The First Step in Strategic Planning Is to ________

question 36

Multiple Choice

The first step in strategic planning is to ________.

• A)set objectives and goals
• B)develop the business portfolio
• C)define the company mission
• D)plan marketing strategies
• E)identify a problem

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Definitions:

Profit Margin

A financial ratio that measures the percentage of revenue remaining after all expenses have been deducted from sales.

Net Income

A company’s remaining income after total revenue has had taxes, expenses, and costs deducted from it.

Equity Securities

Financial instruments representing ownership interest in a company, such as stocks, which may provide income through dividends.

Significant Influence

The power to participate in the financial and operating policy decisions of an investee, but not control them entirely, typically associated with ownership of 20% to 50% of voting stock.