Skip to content

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

Sundaram Retail Ltd. wants to evaluate strategy by checking whether the assumptions about the market on which the strategy was built remain valid, such as expected customer growth and competitor behaviour. Which strategic control is being used?

The firm is using premise control. This type of strategic control checks continuously whether the planning assumptions, such as market growth and competitor behaviour, are still valid. Implementation control tracks milestones, and special alert control responds to sudden unexpected events, so neither fits this situation.

  1. APremise controlCorrect
  2. BImplementation control
  3. CSpecial alert control
  4. DStrategic surveillance

Explanation

Premise control tests whether the assumptions underlying the strategy still hold. Implementation control monitors progress through milestones and projects. Special alert control is triggered by sudden unforeseen events. Strategic surveillance is a broad, unfocused monitoring of information.

Did you get it right without looking?

One question tells you little. A timed set on Strategy Implementation and Evaluation shows your real accuracy, how long you take and where you lose marks.

More Strategy Implementation and Evaluation questions