Chapter 2 Flashcards
a company’s resources and competencies can produce a sustainable competitive advantages by creating value for customers by lowering costs of products / services, providing unique value, or both.
Resource-Based View
apply it when a competitive advantage is wanted / what do "we" have in terms of value? ♣ Valuable resources? ♣ Rare resources? ♣ Imitated resources? ♣ Organized ... to capture value?
VRIO Framework
how a company will compete in its marketplace.
Business Strategy
focus on efficient production and delivery of products/services, and lead industry in price and convenience.
Operational Excellence
provide a continuous stream of new products/services, objective is fast commercialization of new ideas.
Product/Service Innovation
Tailor and shape products/services to fit each customer’s needs, with a long term objective of customer loyalty and profitability.
Customer Intimacy
strive to be the lowest cost producer for a particular level of product quality (ie. Wal-Mart)
-competitive advantage is based on operational excellence
Cost Leadership
developing a product or service that has unique characteristics valued by customers (ie. Nike)
-competitive advantage is based on service innovation
Differentiation Strategy
focus on a narrow market segment or niche and pursue differentiation or cost leadership strategies within that market segment (ie. Starbucks)
-competitive advantage is based on customer intimacy
Specialization Stategy
company expansion organically or through mergers / acquisitions
(success depends on ability to retain the right number and types of employees to sustain individual growth)
Growth Strategy
the constellation of the priorities, policies, and behaviors used to manage the flow of talent into though and out of an organization over time.
Policies, priorities, and behaviors used to manage talent flow in a business over time.
Staffing Strategy
the linkage of the entire human resource function with the company’s business strategy.
Linking the business strategy and the whole HR function together.
HR Strategy
a system of beliefs enhance about how a firm’s employees should be treated.
How do we think employees should be treated?
Talent Philosophy
longer term, regular employees
Core Workforce
temporary, leased, part time, contract workers employed for a shorter period of time.
Flexible Workers
