Page 164 - BA1 Integrated Workbook STUDENT 2018

Subject E3: Strategic Management

CHAPTER 2 – MISSION, VISION AND STAKEHOLDERS

2.1 B

This is unlikely to be a mission or vision as it is not reflecting on the current or
long term purpose of the organisation. It is much more likely to be an objective
as it fulfils the SMART criteria of being specific, measurable, achievable,
relevant and time-constrained.

2.2 D

By definition.

2.3 B, D, E

The fact that B is a manager would give him positional power over his team. His
skills suggest that he has expert power and the fact that he is likeable would
indicate personal power.

B does not control his team members’ pay, suggesting that he does not have
resource power over them. He also has a relatively low profile in the company,
which would indicate low system power.

2.4 C

Before the sale of her shares, F was highly interested (as evidenced by her
regular attendance at AGMs), but had low power as she had little ability to
challenge the large pension scheme shareholders. This would classify her as
‘keep informed’.

After the sale, her power will remain low (it will be even lower than it was
before) and has stated that she has little time or interest in continuing her
involvement in the company. This suggests a minimal effort strategy should be
adopted.

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