Ch.7 Formulating Corporate-Level Strategy Exam Questions - Test Bank | Health Biz Strategy 2e Moseley by George B. Moseley. DOCX document preview.
CHAPTER 07 TEST BANK
Chapter 7. Formulating Corporate-Level Strategy
1. What is the "business portfolio" of a corporation. Distinguish the terms "corporation" and "strategic business unit".
2. Describe five ways in which the management of a multi-SBU corporation can add value to the operation of the individual SBU's in its portfolio.
3. Explain the three generic strategic directions that the corporate center can follow in managing its business portfolio.
4. Under what circumstances is corporate management likely to employ a stabilization or a retrenchment portfolio strategy?
5. Describe the differences in growth strategies based on concentration, related diversification, and unrelated diversification.
6. How might a corporation assess the degree of relatedness of a proposed diversification move in its business portfolio? Why does related diversification often work better than unrelated diversification?
7. Describe several examples of synergy that may be possible among the SBU's in a related diversified business portfolio.
8. Compare vertical integration and horizontal expansion within an industry value chain.
9. Explain the difference between "owned" and "virtual" integration.
10. Describe the components in a vertically integrated health care delivery system and how they interact with each other.
11. List and describe several methods that a corporation can use to add new businesses to its portfolio.
12. Explain the different forms that a retrenchment strategy can take - ranging from the most modest to the most severe.
13. Explain how portfolio analysis matrices work and their function in making portfolio management decisions. Use either the BCG Growth-Share Matrix or the GE Business Screen as examples.
14. What is meant by the "parenting style" of the managers of a multi-SBU corporation?