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MAC2602-25-S2

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WOT analysis is an analytic tool that analyses

internal and external factors that are of strategic importance to a specific

business.

From the list below select all that will be regarded

as a threat in SWOT analysis done for relevant businesses.

 

(1) 

The strikes by municipal workers in Tshwane

(2) 

The unrest caused by the trade union SAMWU in Tshwane

(3) 

An increase in demand for Solar systems.

(4) 

Decreasing profits in the poultry industry

 

(a) Statement (1)

(b) Statement

(2)

(c) Statements (2), (3) and (4)

(d) Statements (1), (2) and (4)

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Which combination

of the following statements are all characteristics of strategic objectives?

(1)      

It is vague and no timeframe is given in which the

target is to be achieved.

(2)      

Changes in the organisation is inspired.

(3)      

A precise formulation of the goals to be achieved and

a measure for progress are presented.

(4)      

A target to be achieved as well as a timeframe for the

achievement thereof are given in the objective.

 

(a) 

Statements (1) and (3)

(b) 

Statements (1) and (4)

(c)  

Statements (2) and (4)

(d) 

Statements (3) and (4)

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Select

which combination of the strategies below ALL form part of the generally

accepted competitive strategies that are available to an organisation.

(1) 

Core purpose-based strategy.

(2) 

Differentiation

strategy.

(3) 

Value-based

strategy.

(4) 

Pricing

strategy.

 

(a) 

Statements (1)

and (3)

(b) 

Statements (1)

and (4)

(c)  Statements (2) and (4)

(d)  Statements (3) and (4)

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Which ONE of the following statements regarding

the specific classified stakeholders and the type of interest they have, is

TRUE?

a) 

The

government is the primary, internal stakeholder of a company and has a strong

influence on how the organisation is managed. 

b) 

Pressure

groups, such as workers unions, are secondary, external stakeholders that act

on behalf of people whose rights are adversely affected by a company.

c) 

Banks

and lenders form part of the secondary, connected stakeholders of a company and

they are interested in the cash flows of that company.

d) 

Shareholders/owners

are primary, internal stakeholders and their interests will mainly be issues

concerned with the growth and continued existence of the company.

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Which combination of the following statements relate specifically

to the Strengths, Weaknesses, Opportunities and Threats analysis?

 

(1)   

It

is a situational analysis that entails a process of gathering and inspecting

information as well as analysing the external and internal environment that may

have an influence on the organisation.

(2)   

This

model identifies the core competencies of the organisation and builds on those

competencies.

(3)   

This

model is considered one of the most useful instruments for strategic planning,

because it views all constructive and unconstructive internal and external

factors that can influence the success of the organisation.

(4)   

This

is a method that considers certain forces that shape competition in the

industry.

 

(a)  Statements (1), (2), and (3)

(b)  Statements (1), (2), and (4) 

(c)  

Statements

(2), (3), and (4)

(d) 

Statements (1), (2), (3), and

(4)

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Which ONE of the following

alternatives does NOT relate to a reason why stakeholders can influence future

strategies of an organisation?

(a) 

The organisation has cash flow problems and needs an

overdraft facility or loan from their banker.

(b) 

The main

customer of the organisation expects special discounts.

(c)  The

organisation has a large institutional shareholder that expect high returns

from their investment.

(d) 

The organisation

is in existence for more than ten years and is in its maturity phase.

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Which combination of the following statements regarding secondary

market transactions in the capital markets are ALL true?

(1)   

A very few transactions in the

capital market are secondary market 

transactions and they do not generate cash flow for the

organisation.

(2)   

The securities of an

organisation are made more attractive to other

 investors in a secondary

market, thereby increasing the price of the securities.

(3)   

A secondary market transaction

is created when a holder of an

 organisation’s securities,

sell the debt securities to another investor.

(4)   

The management of an

organisation should be aware of the share price 

as their compensation is often linked to the share price of the

organisation.

(5)   

The level of the organisation’s

share price in secondary market transactions will determine how much funds can

be raised by future issues of shares.

 

(a) Statements (1), (2) and (4)

(b) Statements (2), (3), (4) and (5)

(c) Statements (1), (2), (3) and (4)

(d) Statements (1), (2), (3), (4) and (5)

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Which ONE of the following

alternatives is an example of what should be reflected in a mission statement?

a) 

We are a warehousing and distribution business

that provides fresh produce and high-quality merchandise to a network of

independent retailers who trade under our brands. We are not in the grocery

business; we are in the people business.

b) 

The principles that guide our organisation are

entrepreneurship, family values and passion.

c) 

Nothing means more to us

than our valued customers and we believe in going the extra mile to give them

the best. From sourcing the finest products to providing willing and efficient

staff who take a personal interest in our customers’ needs.

d) 

We are a part of the community and community

is like family. We strive to give you the highest quality produce, the freshest

meats, and granny-approved baked goods, all at the right price, every day.

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From the statements below, select all that are TRUE

regarding long-term financing.

 

(1) 

In the case of liquidation equity is repaid only after

debt has been repaid.

(2) 

Equity is considered to be part of an organisation for

life while debt have a finite life since it is repaid over time.

(3) 

Raising too much debt financing by means of long-term

loans will not affect the risk profile of an organisation.

(4) 

A trade-off will always be made between risk and

return in cases where a choice needs to be made between financing with either

equity or with debt.

 

 (a) Statement (1)

(b) Statement (2)

(c) Statements (2), (3) and (4)

(d) Statements (1), (2) and (4)  

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Select the combination of the following statements that are

all TRUE with regards to why a

competitor analysis should be done by an organisation. 

(1)   

To

get information to plan for diversification and/or 

expansion.

(2)   

As

a method to study the market, patterns, and trends.

(3)   

To

help with development and formulation of a strategy.

(4)   

As

a method to study forthcoming trends in the industry.

(5)   

To

get relevant information if the organisation can increase 

their

share in the market. 

 

(a)  Statements (1), (3) and (5)

(b) 

Statements (2), (3), (4), and

(5)

(c)  

Statements

(1), (3), (4), and (5)

(d) 

Statements (1), (2), (3), (4),

and (5)

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