MGMT 478 Exam 1 UPDATED ACTUAL Questions And Correct Answers
Terms in this set (84)
Strategic Management Intended and Realized Strategy
Intended Strategy Decisions are only determined by analysis
Realized Strategy Decisions are determined by both analysis and unforeseen environmental
developments, unanticipated resource constraints, and/or changes in managerial
preferences
Strategic Management consists of the analyses, decisions, and actions an organization undertakes in
order to create and sustain competitive advantages
In strategic management, Leaders must make strategic decisions
Leaders must be ______, _________, and __________ refine their proactive, anticipate change, and continually
strategies
Strategic Analysis Consists of "advance work" that must be done in order to effectively formulate
and implement strategies
Starting point of strategic analysis Internal and external
Strategy formulation Decisions made by firms regarding investments, commitments, etc
Strategy formulation consist of several levels, including Business-level and corporate level
Strategy Implementation Ensuring proper controls and organizational designs
Establishing effective means to coordinate and integrate activities within the firm
as wells with suppliers, customers, and alliance partners
Two fundamental questions How should we compete in order to create competitive advantages in the
marketplace?
How can we ensure those competitive advantages are sustainable?
Strategy Basics #1 Corporate Governance Structures
Corporate Governance The relationship among various participants in determining the direction and
performance of corporations
Primary Players in Corporate Governance - Shareholders
- Management (incl. CEO)
- Board of directors
, Corporate Governance: Board of Directors - Elected representatives of the owners
- Provide oversight of management
- Criticism that they fail to effectively do this
- Cronyism, mismanagement, malfeasance
Strategy Basic #2 Theories of Stake Holder Managment
Stakeholder Management Zero Sum View - Stakeholders compete for attention and resources of the organization
- Gain of one is a loss to the other
- Rooted in the traditional conflict between workers and management
Stakeholder Management: Stakeholder symbiosis view -Stakeholders are dependent upon each other for their success and well-being
-Mutual benefits
Social Responsibilities The expectation that businesses or individuals will
strive to improve the overall welfare of society
◦ Managers must take active steps to make society better
◦ Socially responsible behavior changes over time
◦ Environmental sustainability has certainly become top concern
Triple Bottom Line Assessment of a company's performance on financial,
social, and environmental dimensions
Strategy Basics #3 Strategy is Goal Oriented
Hierarchy of Goals organizational goals ranging from, at the top, those that
are less specific yet able to evoke powerful and
compelling mental images, to, at the bottom, those that
are more specific and measurable.
◦ Vision
◦ Mission statement
◦ Strategic objectives
Coherence in Strategic Direction: Company Vision Company Vision
Massively inspiring
Overarching
Long-term
Driven by and evokes
passion
Fundamental statement of
the organization's
◦ Values
◦ Aspiration
◦ Goals
Coherence in Strategic Direction: Mission Statement Mission statements
Purpose of the company
Basis of competition and
competitive advantages
More specific than vision
Focused on the means by
which the firm will compete
Terms in this set (84)
Strategic Management Intended and Realized Strategy
Intended Strategy Decisions are only determined by analysis
Realized Strategy Decisions are determined by both analysis and unforeseen environmental
developments, unanticipated resource constraints, and/or changes in managerial
preferences
Strategic Management consists of the analyses, decisions, and actions an organization undertakes in
order to create and sustain competitive advantages
In strategic management, Leaders must make strategic decisions
Leaders must be ______, _________, and __________ refine their proactive, anticipate change, and continually
strategies
Strategic Analysis Consists of "advance work" that must be done in order to effectively formulate
and implement strategies
Starting point of strategic analysis Internal and external
Strategy formulation Decisions made by firms regarding investments, commitments, etc
Strategy formulation consist of several levels, including Business-level and corporate level
Strategy Implementation Ensuring proper controls and organizational designs
Establishing effective means to coordinate and integrate activities within the firm
as wells with suppliers, customers, and alliance partners
Two fundamental questions How should we compete in order to create competitive advantages in the
marketplace?
How can we ensure those competitive advantages are sustainable?
Strategy Basics #1 Corporate Governance Structures
Corporate Governance The relationship among various participants in determining the direction and
performance of corporations
Primary Players in Corporate Governance - Shareholders
- Management (incl. CEO)
- Board of directors
, Corporate Governance: Board of Directors - Elected representatives of the owners
- Provide oversight of management
- Criticism that they fail to effectively do this
- Cronyism, mismanagement, malfeasance
Strategy Basic #2 Theories of Stake Holder Managment
Stakeholder Management Zero Sum View - Stakeholders compete for attention and resources of the organization
- Gain of one is a loss to the other
- Rooted in the traditional conflict between workers and management
Stakeholder Management: Stakeholder symbiosis view -Stakeholders are dependent upon each other for their success and well-being
-Mutual benefits
Social Responsibilities The expectation that businesses or individuals will
strive to improve the overall welfare of society
◦ Managers must take active steps to make society better
◦ Socially responsible behavior changes over time
◦ Environmental sustainability has certainly become top concern
Triple Bottom Line Assessment of a company's performance on financial,
social, and environmental dimensions
Strategy Basics #3 Strategy is Goal Oriented
Hierarchy of Goals organizational goals ranging from, at the top, those that
are less specific yet able to evoke powerful and
compelling mental images, to, at the bottom, those that
are more specific and measurable.
◦ Vision
◦ Mission statement
◦ Strategic objectives
Coherence in Strategic Direction: Company Vision Company Vision
Massively inspiring
Overarching
Long-term
Driven by and evokes
passion
Fundamental statement of
the organization's
◦ Values
◦ Aspiration
◦ Goals
Coherence in Strategic Direction: Mission Statement Mission statements
Purpose of the company
Basis of competition and
competitive advantages
More specific than vision
Focused on the means by
which the firm will compete
