ASQ Exam CMQ-OE Topic 4 Question 88 Discussion

Actual exam question for ASQ's CMQ-OE exam

Question #: 88
Topic #: 4

First Community Bank Holding Company executive management has initiated an environmental scan lo determine the strategy to respond to new regulatory' standards. Management has observed that the bank has a good reputation in the marketplace, a talented workforce. 600 different options for investment strategies, and a solid management team, which is compensated substantially above industry levels. The bank is considering offering on-line securities trading as a new service to its customers. Which of the following should management consider as an external threat to First Community Bank Holding?

AReputation in the marketplace

BNew regulatory standards

CCompensation above industry standards

Show Suggested Answer

Suggested Answer: B

by Maurine at Jun 11, 2025, 05:38 AM

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Carla

4 days ago

Haha, yeah, C is a weird choice. I'd love to have that 'problem' of being paid way more than the industry average. Sign me up for that 'threat'!

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Noel

6 days ago

C) Compensation above industry standards? Really? That's a threat? I'd take that any day! They should be more worried about the regulators than how much they're paying their employees.

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Bette

10 days ago

But compensation above industry standards could also be a threat in the long run.

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Wilford

13 days ago

I agree, B is the answer. New regulatory standards can really make or break a bank's strategy, especially with a new service like online trading. That's a huge potential threat that they'll need to navigate carefully.

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Lyla

19 days ago

I agree, it's important to stay compliant.

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Blair

20 days ago

I think new regulatory standards could be a threat.

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Vallie

1 months ago

B) New regulatory standards is definitely the external threat here. With the bank considering offering online securities trading, they'll need to comply with all the new rules and regulations. That's a big challenge.

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