Free Principles of Management MCQs with Answers

• A. potential opportunities
• B. potential threats
• C. potential strengths
• D. potential Weaknesses

Explanation: Patents are valuable internal resources that protect products, processes or technologies from imitation, making them potential strengths…

• A. diversification
• B. vertical integration
• C. horizontal integration
• D. geographic expansionDownload Reference Apps

Explanation: Horizontal integration occurs when a company expands by controlling or combining with businesses operating at the same level and offering…

• A. marketing plan
• B. financial plan
• C. personnel plan
• D. production plan

Explanation: The marketing plan is commonly developed or discussed early because it identifies the target market, customer demand and expected sales…

• A. cost leadership
• B. differentiation
• C. horizontal integration
• D. both a and bUrdu Mcqs

Explanation: Porter's competitive strategies include cost leadership and differentiation, both of which explain how a firm seeks an advantage over…

• A. long term plan
• B. short term plan
• C. Both A and B
• D. none of aboveCompare HR Software

Explanation: A strategic plan sets the organisation's long-term direction, objectives and broad methods for achieving them.

• A. concentration strategy
• B. market penetration
• C. product development
• D. both a & b

Explanation: A single product line reflects concentration on one business or product area.

• A. diversification
• B. cost leadership
• C. consolidation
• D. competitive advantageConsult Strategy Experts

Explanation: Volvo’s emphasis on safety differentiates its cars from competitors and gives the brand a competitive advantage.

• A. potential opportunities
• B. potential Threats
• C. potential Strengths
• D. potential WeaknessesPhysical Asset Management

Explanation: Market saturation limits further growth because most potential customers are already served, making it an external threat.

• A. potential opportunities
• B. potential Threats
• C. potential Strengths
• D. potential Weaknesses

Explanation: Cost advantages are an internal capability that can help a firm compete through lower prices or higher margins, so they are a potential…

• A. time consuming
• B. large capital is needed
• C. large pool of human capital is required
• D. both A and B

Explanation: Management by objectives requires substantial time for jointly setting goals, monitoring progress, and reviewing results.

• A. 3
• B. 4
• C. 5
• D. 6

Explanation: Strategic planning is commonly discussed at three levels: corporate, business, and functional strategy.

• A. related diversification
• B. conglomerate diversification
• C. diversification
• D. all of above

Explanation: Conglomerate diversification adds products or businesses unrelated to the firm’s existing operations.

• A. competitive strategy
• B. corporate level strategy
• C. functional strategy
• D. none of above

Explanation: Selling existing products in an existing market to gain share is market penetration, which is generally treated as a corporate-level…

• A. mission statement
• B. strategic goals
• C. vision statement
• D. none of aboveStrategic Planning

Explanation: A vision statement describes the organization's intended future direction and the broad actions needed to move toward it.

• A. competitive strategy
• B. corporate level strategy
• C. functional strategy
• D. all of above

Explanation: Corporate-level strategy determines which businesses or industries the company should operate in, so it identifies the overall portfolio…

• A. departmental strategy
• B. business unit
• C. none of above
• D. all of above

Explanation: Competitive strategy explains how a particular business unit competes successfully within its industry.

• A. detail of your market offering
• B. profit figures
• C. personnel plan
• D. all of above

Explanation: Defining a business requires clarifying what it offers to customers and the needs it satisfies, making the market offering the relevant…

• A. formulate strategies
• B. implement the strategies
• C. evaluate performance
• D. none of above

Explanation: Once the mission has been translated into strategic goals, management formulates strategies for achieving those goals.

• A. set departmental goals
• B. set organizational goals
• C. set individual goals
• D. discuss departmental goalsHuman Resources

Explanation: MBO begins with broad organizational objectives, which are then translated into departmental and individual goals.

• A. diversification
• B. consolidation
• C. cost leadership
• D. vertical integration

Explanation: Diversification, consolidation and vertical integration are corporate-level strategies that determine the scope of the business.