Page 148 - BA1 Integrated Workbook STUDENT 2018

Subject E3: Strategic Management

6.3 PPP is a large multinational company which manufactures car engine parts. It
wishes to use intuitive forecasting to predict key changes within its industry over
the next ten years.

PPP is keen to use industry experts to help with its analysis, but is worried that
some well-known experts will dominate the forecasting process. PPP wishes to
get an unbiased view from all relevant experts.

Which ONE of the following options correctly identifies the most
appropriate intuitive forecasting for PPP to use?

A Derived demand

B Brainstorming

C Think tanks

D Delphi technique

6.4 QR is a manufacturer of telephones and is currently undertaking a process of
scenario planning. This is the first time the company has attempted such an
analysis and QR’s management are uncertain as to their first step.

Which of the following options correctly identifies the first stage of QR’s
process of scenario planning?

A Monitoring QR’s external environment to keep up to date with any ongoing
changes

B Identification that QR’s market will be strongly affected by changing
legislation as well as the state of the global economy

C Building a detailed analysis of the most likely possible scenarios and
assess the implications to QR if they occur

D Identify the effect on QR of a significant expansion or contraction of the
global economy

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