MAN 4720 FINAL EXAM QUESTIONS
WITH VERIFIED ANSWERS
Strategic Management - ANSWER-the ongoing process companies use to form a
vision, analyze their external environment and their internal organization, and select one
or more strategies to use to create value for customers and other stakeholders,
especially shareholders
Vision - ANSWER-contains at least two components - a mission that describes the
firm's DNA and the "picture" of the firm, as it hopes to exist in a future time period
Strategy - ANSWER-an action plan designed to move an organization toward
achievement of its vision
Mission - ANSWER-Defines the firm's core intent and the business or businesses in
which intends to compete
External Environment - ANSWER-a set of conditions outside the firm that affect the
firms performance
Internal Organization - ANSWER-the set of conditions (such as strengths, resources,
capabilities, and so forth) inside the firm that affect the choice and use of strategies
Strengths - ANSWER-resources and capabilties that allow the firm to complete
important tasks
resources - ANSWER-the tangible and intangible assets held by the firm
capabilities - ANSWER-result when the firm integrates several different resources in a
way that allows it to effectively and efficiently complete a task or a series of related
tasks
core competencies - ANSWER-capabilities the firm emphasizes and performs
especially well while pursuing its vision
distinctive competencies - ANSWER-core competencies that differ from those held by
competitors
competitive advantage - ANSWER-exists when a firm's core competencies or its
distinctive competencies allow it to create value for customers exceeding the value
competitors create for them
, strategy implementation - ANSWER-the set of actions a firm takes to use a strategy
after it has been selected
Opportunities - ANSWER-conditions in the firms external environment that may help the
firm reach its vision
threats - ANSWER-conditions in the firms external environment that may prevent the
firm from reaching its vision
stakeholders - ANSWER-individuals and groups who have an interest in a firms
performance and the ability to influence its actions
strategic leaders - ANSWER-the individuals practicing strategic leadership
demographic trends - ANSWER-changes in population size, age structure, geographic
distribution, ethnic mix, and income distribution
economic trends - ANSWER-the direction of the economy in which a firm competes or
may choose to compete
political/legal trends - ANSWER-the changes in organizations and interest groups that
compete for a voice in developing and implementing the body of laws and regulations
that guide interactions among firms and nations
sociocultural trends - ANSWER-changes in a societys attitudes and cultural values
technological trends - ANSWER-changes related to creating new knowledge and
translating that knowledge into new products, processes, and materials
organizational culture - ANSWER-the set of values and beliefs that are shared
throughout the firm
strategic leadership - ANSWER-developing the vision for the firm, designing strategic
actions to achieve this vision, and empowering others to carry out those strategic
actions
top management team - ANSWER-the group of managers charged with the
responsibility of developing and implementing the firms strategies
human capital - ANSWER-includes the knowledge and skills of those working for the
firm
social capital - ANSWER-includes all internal and external relationships that help the
firm provide value to customers and ultimately to its other stakeholders
WITH VERIFIED ANSWERS
Strategic Management - ANSWER-the ongoing process companies use to form a
vision, analyze their external environment and their internal organization, and select one
or more strategies to use to create value for customers and other stakeholders,
especially shareholders
Vision - ANSWER-contains at least two components - a mission that describes the
firm's DNA and the "picture" of the firm, as it hopes to exist in a future time period
Strategy - ANSWER-an action plan designed to move an organization toward
achievement of its vision
Mission - ANSWER-Defines the firm's core intent and the business or businesses in
which intends to compete
External Environment - ANSWER-a set of conditions outside the firm that affect the
firms performance
Internal Organization - ANSWER-the set of conditions (such as strengths, resources,
capabilities, and so forth) inside the firm that affect the choice and use of strategies
Strengths - ANSWER-resources and capabilties that allow the firm to complete
important tasks
resources - ANSWER-the tangible and intangible assets held by the firm
capabilities - ANSWER-result when the firm integrates several different resources in a
way that allows it to effectively and efficiently complete a task or a series of related
tasks
core competencies - ANSWER-capabilities the firm emphasizes and performs
especially well while pursuing its vision
distinctive competencies - ANSWER-core competencies that differ from those held by
competitors
competitive advantage - ANSWER-exists when a firm's core competencies or its
distinctive competencies allow it to create value for customers exceeding the value
competitors create for them
, strategy implementation - ANSWER-the set of actions a firm takes to use a strategy
after it has been selected
Opportunities - ANSWER-conditions in the firms external environment that may help the
firm reach its vision
threats - ANSWER-conditions in the firms external environment that may prevent the
firm from reaching its vision
stakeholders - ANSWER-individuals and groups who have an interest in a firms
performance and the ability to influence its actions
strategic leaders - ANSWER-the individuals practicing strategic leadership
demographic trends - ANSWER-changes in population size, age structure, geographic
distribution, ethnic mix, and income distribution
economic trends - ANSWER-the direction of the economy in which a firm competes or
may choose to compete
political/legal trends - ANSWER-the changes in organizations and interest groups that
compete for a voice in developing and implementing the body of laws and regulations
that guide interactions among firms and nations
sociocultural trends - ANSWER-changes in a societys attitudes and cultural values
technological trends - ANSWER-changes related to creating new knowledge and
translating that knowledge into new products, processes, and materials
organizational culture - ANSWER-the set of values and beliefs that are shared
throughout the firm
strategic leadership - ANSWER-developing the vision for the firm, designing strategic
actions to achieve this vision, and empowering others to carry out those strategic
actions
top management team - ANSWER-the group of managers charged with the
responsibility of developing and implementing the firms strategies
human capital - ANSWER-includes the knowledge and skills of those working for the
firm
social capital - ANSWER-includes all internal and external relationships that help the
firm provide value to customers and ultimately to its other stakeholders
