SECTION B: TRUE /FALSE QUESTIONS [10 marks] State whether each of the following statements is TRUE or FALSE. 1. Formulation, implementation, and evaluation of strategy activities occur at three hierarchical levels in a large organization: corporate, divisional or strategic business unit, and functional. 2. If a firm's present suppliers are expensive and unreliable in meeting the firm's needs for parts, components, and/or raw materials, the firm should pursue a horizontal integration strategy. 3. In order for a firm to achieve sustained competitive advantage, a firm must continually adapt to changes in external trends and events and effectively formulate, implement, and evaluate strategies that capitalize upon those factors. 4. Identifying an organization's existing vision, mission, objectives, and strategies is the final step for the strategic management process. 5. Military success is usually the happy result of accidental strategies, but business success is the product of continuous attention to changing conditions and insightful adaptations to those conditions. 6. In most respects, business strategy is very different than military strategy. 7. All firms have a strategy, even if it is informal, unstructured, and sporadic. 8. As long as the price and quality of a firm's products and services are competitive on a local basis, it has nothing to worry about. 9. Retrenchment and turnaround are the same strategy. 10. Liquidation is often appropriate when retrenchment and divestiture have failed.