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CA Intermediate · Financial Management and Strategic Management · Strategy Implementation and Evaluation

Asha Textiles Ltd. has decided to enter technical textiles. Before launching, the CEO wants the company's structure, leadership style, resource allocation and culture to be aligned so that the chosen strategy can actually be put into action. Which phase of the strategic management process is the CEO mainly concerned with?

The CEO is concerned with strategy implementation. Once the strategy of entering technical textiles has been chosen, the task is to align structure, leadership, resource allocation and culture so that the decision is executed. Formulation and environmental scanning are earlier phases that precede this action-oriented stage.

  1. AStrategy formulation
  2. BStrategy implementationCorrect
  3. CEnvironmental scanning
  4. DStrategic intent setting

Explanation

Aligning structure, leadership, resources and culture to put a chosen strategy into action is the work of strategy implementation. Formulation is about deciding what to do, and scanning and intent come earlier. Here the decision has already been taken, so implementation is the phase concerned.

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