Q1: Briefly explain three key goals of Asset/Liability Management (ALM)? (1.5 Marks)

Q2: Discuss four Purposes of the Internal Risk Rating System (IIRS)? (2 Marks)

Q3) What is the difference between default and bankruptcy? (1.5 Marks)

• Discussion questions

• Is the evaluation and control process appropriate for a corporation that emphasizes creativity? Are control and creativity compatible? Discuss. (2 marks)Max 300 words
• What skills should a person have for managing a business unit following a differentiation strategy? Why? What should a company do if no one is available internally and the company has a policy of promotion from within? (2 marks)Max 400 words
• Why is an understanding of national cultures important in strategic management?(1 mark)Max 300 words
• Case study

An acquisition is a situation whereby one firm (acquiring firm) purchases most or all of another firm’s (acquired firm) shares in order to take control.

From real national/international market, select an example of an acquisition between two firms and answer the following questions:

• Briefly introduce the chosen acquiring and acquired firms (Industry, activity, nationality, market position, …). (1Mark). Max 100 words
• Explain the different reasons for this acquisition. (1Mark)
• Was this acquisition successful? Why? (1Mark)
• Evaluate the competitive advantage of the acquiring company (after the acquisition). (1Mark)
• What is the method used by the acquiring firm to manage the culture of the acquired firm? underline the pros and cons of this method. (1Mark)