Tag: Strategy

Alex pic operates in the financial services sector. Its marketing director is developing the firm’s marketing plan.

An external marketing consultant, Lucy, has recommended that the PESTEL framework should be used as part of this process.

Which of the following statements correctly describes the reason why the PESTEL framework might prove useful?

Select ONE answer:

1. It will identify Alex plc’s strengths and weaknesses
2. It will allow a detailed analysis of the structure of the financial services industry
3. It will act as a detailed checklist to assist in understanding the different influences in Alex pc’s environment
4. It will help to identify the relative levels of interest and power of Alex plc’s stakeholders

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 3

1. Not correct
2. Not correct
3. Correct == > Strengths and weaknesses (1)would be revealed by a SWOT analysis; the structure of an industry would be revealed by a Five Forces Analysis (2) and helping to identify the relative levels of interest and power (4) refers to stakeholder mapping. A PESTEL analysis (3) reveals the key influences in the organisation’s macro-environment (rather than its market or task environment)
4. Not correct

This work is licensed under a Creative Commons Attribution 4.0 International License.

Alex, a consultant, has told the board of Lucy plc that the strategic planning process should result in a strategic plan, a business plan and an operational plan.

Alex gave the board two definitions.

Definition 1 – A business plan sets out the markets the business intends to serve, how it will serve each market and what finance is required

Definition 2 – A strategic plan sets out how overall objectives are to be achieved, by specifying what is expected from specific functions, stores and departments

Are these definitions accurate or inaccurate?

Select ONE answer:

1. Definition 1 – Accurate / Definition 2 – Not accurate
2. Definition 1 – Accurate / Definition 2 – Accurate
3. Definition 1 – Not accurate / Definition 2 – Not accurate
4. Definition 1 – Not accurate / Definition 2 – Accurate

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 1

1. Correct == > A strategic plan sets out the business’s overall objectives and how to achieve them, but it is the operational plan which specifies what is expected of each function in a business. A business plan sets out the market(s) to be served, how they will be served and the finance required.
2. Not correct
3. Not correct
4. Not correct

This work is licensed under a Creative Commons Attribution 4.0 International License.

Lucy Ltd operates a large chain of hairdressing salons.

Alex, a management consultant, has been asked to undertake a review of the company’s activities in providing its services to customers.

In terms of Porter’s Value Chain, Alex has been asked to focus on the primary activities of the company.

Alex will, therefore, be analysing which ONE of the following?

Select ONE answer:

1. Procurement
2. Marketing and Sales
3. Salon Infrastructure Services
4. Accounting

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 == > 1, 3 and 4 are all support activities in the value chain model.
3. Not correct
4. Not correct

This work is licensed under a Creative Commons Attribution 4.0 International License.

Lucy Ltd operates a large chain of hairdressing salons.

Alex, a management consultant, has been asked to undertake a review of the company’s activities in providing its services to customers.

In terms of Porter’s Value Chain, Alex has been asked to focus on the primary activities of the company.

Alex will, therefore, be analysing which ONE of the following?

Select ONE answer:

1. Inbound Logistics
2. Procurement
3. Salon Infrastructure Services
4. Accounting

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 1

1. Correct == > 2, 3 and 4 are all support activities in the value chain model.
2. Not correct
3. Not correct
4. Not correct

This work is licensed under a Creative Commons Attribution 4.0 International License.