Cima actualtests cima E3 Questions Answers by Haniya q56 vce pdf

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Exam Name:	E3 Strategic Management
Exam Code:	E3 Dumps
Vendor:	CIMA	Certification:	CIMA Strategic level
Questions:	280 Q&A's	Shared By:	haniya

Question 8

Which THREE of the following are classified as business operating systems measures within the Performance Pyramid?

Options:

Flexibility

Customer satisfaction

Quality

Productivity

Cycle time

Discussion

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Question 9

AB is a global car manufacturer. Management has agreed to spend $20 million on researching a new type of engine that uses liquid hydrogen to power the car. It believes it is important for AB to take a first step in developing this radical and uncertain new technology.

The $20 million will finance the research only and the program will last two years. Providing the research is successful, after two years it would cost a further $40 million to develop a car to sell. This development would take a further three years. Management is concerned that the international car market may not be willing to buy hydrogen powered cars for at least six years from now.

Which of the following options would NOT be available to AB after two years?

Options:

To invest a further $40 million in developing a car for sale.

To ignore the research findings and not commercialise any innovations.

To delay investment in building a hydrogen car until the market demand becomes clearer.

To seek to recover the $20 million it has spent because the research has yielded no commercial benefit.

Discussion

Question 10

You are a Management Accountant working for a logistics firm that wants to build collaborative relationships with each of its key clients.

Which of the following changes to the management accounting function would you recommend to help the development of collaborative partnerships with a client?

Select ALL that apply.

Options:

Open book management accounting in which the client can see the profits your firm makes from the relationship.

Relocation of some management accounting staff from your Organization into the offices of the key clients.

Management accounting staff from your Organization should be made available to the key clients to facilitate joint problem-solving.

Recruitment of management accounting staff from the key clients to improve shared understanding.

Close monitoring of service level agreements to ensure your Organization provides the minimum service specified.

Discussion

Question 11

Porter suggests that competitive advantage arises from the implementation of a 'generic strategy'. Which THREE of the following are NOT generic strategies?

Options:

Cost leadership

Focus

Differentiation

Diversification

Market development

Market penetration

Discussion

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