Business Objectives And Strategy Flashcards
What is a mission statement
A brief statement written by the business, describing its purpose and objectives, designed to cover its present operations
To what criteria should corporate objectives be made
Specific Measurable Agreed Realistic Time specific
What are departmental and functional objectives
The objectives of a department within a business
What is corporate strategy
Refers to the plans and policies that are developed to meet a company’s objectives
What are the four areas of ansoffs matrix
Market penetration - ex market, ex product
Product development - ex market, ne product
Market development - ne market, ex product
Diversification -ne market, ne product
What is market penetration
Using tactics for the growth of existing products in an existing market
What is product development
Marketing new or modified products in existing markets
What is market development
The marketing of existing products in new markets
What is diversification
Developing new products in new markets
What are the areas of porters strategic mix
Focus (cost focus/differentiation focus)
Cost leadership
Differentiation
What is portfolio analysis
A method of categorizing all the products of a firm to decide where each one fits within the strategic plans
What is an external audit
an audit of the external environment a business finds itself
What is floatation
the sale of company shares to the public for the first time. The shares which are traded on the stick market.
What is an internal audit
an analysis of the business itself and how it operates
What is strategic planning
a process which involves making the vision for the future of a business easier to understand.
What SWOT analysis
An analysis of the internal strengths, weaknesses, opportunities and threats to a business
What is trade association
an organization whose members are all involved in the same industry or trade.
What is a cartel
a group of businesses that act together to reduce competition in a market
what is a monopoly
a market dominated by a single business
What is an oligopoly
a market dominated by a few large businesses
What is PESTLE analysis
analysis of the external political, economic, social, technological, legal and environmental factors affecting a business
What are Porters five forces
The bargaining power of suppliers The bargaining power of buyers Threat of new entrants substitutes Rivalry among existing firms
