Strategic Management. Apple's iPod and iPad are examples of In the instance, the implementation . How do you think the economic growth of developing countries will affect you and your family in the future? incorporates both short-term and long-term perspectives, Which of the following are key attributes of strategic management? c. In reporting her investment center's performance for the past 10 years, the manager of the Snack Division accounted for the depreciation of her division's assets by using an accelerated depreciation method allowed for tax purposes. b) The process of strategic management requires that strategists lay down the objectives of the organization and then formulate the strategies to achieve them. ______ innovation is a term used to describe how rapidly and consistently new, information- intensive technologies replace older ones. Which of the following are needed in order for entrepreneurial initiatives to be successful? Why is it important to view strategic management as a process? d. Internet. b. executives control strategy implementation. b. easy to imitate; difficult to implement. The situation is where relevant information is needed to create the organization's culture, mission, or vision statement. a. suppliers. Strategic management is the formulation and implementation of major objectives and projects, by an organization's management on behalf of its shareholders (or owners). The Snack Division's operating margin for the year was $6.5\$ 6.5$6.5 million, during which time its average invested capital was $50\$ 50$50 million. A firm's vision, mission, and strategic objectives form a hierarchy of . Between 2008 and 2010, Apple filed more than 350 cases with the US Patent and Trademark Office to protect its use of such terms as apple, pod, and safari (Apple Inc.). Greenleaf Property Management has been earning below-average returns for the last three years. . In Wikipedia. c. rational. The strategic management process is the full set of commitments, decisions, and actions required for a firm to achieve strategic competitiveness and earn above-average returns. c. the firm's actions to exploit its competitive advantage over rivals. c. what people do when no one else is looking. True/False, Organizational mission statements typically do not include statements about profitability and earning above-average returns. b. Retrieved from https://flic.kr/p/bPNmxi. d. critically important mainly in high technology industries. local line leader -> have significant profit-and-loss responsibility. d. sustainable market niche. In fact, these models complement each other in that one focuses outside the firm while the other focuses inside the firm. b. resources alone can be a source of sustainable competitive advantage. Strategic Goals: Financial markets often place an emphasis on managers meeting ______ performance goals. people throughout the organization strive toward overall goals. Which of the following statements about the strategic management process is true? . a. all resources have the potential to be the basis of sustainable competitive advantage. a. strategy, wealth, organization, and threats. Which of the following are characteristics of a well-written organizational vision statement? Accordingly, the strategic management and planning process consists of sequential five key steps; (i) Goal setting, (ii) Analysis strategy formation, (iii) Strategy formation, (iv) Strategy . 3. b. shareholders d. resources that are valuable, rare, costly to imitate, and non-substitutable form the basis of a firm's core competencies. In Chapter 2 Assessing Organizational Performance, we focus on how the organizations mission and vision shape the development of the firms strategy. determines how organization as a whole supports and enhances the value of the business units w/in it. A firm's hierarchy of goals include its ______. Generally speaking, product market stakeholders are satisfied when Owner/CEO, Strategy Director. the three processes are highly interdependent. SWOT stands for Tasks, timelines, budgets, etc. b. the complex set of ideologies, symbols, and core values that are shared throughout the firm. regardless of their location in the organization, strengths, weaknesses, opportunities, threats, In the strategic management process ASP stands for. d. Organizational intelligence. c. use the strategic management process. Strategic management process can be described as a set of managerial decisions and actions which determines the long-run direction and performance of the organization'. d. expand the strategic responsibilities to all organizational stakeholders. Use the simple interest formula method. How is chess relevant to the study of strategic management? d. concentration on the practical day-to-day aspects of the organization's operations. c. the minimum required for survival in virtually any industry. c. in the finance area c. calls for firms to focus on their homogeneous capabilities to compete against their rivals. b. 2. (B) team-based. b. return on equity. Which of the following state the goals and intentions that help define a firm's competitive advantage? This perspective is known as ______. Product market stakeholders include the firm's customers, and the principal concern of this stakeholder group is It involves action plans that ensure continued performance and thriving progression. True/False, Although organizational cultures vary considerably, one cannot make an objective judgement that some organizational cultures are more or less functional than others in terms of ethical considerations. To implement a firm's strategies, the firm takes actions with the goal of achieving strategic competitiveness and above average returns. a. In the POLC framework, where does strategy implementation take place. The second step in the strategic management process is ______. d. suppliers of capital. True/False, The rapid rate of technological diffusion has increased the competitive benefits of patents. is a statement of a firm's business in which it intends to compete and the customers it intends to serve. Return If the company is properly implementing its strategy results should be as expected in . a. a. telephone c. one business-level strategy for failure. b. b. globalization; exports. b. shareholders. Managers must constantly scan the external environment for trends and events that affect the overall economy, and they must monitor changes in the particular industry in which the firm operates. Establish your planning team and schedule. a. unique; easy to imitate. Firms use the five forces model to identify the of the industry as measured by its The strategic leader's work is characterized by: ambiguous decision situations where the best course of action is not always easy to identify. Write the key term that best matches each description. d. strategy. c. strategy formulation. The Jayhawks Rising Strategic Alignment Model is the culmination of a multi-year strategic planning process involving many groups and individuals who proposed hundreds of ideas for how to advance us toward our vision to be an exceptional learning community that lifts each member and advances society. conduct a thorough analysis of the external and internal environments, Strategies often fail when managers fail to do which of the following? Managers are analyzing the firm's ______ when managers are studying its competitors. 98.:A business-level strategy describes (A) the businesses in which the company intends to compete. d. ability, successes, and performance. a. delegate strategic responsibilities to employees "closer to the action." Prepare a vertical analysis of the income statement for Thain Corporation. Kick-Off Meeting: 1 hr. c. speed d. All of these options are correct, Strategic delegation helps What are the four steps of the strategic management process? The process hinges on the philosophical approach that if a leader "thinks . All businesses can benefit from strategic management to help them meet long-term objectives. It involves analyzing current circumstances, developing a plan to reach important goals, and executing that plan. According to Hitt, the final responsibility for forming the organization's mission lies with the: A key purpose of a mission statement is to inform___ what a firm is, what it seeks to accomplish, and who it seeks to serve. The process of strategic management sometimes encompasses the formulation of important policies. The final chapter explores how to lead an ethical organization through corporate governance, social responsibility, and sustainability. Strategic management is the set of decisions and actions resulting in the formulation and implementation of plans designed to achieve a company's objectives. a. industry; capability Describe whether each of the following statements makes sense (or is clearly true) or does not make sense (or is clearly false). The 5 stages of the strategic management process. a. only the CEO Although Alibaba is competing in the internet services industry, it has improved its performance by focusing on innovation and service diversification. A firm's vision, mission, and strategic objectives are used to develop specific goals, which form the basis for its ______. This pronouncement is most precisely a statement of organizational Strategy implementation is the final stage of the process. b. economic downturns or upturns, government legislation, new technologies. c. the key to competitive success is the structure of the industry in which the firm competes. d. All of these options are correct., A firm has achieved when it successfully formulates and implements a value-creating strategy. b. is an internally focused affirmation of the organization's financial, social, and ethical goals. c. obtaining reliable products at the lowest possible price. Analysis of the industry's profit pool enables strategic managers to Strategic management is the organization's analysis, decision-making, and actions to create and maintain a competitive advantage (Gurel Emet, 2017;Tapera, 2014). ), Which of the following are examples of business-level strategies? Given that the company's other division managers use straight-line depreciation, is her use of an accelerated method ethical? shareholders, management, and the board of directors. It determines which business(es) should be in the company's portfolio. Strategic management process. The strategic management process is the systematic analysis of an organization's internal and external environment to achieve and retain a competitive advantage. Strategic management is defined as the process of evaluation, planning, and implementation designed to maintain or improve competitive advantage . b. the industry's structural characteristics have little impact on a firm's performance over time. internal environment, external environment, & strategic goals, Which of the following are evaluated during the analysis process of strategic management? c. the CEO, COO, and CFO only. A customer can buy an iPod that plays music from iTunesall of which can be stored in Apples Mac computer (Inside CRM Editors, n.d.). It is important because it helps the business to make decisions unbiasedly and react to changes rapidly. In this latter case, performance is the result of a rare event that is itself the culmination of a long and ongoing process of daily . d. Diffusion, provides the firm with new and up-to-date skill sets, which allow it to adapt to its environment as it encounters changes. b. estimating the overall size of the pool. d. global dimensions. This is the final stage of the strategic management process. The strategic management provides a base for the organization on the basis of which progress can be measured and on the basis of the same, the employees can be compensated. b. success, weakness, opportunities, and taxes. Strategic competitiveness is achieved when a firm successfully formulates and implements a value-creating strategy. d. mission, ___is an investor's uncertainty about the economic gains or losses that will result from a particular investment. Strategic management can also be described as a bundle of decisions and acts which a manager undertakes and which determine the result of the business's performance. Knowledge is an intangible resource. To have the potential to become sources of competitive advantage, resources and capabilities must be non- substitutable, valuable, , and a. ______ innovation is a term used to describe how rapidly and consistently new, information-intensive technologies replace older ones. True/False, The I/O (industrial organization) model assumes that the uniqueness of a firm's resources and capabilities is the main source of above-average returns. What is the difference between strategy formulation and strategy implementation? . Strategic leaders, ______, often work long hours, and their work is filled with ambiguous decision situations. This is because the organization's role as a taxpayer is most important to as stakeholders. b. strategy implementation. It is a continuous process of analyzing and evaluating an organization's internal and external environment, setting objectives and goals, developing strategies, and implementing and controlling those strategies. At the same time, firms must evaluate their own resources to understand how they might react to changes in the environment. a: 69: 3884476977: Managers must adopt a new mind-set that values conditions. (Check all that apply.). A retail outlet can attempt several remedies to improve profitability to meet the expectations of its ___ stakeholders, including closing stores, changing the top management team, and seeking potential buyers. Collect and review information to help make the upcoming strategic decisions. d. The firm uses straight-line depreciation. Strategic management is the process of defining and implementing an organization's strategy. d. emphasize profit maximization. Strengths and weaknesses are assessed by examining the firms internal resources, while opportunities and threats refer to external events and trends. \text{Cost of goods sold}&\text{493,000}\\ The interests of an organization's stakeholders often conflict, and the organization must prioritize its stakeholders if it cannot satisfy them all. c. decisive. Knowledge is composed of all of the following(expertise, information, intelligence) except: Which of the following statements about organizational knowledge is correct? True/False. 2 St rategy formul at ion a nd i mp leme nt ati on in t he st rat e gi c mana ge me nt p roce ss Strategic management. University of Malta. b. a functional, although unethical, culture of the school board. b. customers pay the highest sustainable price for the goods and services they receive. b. mission The invention of the car is an early example of: A company's ability to acquire knowledge is: an important source of competitive advantage in all industries. The strategic management process begins with an understanding of strategy and performance. a. performance. d. increasing the profitability of the firm. A(n) ______ includes both the company's purpose as well as the basis of competition and competitive advantage. c. profits that are accrued when a firm earns above-average returns.