1|Page
CAIB 4 BOOK PRACTICE LATEST EXAM WITH
ACTUAL QUESTIONS AND CORRECT VERIFIED
ANSWERS ALREADY GRADED A+ 100%
GUARANTEED PASS!
What are the similarities between a strategic plan and
an action plan? - ....ANSWER ....✔✔ They are both
critical steps in the success of a brokerage
They both flow from the mission statement
They both use the same process (top down/bottom up)
What are the differences between a strategic plan and
an action plan? - ....ANSWER ....✔✔ strategic plans
are for three to five years;
action plans are for one year
strategic plans apply to the brokerage as a whole;
action plans apply to a particular business unit
action plans are much more detailed than strategic plans
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Explain the advantages and disadvantages of top-down
and bottom-up approaches to planning. - ....ANSWER
....✔✔ Top-Down Approach
o Management is firmly in control
o May fail because employees don't buy into it
Bottom-Up Approach
o Employees set the plan - buy-in
o Management feel that they are not in control
The combination of both approaches, with open
communication throughout the process, is the key to
effective and successful planning.
When evaluating an operating affiliation why would the
following be an important consideration?
a) Exclusivity
b) Fees - ....ANSWER ....✔✔ Exclusivity;
Many of the organizations with which a brokerage can
affiliate are in one way or another exclusive. Often it is
this exclusivity that makes the organization attractive to
the brokerage.
, 3|Page
It is important that the following questions be asked;
How many other brokerages in the immediate marketing
area will be permitted to join?
What is the legal nature of the exclusivity?
How tight is the contract in describing the rights of an
affiliated brokerage to a particular territory?
What is the reputation of those brokerages already
participating in the program?
If the brokerage is seeking prestige and image from the
affiliation, this can be derived only if others
participating are up to the standards described by the
sponsoring organization.
When evaluating an operating affiliation why would the
following be an important consideration?
a) Exclusivity
b) Fees - ....ANSWER ....✔✔ Fees;
A major factor in determining whether to affiliate is the
cost of the affiliation and whether the services offered
are worth the price being charged.
All costs should be known in advance so that there will
be no surprises once the affiliation has been formed.
CAIB 4 BOOK PRACTICE LATEST EXAM WITH
ACTUAL QUESTIONS AND CORRECT VERIFIED
ANSWERS ALREADY GRADED A+ 100%
GUARANTEED PASS!
What are the similarities between a strategic plan and
an action plan? - ....ANSWER ....✔✔ They are both
critical steps in the success of a brokerage
They both flow from the mission statement
They both use the same process (top down/bottom up)
What are the differences between a strategic plan and
an action plan? - ....ANSWER ....✔✔ strategic plans
are for three to five years;
action plans are for one year
strategic plans apply to the brokerage as a whole;
action plans apply to a particular business unit
action plans are much more detailed than strategic plans
,2|Page
Explain the advantages and disadvantages of top-down
and bottom-up approaches to planning. - ....ANSWER
....✔✔ Top-Down Approach
o Management is firmly in control
o May fail because employees don't buy into it
Bottom-Up Approach
o Employees set the plan - buy-in
o Management feel that they are not in control
The combination of both approaches, with open
communication throughout the process, is the key to
effective and successful planning.
When evaluating an operating affiliation why would the
following be an important consideration?
a) Exclusivity
b) Fees - ....ANSWER ....✔✔ Exclusivity;
Many of the organizations with which a brokerage can
affiliate are in one way or another exclusive. Often it is
this exclusivity that makes the organization attractive to
the brokerage.
, 3|Page
It is important that the following questions be asked;
How many other brokerages in the immediate marketing
area will be permitted to join?
What is the legal nature of the exclusivity?
How tight is the contract in describing the rights of an
affiliated brokerage to a particular territory?
What is the reputation of those brokerages already
participating in the program?
If the brokerage is seeking prestige and image from the
affiliation, this can be derived only if others
participating are up to the standards described by the
sponsoring organization.
When evaluating an operating affiliation why would the
following be an important consideration?
a) Exclusivity
b) Fees - ....ANSWER ....✔✔ Fees;
A major factor in determining whether to affiliate is the
cost of the affiliation and whether the services offered
are worth the price being charged.
All costs should be known in advance so that there will
be no surprises once the affiliation has been formed.
