Strategic Management Exam 1 UPDATED ACTUAL Questions
and CORRECT Answers
Terms in this set (88)
3 key questions to strategic management what is the business strategy?
what information and analysis guides strategy formulation?
how are strategies formulated?
, business strategy plan to achieve competitive advantage that involves making 4 inter related
strategic choices
4 strategic choices involved in business strategy 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
competitive advantage when a firm generates consistently higher profits compared to its
competitors
market the industry, customer segment, or geographic area that a company
competes in
unique value reason a firm wins with customers, or the value proposition it offers to
customers
to gain competitive strategy firms need to 1. provide goods or services consumers value more highly than those of
competitors
OR
2. provide goods or services similar to those of competitors at a lower cost
the rewards of superior value creation and capture profitability and market share
are
strategy creation of a unique and valuable position, involving a different set of
activities
requires you to make trade offs
involves creating a fit among a company's activities
consistency is key in strategy
strategic management process process by which organizations formulate a plan and allocate resources to
achieve competitive advantage that involves making 4 strategic choices
4 strategic choices involved in the strategic 1. markets to compete in
management process 2. unique value the firm will offer
3. resources and capabilities required to offer that unique value
4. ways to sustain the advantage by preventing imitation
external analysis examining the forces that influence industry attractiveness including
opportunities and threats that exist in the environments
internal analysis analysis of a firms resources and capabilities its strengths and weaknesses
to assess how effectively the firm is able to deliver the unique value that it
hopes to provide to customers
and CORRECT Answers
Terms in this set (88)
3 key questions to strategic management what is the business strategy?
what information and analysis guides strategy formulation?
how are strategies formulated?
, business strategy plan to achieve competitive advantage that involves making 4 inter related
strategic choices
4 strategic choices involved in business strategy 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
competitive advantage when a firm generates consistently higher profits compared to its
competitors
market the industry, customer segment, or geographic area that a company
competes in
unique value reason a firm wins with customers, or the value proposition it offers to
customers
to gain competitive strategy firms need to 1. provide goods or services consumers value more highly than those of
competitors
OR
2. provide goods or services similar to those of competitors at a lower cost
the rewards of superior value creation and capture profitability and market share
are
strategy creation of a unique and valuable position, involving a different set of
activities
requires you to make trade offs
involves creating a fit among a company's activities
consistency is key in strategy
strategic management process process by which organizations formulate a plan and allocate resources to
achieve competitive advantage that involves making 4 strategic choices
4 strategic choices involved in the strategic 1. markets to compete in
management process 2. unique value the firm will offer
3. resources and capabilities required to offer that unique value
4. ways to sustain the advantage by preventing imitation
external analysis examining the forces that influence industry attractiveness including
opportunities and threats that exist in the environments
internal analysis analysis of a firms resources and capabilities its strengths and weaknesses
to assess how effectively the firm is able to deliver the unique value that it
hopes to provide to customers
