BUSINESS STRATEGY, FINAL EXAM
EXPECTED QUESTIONS WITH VERIFIED ANSWERS
Question 1.
Hybrid
ANSWER
Think global, act local
Both global efficiency and local responsiveness
Question 2.
Best Value
ANSWER
Deliver superior value by meeting or exceeding buyer expectations on product attributes &
beating their price expectations
Between pursuing a low-cost advantage and a differentiation advantage
Question 3.
Values
ANSWER
guide the actions/behaviors of personnel in conducting firm business
Question 4.
execution
ANSWER
operations driven
,Question 5.
when Nice works best
ANSWER
-Target big enough to be profitable and offers good growth potential
-The industry has many different niches and segments, affording opportunities to specialize
(few rivals, limited/no presence by industry stalwarts in niche)
-Costly or difficult for multi-segment competitors to meet specialized needs
Question 6.
Differentiation Strategy
ANSWER
-Maintain customer-centric focus on needs/wants
-Build brand equity, create awareness through targeted marketing
-Premium pricing, stay ahead of trends, focus on product innovation
-Still must manage costs across VC - focus on where value added
Question 7.
5 P's of strategy
ANSWER
1. Plan
2. Ploy
3. Pattern
4. Position
5. Perspective
6th: Process
Question 8.
Relativism
ANSWER
there are meaningful variations in what societies generally agree to be fair or unfair, moral or
immoral, and ethically right or wrong
, Question 9.
Drivers of international strategy
ANSWER
1. global communications
2.pressure to reduce cost
3. increased similarity of lifestyles
4. fast communications
Question 10.
Value chain
ANSWER
Primary Activities: Deal with product's physical creation, its sale and distribution to buyers, and
its service after the sale
Secondary/Support Activities: Provide assistance necessary for the primary activities to take
place
Question 11.
Low Cost: Implementation
ANSWER
-Centralized staff coordinates functions
-Operations is the primary functional consideration
Process engineering emphasized (rather than product R&D)
-Formalized procedures allow for efficiency and emergence of low-cost culture
-Overall structure is somewhat rigid, causing job roles to be more structured.
Question 12.
3 Strategic Questions
ANSWER
1.What is the firm's present situation?
2. What direction to head and what performance targets to set?
3. How to run the firm in ways that produce good results?
EXPECTED QUESTIONS WITH VERIFIED ANSWERS
Question 1.
Hybrid
ANSWER
Think global, act local
Both global efficiency and local responsiveness
Question 2.
Best Value
ANSWER
Deliver superior value by meeting or exceeding buyer expectations on product attributes &
beating their price expectations
Between pursuing a low-cost advantage and a differentiation advantage
Question 3.
Values
ANSWER
guide the actions/behaviors of personnel in conducting firm business
Question 4.
execution
ANSWER
operations driven
,Question 5.
when Nice works best
ANSWER
-Target big enough to be profitable and offers good growth potential
-The industry has many different niches and segments, affording opportunities to specialize
(few rivals, limited/no presence by industry stalwarts in niche)
-Costly or difficult for multi-segment competitors to meet specialized needs
Question 6.
Differentiation Strategy
ANSWER
-Maintain customer-centric focus on needs/wants
-Build brand equity, create awareness through targeted marketing
-Premium pricing, stay ahead of trends, focus on product innovation
-Still must manage costs across VC - focus on where value added
Question 7.
5 P's of strategy
ANSWER
1. Plan
2. Ploy
3. Pattern
4. Position
5. Perspective
6th: Process
Question 8.
Relativism
ANSWER
there are meaningful variations in what societies generally agree to be fair or unfair, moral or
immoral, and ethically right or wrong
, Question 9.
Drivers of international strategy
ANSWER
1. global communications
2.pressure to reduce cost
3. increased similarity of lifestyles
4. fast communications
Question 10.
Value chain
ANSWER
Primary Activities: Deal with product's physical creation, its sale and distribution to buyers, and
its service after the sale
Secondary/Support Activities: Provide assistance necessary for the primary activities to take
place
Question 11.
Low Cost: Implementation
ANSWER
-Centralized staff coordinates functions
-Operations is the primary functional consideration
Process engineering emphasized (rather than product R&D)
-Formalized procedures allow for efficiency and emergence of low-cost culture
-Overall structure is somewhat rigid, causing job roles to be more structured.
Question 12.
3 Strategic Questions
ANSWER
1.What is the firm's present situation?
2. What direction to head and what performance targets to set?
3. How to run the firm in ways that produce good results?