The Process of Strategy Development: Deliberate, Emergent, Incremental Strategy

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In strategic management, what does 'strategic position' refer to?

Analyzing internal processes

Understanding competitors' success factors (correct)

Forecasting economic trends

Evaluating employee performance

What are the three elements of strategic management according to Johnson, Scholes, and Whittington?

Strategic position, strategic choices, and strategic into action (correct)

Productivity, efficiency, and innovation

Market share, revenue growth, and customer satisfaction

Employee satisfaction, cost reduction, and quality control

Why is it important for senior management to understand the factors in the business environment?

To predict changes in technology (correct)

To monitor employee absenteeism

To reduce operational costs

To increase product variety

What types of changes in the business environment should management consider?

Changes in customer preferences Signup and view all the answers

What does the term 'strategic into action' imply in the context of strategic management?

Implementing tactical plans Signup and view all the answers

How do rival companies compare with each other according to strategic position analysis?

They compete for market dominance Signup and view all the answers

What is involved in an analysis of the business environment according to Johnson, Scholes, and Whittington?

Evaluation of threats and opportunities Signup and view all the answers

Why should objectives be realistic according to the text?

To align with the company's current capabilities Signup and view all the answers

What is the purpose of analyzing the strategic capability of an entity?

To understand what the entity can achieve Signup and view all the answers

What are some examples of strategic options mentioned in the text?

Growth, acquisition, diversification, concentration Signup and view all the answers

How do strategic choices at one level influence choices at other levels?

By influencing choices at other levels Signup and view all the answers

At what level do corporate-level decisions need to be made?

Corporate level Signup and view all the answers

What is the main emphasis of deliberate strategy in strategic planning?

Focusing on the organization's vision and mission Signup and view all the answers

According to Michael Porter, what is one key aspect of strategy?

Deliberately choosing to be different Signup and view all the answers

Which of the following is not considered a generic competitive strategy according to the text?

Market penetration strategy Signup and view all the answers

What must a company assess to understand possible challenges in realizing business objectives?

Political, economic, social, and technological environment Signup and view all the answers

Why is internal capacity and capability considered important in achieving a competitive advantage?

To complement favorable market conditions Signup and view all the answers

What is a key factor that encourages major innovation?

Variety and diversity Signup and view all the answers

Why is innovative thinking unlikely to happen in a traditional hierarchical organization?

Formal lines of authority and responsibility stifle new ideas Signup and view all the answers

According to Johnson and Scholes, what insight do all three strategy lenses provide into strategy?

They offer different insights Signup and view all the answers

Why is it useful to study business analysis and strategy as an organized process?

To understand the issues in strategic management Signup and view all the answers

What type of environment is most likely to encourage new ideas and innovative thinking?

Diverse and changing environment Signup and view all the answers

What should management be prepared to do according to the text?

Use all three strategy lenses as needed Signup and view all the answers

What is the main purpose of the rational planning model?

Formally achieving clearly-established objectives Signup and view all the answers

Which level is NOT considered in the multi-layered strategic planning process of the rational planning model?

Middle management strategy Signup and view all the answers

What is the first stage in the gap analysis approach to strategic development?

Identifying objectives and setting targets Signup and view all the answers

How is the gap between the current position and the desired position expressed in gap analysis?

By measuring total annual sales revenue and profitability Signup and view all the answers

In strategic development, what is the purpose of choosing and implementing strategies according to the text?

To fill the strategic gap to achieve objectives Signup and view all the answers

Which framework provides an alternative to the rational planning model for formal strategic planning and development?

Gap analysis Signup and view all the answers