ch 1

Question 1

What is Strategy?

Answer 1

A firms theory about how to gain a competitive advantage

Question 2

What is Strategic Management?

Answer 2

An art and science that focuses on a firms’ efforts to achieve goals and main success in a competitive environment

Question 3

What are the three main types of strategies?

Answer 3

1. Intended Strategies - plans a firm hopes to follow
2. Emergent strategies - unplanned strategies that arise in response to unexpected opportunities and challenges
3. Realized strategies - the strategies a firm actually follows, including both intended and emergent strategies

Question 4

What is competitive advantage?

Answer 4

The ability to create more economic value than competitors

Question 5

What are the major elements of the strategic management process?

Answer 5

1. Environmental and internal scanning
2. Strategy formulation
3. Strategy implementation
4. Strategy evaluation and control