c. employees. Which of the following are true of behavioral controls? The process of creating strategy Which of the following actions by the CEO would be most consistent with this need? a. a firm's profit margin yields the lowest return to capital market stakeholders that is acceptable to them. d. located at different levels, but only in the operating area of the organization, . In Chapter 7, Innovation Strategies, we present insights on the role innovation plays in strategy development and implementation. b. success, weakness, opportunities, and taxes. c. vulnerability of organizational stakeholders 1.3 Intended, Emergent, and Realized Strategies, 1.5 Contemporary Critique of Strategic Management, 1.6 Understanding the Strategic Management Process, 3.2 The Relationship between an Organization and its Environment, 4.4 Intellectual Property & Isolating Mechanisms, 6.2 Understanding Business-Level Strategy through "Generic Strategies", 6.5 Focused Cost Leadership and Focused Differentation, 7.6 Responding to Innovation in the Market, 8.6 Portfolio Planning and Corporate-Level Strategy, 9.2 Advantages and Disadvantages of Competing in International Markets, 9.5 Drivers of Success and Failure When Competing in International Markets, 9.6 Options for Competing in International Markets, 10.3 The Basic Building Blocks of Organizational Structure, 10.4 Creating an Organizational Structure, 10.5 Creating Organizational Control Systems, 11.4 Corporate Ethics and Social Responsibility, 11.5 Contemporary Questions of Corporate Ethics. b. d. All of these options are correct. d. focus on innovation. d. estimating the size of the value-chain activity in the pool. d. All of these options are correct. a. performance. Kick-Off Meeting: 1 hr. Readiness assessment. b. all policies and procedures used in functional departments. The interests of an organization's stakeholders often conflict, and the organization must prioritize its stakeholders if it cannot satisfy them all. ______ are a set of organizational goals that are used to operationalize the mission statement and cover a well-defined time frame. Chapter Layout for Strategic Management. CC BY-SA 4.0. Definition. 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. a. analyses; strengths d. expand the strategic responsibilities to all organizational stakeholders. True/False, The uniqueness of a firm's resources and capabilities is the basis for a firm's strategy and determines its ability to earn above-average returns under the I/O review. True/False, Customers, suppliers, unions, and local governments are examples of capital market stakeholders. emphasizes that it is difficult to develop and sustain a competitive advantage based on resources alone. The third step of the strategic management process is the ______ step. b. is an internally focused affirmation of the organization's financial, social, and ethical goals. Broad Plans Shaping: In this continuous process, the formulation & implementation of broader plans are made and finally, these are also controlled. Strategic Management: Chapter 2 Multiple Choi, Barnes & Noble, Inc: Maintaining A Competitiv, Service Management: Operations, Strategy, and Information Technology, John David Jackson, Patricia Meglich, Robert Mathis, Sean Valentine, Information Technology Project Management: Providing Measurable Organizational Value. a. all resources have the potential to be the basis of sustainable competitive advantage. b. top-management team. Strategic management is when you identify and develop strategies developing strategies for employees to follow in order to perform better and achieve a competitive edge. Strategic management involves setting objectives, analyzing the competitive environment . c. rational. b. the resources the firm possesses. c. strategy . (n.d.). d. one business-level strategy and one corporate-level strategy. In fact, these models complement each other in that one focuses outside the firm while the other focuses inside the firm. The essence of strategic management is the study of why some firms ______. innovationisatermusedtodescribehowrapidlyandconsistentlynewinformation from BADM 4801 at George Washington University True or false: The most effective organizations have strong leaders at the top who make all the decisions that the rest of the organization then carries out. Which statement is true? the three processes are highly interdependent. A company competing in a single product market has. a. flexibility University of Malta. A strategy Strategic management is a process that involves building a careful understanding of how the world is changing, as well as a knowledge of how those changes might affect a particular firm. c. use the strategic management process. 3. Which of the following statements about operational effectiveness are correct? Therefore, organizational strategists must choose one or the other as the basis for developing a strategic plan. It is a philosophical approach to business. d. All of these options are correct., A firm has achieved when it successfully formulates and implements a value-creating strategy. b. analyses, strategies, and performance. True/False, An organization's willingness to tolerate or encourage unethical behavior is a reflection of its core values. 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. urgency of satisfying each stakeholder c. the interests of the firm's organizational stakeholders have been maximized. d. hypercompetition. Strategic management is a process that requires the ability to manage change. c. the key to competitive success is the structure of the industry in which the firm competes. Managers are analyzing the firm's ______ when managers are studying its competitors. Why is it important to view strategic management as a process? c. core competence. a. operating each individual business under the corporate umbrella. 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 . a. the businesses in which the company intends to compete. Study with Quizlet and memorize flashcards containing terms like . Even for companies capable of succeeding in global markets, it is critical that they, The rate of technological diffusion is increasing. ______ provides the firm with new and up-to-date skill sets, which allow it to adapt to its environment as it encounters changes. How is chess relevant to the study of strategic management? In terms of analyzing the external environment of the firm, the industry environment consists of ______ and other organizations that may threaten the company's success. ), Business-level strategy is concerned with how companies ______. Risk in terms of financial returns reflects an investor's uncertainty about economic gains or losses that will result from a particular investment. The three primary participants in corporate governance are the ______, management, and board of directors. c. information. - Formulating an action plan and strategies. Strategic Management is a stream of decisions and actions which lead to the development of an effective strategy or strategies to help achieve corporate objectives. symbiosis; zero sum. d. strategy. 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. Explain your reasoning. Income statement information for Thain Corporation is provided below. The strategic management process is a six-step process that encompasses (covers) strategic planning, implementation, and evaluation. b. receiving the highest-quality products and services in the industry. In Chapter 6 Selecting Business-Level Strategies, we discuss how selecting business-level strategies helps to provide firms with a recipe that can be followed that will increase the likelihood that their strategies will be successful. a. unique market niche . In Chapter 2 "Assessing Organizational . The culmination of the strategic management process is: performance Although an organization's good reputation is a valuable resource that takes years of superior marketplace competence to achieve, it is not a good basis for building a competitive advantage because it can be destroyed almost instantly by bad publicity. a. ethical dimensions. d. analysis. c. host communities Sound strategies are of no value if they ______. d. accounting. c. defining the competitors in the pool. True or false: Intended strategy rarely survives in its original form. a. ambiguous decision situations which make effective decisions difficult to determine. resources that are valuable, rare, costly to imitate, and non-substitutable form the basis of a firm's core competencies. Because strategic management is directed toward overall organizational goals and objectives, it has the perspective of organizational versus _______ rationality. c. the lack of an organizational mission for the school board. 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. A strategic management process is an essential tool for any organization looking to optimize performance and reach success. b. one business-level strategy. Strategic flexibility 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. A major assumption about the strategic management process is that it is: the business unit's actions to exploit its competitive advantage over rivals. In order to cope with hypercompetition, firms need to develop through continuous learning. The two opposing ways of examining stakeholder management are called ______ and ______. Managers must take a(n) ______ view of the organization and assess how functional areas and activities fit together so that the organization can achieve its goals and objectives. This improved performance is best explained by a. are willing to be brutally honest. Want to create or adapt books like this? Which of the following are needed in order for entrepreneurial initiatives to be successful? The process of implementation of strategy starts with the identification of key managerial tasks which form the basis for the creation of strategy starts with the identification of key c. vision. Effective strategic leaders True/False, Organizational stakeholders are the firm's internal resources, capabilities, and core competencies that are used to accomplish what may appear to be unattainable goals in the competitive environment. The strategic-planning process is never truly completed. C ) rational . 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.). Collect and analyze information. The culmination of the strategic management process is a. performance. Strategic planning process is a systematic or emerged way of performing strategic planning in the organization through initial assessment, thorough analysis, strategy formulation, its implementation and evaluation. Strategic management is defined as the process of evaluation, planning, and implementation designed to maintain or improve competitive advantage . 90; 10 a. is a statement of a firm's business in which it intends to compete and the customers it intends to serve. True/False, A firm's mission tends to be enduring while its vision can change in light of changing environmental conditions. a. the march of globalization. Figure 1.8: Shirinsokhan, Mahmoudreza. b. the industry's structural characteristics have little impact on a firm's performance over time. True/False, The five forces model suggests that firms should target the industry with the highest potential for above-average returns and then implement either a cost leadership or diffusion strategy d. products that were not imitated by competitors. What is the difference between strategy formulation and strategy implementation? sheriff argues with state trooper, the mavericks band members,