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Corporate Level Strategy Formulation Quiz

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Corporate Level Strategy Formulation Quiz

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Questions and Answers

What is the third approach to execute a turnaround strategy?

Implementing a liquidation strategy

Replacing the existing team or merging with a healthy organization (correct)

Pursuing an expansion strategy

Adopting a disinvestment strategy

What is the main goal of a disinvestment strategy?

To replace the existing team with a new one

To close down the firm and sell its assets

To expand the business into new markets

To rehabilitate or restructure the organization (correct)

What is the primary consequence of adopting a liquidation strategy?

Increased revenue and profits

Increased competition in the market

Loss of employment opportunities for workers (correct)

Improved brand reputation

What is required to make a combination strategy effective?

The right people who can take objective and intelligent decisions Signup and view all the answers

What is a combination strategy?

A mix of the three strategies mentioned above Signup and view all the answers

When is disinvestment usually adopted?

When a turnaround strategy has failed Signup and view all the answers

What is the main advantage of a combination strategy?

It provides a mix of different strategies Signup and view all the answers

What is the primary objective of a turnaround strategy?

To rehabilitate or restructure the organization Signup and view all the answers

What may a company adopt after using a stability strategy for a long time?

An expansion strategy Signup and view all the answers

What is the main disadvantage of liquidation?

It leads to loss of employment opportunities Signup and view all the answers