Cima E2 Exam Question No 5

Question No 5:

What is Corporate Strategy?

• The corporate strategy provides the direction for the business as whole, including all parts of the business. It includes consideration of:
• The overriding purpose and scope of the business
• Which businesses and markets should the organisation operate in?
• What should the core competencies be?
• Resources and financing
• How to compete
• How to integrate and structure the business   

Cima E2 Exam Question No 4

Question No 4:

What is The importance of strategy?

Answer:

•Provides a clear direction, focusing management decision making
•Adapts the organisation to the changing environment ensuring it's continuing survival and success
•Ensures competitiveness through understanding and adapting to competition
•Focuses in building key competences to meet customer needs
•Co-ordinates all elements of the business in a structured planned approach.

Cima E2 Exam Question No 3

Question No 3:

Key features of strategic management?

Answer:

Long term approach - decisions are made over the long term, often for periods exceeding one year Focused on organisational objectives - the aim being to ensure that the plan of action achieves the most important objectives for a wide group of key stakeholders Aligned with internal strengths and weaknesses - the aim should be to capitalise on the business strengths and overcome any key weaknesses. Devising a strategy will often follow a position audit of the business to ascertain the businesses current position. Adapted to the changing business environment - so that changes in political, economic, social and technology factors are taken account of, while adapting to industry changes, such as competitive threats, supply issues or changing customer needs.

Cima E2 Exam Question No 2

Question No 2:

What is Strategy in business?

Answer:

A course of action, including the specification of resources required, to achieve a specific objective. Business strategy therefore is concerned with the overall management of an organisation and includes the management of and taking decisions about:

A. Products
B. Markets
C. Locations (production and sales)
D. Structure
E. Personnel
F. Buildings and machinery
G. How to compete

Cima E2 Exam Question No 1

Question No 1:

What is Strategy?

Answer:
 A plan of action designed to achieve a goal or objective. The aim of a strategy is to gain some kind of competitive advantage or to help to exploit future opportunities.