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CIMA E3 - Strategic Management Question Tutorial Sample Questions:

1. An organization must acquire suitable hardware and software in order to implement a knowledge management strategy so that knowledge can be stored and communicated.
Which of the following would be appropriate systems to use in a knowledge management strategy? (Choose all that apply.)

A) Internet
B) Ledgers and journals
C) Local area network
D) Social media
E) Intranet
F) Groupware

2. Country W hosts a large music competition every 5 years, which is attended by many international musicians.
The success of the competition is dependent upon effective Customer Relationship Marketing being established with many different market groups around the world. These include music colleges who send their students, broadcasting companies who broadcast the event on radio and television, audience members, online ticket sellers and music journalists who write about the competition in specialist journals.
Using Payne's 'Six Markets Model', which of the following is the correct classification for the music journalists writing about the competition?

A) Customer market
B) Influence market
C) Supplier market
D) Referral market

3. A leading retail chain is undertaking environmental scanning as it is concerned that it is becoming uncompetitive and profits have started to fall. The Board of Directors is concerned that it will need to have a viable strategy to present to its shareholders at the next annual general meeting, in order to prevent shareholders' protests.
The company has been reluctant in the past to offer an Internet shopping service. It now believes, however, that by offering this service and introducing customer relationship marketing (CRM), this will produce a strategy that will help it to improve its competitiveness.
Which of the following statements apply to CRM? (Choose all that apply.)

A) The CRM process needs to include increasing the range of products that will be offered to customers.
B) CRM is about marketing to customers to obtain their loyalty, so customer research is not needed.
C) In mature markets, existing customers provide the most likely source of future earnings.
D) CRM utilizes marketing resources to retain, rather than simply attract new customers.
E) The company must be prepared to take customers' needs into account and be able to meet these needs.

4. DF Company is undertaking a strategic review of its activities and has asked you to explain how a Force Field analysis would assist in the review process.
Which of the following statements would be most appropriate?

A) Identify influential senior managers who will drive through changes in DF's strategic direction.
B) Identify forces facing DF's activities that may create barriers and resistance to change.
C) As part of DF's strategic review, identify forces facilitating the need for proposed change.
D) Provide a framework for identifying forces for and against the proposed changes within DF.

5. DRAG DROP
In order to organize the value-adding activities to support a chosen strategy, Porter's Generic Strategies are often applied within an organization's value chain.
Against each of the activities listed below, select the Generic Strategy which best defines the strategic approach being taken.
Select and Place:

Correct

Solutions:

Question # 1 Answer: C,E

Question # 2 Answer: B

Question # 3 Answer: D,E

Question # 4 Answer: D

Question # 5 Answer: Only visible for members