Terminal Test- October 2024

Name of subject-in-charge (s): Ms. Ankita Gulia

Paper (subject name): Business Policy and Strategy

Paper Code: BBA 303

Signature(s) of Subject-in-charge (s):

ANSWER KEY

1-a 2-c 3-d 4-a 5-d 6-a 7-d 8-d 9-b 10-c
11-d 12-a 13-a 14-b 15-a 16-d 17-d 18-c 19-c 20-c
21-a 22-a 23-b 24-c 25-b 26-c 27-d 28-b 29-c 30-b

Terminal Test (Oct 2024)

BBA– V
Paper ID : Time: 3 Hours
Paper Code: BBA 303 Max. Marks: 60
Title: Business Policy and Strategy

(NOTE: INFLUENCING EVALUATOR BY GIVING NAMES, SYMBOLS ETC. IN ANSWER

BOOK WOULD BE TREATED AS UFMS)

PART A
MCQ’s :SELECT THE MOST APPROPRIATE ANSWER (10 X 1)

1. Hierarchy of Strategic Intent:

a. Vision > Mission > Goals > Objectives > Plans
b. Mission > Vision > Goals > Objectives > Plans
c. Plans > Vision > Mission > Goals > Objectives
d. Goals > Vision > Mission > Objectives > Plans

2. SWOT stands for

a. Services worldwide optimization and transport
b. Special weapons for operations for timeless
c. Strength weakness opportunities and threats
d. Strength worldwide overcome threats

3. Which of the following is not a major element of the strategic management process?
a. Formulation strategy
b. Implementing strategy
c. Evaluating strategy
d. Assigning administrative tasks

4. The three organizational levels are

a. Corporate level, business level, functional level
b. Corporate level, business unit level, functional level
c. Corporate strategy level, business unit level, functional level
d. None

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5. A possible and desirable future state of an organization is called

a. Mission
b. Strategy implementation
c. Strategy formulation
d. Vision

6. Who has given the five basic competitive forces on which industry depends-
a) Michael E.Porter
b) Thomas Edwin
c) Federick Taylor
d) James Robert

7. Strategic evaluation & control provides-

a) Valuable feedback
b) Information
c) Experience
d) All of the above

8. What are the guides to decision making?

a. Rules
b. Procedures
c. Goals
d. Policies

9. People resist evaluation because it creates a sense of ___ in them.

a) Cooperation
b) Insecurity
c) Reliability
d) All of the above

10. The overall guide that governs and controls the managerial action is
a) Top management
b) Strategies
c) Policies
d) None of the above

11. Strategy also varies according to-

a) Different level
b) Functions
c) Times
d) All of the above

12. “2+2=5” is described as-

a) Synergy
b) Diversification

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 Terminal Test- October 2024

c) Concentration
d) None of the above

13. ___ And ___ are the organizational factors.

a) Strengths, weakness
b) Opportunity, threats
c) Strengths, opportunity
d) SWOT
e) All of the above

14. Identify the factors affected by the value system of the top executives:
1. Profit objective
2. Government policy
3. Business practices
4. Corporate citizenship
a) 1, 2, 3, 4
b) 1, 3, 4
c) 2, 3, 4
d) 1, 2, 3

15. What are the means by which long term objectives will be achieved?
a. Strategies
b. Policies
c. Strength
d. Opportunities

16. Marketing strategy is a ___________ type of strategy

a. business level
b. Growth strategy
c. corporate strategy
d. functional strategy

17. Which environment can create new market and new business segments?
a. Political environment
b. Economic environment
c. Socio cultural environment
d. Technological environment

18. Corporate level strategy deals with:

a. objectives of specific functions
b. objective of Single strategic Business Unit
c. objectives of the corporate
d. objectives of specific operation

19. Which of the following is not a part the Macro Environment?

a. Laws & Policies

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 Terminal Test- October 2024

b. Demographics
c. Suppliers
d. Social Values
e.
20. . The competencies or skills that a firm employs to transform inputs into outputs are:
a. Tangible resources
b. Intangible resources
c. Organizational capabilities
d. Reputational resources

21. The value chain is subdivided into two main headings. These are primary activities and
a. Peripheral activities
b. Support activities
c. Secondary activities
d. Outsourced activities

22. Economies of scale are derived from:

a. Achieving cheaper unit costs through making larger quantities
b. Using cheaper raw materials
c. Increasing the breadth of the portfolio
d. Increasing the number of markets served

23. The fundamental purpose for the existence of any organization is described by its
a. policies
b. mission
c. procedures
d. strategy

24. Which one of the following is NOT included in the Porter’s Five Forces model:
a. Potential development of substitute products
b. Bargaining power of suppliers
c. Rivalry among stockholders
d. Rivalry among competing firms

25. What is meant by the term ‘Stakeholder’?

a. A person who is not related with a business.
b. A person who is related with a business.
c. A person who owns a business.
d. A person who purchases the shares of a business.

26. New entrants to an industry are more likely when (i.e., entry barriers are low when…)
a. It is difficult to gain access to distribution channels.
b. Economies of scale in the industry are high.
c. Product differentiation in the industry is low.
d. Capital requirements in the industry are high.

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 Terminal Test- October 2024

27. What can be defined as the art and science of formulating, implementing and evaluating cross-
functional decisions that enable an organization to achieve its objectives?
a. Strategy formulation
b. Strategy evaluation
c. Strategy implementation
d. Strategic management

28. Long-term objectives should be all of the following except:

a. Measurable.
b. Continually changing.
c. Reasonable.
d. Challenging.
e. Consistent.

29. Strategic management involves the_______, directing, _______ and controlling of a company’s
strategy-related decisions and actions.
a. Financing; marketing
b. Planning; financing
c. Planning; organizing
d. Marketing; planning

30. The correct components of the 7-S framework are:

a. Shared values, synergy, systems, strategy, style, staff and structure.
b. Structure, strategy, shared values, style, staff, skills and systems.
c. Strategy, synergy, shared value, standardization, skills, staff and structure.
d. Standards, strategy, style, staff, skills, systems and security.

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 Terminal Test- October 2024

PART B
SHORT QUESTIONS: WRITE SHORT NOTES ON ANY TWO OF THE FOLLOWING
(2X 5)

1. Differentiate between Vision and Mission.

2. What do you mean by ETOP?
3. Explain PESTLE Matrix.
4. Explain the McKinsey’s 7-S framework.
5.Explain the Theory of Core Competence..
6. Explain expansion through concentration strategies.

PART C
LONG QUESTIONS: ANSWER ANY FOUR OUT OF THE FOLLOWING QUESTIONS
(4 X 10)

1. What are the various techniques of environmental scanning? What is the significance of
business environment in strategic decision making?
2. Explain Value Chain Approach of Internal analysis with the help of an example.
3. What do you understand by Business Model? Compare the business models of any two
companies in the same industry.
4. Explain the following:
a. Strategic advantage profile
b. Michael Porter’s 5 force Model
5. Explain the type of corporate level strategy that can be used for management of a sick
company. Illustrate with real life examples.
6. Explain nature and scope of Business policy. Also explain difference between business policy
and strategy.
7. Explain the process of strategic management.

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