Chapter 1

Question 1

Strategic/Strategy
Comes from the Greek term “Strategos” or “Strategia” which means ________.

Answer 1

Generalship

Question 2

the art of the general to fight in war or direct military forces.

Answer 2

Etymology

Question 3

Describes the goal-oriented actions a firm intends to take in its quest to gain and
sustain competitive advantage.

Answer 3

Entrepreneurs

Question 4

Is creating a superior value.

Answer 4

Financial Strategists

Question 5

Is about understanding where you are now, where you are heading, and how you
will get there.

Answer 5

Common Tao

Question 6

Includes the determination and evaluation of alternative paths to an already
established mission or objectives.

Answer 6

Researchers

Question 7

the term “___________” has its roots in the Latin word “manus
agere,” where “manus” means “hand” and “agere” means “to lead” or “to drive.” which
refers to the act of handling or controlling something with the hands.

Answer 7

Management

Question 8

It is the basic function of management. It deals with chalking out a future course
of action & deciding in advance the most appropriate course of action for the
achievement of pre-determined goals

Answer 8

Planning

Question 9

Planning is deciding in advance - what to do, when to do & how to do it. It
bridges the gap from where we are & where we want to be”

Answer 9

Harold Koontz, UCLA

Question 10

Organizing is the process of bringing together _______, _________, and ________ and
developing productive relationships among them for the achievement of
organizational goals

Answer 10

Physical, Financial, Human Resources

Question 11

To organize a business is to provide it with everything useful or its functioning
i.e. raw material, tools, capital, and personnel”.

Answer 11

Henry Fayol

Question 12

It is that part of the managerial function that actuates the organizational
methods to work efficiently for the achievement of organizational purposes.

Answer 12

Directing

Question 13

Recruiting and selecting employees for positions within the company.

Answer 13

Staffing

Question 14

It implies measurement of accomplishment against the standards and correction
of deviation if any to ensure the achievement of organizational goals. This is to
ensure that everything occurs in conformity with the standards

Answer 14

Controlling/Evaluating

Question 15

Strategic Management:
Is the ongoing ______, _______, ______, and _________ of all necessities
an organization needs to meet its goals and objectives.

Answer 15

Planning
Monitoring
Analysis
Assessment

Question 16

Strategic Management:
Is the art and science of _______, ________, and _______
cross-functional decisions that enable the organization to achieve its objectives.

Answer 16

Formulating
Implementing
Evaluating

Question 17

The Purpose of Strategic Planning is to ______ and _______ and __________

Answer 17

explore, create new, different opportunities for tomorrow

Question 18

is the company’s game plan.

Answer 18

Strategic Plan

Question 19

In developing a Strategic Plan, it is essential to anticipate future
environmental challenges to an organization and draw up an appropriate strategic plan
for responding to these challenges.

Answer 19

Igor Ansoff

Question 20

STAGES OF STRATEGIC MANAGEMENT

Answer 20

1. Strategy Formulation
2. Strategy Implementation
3. Strategy Evaluation

Question 21

the process of developing a vision and mission
statement, identifying the organization’s SWOT, and establishing long-term
objectives.

Answer 21

Strategy Formulation

Question 22

ISSUES IN STRATEGY FORMULATION

Answer 22

1. Businesses to enter
2. Businesses to Abandon
3. Allocation of resources
4. Expansion or Diversification
5. International Markets
6. mergers or Joint Ventures
7. Avoidance of Hostile Takeover

Question 23

requires a firm to establish annual objectives, devise policies, motivate employees, and allocate resources.

Answer 23

Strategy Implementation

Question 24

knowing what strategies are not working well.

Answer 24

Strategy Evaluation

Question 25

Three Fundamental Strategy Evaluation Activities:

Answer 25

(1) Reviewing external and internal factors that are the basis for current strategies.
(2) Measuring Performance
(3) Taking Corrective actions

Question 26

LEVELS OF STRATEGY

Answer 26

1. Corporate Level Strategies
2. Business Level Strategy
3. Functional Level Strategy

Question 27

are formulated strategies according to the organization’s wise policies. These are futuristic, innovative, and pervasive. (Chairman and Board of Directors, CEO, COO)

Answer 27

Corporate Level Strategies

Question 28

are strategies formulated by SBU (Strategic
Business Units). This includes comprehensive plans and allocation of resources. (Chairman of Division).

Answer 28

Business Level Strategy

Question 29

these strategies are those that deal with a
relatively restricted plan providing objectives for specific functions of the major functions.

Answer 29

Functional Level Strategy

Question 30

KEY TERMS IN STRATEGIC MANAGEMENT

Answer 30

1. Competitive Advantage
2. Strategists
3. Long-Term Objectives
4. Goals
5. Objectives
6. Annual Strategies
7. Policies

Question 31

any activity a firm does specifically well
compared to activities of other companies.

Answer 31

Competitive Advantage

Question 32

STRATEGIES OF COMPETITIVE ADVANTAGE:

Answer 32

Industry Based Model
Resource Based Model

Question 33

searching and scanning the most profitable
business activities that would give the best investment return.

Answer 33

Industry Based Model

Question 34

this refers to the analyses of the prevailing
resources available to the firm that are present in the internal environment which could be utilized in the development of competitive advantage.

Answer 34

Resource Based Model

Question 35

are the individuals responsible for an organization's success or failure.

Answer 35

Strategists

Question 36

the specific results that the organization seeks in pursuing its basic mission.

Answer 36

Long-Term Objectives

Question 37

are achievable outcomes that are generally broad and longer-term.

Answer 37

Goals

Question 38

are short-term measurable actions to achieve an overall goal. This includes the list of documented steps that assist in fulfilling the goal of the strategy. This follows the paradigm of SMART (Specific, Measurable, Attainable,
Realistic, and time-bound)

Answer 38

Objectives

Question 39

these are short-term milestones that an organization must achieve to reach long-term objectives.

Answer 39

Annual Strategies

Question 40

these are standards on how annual objectives will be achieved.

Answer 40

Policies

Question 41

BENEFITS OF ENGAGING IN STRATEGIC MANAGEMENT

Answer 41

Financial Benefits
Non-Financial Benefits