CIMA CIMA-E2 Online Practice Questions and Exam Preparation

CIMA CIMA-E2 Online Questions & Answers

• Question 111:

  Which term best describes the structure where the finance function is carried out by an external party?

  A. Internal outsourcing
  B. Business process outsourcing
  C. Shared service centre
  D. Embedded function
  B. Business process outsourcing

• Question 112:

  Which of the following are classed as part of the move stage of Lewin's model of change?

  Select ALL that apply.

  A. Make sure the process is well managed and co-ordinated
  B. Ensure details of the changes occurring are communicated effectively
  C. Make sure everyone is given the necessary skills
  D. Ask people what their problems are and how they feel the change should proceed
  E. Focus on the reasons for change so people understand and accept it
  F. Deal with the issues of individuals to overcome personal concerns and objections
  G. Develop rewards for indhoduals following the new approaches after the changes
  A. Make sure the process is well managed and co-ordinated
  B. Ensure details of the changes occurring are communicated effectively
  C. Make sure everyone is given the necessary skills

• Question 113:

  Under UK law, the case of constructive dismissal occurs in which of the following situations?

  A. Because the role of the employee has become redundant.
  B. Because of resignation by the employee due to the conduct of the employer.
  C. Because of a reason related to the employee's capability or qualifications.
  D. Because a statutory duty or restriction prohibited the employment being continued.
  B. Because of resignation by the employee due to the conduct of the employer.

• Question 114:

  Company A sells golf clubs, clothing and accessories. The manager of Company A has been undertaking some competitor analysis and has been advised to consider the local gyms, cycle stores and swimming pools when identifying competition.

  Which of Kotler's four levels of competition would these be classed as?

  A. Generic
  B. Industry
  C. Form
  D. Brand
  C. Form

• Question 115:

  The scientific management theory of management suffers from a number of problems. Which THREE of the following apply?

  A. Because under scientific management employees are trained to do just one part of a job they can become bored, motivation declines and labour turnover increases.
  B. Managers may find that as the organisation grows in size there are increasing demands on their time and that it is therefore necessary to employ others to undertake supervision of day to day tasks.
  C. The approach assumes that people are only motivated by money but the evidence is that people are motivated by other things such as job satisfaction and a sense of achievement.
  D. This appoach depends on employees strong identification with management goals but this can sometimes be difficult to achieve.
  E. The approach leads to quality problems because the use of monetary incentives can lead employees to rush their work and be less careful in the completion of their tasks.
  A. Because under scientific management employees are trained to do just one part of a job they can become bored, motivation declines and labour turnover increases.
  C. The approach assumes that people are only motivated by money but the evidence is that people are motivated by other things such as job satisfaction and a sense of achievement.
  E. The approach leads to quality problems because the use of monetary incentives can lead employees to rush their work and be less careful in the completion of their tasks.

• Question 116:

  A pharmaceutical organisation, whilst developing a drug for the remedy of a cold, discovered by carrying out research tests that the drug made people feel drowsy.

  It decided to market this product as a night time cold remedy.

  Which of the following best describes this organisation's approach to strategy?

  A. Logical Incrementalism
  B. Rational
  C. Muddling through
  D. Emergent
  D. Emergent

• Question 117:

  According to Hofstede (1990) a company that values tradition, education and training is said to have which of the following cultural dimensions?

  A. Collectivism
  B. Feminine orientation
  C. Long term orientation
  D. Low power distance
  C. Long term orientation

• Question 118:

  Which of the following best describes generic competitors?

  A. Competitors which compete for the same income as the company.
  B. Competitors which compete with products which, although technically quite different, satisfy the same needs.
  C. Competitors which have similar goods but not necessarily the same size or structure organisation.
  D. Competitors which have similar size and structure and offer similar products to the same customers.
  A. Competitors which compete for the same income as the company.

• Question 119:

  Setting a mission is the first stage of the rational approach to strategy setting. According to David, which THREE of the following are useful areas to include in an organisation's mission statement?

  A. Customers
  B. Shareholders
  C. Markets
  D. Philosophy
  E. Suppliers
  F. Government
  A. Customers
  C. Markets
  D. Philosophy

• Question 120:

  Many public companies remain committed to the rational approach to strategic decision making believing that the long term advantages outweigh the disadvantages. Which TWO of the following factors are considered to be advantages of the rational approach?

  A. Less time consuming and less expensive
  B. Fosters an entrepreneurial spirit
  C. Aids target setting and controls
  D. Stakeholder confidence is enhanced
  C. Aids target setting and controls
  D. Stakeholder confidence is enhanced