Instructor Manual for Crafting & Executing
Strategy The Quest for Competitive Advantage
Concepts and Cases 2024 Release Edition By
Arthur Thompson, Margaret Peteraf, John
Gamble, Strickland (All Chapters 1-12, 100%
Original Verified, A+ Grade)
Section 1: Lecture Notes
Section 2: Case Teaching Notes: 1-27
Section 3: Chapter Feature and Overview
Section 4: Course Strategy
Section 5: Course Organization
Section 6: Sample Syllabi
This is the Original Instructor Manual for
2024 Release Edition, All Other Files in
the Market are Wrong/Old/Incomplete
Questions.
,Lecture Notes Chapter 1 What Is Strategy and Why Is It Important?
CHAPTER 1 Section 1
WHAT IS STRATEGY AND WHY IS IT
IMPORTANT?
CHAPTER SUMMARY
Chapter 1 defines the concept of strategy and describes its many facets. The chapter explains what is
meant by a competitive advantage, discusses the relationship between a company’s strategy and its
business model, and introduces the student to the kinds of competitive strategies that can give a
company an advantage over rivals in attracting customers and earning above-average profits. The
chapter examines what sets a winning strategy apart from others and why the caliber of a company’s
strategy determines whether it will enjoy a competitive advantage over other firms or be burdened by
competitive disadvantage. By the end of this chapter, the student will have a clear idea of why the
tasks of crafting and executing strategy are core management functions and why excellent execution of
an excellent strategy is the most reliable recipe for turning a company into a standout performer over
the long term.
LECTURE OUTLINE
I. Introduction
Chapter 1 explores the fundamental concepts surrounding organizational strategy. It begins with an
explanation of the term strategy and discusses why companies need a distinctive strategy in order to
compete successfully. Next, it explores why a company must have a viable business model and the five
most dependable strategic approaches for setting a company apart. The chapter wraps up with an
illustration of how a company’s strategy tends to evolve over time due to changing business conditions
and the three tests for winning strategies.
II. What Do We Mean by Strategy?
SmartBook Activity
Consider adding a SmartBook assignment requiring the student to review this section of the chapter as
an interactive question and answer review. The assignment can be graded and posted automatically.
CORE CONCEPT
A company’s strategy is the coordinated set of actions that its managers take in order to
outperform the company’s competitors and achieve superior profitability.
Section 5–123
© McGraw Hill LLC. All rights reserved. No reproduction or distribution without the prior written consent of McGraw Hill LLC.
,Lecture Notes Chapter 1 What Is Strategy and Why Is It Important?
1. A company’s strategy is the coordinated set of actions that its managers take to outperform the
company’s competitors and achieve superior profitability. In effect, it represents a managerial
commitment to an integrated array of considered choices about how to compete.
2. Normally, companies have a wide degree of strategic freedom in choosing the “hows” of
strategy:
• How to position the company in the marketplace.
• How to attract customers.
• How to compete against rivals.
• How to achieve the company’s performance targets.
• How to capitalize on opportunities to grow the business.
• How to respond to changing economic and market conditions.
3. Strategy Is about Competing Differently—A strategy stands a better chance of succeeding
when it is predicated on actions, business approaches, and competitive moves aimed at:
a. appealing to buyers in ways that set a company apart from its rivals and
b. staking out a market position that is not crowded with strong competitors.
4. Figure 1.1: Identifying a Company’s Strategy—What to Look For, shows what to look for in
identifying the substance of a company’s overall strategy. These are the visible actions taken
that signal what strategy the company is pursuing.
Connect Activity
Consider adding a File Attachment assignment requiring the student to develop a response to this
Illustration Capsule. You can post instructions for the student within the assignment and collect their
attachments for grading.
III. Strategy and the Quest for Competitive Advantage
SmartBook Activity
Consider adding a SmartBook assignment requiring the student to review this section of the chapter as
an interactive question and answer review. The assignment can be graded and posted automatically.
1. The heart and soul of any strategy is the actions and moves in the marketplace that managers
are taking to improve the company’s financial performance, strengthen its long-term
competitive position, and gain a competitive edge over rivals.
Section 5–124
© McGraw Hill LLC. All rights reserved. No reproduction or distribution without the prior written consent of McGraw Hill LLC.
, Lecture Notes Chapter 1 What Is Strategy and Why Is It Important?
2. A company achieves a competitive advantage whenever it has some type of edge over rivals in
attracting buyers and coping with competitive forces.
3. Strategy is about competing differently from rivals or doing what competitors don’t do or, even
better, can’t do. In this sense, every strategy needs a distinctive element that attracts
customers and produces a competitive edge.
4. What makes a competitive advantage sustainable (or durable), as opposed to temporary, are
elements of the strategy that give buyers lasting reasons to prefer a company’s products or
services over those of competitors
CORE CONCEPT
A company achieves a competitive advantage when it provides buyers with superior value
compared to rival sellers or offers the same value at a lower cost to the firm. The advantage is
sustainable if it persists despite the best efforts of competitors to match or surpass this
advantage.
5. Five of the most frequently used strategic approaches to setting a company apart from rivals
and achieving a sustainable competitive advantage are:
a. Low-Cost Provider: Achieving a cost-based advantage over rivals.
b. Broad Differentiation: Seeking to differentiate the company’s product or service from rivals’
in ways that will appeal to a broad spectrum of buyers.
c. Focused Low Cost: Concentrating on a narrow buyer segment (or market niche) and
outcompeting rivals by having lower costs than rivals and thus being able to serve niche
members at a lower priced.
d. Focused Differentiation: Concentrating on a narrow buyer segment (or market niche) and
outcompeting rivals by offering niche members customized attributes that meet their tastes
and requirements better than rivals’ products.
e. Best-Cost Provider: Giving customers more value for their money by satisfying buyers’
expectations on key quality/features/performance/service attributes, while beating their
price expectations.
ILLUSTRATION CAPSULE 1.1 Amazon’s Strategy: Achieving Advantage by Competing Differently
Discussion Question: Describe Amazon’s strategic approach.
Answer: The student should be able to discuss that Amazon uses a Broad Differentiation
strategic approach. The company offers a broad range of products and services ranging from
online retailing/fulfillment and web services to tech devices and streaming entertainment.
Within each of these product and service offerings, Amazon provides a range of offerings that
will appeal to a broad market. The company has been successful in building competitively
valuable expertise in each of these areas which makes their competitive advantage sustainable.
Section 5–125
© McGraw Hill LLC. All rights reserved. No reproduction or distribution without the prior written consent of McGraw Hill LLC.
Strategy The Quest for Competitive Advantage
Concepts and Cases 2024 Release Edition By
Arthur Thompson, Margaret Peteraf, John
Gamble, Strickland (All Chapters 1-12, 100%
Original Verified, A+ Grade)
Section 1: Lecture Notes
Section 2: Case Teaching Notes: 1-27
Section 3: Chapter Feature and Overview
Section 4: Course Strategy
Section 5: Course Organization
Section 6: Sample Syllabi
This is the Original Instructor Manual for
2024 Release Edition, All Other Files in
the Market are Wrong/Old/Incomplete
Questions.
,Lecture Notes Chapter 1 What Is Strategy and Why Is It Important?
CHAPTER 1 Section 1
WHAT IS STRATEGY AND WHY IS IT
IMPORTANT?
CHAPTER SUMMARY
Chapter 1 defines the concept of strategy and describes its many facets. The chapter explains what is
meant by a competitive advantage, discusses the relationship between a company’s strategy and its
business model, and introduces the student to the kinds of competitive strategies that can give a
company an advantage over rivals in attracting customers and earning above-average profits. The
chapter examines what sets a winning strategy apart from others and why the caliber of a company’s
strategy determines whether it will enjoy a competitive advantage over other firms or be burdened by
competitive disadvantage. By the end of this chapter, the student will have a clear idea of why the
tasks of crafting and executing strategy are core management functions and why excellent execution of
an excellent strategy is the most reliable recipe for turning a company into a standout performer over
the long term.
LECTURE OUTLINE
I. Introduction
Chapter 1 explores the fundamental concepts surrounding organizational strategy. It begins with an
explanation of the term strategy and discusses why companies need a distinctive strategy in order to
compete successfully. Next, it explores why a company must have a viable business model and the five
most dependable strategic approaches for setting a company apart. The chapter wraps up with an
illustration of how a company’s strategy tends to evolve over time due to changing business conditions
and the three tests for winning strategies.
II. What Do We Mean by Strategy?
SmartBook Activity
Consider adding a SmartBook assignment requiring the student to review this section of the chapter as
an interactive question and answer review. The assignment can be graded and posted automatically.
CORE CONCEPT
A company’s strategy is the coordinated set of actions that its managers take in order to
outperform the company’s competitors and achieve superior profitability.
Section 5–123
© McGraw Hill LLC. All rights reserved. No reproduction or distribution without the prior written consent of McGraw Hill LLC.
,Lecture Notes Chapter 1 What Is Strategy and Why Is It Important?
1. A company’s strategy is the coordinated set of actions that its managers take to outperform the
company’s competitors and achieve superior profitability. In effect, it represents a managerial
commitment to an integrated array of considered choices about how to compete.
2. Normally, companies have a wide degree of strategic freedom in choosing the “hows” of
strategy:
• How to position the company in the marketplace.
• How to attract customers.
• How to compete against rivals.
• How to achieve the company’s performance targets.
• How to capitalize on opportunities to grow the business.
• How to respond to changing economic and market conditions.
3. Strategy Is about Competing Differently—A strategy stands a better chance of succeeding
when it is predicated on actions, business approaches, and competitive moves aimed at:
a. appealing to buyers in ways that set a company apart from its rivals and
b. staking out a market position that is not crowded with strong competitors.
4. Figure 1.1: Identifying a Company’s Strategy—What to Look For, shows what to look for in
identifying the substance of a company’s overall strategy. These are the visible actions taken
that signal what strategy the company is pursuing.
Connect Activity
Consider adding a File Attachment assignment requiring the student to develop a response to this
Illustration Capsule. You can post instructions for the student within the assignment and collect their
attachments for grading.
III. Strategy and the Quest for Competitive Advantage
SmartBook Activity
Consider adding a SmartBook assignment requiring the student to review this section of the chapter as
an interactive question and answer review. The assignment can be graded and posted automatically.
1. The heart and soul of any strategy is the actions and moves in the marketplace that managers
are taking to improve the company’s financial performance, strengthen its long-term
competitive position, and gain a competitive edge over rivals.
Section 5–124
© McGraw Hill LLC. All rights reserved. No reproduction or distribution without the prior written consent of McGraw Hill LLC.
, Lecture Notes Chapter 1 What Is Strategy and Why Is It Important?
2. A company achieves a competitive advantage whenever it has some type of edge over rivals in
attracting buyers and coping with competitive forces.
3. Strategy is about competing differently from rivals or doing what competitors don’t do or, even
better, can’t do. In this sense, every strategy needs a distinctive element that attracts
customers and produces a competitive edge.
4. What makes a competitive advantage sustainable (or durable), as opposed to temporary, are
elements of the strategy that give buyers lasting reasons to prefer a company’s products or
services over those of competitors
CORE CONCEPT
A company achieves a competitive advantage when it provides buyers with superior value
compared to rival sellers or offers the same value at a lower cost to the firm. The advantage is
sustainable if it persists despite the best efforts of competitors to match or surpass this
advantage.
5. Five of the most frequently used strategic approaches to setting a company apart from rivals
and achieving a sustainable competitive advantage are:
a. Low-Cost Provider: Achieving a cost-based advantage over rivals.
b. Broad Differentiation: Seeking to differentiate the company’s product or service from rivals’
in ways that will appeal to a broad spectrum of buyers.
c. Focused Low Cost: Concentrating on a narrow buyer segment (or market niche) and
outcompeting rivals by having lower costs than rivals and thus being able to serve niche
members at a lower priced.
d. Focused Differentiation: Concentrating on a narrow buyer segment (or market niche) and
outcompeting rivals by offering niche members customized attributes that meet their tastes
and requirements better than rivals’ products.
e. Best-Cost Provider: Giving customers more value for their money by satisfying buyers’
expectations on key quality/features/performance/service attributes, while beating their
price expectations.
ILLUSTRATION CAPSULE 1.1 Amazon’s Strategy: Achieving Advantage by Competing Differently
Discussion Question: Describe Amazon’s strategic approach.
Answer: The student should be able to discuss that Amazon uses a Broad Differentiation
strategic approach. The company offers a broad range of products and services ranging from
online retailing/fulfillment and web services to tech devices and streaming entertainment.
Within each of these product and service offerings, Amazon provides a range of offerings that
will appeal to a broad market. The company has been successful in building competitively
valuable expertise in each of these areas which makes their competitive advantage sustainable.
Section 5–125
© McGraw Hill LLC. All rights reserved. No reproduction or distribution without the prior written consent of McGraw Hill LLC.
