Solved question paper for BPS May-2019 (BBA 6th)

Question paper 1

1. SECTION-A

   1. What do you mean by value chain analysis ?

   Answer:

   Value chain analysis is a way to visually analyser companies business activities to see how the company e can create a competitive advantage for itself. value chain analysis help the company understand how it adds value to something and subsequently how it can sell its product or service for more than the cost of adding the value, thereby generating a profit margin.

    

2. 2. Define corporate restructuring.

   Answer:

   Corporate restructuring is an action taken by corporate entity to modify it's capital structure or its operations significantly . Generally , corporate restructuring happens when a corporate entity is experiencing significant problems and is in financial.
   The process of Corporate the process of corporate restructuring is considered very important Tu dominate all the financial crisis and enhance the company's performance.

3. 3. Explain strategic decision making.

   Answer:

     Strategy decision making process of chatting and a courses based on long term goals and a longer term vision. By clarifying your companies picture in you have the opportunity to align your shorter to plans with this deeper , broader mission giving your operations clarity and consistency. Strategic decision making should start with a dear idea of your company's mission and vision the reason you exist as a business.

4. 4. Write a note on BCG.

   Answer:

   The Boston consulting group se product portfolio matrix is designed to help with long term strategy e planning, to help a business considered growth opportunities by receiving its portfolio of product to decide where to invest comma to discontinue or develop products for it
   For example, if your competitors market share in the automobile industry was 26% and your themes brand forms brand market share was 10% in the same year, your relative market would be any o r.

6. 5. Discuss project and procedural issues in strategy implementations.

   Answer:

   Projects and procedural issues in strategy complementation 
   Following the procedures laid down for implementation consisted an important compound of strategy implementation in the Indian content:
    Licensing procedure .
   Foregin collaboration procedure.
    FERA requirements .
   MRTP requirements.
   Capital issue Council requirements.
     Import and export requirements.
    Incentives and facilities benefits.

7. 6. Write a short note on McKinsey's 7-S.

   Answer:

   Me Kinsey 7.5 is a tool that analyses forms organisational design while looking at ki internal elements strategy, structures, system, shared values, style, staff and skills in order to identify if they are effectively aligned and allow organisations to achieve its objectives.
   The Mckinsy VS Framework is a  management model developed by business consultants Robert H. This was strategic vision for groups, include Business, business limits and teams. The 75 are structure strategy, system, skills, style, staff and shared values.

8. SECTION-B

   7. What is strategic management process ? What steps are involved in it?

   Answer:

   The strategic management process means defining the organisations strategy. It is also defined as the process by which managers make a choice of a set of strategic for the organisations that will enable it to achieve better performance.
    Strategic management is all about an identification and description of the strategic that managers can carry to as to achieve better performance and competitive advantages for their organisation.
   An organisation is said to have competitive advantages if its probability is higher than the average probability for all companies in its industry.

   Steps involved are:- the strategy management is all about identification and description and description of strategic that manage can carry so as to achieve better performance and a competitive advantages for the organisation. An organisation is said to have competitive advantages if its probability e is higher than the average profitability for all companies in its industry.
   They should conduct a s w o t analysis strength, weaknesses, opportunities and threats for example they should makeup best possible utilisation of strength minimise the organisation weaknesses, make use of ensuring opportunity from the business environment and should not enrolled the threats. Strategic management is a way in website strategist set that objective and proceed about attracting them. It deals with making add an implementing decision about future decision of an organisation. It helps us to identify the direction in which the organisation is moving. Strategic management process has following step
   Step1 :- Mission and goals:- The first step in strategic management begins with senior manager evaluating their position in relations to organisations current mission and goals. The mission describes the organisations value and aspiration and indicate the direction in which senior management is going. Goals are are the decided ends shot through the actual operating producers of the organisations.
   Step2:- Environment scanning :- it refers to a process of collecting scrutinizing and providing information for strategy purpose and helps in analysing the internal and external factors influence an organisation. after executing the process, management should velvet it on a continuous bases and strive to improve it.
   Step3:-Strategy Formation:- It is the process of deciding deciding deciding best course of action for achieving organisational object, after conducting environment scanning process, managers, formulate corporate, business and functional strategies. Implement
   Step4:-Strategy implementation :- Strategy implementation improve putting the organisations chosen strategy into action and making it. Work as intended for stop it includes designing to organisation structure, disturbing resources, developing decision making process and effectively managing human resources.
   Step5:-Strategy Evaluation :- It is the final step of strategic management process involvesAppearing internal and external factors measuring performance, and taking remedial action. Evaluation for the management that the organisational strategy as well as its implementation meets the organisational objectives.

9. 8. State mission, vision and objectives of a company. What factors govern the objectives ?

   Answer:

   Division is what you want to a company's. Mission and general statement of how you will achieve your vision. Goals are statement of what needs to be accomplished to implement this strategy. Objectives are specific actions and  Limited for achieving the goal.
   Vision:-  in organisations vision is what it wants to be known for at some point in the future. Vision do not need to belong documents. They just need to be a simple statement that describe the future. It only takes one sentence to do it, and if you would like to add a brief paragraph to explain ospo the vision statement, that is fine but it have to be short and to be point .

   Mission:- the mission describe your day to day work that, if the organisation keep doing it and doing it well, will eventually make the vision became a reality. Like the vision statement, mission statement need to be shot. A sentence or two can easily seem up the value provided by the organisation. And can be communication someone quickly and easily. Emission is always supported by one or more goals.

   Objectives:-
    Greeting and staying profitable:- maintaining probability means making sure that prevents stays ahead of the the cost of doing business.
    Productivity of people resources:-  Employee training, equipment maintenance and new equipment purchase all go into company productivity.
    Excellent customer Service:- Good customer service have helps you retain generate and clients repeat revenue.
    Employee Attraction and Retention:- Employee turnover coasters you money in laws productivity and the cost associated with the Sourcing, which include employment advertisingand paying placement agencies.
    Mission Driven Core Values:- Company mission statement is a description of the coast value of your company.
    Sustainable Growth:- Growth is planned based on historical data and future projections. Growth requires the careful use of company resources such as finance and personal.
    Maintaining a Healthy Cash Flow:- Even a company with the good cash flow needs financing contacts in the event the capital is needed to expand the organisation.
   Reaching The Right Customer:- Marketing is more than creating advertising and getting customer input or product change
     Forces of environment.
   Realities of and enterprises resources and internal power relations.
   Values of the top enocutives.
   Awareness of past of objectives by the management.

11. 9. What is environmental appraisal ? Explain the components of environment.

    Answer:

     Environment is anything and everything surrounding us. It consists of the living and nonliving things around us.
     Environment seaming is the process by which an organisation monitors in the the relevant environment the identify opportunities and threats affecting the business for the purpose of making strategic decisions.
    Environment appraised is the process of identifying opportunities and 3/8 facing the organisations.

     

    Components of Business Environment:-

    Components 
     Internal Environment Appraisal
     Strength 
    Weakness 
    External Environment Appraisal
     Opportunity 
    Threat 

    
    Strength:- An inherent capacity of an organisation which helps it again a strategic advantage over its competitors.
    Weakness:-  An inherent constraints or limitations which creates a strategic disadvantage for a business.
    Opportunity:-  A favourable condition in the organisations environment enabling it to the strength and its position.
    Threat:- A unfavourable condition in the organisations environment occurring damage to the organisation.

12. 10. Explain stability, retrenchment and combination strategies.

    Answer:

    Growth is essential for an organisation. Organisations go throw and inventor inevitable progression from growth through susturity , revival and eventually decline , the broad corporate strategy alternatives, sometimes referred to as grand strategies are :
    Stability  
     Retrenchment 
    Combination Strategies 
    1. Stability Strategy:- Stability Strategy is a strategy in which the organisations retains its present energy. Strategy at the corporate level and continuous focusing on the present product and Markets the film Stayes with its current business and product markets comma maintains the existing level of efforts, and it is a satisfied with incremental growth. It does not seek to invest in new factories and capital assessed market share or invade new graphical territories. Organisation choose this strategy when the industry in which it operates or the state of the economic is in turmoil or when the industry faces slow or no growth prospects. They also choose this strategy when they go through a period of rapid expansion and need to consolidate their operations before going for another out of expansion.
    2. Expansion Strategy:- Firms choose expansion strategy when there prospects means of resources ability and past financial performance are both Hai. The most common growth strategies are diversification at the corporation level and concentration at the business level. Reliance Industry vertically integrated company covering the complete textile value train has been repositioning itself to be a diversified conglomerate. Delhi girls by entering into a range of business such as power generation and distribution, insurance, telecommunication, and Information and Communication Technology service.
    3. Retrenchment Strategy:- Many farms experiences financial performance resulting from market erosion and wrong decisions by management. Managers formed by selecting corporate strategies that protect their attempt, to turnaround is not possible. Other possible corporate keep strategic response bus murder to decline include gross and stability.
    4. Combination Strategy:- The 3 strategies can be used in combination, they can be sequence, for instance growth followed by stability or Parshad simultaneously in a different part of the business unit. Carbonation strategies design 2 min growth retrenchment and stability Strategies and apply Dam across a corporation business units. A film adopting the combination strategy may be applied to the combination either or sequential

13. SECTION-C

    11. Explain the concept of "Strategic and Operational control". Clearly distinguish them from one another.

    Answer:

    Strategic Control:- It focuses on the dual questions of whether :- 
     The strategic is being complemented as planed.
     The result produced by the strategy are those intended.
    Strategic control is the critical evaluation of plans and former activities and result, thereby providing information for the future action there are four types of strategic control:-
     Premise control:- Planning premises are established early on a in the strategic planning process and act as a basis for formulating strategies. Control has been designed to check systematically and continuously whether or not the premises full stop during the planning and implementation processes are still valid.
     Implementation control:- Strategic implantation control provides and additional sources of feed-forward information. Implementation control is designed to assess whether the overall strategy should be changed in the light of unfolding events and result associated with increase mental steps and actions that implement theaurall strategy.
    Special Alert control:- These need to thoroughly, reconsider the films basis strategy based on a sudden, unexpected event.
    Operational control:- Operational control systems are designed to ensure that day to day actions are consistent with established plans and objectives. It works on events in a recent period. Operational control system are derived from the requirements of the management control system. Corrective action is taken where performance does not meet standards. This action Mein involve training motivation, leadership, discipline for termination.

14. 12. What is resource allocation? What are the approaches to resource allocation ?

    Answer:

16. 13. Discuss corporate level analysis.

    Answer:

    Corporate level strategy is when a business makers told season that effect the whole company. A corporate level strategy affected is company's Finance Management human resources and where the product are sold.
    It refers to the combination and pattern of business Mouse comma intentions and hide goes is the strategic interest of the the source considering various business decision, product line customer groups, technology and so forth.
    Feature:-
     It is developed by the company's highest level of management considering the companies overall growth and opportunities in future.
      It describes the orientation and direction of the enterprises in the long run and the overall boundaries which act as a basis for formulating the company's middle and low level strategy. For example business Strategies and functional strategies.
     While formulating corporate level strategy the companies available resources and environment factor are kept in mind.
     It is concerned with the decision regarding the two way flow of companies information and resources between the various level of management.
    Classification of Corporate level strategies
     Stability Strategy:- Stability is a critical Business School which is required to define the existing interest and strength to follow the business objectives to contain using with the existing business, to keep the efficiency in operations etc.
     Expansion:- Also called a a growth strategy, where in the company business is a revaluated so as to extend the capacity and scope of business and considerable in increasing the overall investment of the business.
     Retrenchment Strategy:- This is pursed vendor company e operator for describing into scope of activity or operations. In Re investment strategy, a number of business activities are retrenched so as to minimise cost, as the response to the frame financial full stop sometime the business itself is a dropped by selling out or or liquidation.
    Combination Strategy:- In this is strategy, the Enterprises combines any or all of the three corporate strategies so as to fulfill the frames requirements full stop the frames with used to stabilize some area of activity while expanding the other and retrenching the rest.

17. 14. Explain in detail various business level strategies.

    Answer:

     A business level strategy address the question of how a business comes to complete particular industry. In other words, it for a business differentiates itself from its competitors.
    It may now be easy to grasp what a business level strategy is, but it gets a little more complicated when you try to figure out which strategy to use.
    There are so many ways a business can stand out from the crowd and different business strategies that our could use that radicalise in finding the right strategy for your business.
    For example, let's say you r a new pizza restaurant opening up in a town, you need to figure out of you will be competing by say offering the finest priced pizza.
    The five different type of business level strategies
    Although there are many different type of business level strategy we will use take use thought the five main own.
    Cost leadership:- Competing competing with a wide range of business based on price of. A cost leadership business level strategy is a strategy that business use to increase efficiency and reduce production cost to make it below that of the industry average. In other word, a business changing lower price for its product than other in the same industry the cheapest of its kind around.
    Differentiation:- A differentiation strategy is all about crowding a product or service with unique attribute when comparing against the competition. It it all about making the product or service really stand out from the crowd our that solves a problem that us one else has. It requires Innovation and out of the box thinking. To the differentiation strategy, you used to conduct market resource to find a gap. In the market that needs feeling, or by improving an existing product or service.
    Focused Differentiation:- A focused and differentiation business strategy involves targeting a specific or small group of customer with differentiated product. This means your product or services should have unique feature that meet the demands of a market.
    Focused low-Cost:- It is business strategy which is similar to a focus strategy one that focused on a small of customer but with a smart difference you you guessed it its lower cost. If your business does not appeal to a large market, then it's best to focus on the niche. You may not be able to have a low price for all of your product and services, you can try to be the low cost provider in the market for the specific niche. 
    Integrated Low-Cost / Differentiation Strategy:- It is there a business has differentiated product that are offered at a lower cost for stop this new to hybrid business strategy could be on its way to becoming increasingly popular as Global competition increases.