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  1. Home
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  3. E2

CIMA E2 Exam (page: 1)
CIMA Managing Performance
Updated on: 26-Oct-2025

Viewing Page 1 of 43
E2 PDF 210 Questions

Which THREE of the following would be considered as reasonable expectations of the mentoring process, for the mentee?

  1. Career enhancement
  2. Solving all problems
  3. Support with new challenges
  4. Discipline would be dispensed if they make a mistake
  5. Personal development

Answer(s): A,C,E



X is a manufacturing company that has achieved long term success by understanding the structure of its industry, and where necessary changing its strategy in order to achieve improved performance by outperforming its competitors.

Success has depended on the company exploiting the underlying economic factors (such as economies of scale) better than its competitors and maintaining this over time, so achieving sustainable competitive advantage.

Researchers would call this an "outside-in" approach to strategy, with the company choosing a strategy that responds to the challenges and changes posed by the external environment.

Which type of strategy is X adopting?

  1. Positioning approach
  2. Resource-based view
  3. Emergent strategy development
  4. Logical incrementalism

Answer(s): A



Barney (1991) identified four criteria necessary for a resource to be classed as unique and thus give competitive advantage. One of these is that it shouldn't be substitutable and another is that it should be rare.

Which TWO of the options below make up the list of four?

  1. Valuable
  2. Imperfectly Imitable
  3. Perfectly Imitable
  4. Costly to obtain

Answer(s): A,B



The concept of core competences is key to successful outsourcing strategy. Organisations should:

  1. focus on core competences and outsource non-core competences to external firms that can add more value.
  2. focus on non-core competences in order to drive down the cost of non value adding activities.
  3. focus on core competences by outsourcing these functions to external firms that can add more value.
  4. focus on non-core competences by applying transaction cost theory to external firms.

Answer(s): A



China, Korea, Japan and Vietnam are high context cultures.

In business relationships in high context cultures, which THREE of the following are typical?

  1. People prefer to establish relationships first.
  2. People value expertise and performance.
  3. People form agreements based on trust.
  4. People prefer fast and efficient negotiations.
  5. People value personal relations and goodwill.

Answer(s): A,C,E



Viewing Page 1 of 43



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