Which of the Following Statements About Strategy Is Not True

question 17

Multiple Choice

Which of the following statements about strategy is not true?

• A) Grandiose statements of desire, on their own, are not strategy.
• B) Strategy is as much about deciding what not to do, as it is about deciding what to do.
• C) Strategy is about creating superior value, while containing the cost to create it.
• D) Operational effectiveness and competitive benchmarking should be treated as strategy.

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Definitions:

Optimal Amount

The most efficient, effective, or desirable quantity of a good or resource to achieve a specific goal or maximize utility.

R&D

Research and Development; activities in businesses and organizations aimed at gaining new knowledge and applying it to develop new products, services, or processes.

Interest-Rate Cost-of-Funds

The cost of obtaining funds to borrow, typically described as an interest rate, representing the lender's compensation for the risk and time value of money.

Expected Rate of Return

An estimate of the profitability or yield of an investment, accounting for its potential risks and rewards.