BSM600 FINAL EXAM LATEST UPDATE @
2024
Strategy - Answer A plan to gain and sustain competitive advantage
Importance of strategic management - Answer - Makes a difference
in how well a business performs
- Helps managers cope with uncertainty
- Helps people focus on the ways and direction to achieve goals
Competitive advantage - Answer Operating with an attribute or set of
attributes that allows an organization to outperform its rivals
Sustainable competitive advantage - Answer One that is difficult for
competitors to imitate
To create more value than competitors... - Answer The firm must
have unique resources and/or capabilities
Successful strategies - Answer 1) Where to compete
2) How to offer unique value
3) What resources or capabilities are necessary
4) How to sustain a competitive advantage once it has been achieved
Strategic sweet spot - Answer The point at which a company is able
to effectively meet the needs of its customers in a way that its
competitors cannot
Strategy process - Answer The process by which organizations
formulate a plan and allocate resources to achieve competitive
advantage
Strategy process involves making four strategic choices: - Answer 1)
Markets to compete in
,2) Unique value the firm will offer in those markets
3) The resources and capabilities required to offer that unique value
better than competitors
4) Ways to sustain the advantage by preventing imitation
Strategic management process: step 1 - Answer Identify the
organization's current mission, objectives, and strategies
Strategic management process: step 2 - Answer Conduct an internal
analysis
Strategic management process: step 3 - Answer Conduct an external
analysis
Strategic management process: step 4 - Answer Formulate
strategies
Strategic management process: step 5 - Answer Implement
strategies
Strategic management process: step 6 - Answer Evaluate results
SWOT analysis - Answer IdentifIES the positives and negatives inside
your organization and outside of it in the external environment
Mission - Answer A company's primary purpose that often specifies
the business or businesses in which the firm intends to compete- or
the customers it intends to serve
External analysis involves... - Answer 1) An examination of the
competition and the forces that shape industry competition and
profitability
2) Customer analysis to understand what customers really want
Internal analysis involves... - Answer 1) An analysis of the company's
set of resources and capabilities that can be deployed— or should be
developed- to deliver unique value to customers
Cost advantage - Answer An advantage that a firm has over its
,competitors in the activities associated with producing a product or
service, thereby allowing it to produce the same product at a lower
cost
Differentiation advantage - Answer An advantage a firm has over its
competitors by making a product more attractive by offering unique
qualities in the form of features, reliability, and convenience that
distinguishes it from competing products
Corporate strategy - Answer Decisions about what markets to
compete in, made by executives at the corporate level of an
organization
Business unit strategy - Answer Decisions about how to gain and
sustain advantage, made at the manager level for each standalone
business unit within a company
Functional strategy - Answer Decisions about how to effectively
implement the business unit strategy within functional areas like
finance, product development, operations, information technology,
sales and marketing, and customer service
Strategy implementation - Answer The translation of a chosen
strategy into organizational action to effectively implement the
activities required to achieve strategic goals and objectives
Strategy implementation requires... - Answer 1) The functional
strategies within the company are well aligned with delivering unique
value identified in the overall strategy.
2) The organization's structure, systems, staff, skills, style (culture),
and shared values are designed to facilitate the execution of the
strategy
Strategic leaders - Answer Organizational leaders charged with
formulating and implementing a strategy with the objective of
ensuring the survival and success of an organization
Deliberate strategy - Answer A plan or pattern of action that is
, formulated through a deliberate planning process that is then carried
out to achieve the mission or goals of an organization
Emergent strategy - Answer A plan or pattern of action that develops
and emerges over time in an organization despite a mission or goals
Organizations have four primary stakeholders groups: - Answer 1)
Capital market stakeholders (shareholders, banks, etc.)
2) Product market stakeholders (customers, suppliers)
3) Organizational stakeholders (employees)
4) Community stakeholders (communities, government bodies.
Community activists)
The landscape is typically defined by: - Answer 1) The industry (or
industries) in which a firm competes
2) The product and geographic markets within that industry that the
firm targets
External analysis requires an assessment of... - Answer - Industry
environment in which company operates
- The country of national environments in which company competes
The wider socioeconomic or macro environment that may affect the
company and its industry
Sector - Answer A general segment of the economy that contains
similar industries
2024
Strategy - Answer A plan to gain and sustain competitive advantage
Importance of strategic management - Answer - Makes a difference
in how well a business performs
- Helps managers cope with uncertainty
- Helps people focus on the ways and direction to achieve goals
Competitive advantage - Answer Operating with an attribute or set of
attributes that allows an organization to outperform its rivals
Sustainable competitive advantage - Answer One that is difficult for
competitors to imitate
To create more value than competitors... - Answer The firm must
have unique resources and/or capabilities
Successful strategies - Answer 1) Where to compete
2) How to offer unique value
3) What resources or capabilities are necessary
4) How to sustain a competitive advantage once it has been achieved
Strategic sweet spot - Answer The point at which a company is able
to effectively meet the needs of its customers in a way that its
competitors cannot
Strategy process - Answer The process by which organizations
formulate a plan and allocate resources to achieve competitive
advantage
Strategy process involves making four strategic choices: - Answer 1)
Markets to compete in
,2) Unique value the firm will offer in those markets
3) The resources and capabilities required to offer that unique value
better than competitors
4) Ways to sustain the advantage by preventing imitation
Strategic management process: step 1 - Answer Identify the
organization's current mission, objectives, and strategies
Strategic management process: step 2 - Answer Conduct an internal
analysis
Strategic management process: step 3 - Answer Conduct an external
analysis
Strategic management process: step 4 - Answer Formulate
strategies
Strategic management process: step 5 - Answer Implement
strategies
Strategic management process: step 6 - Answer Evaluate results
SWOT analysis - Answer IdentifIES the positives and negatives inside
your organization and outside of it in the external environment
Mission - Answer A company's primary purpose that often specifies
the business or businesses in which the firm intends to compete- or
the customers it intends to serve
External analysis involves... - Answer 1) An examination of the
competition and the forces that shape industry competition and
profitability
2) Customer analysis to understand what customers really want
Internal analysis involves... - Answer 1) An analysis of the company's
set of resources and capabilities that can be deployed— or should be
developed- to deliver unique value to customers
Cost advantage - Answer An advantage that a firm has over its
,competitors in the activities associated with producing a product or
service, thereby allowing it to produce the same product at a lower
cost
Differentiation advantage - Answer An advantage a firm has over its
competitors by making a product more attractive by offering unique
qualities in the form of features, reliability, and convenience that
distinguishes it from competing products
Corporate strategy - Answer Decisions about what markets to
compete in, made by executives at the corporate level of an
organization
Business unit strategy - Answer Decisions about how to gain and
sustain advantage, made at the manager level for each standalone
business unit within a company
Functional strategy - Answer Decisions about how to effectively
implement the business unit strategy within functional areas like
finance, product development, operations, information technology,
sales and marketing, and customer service
Strategy implementation - Answer The translation of a chosen
strategy into organizational action to effectively implement the
activities required to achieve strategic goals and objectives
Strategy implementation requires... - Answer 1) The functional
strategies within the company are well aligned with delivering unique
value identified in the overall strategy.
2) The organization's structure, systems, staff, skills, style (culture),
and shared values are designed to facilitate the execution of the
strategy
Strategic leaders - Answer Organizational leaders charged with
formulating and implementing a strategy with the objective of
ensuring the survival and success of an organization
Deliberate strategy - Answer A plan or pattern of action that is
, formulated through a deliberate planning process that is then carried
out to achieve the mission or goals of an organization
Emergent strategy - Answer A plan or pattern of action that develops
and emerges over time in an organization despite a mission or goals
Organizations have four primary stakeholders groups: - Answer 1)
Capital market stakeholders (shareholders, banks, etc.)
2) Product market stakeholders (customers, suppliers)
3) Organizational stakeholders (employees)
4) Community stakeholders (communities, government bodies.
Community activists)
The landscape is typically defined by: - Answer 1) The industry (or
industries) in which a firm competes
2) The product and geographic markets within that industry that the
firm targets
External analysis requires an assessment of... - Answer - Industry
environment in which company operates
- The country of national environments in which company competes
The wider socioeconomic or macro environment that may affect the
company and its industry
Sector - Answer A general segment of the economy that contains
similar industries
