CIMA cimapra19-e03-1 practice test

Question 1

DRAG DROP
Select the quality associated with effective coaching and mentoring for each of the descriptions
below:

Answer:

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Question 2

AAA is a car manufacturer which has undertaken a strategy to lobby a regional authority to include
Its flagship hybrid model in a regional initiative to grant low-emission cars access to faster moving
vehicle lanes. These faster vehicle lanes were historically only available to cars carrying passengers.
Given the benefits of AAA's low emission vehicles, AAA's cars were authorised to make use of the
faster lanes, even when no passengers were on board providing AAA with a decisive competitive
edge.
Which of the following strategies is AAA pursuing?
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• A. An environmental strategy.
• B. A sustainability strategy.
• C. A non-market strategy.
• D. A market strategy

Answer:

C

Question 3

Company Y is a global business selling a selection of technological items including phones, laptops
and other computer related items. In addition Y sells accessory items, music downloads, apps: digital
books and video downloads including films and television series through a cooperative partnership
with other companies, designed to create value for the customer.
Which of the following terms best describes what Y has created?

• A. Artificial intelligence
• B. A blockchain arrangement
• C. An entirely cloud based offering
• D. A digital ecosystem

Answer:

D

Question 4

S is a hybrid car manufacturer. S relies on strong social media presence and online marketing
campaigns to drive customers to its website. S prioritises measuring and improving active usage
metrics.
Which of the following metrics does S prioritise?
Select ALL that apply.

• A. Abandon rates
• B. The customer feedback score
• C. The number of customer photographs uploaded
• D. Number of repeat webpage users
• E. Number of registered users

Answer:

A, D

Question 5

A has a portfolio of business units. One of A's units has a total market share of 25% and its largest
competitor has a market share of 20%. In the last year the overall market of this business unit has
declined by 2%, although its revenues have increased by 12%. following a successful marketing
campaign.
According to the BCG matrix. A's business unit would be classified as which of the following?
A. Dog
B. Cash Cow
C. Star
D. Question Mark

Answer:

C
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Question 6

DRAG DROP
BCD is a small private hospital providing elective surgery to patients. Elective surgery is not essential
to the patient's health and can be regarded as a luxury.
Match the performance measure to the strategic goal and match the direction of improvement to
each measure.
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Answer:

156/160
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Question 7

Irvine and Martin presented the advantages of Foresight as the 5Cs. Which of the following are
correct aspects of the 5Cs as defined by Irvine and Mart in? Select ALL that apply.

• A. Co-ordination
• B. Comparability
• C. Criticality
• D. Communication
• E. Congruence
• F. Concentration

Answer:

A, D, F

Question 8

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WXY has been criticised by an activist shareholder for a lack of clarity in its formulation and
implementation of strategy.
The activist shareholder states that WXY is confused as to the different levels of strategy and it has
pointed to examples of inappropriate levels of management being held responsible for strategies
that they do not control
WXY has decided to use the categories, Corporate, Business and Functional to clarify its strategic
processes.
Which of the following are Corporate strategies?
Select ALL that apply.

• A. WXY has improved the duration of its products' working lives to match its major competitor.
• B. WXY is closing its data management business.
• C. WXY is to move its Head Office and manufacturing facilities from Europe to Asia.
• D. WXY intends to introduce improvements to its occupational pension scheme.
• E. WXY will invest in robotics to become the lowest cost producer in its industry.
• F. WXY intends to replace its transport fleet every five years.

Answer:

B, C, E

Question 9

McKinsey's 7-S' model illustrates the complexity of factors that can influence organisational change
Which TWO of the following statements are incorrect?
To make progress in one'S' you need to achieve success in the other 'Ss'

• A. 'Shared Values' are sometimes also described as 'Superordinate Goals'
• B. All 7-S' factors vary in importance.
• C. The model intentionally has no starting point.
• D. The model features 3 'soft' factors, all of which are quantifiable

Answer:

A, C

Question 10

An organisation which exists in a fast-changing industry with managers who dislike formal planning
would be best suited to using which of the following strategy models?

• A. Rational model
• B. Logical incrementalism
• C. Freewheeling opportunism
• D. Emergent approach

Answer:

C