Chapter 1 Flashcards
What are corporate objectives?
Corporate objectives or targets set for the whole farm to reach in a given time period 
What is a mission statement?
A mission statement is a catchy summary of the reason why a business exists
Mission
Is the underpinning purpose behind the existence of the business?
Influences on business mission
Purpose,.
Values. Standards and behaviour.
Limitations of mission Statement
If the sense of the mission is not said, amongst the feelings of the employees mission statement for me, nothing, I’m just be words
What is a corporate strategy?
Corporate strategy is a medium to long-term plan for achieving the corporate objective
What is porters generic strategy mix?
This provides advice to any business on the potential routes to choosing a successful corporate strategy?
What does in each corner of the porters generic strategy mix? 
Low-cost, differentiation, focused, low-cost, focused differentiation
What labels are given to the Y and X axes?
Y axis top equals mass market bottom equals niche market X axis equals left lowest cost Operator write equals highest differentiation 
Why is the end sophs matrix used by companies?
The ends of matrix as a tool used by Firms to analyse and plan the strategies for growth 
What goes in each corner of the Ansofs matrix
Market penetration, market development, product, development, diversification
Swat analysis 
Swot analysis identifies a business in the strengths and weaknesses, along with the opportunities and threats It faces
How to conduct a SWAT analysis with the top down approach?
This method tends to use external management, Constance working directly with the boss of the business
What is the consultative approach?
A boss who takes the opportunity to travel around the business, can conduct a more thorough analysis about what works well, unless well within the business
What are key performance indicators?
Quantifiable measures that the business considers to be the main reason of its commercial success
What does pestle Stand for 
Political, economic, social technological legal, environmental
What are porters five forces?
Competitive rivalry. Supplier power. Boiler power. Threat of substitution. Threat of new entry.
Why are use porters five forces?
Do you support is five forces may identify changes in the balance of one or more forces against the business. The business can look to produce a strategy that addresses the issue before it causes the band major problems.
Why Do firms grow 
To increase probability.
To achieve economies of scale.
Increase market power over customers and suppliers. Increase market share and brand recognition.
What are problems which can arise from growth
Diseconomies of scale.
Poor internal communication.
Poor employee motivation.
Poor managerial coordination.
Overtrading.
What is inorganic growth?
Inorganic growth means growth that occurs as a result of taking over all merging with another business
What is organic organic Growth
Organic growth is growth, which takes place without any mergers or takeovers 
Advantages of organic growth
The leaders influence stay strong.
Reduction of financial risk.
Secure career Path 
Disadvantages of organic growth
Limited speed leading to limited size.
Failing to fully exploit short lived opportunity.
Predictability.
