Strategic Management & Leadership Flashcards
7 cards from real CME practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Strategic Management & Leadership flashcards as text
An executive who demonstrates 'adaptive leadership' primarily helps the organization:
Answer: Confront and navigate complex challenges that require changes in values, beliefs, or behaviors
Adaptive leadership (Heifetz) addresses 'wicked problems' requiring shifts in mindset and behavior, not just technical fixes.
The 'resource-based view' of competitive advantage holds that sustainable advantages arise from:
Answer: Firm-specific resources that are valuable, rare, and difficult to imitate
The RBV, associated with Barney, argues that internal heterogeneous and immobile resources—not just market position—are the true source of sustained advantage.
Which of the following is a characteristic of a 'learning organization' as defined by Peter Senge?
Answer: Continuous organizational learning through systems thinking and shared vision
Senge's learning organization is characterized by five disciplines including systems thinking, mental models, shared vision, team learning, and personal mastery.
When a firm pursues a 'differentiation strategy,' it accepts which key trade-off?
Answer: Higher costs in exchange for premium pricing power and customer loyalty
Differentiation requires investment in quality, innovation, or service, which raises costs but allows premium pricing that can exceed the cost premium.
A firm's 'dominant logic' can become a strategic liability when:
Answer: It prevents managers from recognizing new opportunities that don't fit past patterns
Dominant logic—the cognitive map managers use—becomes a constraint when it causes them to dismiss or overlook opportunities outside familiar business models.
Which matrix is used to analyze a firm's portfolio of strategic business units based on market growth rate and relative market share?
Answer: BCG Growth-Share Matrix
The BCG matrix categorizes SBUs into Stars, Cash Cows, Question Marks, and Dogs based on market growth and relative share to guide resource allocation.
In Kotter's 8-Step Change Model, which step directly follows 'creating a sense of urgency'?
Answer: Building a guiding coalition
After creating urgency, Kotter prescribes assembling a powerful guiding coalition of influential leaders to champion the change effort.