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CA Inter P6 · Chapter 12 · Question 4 of 10

Under Mendelow's matrix, a regulator that has high power to influence an organisation but normally shows little interest in its day-to-day strategy should be:

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Reveal answer & explanation

Correct answer: D) Kept satisfied

Explanation

Mendelow's matrix groups stakeholders by power and interest. High power, low interest stakeholders such as banks and government bodies should be kept satisfied. High power, high interest stakeholders are key players to be managed closely. Low power, high interest stakeholders are kept informed, and low power, low interest stakeholders are low priority and only monitored. Positions can change, for example if a regulation is breached.

All 10 questions in Chapter 12Strategic Analysis: Internal Environment MCQs with answers

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