Question

Scenario planning compares to top-down strategic planning because:____.

A. Top-down planning addresses only pessimistic futures and scenario planning addresses optimistic futures.
B. Top-down strategic planning takes place at both the corporate and business levels of strategy whereas scenario planning takes place only at the corporate level.
C. Scenario planning helps create strategic plans that are more flexible, and thus more effective than those created through the more static strategic planning approach.
D. While in top-down strategic planning a top-down approach is used to develop strategies, in scenario planning a bottom-up approach is used.

Answer 1

C. Scenario planning helps create strategic plans that are more flexible, and thus more effective than those created through the more static strategic planning approach.

Step-by-step explanation:

Even though both models or techniques are important, they are different in their degree of effectiveness.

For example, scenario planning creates solutions which are flexible in overcoming barriers to the organizations goals such as a new government policy. Thus, they are generally considered more effective than those created through strategic planning approach such as the SWOT (Strength, Weakness, Opportunity, and Threats) analysis.