Homes, Inc., (RNH) has been highly profitable in
the past 10 years, providing its investors higher returns than those
earned by its direct competitors' investors. RNH has a reputation
for providing high-paying managerial and hourly-employee jobs.
However, recent investigations have revealed that the nursing
home residents have been provided substandard care, including
non-nutritious and unappetizing meals, non-functional medical
equipment, and inadequate patient-care staffing. Which statement
best describes the situation?
a. RNH has been earning below-average returns, so it has had to
prioritize the demands of its various stakeholders.
b. RNH has prioritized the demands of capital market
stakeholders over the demands of product market stakeholders.
c. RNH has earned above-average returns and so has satisfied
the needs of all relevant stakeholders.
d. RNH has been attempting to minimally satisfy the d - correct
answer -B
A prominent national accounting firm runs television
advertisements showing an accountant working alone late in the
3 | Page
, Page | 4
office on a client's project, while clenching a long-stemmed rose
in his teeth and grinning ecstatically. The message of the ad is
that this firm's accountants love their work. This ad seeks to
convey a sense of the organization's (BLANK) to the viewers.
a. culture
b. mission
c. vision
d. personality - correct answer -A
The global economy, globalization, rapid technological change,
and the increasing importance of knowledge are creating the
need to
a. delegate strategic responsibilities to employees "closer to the
action."
b. split responsibilities between the CEO and the board of
directors as a result of corporate scandals triggered by unethical
CEOs.
c. re-centralize the responsibility for strategy to the CEO.
d. expand the strategic responsibilities to all organizational
stakeholders. - correct answer -A
The strategic leader's work is characterized by
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