Strategic Management Chapter 10

<p>Corporate strategy (A)</p> Signup and view all the answers

<p>It determines how a division will compete in its product domain. (A)</p> Signup and view all the answers

<p>Strategy (A)</p> Signup and view all the answers

<p>The proficiency in outperforming competitors consistently. (D)</p> Signup and view all the answers

<p>Operational (A)</p> Signup and view all the answers

<p>Formulating and implementing strategies to achieve long-term goals (A)</p> Signup and view all the answers

<p>Assessing existing strategies and environment (C)</p> Signup and view all the answers

<p>Allocating resources and activating strategies (C)</p> Signup and view all the answers

<p>How can we reduce our costs? (B)</p> Signup and view all the answers

<p>To influence the mission and support organizational strategies (B)</p> Signup and view all the answers

<p>How to triple profits in one year? (C)</p> Signup and view all the answers

<p>Comparing personal employee performance (A)</p> Signup and view all the answers

<p>Existing market conditions and strategic goals (A)</p> Signup and view all the answers

<p>To offer unique products or services (A)</p> Signup and view all the answers

<p>A strategy offering unique products to a specific market segment (A)</p> Signup and view all the answers

<p>It focuses on a specific market segment (C)</p> Signup and view all the answers

<p>Effective participation from all stakeholders (A)</p> Signup and view all the answers

<p>That strategies are well implemented (D)</p> Signup and view all the answers

<p>Organizing (D)</p> Signup and view all the answers

<p>Corporate governance (C)</p> Signup and view all the answers

<p>Operating with lower costs than competitors (D)</p> Signup and view all the answers

<p>Broad beliefs about appropriate behavior (C)</p> Signup and view all the answers

<p>Organizational culture (D)</p> Signup and view all the answers

<p>A special strength providing competitive advantage (C)</p> Signup and view all the answers

<p>Internal weaknesses (C)</p> Signup and view all the answers

<p>Net profit margins and cash flow (D)</p> Signup and view all the answers

<p>Market share variance (A)</p> Signup and view all the answers

<p>Question Marks (B)</p> Signup and view all the answers

<p>Having superior technology (D)</p> Signup and view all the answers

<p>Long-term viability of the company (B)</p> Signup and view all the answers

<p>Achieve the best mix of investments (D)</p> Signup and view all the answers

<p>Consistent adherence to customer standards (A)</p> Signup and view all the answers

<p>Market growth rate (B)</p> Signup and view all the answers

<p>The availability of substitute products (C)</p> Signup and view all the answers

<p>The number of competitors in the market (A)</p> Signup and view all the answers

<p>High customer loyalty to established brands (A)</p> Signup and view all the answers

<p>Concentration of suppliers in the industry (D)</p> Signup and view all the answers

<p>Retrenchment/divestiture (D)</p> Signup and view all the answers

<p>Stars (A)</p> Signup and view all the answers

<p>Expanding within the same business area (B)</p> Signup and view all the answers

<p>Growth (C)</p> Signup and view all the answers

<p>Creditors while reorganizing (C)</p> Signup and view all the answers

<p>Reinvestment (D)</p> Signup and view all the answers

<p>Growing by acquiring new business areas (A)</p> Signup and view all the answers

<p>Acquiring suppliers (A)</p> Signup and view all the answers

The ability to outperform competitors by doing something exceptionally well.

A competitive advantage that is difficult or expensive for rivals to copy.

A comprehensive plan to allocate resources and achieve long-term organizational objectives.

Focusing organizational efforts on a single, compelling goal.

Sets the long-term direction for the entire organization.

Determines how a division or business unit will compete in its specific market.

Guides the use of resources within a particular area of operations.

Corporate, business, and functional strategies.

Formulating and implementing strategies to achieve long-term goals and maintain a competitive advantage

Examining the organization, environment, competitive position, and current strategies.

Creating or updating a strategy by evaluating current strategies, organization, and the environment.

Allocating resources to put strategies into action.

The reason why an organization exists.

Individuals and groups affected by the organization and its success.

Key questions about the business: mission, customers, value, results, and plan.

Individuals or groups outside an organization that have a vested interest in its success, like customers, suppliers, and government agencies.

Fundamental beliefs that guide an organization's behavior and decision-making, shaping its culture.

Specific, measurable goals that an organization strives to achieve in its day-to-day operations.

The ability to generate a profit, often measured by return on investment (ROI) or net income.

Operating in a way that meets present needs without compromising the ability of future generations to meet their needs.

A unique strength or capability that gives an organization a competitive advantage over its rivals.

A strategic tool used to assess an organization's internal strengths and weaknesses, and external opportunities and threats.

Internal weaknesses are limitations or shortcomings within an organization that hinder its performance, such as outdated technology, lack of skilled personnel, or inefficient processes.

A framework that analyzes competitive forces in an industry to determine its attractiveness and potential profitability.

The intensity of rivalry among firms in an industry, including factors such as price wars, product differentiation, and advertising.

The threat posed by new competitors entering the market, often determined by barriers to entry such as high capital costs or regulatory hurdles.

The threat posed by products or services that can fulfill the same need as those offered by the industry, potentially affecting demand.

The ability of suppliers to influence the cost of products or services, often due to factors such as limited suppliers or high switching costs.

The ability of customers to influence the price they pay for products or services, often due to factors such as large customer volumes or readily available alternatives.

A portfolio planning tool that classifies business units based on market share and market growth rate, suggesting different strategies for each quadrant.

A strategy that seeks competitive advantage by offering unique products or services that customers value, willing to pay a premium for.

A strategy that seeks competitive advantage by operating at lower costs than competitors, offering products or services at lower prices.

A strategy that concentrates on a specific market segment, either by offering unique products to a niche market (focused differentiation) or by achieving the lowest cost within a specific niche market (focused cost leadership).

Mistakes that hinder effective strategy implementation, categorized as substance failures (lack of attention to critical planning elements) or process failures (ineffective strategy execution).

A failure in strategy implementation where key stakeholders or employees are not involved in the planning or decision-making process.

A failure in strategy implementation where the original goals get replaced with other, less important goals during execution.

A management function that ensures strategies are implemented effectively, and poorly performing strategies are adjusted or discarded.

A system of rules, practices, and processes that ensure the accountability and responsible actions of top management, ensuring they act in the best interests of the company and its owners.

Businesses with high market share and high market growth rate. These are typically profitable and require significant investment to maintain and grow.

Businesses with high market share and low market growth rate. These are typically mature and generate substantial cash flow, often used to fund other businesses.

Businesses with low market share and high market growth rate. These are potential Stars, but require significant investment to gain market share. They are risky.

Businesses with low market share and low market growth rate. These are typically not profitable and may need to be restructured or divested.

A growth strategy where a company focuses on expanding within its current business area, like introducing new product lines, or expanding geographically.

A growth strategy where a company expands into new and different business areas, either by acquiring or investing in new businesses.

Strategies used when a company needs to address major problems like declining profitability or high debt. They involve making drastic changes to its operations.