GBA 490 Test 1 (meyer) With
Complete Solutions
Strategy - ANSWER is the set of actions that its managers take to outperform the
company's competitors and achieve superior profitability
Five most frequently used strategic approaches to set your self apart from the
rivals - ANSWER 1. low cost
2. broad differentiation
3. Focused low cost
4. focused differentiation
5. Best cost
objective of a well crafted strategy - ANSWER lasting success that can support,
growth, and secure the company's future over the long term
Strategy stands best chance of succeeding if: - ANSWER 1) appeals to
customers in a way that set there company part for its rivals
2) staking out a location that is not heavily crowded with strong competitors
Achieving a well craft strategy entails: - ANSWER 1. Attract and please
customers
2.compete with rivals
3. Place company in market place and and capitalize on attractive opportunities
to grow the business
4.Respond to changes both economic and market changes
5. Manage all functional aspect of the business
6. achieve company's performance goals
Competitive advantage - ANSWER Achieved when the company provides buyers
with superior value compared to rival sellers or offers the same value at a lower
cost to the firm.
Sustainable: - ANSWER If it persists despite the best efforts of competitors to
match or surpass this advantage
Deliberate strategy - ANSWER Consists of proactive strategy elements that are
planned
Emergent Strategy - ANSWER Consists of reactive strategy elements that
emerge as changing conditions warrant
, Business Model - ANSWER Set forth the logic for how its strategy will create
value for customers and at the same time generate revenues sufficient to cover
costs and realize a profit.
The core of every sound strategy - ANSWER business model
Two elements to a company's business model - ANSWER 1. its customer value
propostion (figuring out what pleases and appeal to the customer)
2. its profit formal (determining cost structure that will allow profits)
A winning Strategy must pass these three test: - ANSWER Fit, Competitive
advantage, and Performance tests
Fit test - ANSWER How well does the strategy fit the company's situation?
-strategy most be well matched to industry and competitive conditions
Competitive advantage Test: - ANSWER Is the strategy helping the company
achieve a sustainable competitive advantage?
Performance Test - ANSWER Is the strategy producing good company
performance?
1. good competitive strength
2. profitability and financial strength
Strategic plan - ANSWER Lays out its future direction, performance targets, and
strategy.
Strategic Vision - ANSWER Describes "where we are going" management
aspirations for the company and the course and direction charted to achieve
them
Strategy-making and strategy execution process - ANSWER 1. Develope a
strategic vision
2. Set objectives
3. Craft a strategy
4. Execute the strategy
5.Monitor developments and evaluate
Mission Statement - ANSWER Describes the enterprises present business and
purpose. "who we are, what we do, and why we are here."
-1) identifies the company's products and services
-2) specifies the buyer needs that the company seeks to satisfy and the
customer groups or markets that it serves
-3) give company its own identity
Complete Solutions
Strategy - ANSWER is the set of actions that its managers take to outperform the
company's competitors and achieve superior profitability
Five most frequently used strategic approaches to set your self apart from the
rivals - ANSWER 1. low cost
2. broad differentiation
3. Focused low cost
4. focused differentiation
5. Best cost
objective of a well crafted strategy - ANSWER lasting success that can support,
growth, and secure the company's future over the long term
Strategy stands best chance of succeeding if: - ANSWER 1) appeals to
customers in a way that set there company part for its rivals
2) staking out a location that is not heavily crowded with strong competitors
Achieving a well craft strategy entails: - ANSWER 1. Attract and please
customers
2.compete with rivals
3. Place company in market place and and capitalize on attractive opportunities
to grow the business
4.Respond to changes both economic and market changes
5. Manage all functional aspect of the business
6. achieve company's performance goals
Competitive advantage - ANSWER Achieved when the company provides buyers
with superior value compared to rival sellers or offers the same value at a lower
cost to the firm.
Sustainable: - ANSWER If it persists despite the best efforts of competitors to
match or surpass this advantage
Deliberate strategy - ANSWER Consists of proactive strategy elements that are
planned
Emergent Strategy - ANSWER Consists of reactive strategy elements that
emerge as changing conditions warrant
, Business Model - ANSWER Set forth the logic for how its strategy will create
value for customers and at the same time generate revenues sufficient to cover
costs and realize a profit.
The core of every sound strategy - ANSWER business model
Two elements to a company's business model - ANSWER 1. its customer value
propostion (figuring out what pleases and appeal to the customer)
2. its profit formal (determining cost structure that will allow profits)
A winning Strategy must pass these three test: - ANSWER Fit, Competitive
advantage, and Performance tests
Fit test - ANSWER How well does the strategy fit the company's situation?
-strategy most be well matched to industry and competitive conditions
Competitive advantage Test: - ANSWER Is the strategy helping the company
achieve a sustainable competitive advantage?
Performance Test - ANSWER Is the strategy producing good company
performance?
1. good competitive strength
2. profitability and financial strength
Strategic plan - ANSWER Lays out its future direction, performance targets, and
strategy.
Strategic Vision - ANSWER Describes "where we are going" management
aspirations for the company and the course and direction charted to achieve
them
Strategy-making and strategy execution process - ANSWER 1. Develope a
strategic vision
2. Set objectives
3. Craft a strategy
4. Execute the strategy
5.Monitor developments and evaluate
Mission Statement - ANSWER Describes the enterprises present business and
purpose. "who we are, what we do, and why we are here."
-1) identifies the company's products and services
-2) specifies the buyer needs that the company seeks to satisfy and the
customer groups or markets that it serves
-3) give company its own identity
