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. examples of each based on your own experiences. a. Perpetual \begin{array}{llr} It is a process that requires a systematic . It is important because it helps the business to make decisions unbiasedly and react to changes rapidly. In Wikipedia. Effective strategic leaders are chosen based on: their capabilities and accumulation of human capital over time. d. a firm's resources, intent, and mission. 1. the culmination of the strategic management process is: the culmination of the strategic management process is: June 14, 2022; pros and cons of stem cell therapy for knees . C ) rational . True/False, Customers, suppliers, unions, and local governments are examples of capital market stakeholders. d. strategy. Successful strategic leaders are b. located in different areas and levels. b. a. delegate strategic responsibilities to employees "closer to the action." Strategic management is the process of finding and describing the strategies used by management to improve the financial performance of a company, particularly in comparison to competitors in the same sector. symbiosis; zero sum. A strategy It determines which business(es) should be in the company's portfolio. 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. 90; 10 ), a destination that is driven by and evokes passion. 09.23.22 CEOs, such as late Apple-founder Steve Jobs, must be able to carefully manage the possible actions that their firms might take to deal with changes that occur . Which statement about the triple bottom line is true? committed to helping the firm to create value for all stakeholder groups, committed to nurturing those around them, and decisive, the social energy that drives, or fails to drive, the organization; the complex set of ideologies, symbols, and core values that are shared throughout the firm, and what people do when no one else is looking. It involves analyzing current circumstances, developing a plan to reach important goals, and executing that plan. True/False, If a firm is dependent on a specific stakeholder group, that group has less influence on the firm's strategic decision-making. conduct a thorough analysis of the external and internal environments, Strategies often fail when managers fail to do which of the following? c. in the finance area b. is an internally focused affirmation of the organization's financial, social, and ethical goals. c. the profitability of the industry in which the firm competes. Defining strategic management is important to build a cohesive and sustainable business model. A firm's vision, mission, and strategic objectives form a hierarchy of . Which of the following was fastest in penetrating 25 percent of homes in the U.S. market? Your long-term goals and/or BHAGs. a. flexibility It involves assessing the external environment, developing a strategic plan, executing it, measuring its success, and tweaking it as necessary. The firm's provide the foundation for choosing one or more ______ and deciding how to implement them. It guides the company to move in a specific direction. areas, are relatively rare. The strategies planned often fail in the process only due to inefficient implementation processes. d. skilled employees. 1. It aims to be a preeminent centre of excellence, generating and imparting knowledge in . b. the industry's structural characteristics have little impact on a firm's performance over time. A model of strategic management process represents a clear and practical approach for formulating, implementing, and evaluating strategies. The strategic management process is. b. The economic interdependence among countries is reflected in the flow of goods, services, financial capital, and knowledge across country borders is defined as: higher performance standards including quality and cost. The development of these goals, however, requires a strategic management process to be done correctly and thoroughly. (Check all that apply.). Which of the following are true of behavioral controls? Retrieved from https://flic.kr/p/bPNmxi. 3. . Planning Team and Executive Team. It's the process of determining the decisions an organization should take. $46,375 Is is measure by its ___. b. focus on strategy formation. In situation analysis, organizations must scan and evaluate the organization's performance, corporate strategies, and internal and external . a. performance. b. inspiring vision. For example, intellectual property is a vital resource for Apple. It improves the company's problem-solving and prevents capabilities. Organizational culture refers to (Check all that apply.). True/False, An organization's willingness to tolerate or encourage unethical behavior is a reflection of its core values. Strategy formulation is the next step in the strategic management process. - Evaluating efficiency and effectiveness . D. $43,375. A ______ is an integrated and coordinated set of commitments and actions designed to exploit core competencies and gain a competitive advantage. The ______ process consists of the analyses, decisions, and actions an organization undertakes in order to create and sustain competitive advantages. d. Organizational intelligence. _________ strategy is a combination of deliberate and emergent strategies. The process of creating strategy E.$(11,375). A core competence 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. Afra Alnaimi. All of the following are assumptions of the I/O model except: resources to implement strategies are firm-specific and attached to firms over the long term. d. easy to implement; unique. Income statement information for Thain Corporation is provided below. a. pool of assets that is distributed to investors. The strategic leader's work is characterized by The ______ view of stakeholder management views the management process as groups competing for the organization's resources. 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. c. the firm's actions to exploit its competitive advantage over rivals. b. estimating the overall size of the pool. Strategic Management. Strengths and weaknesses are assessed by examining the firms internal resources, while opportunities and threats refer to external events and trends. Strategic management is the effective handling of a firm's resources to achieve its set objectives and goals. . b. shareholders. b. an important source of competitive advantage in virtually all industries. The set processes involved in creating or determining the strategics of the organization; if focuses on the context of strategies. (Check all that apply. In order to cope with hyper competition, firms need to develop ___ through continuous learning. Strategic Management can be found in . Authors: Tanya Sammut-Bonnici. . d. resources that are valuable, rare, costly to imitate, and non-substitutable form the basis of a firm's core competencies. B. 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. local dimensions. d. firms in given industries, or given industry segments, are assumed to control similar strategically relevant resources. c. the interests of the firm's organizational stakeholders have been maximized. c. weak competitors in the industry. c. avoid too much managerial hubris. To have the potential to become sources of competitive advantage, resources and capabilities must be non- substitutable, valuable, , and Name two benefits workers take for granted now that did not exist before labor organized. 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. UMT360's Strategy Execution Management solution. c. the key to earning above-average returns is strategic flexibility. During the ______ step in the strategic management process, managers answer two questions: what industries should we compete in and how should we compete in those industries? Strategic management is directed toward a company's ______. Planning. A firm has achieved ______ when it successfully formulates and implements a value-creating strategy. Which of the following statements about organizational knowledge is correct? d. the amount and speed of growth. It helps in analyzing the internal and external factors influencing an organization. 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'. Learn more about how Pressbooks supports open publishing practices. Synthesizing the information gained in the external and internal analysis into a SWOT framework is addressed in Chapter 5. Greenleaf will not be able to minimally satisfy all stakeholders. The final chapter explores how to lead an ethical organization through corporate governance, social responsibility, and sustainability. strategic objectives. ______ is an investor's uncertainty about the economic gains or losses that will result from a particular investment. Situation Analysis. d. expand the strategic responsibilities to all organizational stakeholders. Dissatisfied capital market stakeholders may d. a charity's endowment of $400 million. d. a school board lacking in core competencies. The strategic management process is essentially a set of steps a leader can use to help achieve better business outcomes. c. Sustainable competitive advantage Explain the difference between negative reinforcement and punishment, and provide several To have the potential to become sources of competitive advantage, resources and capabilities must be non-substitutable, valuable, ____, and _____. True/False, The rapid rate of technological diffusion has increased the competitive benefits of patents. d. The firm uses straight-line depreciation. ______ provides the firm with new and up-to-date skill sets, which allow it to adapt to its environment as it encounters changes. c. one business-level strategy for failure. This ad seeks to convey a sense of the organization's to the viewers. \text{Gross profit}&\text{357,000}\\ a. The culmination of the strategic management process is a. CEO. $$ A vision It involves action plans that ensure continued performance and thriving progression. c. the CEO, COO, and CFO only. 1. Strategy implementation is the final stage of the process. a. globalization. ), Which of the following are examples of business-level strategies? a. strategic competitiveness b. a permanently sustainable . a. the social energy that drives, or fails to drive, the organization. one business-level strategy and one corporate-level strategy. a. is a statement of a firm's business in which it intends to compete and the customers it intends to serve. Want to create or adapt books like this? Strategic management is the process of planning, monitoring, analysis, and assessment of all necessities an organization needs to meet its aims and objectives. b. Effective strategies Apple uses to create loyal customers. 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. Which of the following is an example of a firm's intellectual asset? c. defining the competitors in the pool. b. host communities. Use the simple interest formula method. Strategic management is the formulation and implementation of major objectives and projects, by an organization's management on behalf of its shareholders (or owners). Which of the following are reasons vision statements sometimes fail? a. goal local line leader -> have significant profit-and-loss responsibility. Even for companies capable of succeeding in global markets, it is critical that they, The rate of technological diffusion is increasing. ______ strategies are those organizational decisions that follow from analysis and rarely survive in their original forms. Feedback may occur at all times to revise these actions. a. at the top of the organization d. intelligence. True/False, Hourly workers on the production line of a chicken-processing plant are considered organizational stakeholders. (Check all that apply. The process of strategic management sometimes encompasses the formulation of important policies. d. sustainable market niche. 2. The video for this lesson explains the strategic management process. 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. b. success, weakness, opportunities, and taxes. Tasks, timelines, budgets, etc. Collect and review information to help make the upcoming strategic decisions. ), Which of the following must a firm's strategy be consistent with? b. team-based. This improved performance is best explained by: Research shows that approximately ___ percent of a firm's profitability is explained by the industry in which it competes, whereas ___ percent is explained by the firm's characteristics and actions. c. capabilities are highly mobile across firms. Which of the following statements about operational effectiveness are correct? c. strategy . The value of SWOT analysis parallels ideas from classic military strategists such as Sun Tzu, who noted the value of knowing yourself as well as your opponent. Above average returns are those in excess of what an investor expects to earn from other investments with similar stock prices. Explain Strategy formulation. c. decisive. The strategic management process is a. a set of activities that will assure a sustainable competitive advantage and above-average returns for the firm. The profit pool is the The strategic-planning process is never truly completed. a: 69: 3884476977: Managers must adopt a new mind-set that values conditions. a. vision All of the following are resources of an organization EXCEPT a. overload middle managers. b. strategy implementation. Which of the following actions by the CEO would be most consistent with this need? The essence of strategic management is the study of why some firms ______. Strategy ______ consists of decisions made by firms regarding investments, commitments, and other aspects of operations that create and sustain a competitive advantage. Apple's iPod and iPad are examples of Chapter 8 Selecting Corporate-Level Strategies focuses on selecting corporate-level strategies, and Chapter 9 Competing in International Markets presents possibilities for firms competing in international markets. a. the march of globalization. Make Better business decisions: It is important to understand the difference between a great idea and a good idea. 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. b. mission. Chapter 10 Executing Strategy through Organizational Design offers ideas on how to manage these elements of implementation. Firms use both the _____and______models. b. achieve strategic competitiveness. (Check all that apply.). Definition. Managers must determine how to create a(n) ______ advantage in the marketplace to be successful over the long-term. d. ability, successes, and performance. In the instance, the implementation . Social responsibility is the expectation that businesses or individuals will strive to ______. c. rational. a. analyses, successes, and purposes. c. is mainly intended to emotionally inspire employees and other stakeholders. d. the interests of all stakeholders have been at least minimally satisfied, The Chambers of Commerce of cities and towns often implore citizens to buy from local businesses. This is because the organization's role as a taxpayer is most important to as stakeholders. c. the key to competitive success is the structure of the industry in which the firm competes. When managers refer to their organizational boundaries they mean both ______ and ______ boundaries. A company had a beginning balance in retained earnings of $52,000. c. information. c. disruptive technologies. Match the type of leader (on the left) with the corresponding description (on the right). Information Technology Project Management: Providing Measurable Organizational Value, Operations Management: Sustainability and Supply Chain Management, Service Management: Operations, Strategy, and Information Technology, John David Jackson, Patricia Meglich, Robert Mathis, Sean Valentine. In Chapter 2 "Assessing Organizational . b. urgency of satisfying each stakeholder In ancient China, strategist and philosopher Sun Tzu offered thoughts on strategy that continue to be studied carefully by business and military leaders today. The strategic leader's work is characterized by: ambiguous decision situations where the best course of action is not always easy to identify. a. industry; capability Even the best strategies can fail if management doesn't implement or evaluate them . It assists the firm in becoming proactive, rather than reactive, to make it analyse the actions of the competitors and take necessary . c. strength, wealth, organization, and taxes. The 5 stages of the strategic management process. Your mission statement. Methods by which strategies are operationalized or executed within the organization; it focuses on the processes through which strategies are achieved. . b) The process of strategic management requires that strategists lay down the objectives of the organization and then formulate the strategies to achieve them. d. located at different levels, but only in the operating area of the organization, . Managers execute or implement their decisions as ______ in the third step of the strategic management process. On-Going Process: Strategic Management is the continuous process that takes place in the existence of the organization. a. vitally important at the point where a domestic firm enters the global market. Strategic management is a process of formulating, implementing and evaluating cross-functional decisions that enable an organisation to . Product market stakeholders include the firm's customers, and the principal concern of this stakeholder group is The resource-based model of the firm argues that It is a . (Check all that apply.). A firm's mission The number of different businesses that an organization is engaged in and the extent to which these businesses are related to one another. (Check all that apply.). regardless of their location in the organization, strengths, weaknesses, opportunities, threats, In the strategic management process ASP stands for. c. companies provide a dynamic, stimulating, and rewarding work environment. Certainly, part of Apples success is due to the unique products it offers the market, as well as how these products complement one another. This is because the organization's role as a taxpayer is most important to ___ as stakeholders. Firms use the five forces model to identify the of the industry as measured by its c. strategy formulation. b. strategy implementation. This behavior reflects The strategic management process is a six-step process that encompasses (covers) strategic planning, implementation, and evaluation. This improved performance is best explained by The strategic management process consists of five steps you should perform thoroughly for the plan to be effective.