WPC 480 Midterm Exam A GUARANTEED

Midterm Exam Study Guide WPC 480 | Fully Solved and Verified strategic management - answer - The integrative management field that combines analysis, formulation, and implementation in the quest for competitive advantage stratgey - answer - A set of goal-directed and integrated actions a firm takes to gain and sustain superior performance relative to competitors Outcome of the strategic mgmt process A statement of competition good strategy - answer - enables a firm to achieve superior performance and sustainable competitive advantage relative to its competitors in any competitive situation, 3 key elements 1. diagnosis to identify competitive challenge (analysis) 2. guiding policy to address competitive challenge through strategy formulation (formulation) 3. coherent actions to implement the guiding policy (implementation) AFI framework - answer - Analysis, formulation, implementation explains and predicts differences in firm performance helps leaders formulate and implementa strategy that can result in superior performance competitive advantage - answer - a firm with superior performance relative to competitors in the same industry or the industry average always relative, not absolute sustainable competitive advantage - answer - a firm that can outperform its competitors or the industry average over a prolonged period (3 or more years) competitive disadvantage - answer - a firm that underperforms its rivals or the industry average competitive parity - answer - two or more firms perform at the same level strategic positioning - answer - achieve combination of value and cost, stake out a unique position that allows the firm to provide value to customers while controlling costs requires trade-offs deciding what NOT to do as well red queen effect - answer - everyone runs faster but there are no changes in relative strategic positions studying and copying competition results in unsuccessful efforts at comp adv value creation - answer - occurs b/c companies with a good strategy can provide products to consumers at a price point that they can afford while keeping costs under control society is better off, both parties benefit stakeholders - answer - organizations, groups, and individuals that can affect or be affected by a firm's actions have vested claim or interest in firms performance and continued survival internal stakeholders - answer - employees, stockholders, board members external stakeholders - answer - customers, suppliers, alliance partners, creditors, unions, communities, governments, media stakeholder strategy - answer - an approach to strategy formulation that considers all of the company's stakeholders, not just its shareholders. a core tenet is that a single-minded focus on shareholders exposes a firm to undue risks stakeholder impact analysis - answer - decision tool that helps strategic leaders recognize, prioritize, and address needs of different stakeholders (exhibit 1.2) power: can get firm to do something it would otherwise not do legitimate claim: legally valid or appropriate claim urgent claim: requires a company's immediate attention/response corporate social responsibility (CSR) - answer - a framework that helps firms recognize and address the economic, legal, social, and philanthropic expectations that society has of the business enterprise at a given point in time (exhibit 1.3) Analysis (A) - answer - strategic leadership & strategy process external analysis internal analysis shared value and competitive adv Formulation (F) - answer - business strategy corporate strategy global strategy Implementation (I) - answer - organizational design corporate governance, business ethics, business models strategic leadership - answer - executives' use of power and influence to direct the activities of others when pursuing an org's goals power: strategic leader's ability to influence other organizational members to do things position power - answer - power of strategic leader based o