Name: 
 

Strategic Management: Chapter 15



Multiple Choice
Identify the letter of the choice that best completes the statement or answers the question.
 

 1. 

Which of the following is not one of the reasons behind Amstrad's decline in 1988?
a.
Used low cost suppliers in Far East
b.
Worldwide shortage of memory chips
c.
Labor shortage
d.
Joint venture with Funai took off too slowly
 

 2. 

Which of the following is an aspect of implementation that can be changed indirectly if necessary?
a.
Organizational structure
b.
Information systems
c.
Quality
d.
Procedures
 

 3. 

A small company, with power concentrated in the hands of one central figure, tends to be what?
a.
Centralized and formal
b.
Centralized and informal
c.
Decentralized and formal
d.
Decentralized and informal
 

 4. 

Which one of the following types of organizations would benefit from a matrix structure?
a.
Diverse independent businesses in a conglomerate
b.
Organizations growing through merger and acquisition
c.
Small companies with few plants and limited product or service diversity
d.
Small, sophisticated service companies
 

 5. 

According to Lorsch and Allen (1972) which two requirements must the design of a structure accommodate?
a.
The need to differentiate each group's contribution within the organization
b.
The need to integrate the various groups of an organization
c.
The need to differentiate the various groups in an organization and integrate their respective contributions
d.
The need to integrate the various groups in an organization and differentiate their contributions
 

 6. 

Which of these is not a reason for why employees resist the implementation of strategic changes?
a.
Anxiety regarding jobs
b.
Lack of necessary strategic resources
c.
Lack of knowledge
d.
Poor strategic leadership
e.
All of the above are reasons for why employees resist
 

 7. 

Which of these is not a main determinant of centralization/decentralization?
a.
Geographical considerations (e.g., location etc)
b.
Costs
c.
Size
d.
Demographical considerations (e.g., age; ethnicity etc)
 

 8. 

Which of these is not an identified form of organizational structure?
a.
Intrapreneurial
b.
Functional
c.
Entrepreneurial
d.
Matrix
 

 9. 

When are holding company structures are most useful?
a.
For organizations in stable environments
b.
Where appropriate business unit splits exist
c.
For companies pursuing restructuring strategies
d.
For large, multinational companies
 

 10. 

Which of these are characteristic of matrix structures?
a.
Decentralization and co-ordination
b.
Centralization and co-ordination
c.
Decentralization and control
d.
Centralization and control
 



 
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