BUSA 4900 Exam 1 with correct answers 100%

BUSA 4900 Exam 1 with correct answers 100% Chapter 1: What are the three stages of the strategic management process? - Correct Answer -analysis -formulation -implementation Superior performance relative to other competitors in the same industry or the industry average - Correct Answer competitive advantage ex. Tesla over GM, Ford, and Chrysler Outperforming competitors or the industry average over a prolonged period of time - Correct Answer sustainable competitive advantage ex. Apple over Samsung Underperformance relative to other competitors in the same industry or the industry average - Correct Answer competitive disadvantage ex. 15% ROIC compared to the industry average of 20% Performance of two or more firms at the same level - Correct Answer competitive parity ex. Company ABC spending $10,000 on promo and company XYZ tries to match it for its' competitive offering An advantage a company has over a competitor or the industry average for a limited amount of time - Correct Answer temporary competitive advantage ex. A firm that has a rare and valuable resource The performance difference of business in an industry and those other industries - Correct Answer industry effects Capture the influence of firm-specific factors such as heterogeneity in resources and competences and also the differences in corporate and competitive strategies - Correct Answer firm effects Internal shareholders - Correct Answer -employees -stockholders -board members external shareholders - Correct Answer -customers -suppliers -alliance partners -creditors -unions -communities -governments -media The three attributes of stakeholders are: - Correct Answer -power -urgency -legitimacy 5 steps of stakeholder impact analysis: - Correct Answer 1. identify stakeholders 2. identify stakeholder's interests 3. identify opportunities and threats 4. identify social responsibilities 5. address stakeholder concerns 4 types of organizational responsibility - Correct Answer -economic -legal -ethical -philanthropic How stakeholders affect a firm's competitive advantage - Correct Answer -Employees contribute their time and talents -Shareholders contribute capital -Communities provide real estate, infrastructure, and public safety Chapter 2: A statement about what an organization ultimately wants to accomplish; it captures the company's aspiration - Correct Answer vision Description of what an organization actually does—the products and services it plans to provide, and the markets in which it will compete. - Correct Answer mission A principle that guides an organization as it works to achieve its vision and fulfill its mission, for both internal conduct and external interactions; it often includes explicit ethical considerations. - Correct Answer values Vision statement that defines a business in terms of a good or service provided. They tend to