Challenge Your Strategic Management Skills with this Essential Concepts Quiz

Key Concepts in Strategic Management

• Strategy is about making deliberate choices to be different from competitors.
• There are different ways to measure a company's performance, including economic value, accounting profitability, shareholder value, and corporate sustainability performance.
• Two models of thinking in the brain, heuristic and rational, are the cognitive foundations for decision making.
• Heuristics can be helpful in strategic management, but can also lead to errors in decision making if left unchecked.
• Secondary data already exists within the company or is collected by third parties for purposes other than solving the problem at hand.
• Primary data must be collected by the researcher or third parties and can be qualitative or quantitative.
• Qualitative data is unstructured/semi-structured and useful for exploring topics and gaining a deeper understanding of motivations and drivers.
• Quantitative data is structured and useful for monitoring customer perceptions and identifying and describing segments.
• In-depth interviews allow for a greater willingness to discuss sensitive topics and follow-up questions to identify reasons for behavior and opinions.
• Focus group discussions encourage creative interaction between participants.
• Measurement involves assigning symbols to objects to represent the amount of a characteristic or whether the object falls into a certain category.
• Validity and reliability are important measures of the quality of measurement in strategic management.