SGMA 591 Midterm correctly answered
to pass graded A+
What are the common elements in successful strategies? - correct answer ✔✔effective
implementation
- simple consistent, long-term goals
- profound understanding of the competitive environment
- objective appraisal of resources
What was the evolution of strategic management? - correct answer ✔✔- 1950s: Financial
budgeting
- 1960s: corporate planning (medium term and economic forecasts)
- 1970s: Emergence of strategic management (industry analysis and competitive positioning)
- 1980s & 90s: The quest for competitive advantage (resources and capabilities; shareholder
value maximization; refocusing, outsourcing, cost cutting)
-2000s-2010s: Adapting to Turbulence (exploiting info and communication technology; flexibility
and strategic innovation; strategic alliances; social and environmental responsibility)
What is the overview of a corporate strategy? - correct answer ✔✔where to compete - industry
attractiveness - which industries should we be in?
What is the overview of a business strategy? - correct answer ✔✔how do I win - competitive
advantage - how should we compete?
What is the strategy heirarchy? - correct answer ✔✔corporate strategy -> business strategy ->
functional area strategies -> operating strategies
,What aspects are included in strategy as positioning? - correct answer ✔✔Where are we
competing?
- product scope
- geographical
- vertical scope
How are we competing?
- what is the basis of our competitive advantage?
Competing for the present
What aspects are included in strategy as direction? - correct answer ✔✔What do we want to
become?
- vision statement
What do we want to achieve?
- mission statement
- performance goals
How will we get there?
- guidelines for development
- priorities for capital expenditures, R&D
- growth modes: organic, M&A, alliances
What is a mission statement? - correct answer ✔✔focuses on today and why the organization
exists. What they do/core of the business
What is a vision statement? - correct answer ✔✔focuses on tomorrow and gives an
organization direction (Where do we go from here?)
- guiding philosophy
, What are some components of a vision statement? - correct answer ✔✔-should significantly
stretch the resources and capabilities of the firm
- should inspire people in the organization to achieve things they never thought possible
- should unite people toward one common goal
What are the components of a mission statement? - correct answer ✔✔- short, to the point
- why org exists and what it is to achieve
- how org will serve those affected by its work
What are the three basic elements of strategy? - correct answer ✔✔- corporate objective =
ends (what is the corp trying to achieve?)
- scope = domain (part of the business landscape in which your company will operate)
- competitive advantage = means (what will you do differently or better than competitors?)
What is a corporate object and what is it not? - correct answer ✔✔is:
- a single precise goal that will drive the company
- SMART: specific, measurable, actionable, realistic, time-bound
is not:
- the same a mission or vision
- generic
What is scope? - correct answer ✔✔What business are we really in?
- may be larger than initially expected
What are the two components of competitive advantage? - correct answer ✔✔- unique
activities: aligned internal activities to deliver the customer value proposition
- value proposition: why customers should buy your products or services over alternatives
to pass graded A+
What are the common elements in successful strategies? - correct answer ✔✔effective
implementation
- simple consistent, long-term goals
- profound understanding of the competitive environment
- objective appraisal of resources
What was the evolution of strategic management? - correct answer ✔✔- 1950s: Financial
budgeting
- 1960s: corporate planning (medium term and economic forecasts)
- 1970s: Emergence of strategic management (industry analysis and competitive positioning)
- 1980s & 90s: The quest for competitive advantage (resources and capabilities; shareholder
value maximization; refocusing, outsourcing, cost cutting)
-2000s-2010s: Adapting to Turbulence (exploiting info and communication technology; flexibility
and strategic innovation; strategic alliances; social and environmental responsibility)
What is the overview of a corporate strategy? - correct answer ✔✔where to compete - industry
attractiveness - which industries should we be in?
What is the overview of a business strategy? - correct answer ✔✔how do I win - competitive
advantage - how should we compete?
What is the strategy heirarchy? - correct answer ✔✔corporate strategy -> business strategy ->
functional area strategies -> operating strategies
,What aspects are included in strategy as positioning? - correct answer ✔✔Where are we
competing?
- product scope
- geographical
- vertical scope
How are we competing?
- what is the basis of our competitive advantage?
Competing for the present
What aspects are included in strategy as direction? - correct answer ✔✔What do we want to
become?
- vision statement
What do we want to achieve?
- mission statement
- performance goals
How will we get there?
- guidelines for development
- priorities for capital expenditures, R&D
- growth modes: organic, M&A, alliances
What is a mission statement? - correct answer ✔✔focuses on today and why the organization
exists. What they do/core of the business
What is a vision statement? - correct answer ✔✔focuses on tomorrow and gives an
organization direction (Where do we go from here?)
- guiding philosophy
, What are some components of a vision statement? - correct answer ✔✔-should significantly
stretch the resources and capabilities of the firm
- should inspire people in the organization to achieve things they never thought possible
- should unite people toward one common goal
What are the components of a mission statement? - correct answer ✔✔- short, to the point
- why org exists and what it is to achieve
- how org will serve those affected by its work
What are the three basic elements of strategy? - correct answer ✔✔- corporate objective =
ends (what is the corp trying to achieve?)
- scope = domain (part of the business landscape in which your company will operate)
- competitive advantage = means (what will you do differently or better than competitors?)
What is a corporate object and what is it not? - correct answer ✔✔is:
- a single precise goal that will drive the company
- SMART: specific, measurable, actionable, realistic, time-bound
is not:
- the same a mission or vision
- generic
What is scope? - correct answer ✔✔What business are we really in?
- may be larger than initially expected
What are the two components of competitive advantage? - correct answer ✔✔- unique
activities: aligned internal activities to deliver the customer value proposition
- value proposition: why customers should buy your products or services over alternatives
