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CIMA E3 - Strategic Management Question Tutorial Sample Questions:

1. Which of the following would be correct considerations when evaluating the Feasibility of a strategy? (Choose all that apply.)

A) Will customers object to the strategy?
B) Will the strategy exploit the core competencies of the business?
C) Will there be sufficient time to implement the strategy?
D) Will the business be able to deal with the responses of its competitors to the strategy?
E) Will the strategy maintain competitive advantage?

2. Ansoff has provided a product/market growth matrix which denotes possible strategic directions that an organization can follow.
Which of the following statements correctly describe the strategic options generated by the matrix? (Choose all that apply.)

A) Market penetration using existing products within existing markets.
B) Market penetration using new products within existing markets.
C) Diversification using new products in new markets.
D) Market development using existing products in new markets.
E) Product development using new products in new markets.
F) Market penetration using existing products in new markets.

3. Which of the following would be likely to encourage an organization to use Scenario Planning? (Choose all that apply.)

A) The organization has not previously experienced any major surprises or expensive strategic mistakes.
B) Uncertainty in the industry is high, relative to management's ability to predict or adjust to change.
C) Competitor's are increasingly using Scenario Planning as part of their strategy formulation process.
D) The organization has achieved all of its objectives and operates within a stable external environment.
E) The organization often experiences 'group-think', leading to a narrow view of the future.

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

5. As a CIMA qualified management accountant working within a manufacturing company, you are subject to both CIMA's Code of Ethics and your company's Code of Business Conduct.
Which TWO of the following statements are TRUE? (Choose two.)

A) Where there is a difference between CIMA's Code of Ethics and the company's Code of Business Conduct, the company's Code of Business Conduct takes priority.
B) Both CIMA's Code of Ethics and the company's Code of Business Conduct must be based on a set of basic principles.
C) A company's Code of Business Conduct can be rules based.
D) As a CIMA qualified Management Accountant you must follow CIMA's Code of Ethics.
E) Both CIMA's Code of Ethics and the company's Code of Business Conduct include references to Confidentiality. Disclosure on public interest grounds is therefore prohibited.

Solutions: