Multiple Choice Questions:
1. What is the main purpose of corporate strategy in a multi-business company?
o a) To develop functional-level operational plans
o b) To manage cross-unit synergies and resource allocation
o c) To guide the implementation of individual business strategies
o d) To create short-term profit-maximizing objectives
2. In Porter’s National Diamond framework, a high degree of domestic competition
typically leads to:
o a) Lower export potential
o b) Enhanced innovation and efficiency
o c) Increased dependence on government support
o d) Diversification into unrelated industries
3. The BCG Growth-Share Matrix categorizes business units primarily based on:
o a) Revenue and profit margin
o b) Relative market share and market growth rate
o c) Competitive positioning and SBU attractiveness
o d) Synergy potential and SBU efficiency
4. In Sathe’s controller role framework, which controller type maintains objectivity
while ensuring financial compliance?
o a) Involved Controller
o b) Independent Controller
o c) Strong Controller
o d) Split Controller
5. According to Mintzberg’s Five P’s, a strategy as a ‘pattern’ is best described as:
o a) A deliberate course of action to outsmart rivals
o b) An unplanned series of consistent behaviors
o c) A flexible plan adapting to external pressures
o d) A long-term competitive positioning
6. Which factor is most likely to drive the internationalization of a company in a
multidomestic industry?
o a) High economies of scale
o b) High pressure for local responsiveness
1. What is the main purpose of corporate strategy in a multi-business company?
o a) To develop functional-level operational plans
o b) To manage cross-unit synergies and resource allocation
o c) To guide the implementation of individual business strategies
o d) To create short-term profit-maximizing objectives
2. In Porter’s National Diamond framework, a high degree of domestic competition
typically leads to:
o a) Lower export potential
o b) Enhanced innovation and efficiency
o c) Increased dependence on government support
o d) Diversification into unrelated industries
3. The BCG Growth-Share Matrix categorizes business units primarily based on:
o a) Revenue and profit margin
o b) Relative market share and market growth rate
o c) Competitive positioning and SBU attractiveness
o d) Synergy potential and SBU efficiency
4. In Sathe’s controller role framework, which controller type maintains objectivity
while ensuring financial compliance?
o a) Involved Controller
o b) Independent Controller
o c) Strong Controller
o d) Split Controller
5. According to Mintzberg’s Five P’s, a strategy as a ‘pattern’ is best described as:
o a) A deliberate course of action to outsmart rivals
o b) An unplanned series of consistent behaviors
o c) A flexible plan adapting to external pressures
o d) A long-term competitive positioning
6. Which factor is most likely to drive the internationalization of a company in a
multidomestic industry?
o a) High economies of scale
o b) High pressure for local responsiveness
