9/3 Class Flashcards
cases
case writeup
case questions
read the syllabus and get it done
Is there such thing as a sustained competitive advantage?
No there isn’t
temporary advantage
less than a year depending on the industry
Anaheizer Busch
sold off their company to other conglomerates
they were a very large beer company
temporary vs sustained competitive advantage
sustained competitive advantage does not exist according to economics
economist’s perspective
competitive advantage results in high profits
profits attract competition
competition limits the duration of competitive advantage
dominance
sustained competitive advantage does exist because some firms have been able to demonstrate dominance
competitive advantage
competitive advantage Economic Returns
advantage ————– Above Normal:exceeding exp
parity —————————- Normal
disadvantage——————Below Normal:
intended strategies
strategy as a result of formal, structured process
role of top management
emergent strategy
strategy as an evolving process, responsive to realities
role of lower level managers
strategic management process
objectives- external analysis-internal analysis- strategic choice - strategy implementation- competitive advantage
external analysis
discover threats and opportunities
see if above normal profits are likely in an industry
better understand the nature of competition in an industry
three levels of external analysis
general environment analysis - beyond the industry
industry environment - internal
industry structure - industry life cycle
Porter’s Five Forces Model (memorize)
entry rivals substitutes suppliers buyers
general external environment
technological change demographic trends cultural trends economic climate legal/political conditions specific international events
