Podcast
Questions and Answers
Competitive intelligence involves gathering, analyzing, and distributing vast information known as ______ about anything that would help in competing in the market.
Competitive intelligence involves gathering, analyzing, and distributing vast information known as ______ about anything that would help in competing in the market.
intelligence
Strategic intelligence helps in understanding the competitors' future ______ and goals.
Strategic intelligence helps in understanding the competitors' future ______ and goals.
prospects
Market ______ refers to the degree by which a small number of companies dominate the market.
Market ______ refers to the degree by which a small number of companies dominate the market.
concentration
Entry ______ refer to the difficulties and challenges experienced by potential new entrants.
Entry ______ refer to the difficulties and challenges experienced by potential new entrants.
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______ products are those that are highly similar or identical in features.
______ products are those that are highly similar or identical in features.
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Oligopolistic market structure is characterized by few large sellers with a high level of ______ to one another.
Oligopolistic market structure is characterized by few large sellers with a high level of ______ to one another.
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The step-by-step flow of activities toward the implementation of a strategy is known as the ______ management process.
The step-by-step flow of activities toward the implementation of a strategy is known as the ______ management process.
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SWOT Analysis helps companies identify strengths, weaknesses, opportunities, and ______.
SWOT Analysis helps companies identify strengths, weaknesses, opportunities, and ______.
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Situation analysis provides information necessary to formulate the company's ______ statements.
Situation analysis provides information necessary to formulate the company's ______ statements.
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Competitive strategies are the techniques used for ______ in a certain industry.
Competitive strategies are the techniques used for ______ in a certain industry.
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Blockaded entry refers to the point where barriers are too high that potential players cannot enter and ______ companies monopolize the prices.
Blockaded entry refers to the point where barriers are too high that potential players cannot enter and ______ companies monopolize the prices.
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Strategy implementation involves developing procedures and activities to put the strategies into ______.
Strategy implementation involves developing procedures and activities to put the strategies into ______.
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The ability of the company to adapt to changes in the business environment is referred to as ______ adaptation.
The ability of the company to adapt to changes in the business environment is referred to as ______ adaptation.
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The power of ______ refers to their ability to drive the company's prices down.
The power of ______ refers to their ability to drive the company's prices down.
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The ______ of suppliers is their ability to control an organization by raising prices.
The ______ of suppliers is their ability to control an organization by raising prices.
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The Five Forces Model Framework assesses the ______ posed by new companies entering the market.
The Five Forces Model Framework assesses the ______ posed by new companies entering the market.
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Study Notes
Strategic Management Overview
- Encompasses decisions and actions by managers to assess organizational performance.
- Involves a systematic approach to achieve company goals through strategic management processes.
Strategic Management Process
- Situation Analysis: Conduct environmental scanning to provide insight for crafting vision/mission statements.
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Strategy Formulation: Develop various strategies:
- Operational Strategies: Short-term plans across departments like HR, finance, marketing, and production.
- Competitive Strategies: Tactics for competing within specific industries.
- Corporate Strategies: Long-term direction-setting plans for the organization.
- Strategy Implementation: Create procedures, programs, and activities to enact the formulated strategies.
- Strategy Evaluation: Assess the organization's performance against set goals.
Key Concepts in Strategic Management
- Electronic Age: A time characterized by extensive electronic transactions through the Internet.
- Globalization: The trend of markets and corporations becoming interconnected on an international scale.
- Global Brands: Recognized worldwide for quality and reasonable pricing while also showing social and environmental responsibility.
- Organizational Adaptation: Ability of companies to stay current with the business environment.
- Institution Theory: Suggests adaptation through benchmarking and imitating successful firms.
- Strategic Choice: Indicates organizations not only adapt but also reshape their business environment.
Five Forces Model Framework
- Power of Buyers: Buyers' ability to push prices lower.
- Power of Suppliers: Suppliers' control over pricing can influence organizational costs.
- Rivalry of Competitors: Companies respond to competitive forces exerted by rivals.
- Threat of Substitutes: Availability of similar products at lower prices presents challenges.
- Threat of New Entrants: New companies can disrupt markets through quality, features, and pricing strategies.
Types of Intelligence in Business
- Competitive Intelligence: Collecting and analyzing market information for competitive advantage.
- Strategic Intelligence: Understanding competitors' future goals and prospects.
- Tactical Intelligence: Operational information targeting short-term market strategies.
- Counter Intelligence: Protecting company secrets from competitors.
Market Structure Characteristics
- Market Concentration: Represents the extent of dominance by a few companies in the market.
- Entry Barriers: Challenges faced by new entrants attempting to enter the market.
- Product Differentiation: The effectiveness of distinguishing products from competitors.
Characteristics of Market Structures
- Atomistic Market: Numerous small sellers with minimal interaction.
- Oligopolistic Market: Few large sellers with significant interaction.
- Monopolistic Market: Presence of a single seller controlling the market.
Product Differentiation Characteristics
- Homogeneous Products: Very similar or identical product features.
- Differentiated Products: Products distinguished by design, quality, branding, etc.
Ease of Market Entry
- Ease of Entry: No substantial barriers for market newcomers.
- Moderately Difficult Entry: Some barriers exist, but only a minimal challenge for potential entrants.
- Blockaded Entry: Severe barriers preventing entry, allowing existing firms to dominate prices.
SWOT Analysis
- A foundational model used for environmental scanning to identify:
- Strengths: Internal capabilities that give advantage.
- Weaknesses: Internal limitations or deficiencies.
- Opportunities: External chances to improve performance.
- Threats: External challenges that could impact success.
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Description
This quiz covers key concepts and processes in strategic management, including situation analysis and strategy formulation. Test your knowledge on how managers make decisions and evaluate the performance of their organizations. Perfect for students and professionals alike!
