This study guide will prepare you for the Final Examination you will complete in the final week. It contains practice questions, which are related to each week’s objectives. In addition, refer to each week’s readings and your student guide as study references for the Final Examination.
Week One: Strategic Overview, Ethics, and Legal Environment
Objective: Indicate why a strategic management process is needed.
1. Research of the planning practices of companies in the oil industry concludes that the real value of modern strategic planning is more a. in the planning b. in the strategic thinking and organizational learning c. in the resulting written strategic plan d. in the formality of the process e. in the improved communication within the organization
Objective: Describe the primary components of the strategic management process.
2. The time horizon involved with regard to basic financial planning is usually a. one year b. one quarter c. more than five years d. less than one month e. more than three years
3. A difference between basic financial planning and forecast-based planning is a. the time horizon is shorter in forecast-based planning b. forecast-based planning incorporates internal and external information c. basic financial planning utilizes consultants with sophisticated techniques d. basic financial planning utilizes scenarios and contingency strategies e. basic financial planning relies heavily on input from lower levels in the organization
Objective: Explain the relationship of ethics, social responsibility, and corporate performance in strategic planning.
4. The Sarbanes-Oxley Act was designed to protect a. retired workers from losing their pensions b. CEO's from losing their golden parachutes c. CEO salary increases d. shareholders from the excesses and failed oversight of firms e. corporations from