SEVI 30103 Exam 1
1. What is strategy?: A set of actions taken to gain and sustain competitive advan- tage
2. What is strategic management?: A combination of analysis, formulation, and implementation
to achieve competitive advantage
3. What are the 3 elements that provide the basis of a good strategy?: - Analysis of industry
- formulation of strategy
- Implementation of strategy
4. What are the three elements of Tesla's strategy?: Analysis: Need to manufac- ture affordable
vehicles and build required infrastructure
Formulation: Build cost competitive vehicles and invest in lithium ion battery produc- tion
Implementation: Ramp up production, build new factories, release technology to the public
5. What is competitive advantage?: When a firm performs better than its competi- tors or the
industry average
6. What is competitive parity?: When two or more firms perform at an equal or similar level
7. What is competitive disadvantage?: When a firm performs below its competi- tors or the
industry average
8. What is sustainable CA?: When a firm holds a competitive advantage for a sustained
period of time
9. What actions can a firm take to gain CA?: By providing goods that are of a higher quality or
equal quality but cheaper
10.Why is it important for a firm to establish a unique strategic positioning?-
: Allows the firm to provide value while controlling costs
11.Who are stakeholders?: Stakeholders are people who can affect or be affected by
performance of the firm (have skin in the game)
12.What are the interests/claims of different stakeholder groups?: - Internal stakeholders are
mainly focused on the company's success
- External stakeholders are mainly focused on the quality of the company's prod- uct/service
13.What role do stakeholders play in strategic decision making?: Stakeholders can provide a firm
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, SEVI 30103 Exam 1
with helpful feedback, expertise, and guide them in the right direction
14.What is the difference between internal and external stakeholders?: Inter- nal stakeholders are
on the inside of a firm while external stakeholders are on the outside
2/
12
1. What is strategy?: A set of actions taken to gain and sustain competitive advan- tage
2. What is strategic management?: A combination of analysis, formulation, and implementation
to achieve competitive advantage
3. What are the 3 elements that provide the basis of a good strategy?: - Analysis of industry
- formulation of strategy
- Implementation of strategy
4. What are the three elements of Tesla's strategy?: Analysis: Need to manufac- ture affordable
vehicles and build required infrastructure
Formulation: Build cost competitive vehicles and invest in lithium ion battery produc- tion
Implementation: Ramp up production, build new factories, release technology to the public
5. What is competitive advantage?: When a firm performs better than its competi- tors or the
industry average
6. What is competitive parity?: When two or more firms perform at an equal or similar level
7. What is competitive disadvantage?: When a firm performs below its competi- tors or the
industry average
8. What is sustainable CA?: When a firm holds a competitive advantage for a sustained
period of time
9. What actions can a firm take to gain CA?: By providing goods that are of a higher quality or
equal quality but cheaper
10.Why is it important for a firm to establish a unique strategic positioning?-
: Allows the firm to provide value while controlling costs
11.Who are stakeholders?: Stakeholders are people who can affect or be affected by
performance of the firm (have skin in the game)
12.What are the interests/claims of different stakeholder groups?: - Internal stakeholders are
mainly focused on the company's success
- External stakeholders are mainly focused on the quality of the company's prod- uct/service
13.What role do stakeholders play in strategic decision making?: Stakeholders can provide a firm
1/
12
, SEVI 30103 Exam 1
with helpful feedback, expertise, and guide them in the right direction
14.What is the difference between internal and external stakeholders?: Inter- nal stakeholders are
on the inside of a firm while external stakeholders are on the outside
2/
12
