2.2 - Strategic Plans Flashcards
what are the two views of strategic planning?
Positioning based
resources based
What are the 4 stages of the Rational Planning Model?
Stategic analysis - OT (EX) , SW (IN), SWOT, Mission Goals and Obs
Strategic Choice - gap
Stat implementation
Review and control
what are the adv of RPM (4)
best of limited resources
ensure goal Congurence
communicated plans to stakeholders
detailed understanding of SWOT
what si Ex Anal adn what toolls do we use to do it?
indentifying Opertunities and Threats to business exnternal environment
PESTEL Analysis
Portes five choices
Cometitor anal
what are the two step sin strategic choice?
Strategic options generation
Strategic options evaluation
what do we need to consider during strategic options evaluation? tools?
SAF
Suitability
Acceptability
Feasability
Stakeholder anal
Risk Anal
What types of stategic choice are there?
Competitive - how is competes
Product-market - where is competes
Intitutional - method of growth
EX Anal - what differnt business environments are there
Physical - materials
general - PESTEL
Task - Competitors, customers
EX anal - Static environments are less uncertain => change is slow and past is good for predictions
how can a static enviro be described?
Static
Simple
Single
Safe
e.g. Pencil
Ex anal - Dynamic environemtns are uncertain => change is high and the past isn’t a good predictor.
how can you describe these?
Dynamic
Diverse
Difficult
Dangerous
Ex anal - what environemn do you use PESTEL anal?
General
Ex anal - what environemtn to you use Porters Five forces?
Competitive
Task
Ex anal - what is the diff between markets and industry
Market - customers and potential customers
Industry - business that competent or the same market.s
Ex anal - what types of competitor are there? Kotler
Brand
Industry
Generic Competitors
Form competitors
Ex anal - what are Kotlers 4 response profiles
Laid back - no response , niche market
tiger - agressive responses
selective - some and not others
stochastic - random and unpredictable
IN Anal - What are the 9Ms of position/resource audit?
Macheinery Make up - culture and patence management - Size, skill Loyality, career prgression Managment information - ability to generate and disseminate ideas, innovation, information sytems. Markets Materials Men and Women HRM Methods Money ( debt or Equity)
IN - Anal What is a limiting or key factor?
anything that limits the activity of the entity e.g. shortage of supply
IN - what does Porters Value Chain allow?
a bird’s eye view of the business and what the business does.
IN Anal - when does competeve advtange com about?
when you are performing actiities in a way that means the selling rce exceeds the cost of the inputs to the production process.
IN Anal - what are value drivers?
Elemnts of the product or service nd activities that increase the amount of value consumers place on it. e.g. Intangables such a branding
IN Anal - what are cost drivers?
Any activity that affects the cost of a product or service e.g. ultisation rates or machinery nd subsequent downtime.
In Anal - What are the two types of activities in Porters value chain?
In bound logistics - supply, handling
operations - creating final product
Outbound logistics - storing the product and its distribution to customers
Marketing and sales - informing customers
Service - e.g. warranty, installation
IN anal - what are the support activities in Porters Value Chain?
Procurement - aquire the resources inputs to primary activities
HRM - recruiting training, rewarding people
Technology
Firm infrastructure - planning, finnce and quality control.
IN Anal - what si SCM?
Supply chain managment - optimising the activties of business working together to produce goods and services.
IN Anal - what si the difference between Product Class, Form and Brand
CLASS - broad category. (Diff Business in same industry)
FORM - witihin product clas there are forms that specific product it (Business multiple products)
BRAND - type of product form (SPecfic product)
Fizzy drinks - Cola - Diet Coke
IN Anal - what are the 4 stages of a product life cycle pattern?
Introduction - low renvue adn high R&D
Growth - break even and increase in revenue
Maturity - Pek profits here
Decline - losses and product no longer viable
IN Anal - in terms of the product life cycle what are the differences between product form and classes.
Classes - tend to have long maturity adn erratic life cyles
Forms - more classic life cycle
IN anal - when would you use BCG?
planning products ad markets
what is a mrket share
an entitys percentgae of total sales by all entities offering that product
in anal - what are the 4 matrix definitions and what actions do your take?
Stars - invest and R & D
Cash Cows - harvets cash and invest elsewhere
Questions MArks - invest to make star or harvest
Dogs - either hold or divest
what analytical rocesses are used suring EXTERNAL ANALYSIS
Portes 5 Forces, Competitor Analysis
what analytical processes are used using INTERNAL ANALYSIS
Resource Audit, Value Chain, BCG MATRIX
what us SWOT anaylsis? what do the letters stand for?
he bringing together of exernal and internal anal and creating coperte appraisal. S - Stregth (IN) W - Weakess (IN) O - Oppertunities (EX) T - Threats (EX)
To formulate business’ mission and objectives what to do we have to carry out?
Stakeholder Analysis
What are the 4 outcomes of Mendalows SHM?
Minimal effof
Keep informed
Keep statified
Keyplayers
keep informed and staified are important because they risk becoming key players which we want to minimise.
what is gap analysis?
desired future performance level (profit) against the expected performance of projects both planned adn underway
How do you choose your corperate strategy?
Porters generic competitive strategies
Ansoffs matrix
what are porters 3 GCSs?
Cost leadership
Differnenttaion
Focus (niche) - can be either cost or differentiation
What are the 4 putcomes of Ansoffs matrix?
Product vs Market Market penetration Product development Maret Development Diversification
When faced with having to close the gap with alternative strategies how do we do this?
Johnsons and Scholes
evaluate and choose
