Which of the Following Statements Is True of Top-Down Strategic

question 7

Multiple Choice

Which of the following statements is true of top-down strategic planning?

• A) Information flows both ways in the process, from the upper management to the lower management and also the other way around.
• B) In this process, the formulation of strategy is separate from implementation.
• C) Employees at the operation level have major responsibility in strategizing for competitive advantage.
• D) The process is based on the assumption that the past cannot be used to predict the future.

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Definitions:

Price Floor

A government or regulatory imposed minimum price set above the equilibrium price, preventing market prices from falling below a certain level.

Price Ceiling

A legally established maximum price that can be charged for a good or service, usually set by the government.

Shortage

An instance where there is more demand for a product or service than what is available in the market.

Offshore Oil Wells

Drilling sites located in bodies of water, often at a considerable distance from the shore, that are used to extract oil from beneath the ocean floor.