Which is essential for putting a strategy into effect successfully?
Correct answer: A
The correct answer is A. A strategy needs suitable resources and effective implementation to turn the plan into action and work toward its objectives.
Business Studies
Strategy
रणनीति
In this Class 12 Business Studies topic from the chapter Planning, students learn how a strategy provides a broad, future-oriented approach for achieving organisational objectives. They explore how managers select courses of action by considering business conditions, available resources, competition and changing circumstances. The topic also helps distinguish strategy from related planning elements such as policies, procedures, methods, rules, programmes and budgets, showing how each supports systematic decision-making and coordinated action.
Easy · Level 2 · 25 questions
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- Adequate resources and effective implementation
- A plan without assigned responsibilities
- A strategy kept separate from day-to-day decisions
- A decision to avoid monitoring progress
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- Planning to expand into the national market over the next five years
- Writing and sending a letter today
- Closing a file at the end of the day
- Cleaning a chair before a meeting
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- Strategy
- Rule
- Method
- Procedure
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- The external business environment
- The colour of the office walls
- The number of chairs in one room
- The type of pen used by staff
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- Rule
- Budget
- Strategy
- Procedure
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- To make informed pricing and market-positioning decisions
- To decide employees’ annual leave dates
- To remove all business rules
- To choose furniture for the office
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- Method
- Strategy
- Rule
- Procedure
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- How will we broadly proceed to achieve our goals?
- Which department has the largest number of employees?
- How will employees' daily attendance be recorded?
- When will the office chairs be replaced?
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- Programme
- Rule
- Strategy
- Method
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- Long term
- Only one minute
- Only one form
- Only one signature
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- Long-term objectives, a course of action and allocation of resources
- Only colour and size
- Only leave and attendance
- Only chairs and tables
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- Budget
- Procedure
- Rule
- Method
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- Strategy
- Rule
- Procedure
- Method
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- To choose a suitable direction for growth
- To rename a file
- To close the office
- To delete the leave list
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- Strategy
- Procedure
- Rule
- Budget
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- A strategy sets a broad direction, while a budget expresses income and expenditure numerically
- A strategy is a number, while a budget is a rule
- A strategy is a method, while a budget is a procedure
- A strategy is a prohibition, while a budget is a target
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- For better decision and preparation
- To change chair
- To hide file
- To erase attendance
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- Changing the organisation’s broad market direction in response to competition
- Prohibiting entry to those not wearing a cap
- Writing one's name first and then signing
- Choosing a technique for folding cloth
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- Method
- Rule
- Strategy
- Procedure
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- Organisational objectives and the business environment
- The colour of the office walls
- The personal preferences of one employee alone
- The numbering system used for office files
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- Strategy
- Rule
- Method
- Procedure
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- Important, broad decisions about the organisation’s direction
- Routine decisions about the order of office supplies
- Individual decisions about where to store a single file
- Personal decisions about an employee’s lunch choice
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- Budget
- Strategy
- Rule
- Method
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- Strategy
- Procedure
- Rule
- Method
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- Sound analysis and effective implementation
- Changing the office colour and rearranging chairs
- Preparing forms without linking them to the strategy
- Choosing a strategy without considering its objectives
Which option indicates a long-term strategy?
Correct answer: A
The correct answer is A. Expansion into a national market over five years is a broad objective pursued over an extended period, so it indicates a long-term strategy.
A business adopts a coordinated plan using app advertising and digital payments to reach online customers. What does this best illustrate?
Correct answer: A
The correct answer is Strategy. The business is coordinating its choice of promotional and payment channels to reach a target group of customers.
Strategy is concerned not only with a business’s internal resources but also with what?
Correct answer: A
The correct answer is A. Strategy takes account of external conditions—such as customers, competitors and market changes—as well as the resources available inside the business.
Which plan may decide which customer segment the company will focus on?
Correct answer: C
The direct answer is C: strategy. A customer segment is a particular group of customers, such as rural buyers, teenagers or high-income households. Deciding which segment a company will serve is a major market-positioning and long-term direction decision, so it belongs to strategy. Option C is correct because strategy chooses the broad target market and explains how the firm will compete there. Option A, a rule, is a specific instruction about what must or must not be done. Option B, a budget, is a quantified financial plan showing expected income and expenditure. Option D, a procedure, is a fixed sequence of steps for completing a task. None of those directly selects the company's customer group. Start by asking: is the plan about the overall market and future direction, or about a repeated instruction, money calculation or work sequence? Here it is about overall market direction, so the answer is strategy.
Why does a business study competitors’ prices while formulating its strategy?
Correct answer: A
The correct answer is A. Comparing competitors’ prices helps a business judge its position in the market and make better-informed pricing decisions.
A company adopts affordable small packs as its broad approach to reach low-income customers. Which type of plan is this?
Correct answer: B
The company is choosing a broad way to reach a particular market segment. A strategy sets the overall course for using an opportunity and achieving business objectives; it is not simply a step-by-step procedure or a rule.
Strategy helps an organisation answer which question?
Correct answer: A
Strategy specifies the broad direction or overall course of action an organisation will adopt to achieve its objectives. Therefore, it answers how the organisation will broadly proceed towards its goals. Recording daily attendance is an operational procedure, not a strategy. Exam tip: Link words such as “broad direction” and “overall approach to goals” with strategy.
A company sets an overall competitive approach for making a new product popular with young customers, including its pricing, promotion and sales platform. What type of plan is this?
Correct answer: C
The company is deciding the overall competitive approach for the product, using choices such as price, promotion and sales platform. This broad direction is a strategy, rather than a single rule or method.
Strategy is more suitable for which period?
Correct answer: A
The direct answer is A: Long term. Strategy sets the broad direction of an organisation and normally guides major decisions over a considerable period. It may be reviewed when conditions change, but it is not designed for a momentary or one-task action. The reasoning is: strategy deals with goals, competition, resources, and growth → these matters develop over time → therefore strategy is mainly long-term. Option A is correct. Option B, only one minute, is far too short for a broad organisational direction and would relate to an immediate action, if anything. Option C, only one form, describes a document or single administrative task, not a period. Option D, only one signature, describes an approval event, not a planning horizon. Strategy may include shorter steps, but its overall purpose is long-term direction. Memory cue: strategy sees the future; a rule handles the immediate present.
Which option best describes key elements of a business strategy?
Correct answer: A
A strategy links an organisation’s objectives with a course of action and the resources needed to carry it out. The other choices do not describe the main elements of a business strategy.
Which type of plan mainly specifies the sequence of steps to be followed, unlike a strategy, which sets a broader direction?
Correct answer: B
A procedure lays out the usual sequence of steps for carrying out an activity. A strategy, by contrast, sets a broader course for achieving objectives and responding to the business situation.
To enter a foreign market, a company sets a broad plan for adapting its offer to local customers and working with a local partner. What type of plan is this?
Correct answer: A
The company is setting a broad approach for entering and competing in a foreign market. Decisions about adapting its offer and choosing a local partner support that overall strategy.
Why is identifying market opportunities important when formulating a strategy?
Correct answer: A
Identifying market opportunities helps an organisation decide where and how it may pursue growth. That information can guide its strategic direction; the other options are unrelated administrative actions.
A company chooses to compete by making delivery speed a distinctive reason for customers to choose it. What is this an example of?
Correct answer: A
Choosing delivery speed as the basis for standing out from competitors is a broad competitive direction. That makes it a strategy, not a step-by-step procedure, rule or numerical budget.
What is the main difference between a strategy and a budget?
Correct answer: A
A strategy describes the broad course an organisation intends to follow. A budget expresses planned income and expenditure, or other financial allocations, in numerical terms.
Why is risk studied in strategy?
Correct answer: A
The direct answer is A: for better decision and preparation. Risk means the possibility that an uncertain event may harm an organisation's plans, money, people or results. A strategy is a broad plan for reaching important goals, so it must consider possible obstacles. Step by step: identify possible risks; estimate their likelihood and effect; prepare alternatives or preventive actions; choose a stronger plan and monitor it. Option A is correct because risk study improves informed decision-making and readiness. Option B, changing a chair, is an office action unrelated to strategic risk. Option C, hiding a file, is improper and does not manage uncertainty. Option D, erasing attendance, is unrelated to planning and is not a risk-management purpose. Studying risk does not guarantee that every problem will disappear, but it reduces surprise and improves preparedness. Memory cue: strategy asks not only ‘What will we do?’ but also ‘What may go wrong?’
Which option most directly describes a strategic decision?
Correct answer: A
Changing the organisation’s broad market direction in response to competitors is a strategic choice. The other options describe a rule, a sequence of steps or a specific technique.
A company chooses to target premium customers by offering them a distinct service model as part of its broad competitive direction. Which type of plan does this illustrate?
Correct answer: C
The correct answer is Strategy. Choosing which customer segment to serve and how to compete for it is part of a broad course of action designed to achieve the company’s objectives.
When formulating a business strategy, which factors should an organisation primarily consider?
Correct answer: A
The correct answer is organisational objectives and the business environment. A strategy sets a broad course of action to achieve objectives while taking relevant conditions, including competition, into account.
A company plans to adopt new technology as part of a broad course of action to strengthen its competitive position. Which type of plan is this?
Correct answer: A
The correct answer is Strategy. Adopting technology as part of a broad plan to improve the company’s competitive position is a strategic course of action, rather than a single operating method or procedure.
Strategy is generally concerned with which kind of decisions?
Correct answer: A
The correct answer is important, broad decisions about the organisation’s direction. Strategy sets a general course of action for achieving objectives, so it deals with significant choices rather than routine details.
A company chooses low costs and fast service as its broad way of competing in the market. Which type of plan does this describe?
Correct answer: B
The correct answer is Strategy. Choosing low costs and fast service as the company’s broad competitive direction is a course of action intended to help it achieve its objectives in the market.
Which type of plan may determine which product line a company will develop as part of its long-term business direction?
Correct answer: A
The correct answer is Strategy. Deciding which product line to develop can shape the company’s long-term direction and is therefore a strategic choice, not merely a routine procedure or method.
Which combination most directly supports the success of a strategy?
Correct answer: A
The correct answer is sound analysis and effective implementation. Analysis helps an organisation choose a suitable course of action, and implementation puts that course into practice; both are important for achieving the strategy’s objectives.
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