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

Meera Retail finds that a rival has unexpectedly launched a deep-discount online platform, and the board immediately reviews its strategy though no scheduled review was due. Which type of strategic control is this?

This is special alert control. It is an urgent reassessment of the strategy triggered by a sudden, unforeseen event, such as a competitor's surprise launch, rather than by the regular review schedule used in premise or implementation control.

  1. ASpecial alert controlCorrect
  2. BImplementation control
  3. CPremise control
  4. DBudgetary variance control

Explanation

Special alert control is a rapid, thorough reassessment of strategy triggered by a sudden unforeseen event such as a rival's surprise move. Premise control tracks assumptions gradually, and implementation control monitors progress of milestones. Budgetary variance control is a financial tool, not a strategic control type.

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