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Free download in PDF Leadership Multiple Choice Questions and Answers for competitive exams. These short objective type questions with answers are very important for Board exams as well as competitive exams like UPSC, NDA, SSC etc. These short solved questions or quizzes are provided by Gkseries./p>
(1)
Cost leadership as a strategy requires a firm to __.
[A]
aim at a cost advantage in a niche market
[B]
be unique in its product offering
[C]
aggressively search out efficiencies to maintain the lowest cost structure
[D]
aim to be similar to its competition in most operations
Answer: aggressively search out efficiencies to maintain the lowest cost structure
(2)
Firms implementing cost-leadership strategies will generally adopt a
[A]
multidivisional structure.
[B]
functional organizational structure.
[C]
product divisional structure.
[D]
matrix structure.
Answer: functional organizational structure.
(3)
Firms implementing cost-leadership strategies will have ________ layers in their reporting structure.
[A]
relatively complex
[B]
relatively simple
[C]
relatively few
[D]
many
(4)
One aspect of using a cost leadership strategy is that experience effects may lead to lower costs.
(5)
The typical risks of a cost leadership strategy includes:
[A]
production and distribution processes becoming obsolete
[B]
the inability to balance high differentiation and low price.
[C]
excessive differentiation to
[D]
loss of customer loyalty.
Answer: production and distribution processes becoming obsolete
(6)
One aspect of using a cost leadership strategy is that experience effects may lead to lower costs.
(7)
The typical risks of a cost leadership strategy includes:
[A]
production and distribution processes becoming obsolete
[B]
the inability to balance high differentiation and low price.
[C]
the inability to balance high differentiation and low price.
[D]
the inability to balance high differentiation and low price.
Answer: production and distribution processes becoming obsolete
(8)
Firms pursuing a cost-leadership strategy are typically characterized by?
[A]
loose cost control systems.
[B]
close supervision of labor, raw materials, inventory, and other costs.
[C]
Both A and B
[D]
a de -emphasis on quantitative cost goals and costs.
Answer: close supervision of labor, raw materials, inventory, and other costs.
(9)
What must a cost-leadership strategy accomplish to be successful?
[A]
It must increase the firm’s cost above that of its competitors while offering adequate value.
[B]
It must reduce the firm’s cost below that of its competitors while offering superior value.
[C]
Both A and B
[D]
It must reduce the firm’s cost below that of its competitors while offering adequate value.
Answer: It must reduce the firm’s cost below that of its competitors while offering adequate value.
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