Exam 1 Crafting and Executing Strategy
Strategic Competitiveness - ANSWER...-A set of actions taken by managers to
outperform competitors and achieve superior profitability.
Strategic Competitiveness Actions - ANSWER...-How to attract and please customers
How to compete against rivals
Capitalizing on attractive opportunities to grow the company
How to respond to economic changes and market conditions
How to manage each piece of business
How to achieve company goals
Competitive Advantage - ANSWER...-When companies provide buyers with superior
value or offers the same value at a lower price.
To maintain competitive advantage managers should have proactive and reactive
reactions to rival companies.
Companies could have a stronger brand, customer service, better reviews, price, or
value.
Above Average Return - ANSWER...-When an investment receives a larger amount of
returns than what was expected. This could be due to good strategic plans inside and
outside the business.
Difference between strategic mission and vision and explain. - ANSWER...-Strategic
mission describes the scope and purpose of the current business. This describes who
they are, what they do, why they do it. Strategic vision describes where the company is
going. The difference would be that the mission is what they have already accomplished
and why they are doing it, and vission will set up where the company will head into the
future.
What should a firm do to earn above average return? 5 Things - ANSWER...-1. Low
cost provider strategy- Having a cost based advantage over rivals. Something like
Walmart
2.Broad differentiation strategy - Being different compared to other rivals. Like BMW
having a product that's german engineered.
3. Focused low-cost strategy - concentrating on low prices in a narrow market
4. Focused differentiation strategy - focusing on a narrow market with customized
attributes to satisfy the needs and tastes of customers.
5. Best-cost provider strategy - Providing the best value at the lowest price while also
satisfying customers.
, What are the parts of the strategic management process? How are these parts
interrelated. 5 things - ANSWER...-1. Developing a strategic vision
2. Setting objectives
3. Crafting a strategy
4. Executing the chosen strategy
5. Monitoring developments, evaluating performance, and initiating corrective
adjustments
-These parts are all interrelated because without one of the parts it wont work out. Kinda
like baking a cake.
What does the strategy making and strategy executing process entail - ANSWER...-1.
Developing a strategic vision - Looking at where the company stands and describing
where its heading.
2. Setting objectives - Setting goals so the company can measure performance and
track progress.
3. Crafting a strategy so the company advances along the path management.
4. Executing the chosen strategy efficiently and effectively.
5. Monitoring developments, evaluating performance, and initiating corrective
adjustments. Focus on where the company is and discussing if proactive adjustments
should be taken.
What role does the board of directors play in the strategic management process? -
ANSWER...-The board of directors have four key obligations they need to oversee.
1. Oversee the company's financial accounting and financial reporting practices.
2. Critically appraise the company's direction, strategy, and business approaches.
3. Evaluate the caliber of senior executives strategic leadership skills
4. Institute a compensation plan for top executives that rewards them for actions and
results that serve shareholders interest.
Why is it important to set strategic objectives and financial objectives. - ANSWER...-A
stronger market standing and greater competitive vitality. Especially when accompanied
by competitive advantage. Its what enables a company to improve its financial
performance.
Explain Balance Scorecard...what is it?......Why is it used? .....HOWs it used? -
ANSWER...-A balance scorecard is a widely used method for combining the use of both
strategic and financial objectives into a viewable system for employees and
management to see. It's used to track achievements and give management a more
complete and balanced view of how well an organization is performing.
Explain WHY, strategic initiatives must include all levels of the organization and be
tightly co-ordinated? - ANSWER...-Strategic initiatives must include all levels of the
organization so there are clear guidelines about how their jobs are linked to the overall
objectives of the organization. It should be tightly co-ordinated so that each level of the
organization can be responsible for actions leading to up to the strategic and financial
goals of the company.
Strategic Competitiveness - ANSWER...-A set of actions taken by managers to
outperform competitors and achieve superior profitability.
Strategic Competitiveness Actions - ANSWER...-How to attract and please customers
How to compete against rivals
Capitalizing on attractive opportunities to grow the company
How to respond to economic changes and market conditions
How to manage each piece of business
How to achieve company goals
Competitive Advantage - ANSWER...-When companies provide buyers with superior
value or offers the same value at a lower price.
To maintain competitive advantage managers should have proactive and reactive
reactions to rival companies.
Companies could have a stronger brand, customer service, better reviews, price, or
value.
Above Average Return - ANSWER...-When an investment receives a larger amount of
returns than what was expected. This could be due to good strategic plans inside and
outside the business.
Difference between strategic mission and vision and explain. - ANSWER...-Strategic
mission describes the scope and purpose of the current business. This describes who
they are, what they do, why they do it. Strategic vision describes where the company is
going. The difference would be that the mission is what they have already accomplished
and why they are doing it, and vission will set up where the company will head into the
future.
What should a firm do to earn above average return? 5 Things - ANSWER...-1. Low
cost provider strategy- Having a cost based advantage over rivals. Something like
Walmart
2.Broad differentiation strategy - Being different compared to other rivals. Like BMW
having a product that's german engineered.
3. Focused low-cost strategy - concentrating on low prices in a narrow market
4. Focused differentiation strategy - focusing on a narrow market with customized
attributes to satisfy the needs and tastes of customers.
5. Best-cost provider strategy - Providing the best value at the lowest price while also
satisfying customers.
, What are the parts of the strategic management process? How are these parts
interrelated. 5 things - ANSWER...-1. Developing a strategic vision
2. Setting objectives
3. Crafting a strategy
4. Executing the chosen strategy
5. Monitoring developments, evaluating performance, and initiating corrective
adjustments
-These parts are all interrelated because without one of the parts it wont work out. Kinda
like baking a cake.
What does the strategy making and strategy executing process entail - ANSWER...-1.
Developing a strategic vision - Looking at where the company stands and describing
where its heading.
2. Setting objectives - Setting goals so the company can measure performance and
track progress.
3. Crafting a strategy so the company advances along the path management.
4. Executing the chosen strategy efficiently and effectively.
5. Monitoring developments, evaluating performance, and initiating corrective
adjustments. Focus on where the company is and discussing if proactive adjustments
should be taken.
What role does the board of directors play in the strategic management process? -
ANSWER...-The board of directors have four key obligations they need to oversee.
1. Oversee the company's financial accounting and financial reporting practices.
2. Critically appraise the company's direction, strategy, and business approaches.
3. Evaluate the caliber of senior executives strategic leadership skills
4. Institute a compensation plan for top executives that rewards them for actions and
results that serve shareholders interest.
Why is it important to set strategic objectives and financial objectives. - ANSWER...-A
stronger market standing and greater competitive vitality. Especially when accompanied
by competitive advantage. Its what enables a company to improve its financial
performance.
Explain Balance Scorecard...what is it?......Why is it used? .....HOWs it used? -
ANSWER...-A balance scorecard is a widely used method for combining the use of both
strategic and financial objectives into a viewable system for employees and
management to see. It's used to track achievements and give management a more
complete and balanced view of how well an organization is performing.
Explain WHY, strategic initiatives must include all levels of the organization and be
tightly co-ordinated? - ANSWER...-Strategic initiatives must include all levels of the
organization so there are clear guidelines about how their jobs are linked to the overall
objectives of the organization. It should be tightly co-ordinated so that each level of the
organization can be responsible for actions leading to up to the strategic and financial
goals of the company.
