Day: November 1, 2024

Accounting Multiple Choice Question – 1 November 2024

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

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Lucy is the strategy development director of Alex plc.

In formulating strategy recommendations for the board of directors, she always uses Porter’s Five Forces Analysis as her
fundamental means of analysis.

This is because she believes that strategy cannot be effectively formulated without first understanding the nature and structure of the competitive forces within an Industry.

It is clear from this that Lucy adopts?

Select ONE answer:

  1. An emergent-based view of strategic planning
  2. A positioning-based view of strategic planning
  3. A resource-based view of strategic planning
  4. A gap analysis view of strategic planning

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 2

  1. Notcorrect
  2. Correct == > In the positioning-based view of strategic planning (2) the competitive forces at work in the industry are the driving force behind strategy. In the resource-based view of strategic planning (3), the business’s strategic capabilities are the driving force behind strategy. Lucy appears to be adopting a formal rather than an emergent approach (1) and there is no evidence of gap analysis (4).
  3. Not correct
  4. Not correct

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