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Strategic Management 1 (Buss 420) Question Paper

Strategic Management 1 (Buss 420) 

Course:Business Administration

Institution: Kenya Methodist University question papers

Exam Year:2010



TIME : 2 HOURS
INSTRUCTIONS Answer Question ONE (compulsory) and any Other TWO Questions

QUESTION 1
The Kenya media university has successfully provided education services in Kenya for the last ten years. The main campus is located in Nairobi and there are satellite campuses in Kisumu, Nyeri, Nakuru and Mombassa. The university offers a wide curriculum which includes medicine, Business administration, Education and theology. The management of the university has been surveying developments in the East Africa region with a view of capitalizing on the opportunities presented by the Comesa trading block and other regional cooperation initiatives. One prospective area that the university could expand to is Southern Sudan. There will be a referendum to decide on whether Southern Sudan will continue under Khartoum or separate with the north to become the newest African in the next one year. There are all indications that the Southern Sudanese will vote overwhelmingly to separate with the north. That is the catch. This development holds many potential opportunities The management of the university is strongly convinced that with the prospects of independence for southern Sudan, they could open a new Campus in Juba; there is however a great need to strategically plan for this venture. The management has approached you for advice in coming up with the strategic plan for the Juba Campus.
Required
a) Describe the first five steps that the Kenya Media University management has to follow (bearing in mind that the mission and the policies are not going to change and therefore need not be addressed for now) in coming up with the strategic plan for the Juba Campus. (10 marks)
b) When analyzing the task environment several factors will be analyzed. Write small notes on four of these factors. (10marks)
c) You definitely will advice the university management to analyze the societal environment too. Describe the forces that they will need to analyze in this environment. (10marks)

QUESTION 2
Michael porter contends that the key aspects of the firm’s environment are the industry in which it competes. The intensity of competition in an industry is a pointer of its attractiveness and can be made clear by analyzing the five forces of that he identified. Required
Discuss the features that the strategist has to consider while analyzing the following forces;
a) Threat of new entrants (7 marks)
b) The bargaining power of suppliers. (7marks)
c) Threat of substitutes (6 marks)

QUESTION 3
By segmenting the value chain of the firm into primary and supportive activities, Companies can be able to understand which part of their operation creates most value and then work to enhance these so as to achieve competitive advantage.
Required
Briefly discuss three primary activities and two supportive activities of a) A university (10 marks)
b) A garment making factory. (10 marks)

QUESTION 4
Strategic management is a process. It is directed by the top management to determine the fundamental goals of the organization. Its success though, lies in the fit and support at the various organizational levels; thus the need for strategy at each of these levels.
Required
Discuss the concept of value of strategy at the three organizational levels (20 marks)

QUESTION 5
In doing an internal analysis, the firm is doing an internal audit to asses its internal capabilities.
Required
Explain the following methods of doing internal analysis;
a) Analyzing strategic internal factors. (10marks)
b) SWOT analysis. (10marks)






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