Exam 1 Flashcards
Realized Strategy
Plan of action that an organization actually follows
Business Model
Describes the process through which a company hopes to earn profits
Distinctive Competence
A set of activities that an organization performs especially well.
Intellectual Property
Creations of the mind, such as inventions, artistic products and symbols.
Transaction Cost Economics
A theory that centers on whether it is cheaper for a company to make or to buy the products that it needs.
PESTEL Analysis
The examination of political, economic, social, technological, environmental, and legal factors and their implications for an organization
S.M.A.R.T Goals are
Specific Measurable Aggressive Realistic Time-bound
Backward Integration Strategy
A company that enters the business of one of its suppliers
Deliberate Strategy
Parts of the intended plan that an organization continues to pursue overtime
Valuable
Resources that help a company create strategies that capitalize on opportunities and ward off threats.
Icons
CEOs who possess both fame and strong reputations
Best Value Supply Chains
Supply chains that focus on the total value added to the customer as opposed to individual outcomes, such as speed or cost.
Intangible Resources
Resources that are difficult to see, to touch or to quantify , such as the knowledge and skills of employees, a company’s reputation and a company’s culture.
Rare
Resources that are unique when contrasted with the resources of competitors.
Product
Goods and services a company sells to customers
Competitive Aggressiveness
The tendency to intensely and directly challenge competitors
Ploy
A specific move designed to outwit or trick competitions
Marketing Mix
The four Ps (Product, Price, Place Promotion) that companies use to offer customers a coherent and persuasive message
Alignment
Creating consistency in the interests of all participants in a supply chain.
Marketing and Sales
Activities used to attract potential customers and convince them to make purchases.
Intended Strategy
Plan that an organization hopes to execute
General Environment
Overall trends and events in society such as social trends, technological trends, demographics and economic conditions.
franchising
An organization grants the right to use its brand name, products, and processes to other organizations in exchange for an up-front payment and a percentage of franchises’ revenues
Backward Vertical Integration
A strategy that involves a buyer entering the industry that it purchases goods or services from
Suppliers
Providers of inputs that the competitors in an industry need to create goods or services
Triple Bottom Line
An approach to assessing performance that emphasizes the concerns of people and the planet in addition to profit
Five Forces Analysis
A technique for understanding an industry by examining the interactions among competitors in an industry, potential new entrants to the industry, substitutes for the industry’s offerings, suppliers to the industry and the industry’s buyers.
Operations
The production process of a good or service
Buyers
Purchasers of the goods or services that the competitors in an industry create.
Vision
What the organization hopes to become in the future
Place
A physical purchase point as well as a distribution channel
Hidden Gems
CEOs who lack fame but possess positive reputations.
Support Activities
An action not directly involved in the evolution of a product but that instead provides important underlying support for a primary activity.
Procurement
The process of negotiating for and purchasing raw materials
Price
The amount companies charge for their goods or services.
Economies of Scale
A cost advantage created when a company can produce a good or service at a lower per unit price due to producing the good or service in large quantities
Plan
carefully crafted set of steps that a firm intends to follow in order to be successful
Sustained Competitive Advantage
A competitive advantage that will endure over time.
Nonsubstiutable
Resources that exist when competitors cannot find alternative ways to gain the benefits that a resource provides.
Technological Development
The use of computerization and telecommunications to support primary activities.
Competitors
The set of companies that produce goods or services within an industry.
Organizational Performance
How well an organization is doing at reaching its vision, mission and goals
Performance referent
A benchmark such as the industry average that is used to make sense of an organization’s standing along a performance measure
Trade Secrets
Formulas, practices and designs that are central to a company’s business and that remain unkown to competitors.
Intellectual property rights
The ability of an organization to protect intangible goods such as movies, software, and video games from piracy.
Forward Vertical Integration
A strategy that involves a supplier entering the industry that it supplies inputs to.
Capabilities
What the organization can do based on the resources it possesses
Perspective
How executives interpet the competitive lanscape around them
Service
The extent to which a company provides assistance to its customers.
Porter’s Five Forces
Potential Entrants
Buyers
Suppliers
Substitutes
Value Chain
A tool that charts the path by which products and services are created and eventually sold to customers.
Speed “Cycle Time”
The time duration from initiation to completion of the production and distribution process.
Political Segment
The portion of the general environment that involves governments.
Flexibility
A supply chain’s responsiveness to changes in customers’ needs.
Legal Segment
The portion of the general environment that involves the law and courts.
Risk Taking
The tendency to engage in bold rather than cautious actions
Economic Segment
The portion of the general environment that involves economic and financial conditions.
Entrepreneurial
The processes, practices and decision-making styles of organizations that act entrepreneurial
Outbound Logistics
The departure of finished goods
Mobility Barriers
Factors that make it unlikely or illogical for a company to change strategic groups over time
Substitutes
Offerings from other industries that fulfill the same need or a very similar need as an industry’s products or services.
Environmental Determinism
A theoretical perspective that contends that organizations are limited in their ability to adapt to the conditions around them.
Dynamic Capability
A unique ability to create new capabilities by continually updating a firm’s array of capabilities to keep pace with changes in its environment.
Copyright
Provides exclusive rights to the creators of original artistic works such as books, movies, songs and screenplays.
Quality
The relative reliability of supply chain activities.
Threats
Events and trends that may undermine an organization’s performance
Performance Measure
A metric such as profits, stock price and sales along which organizations can be gauged.
Strategic Resource (VRIO)
Valuable
Rare
Inimitable
Organized
Pro-activeness
The tendency to anticipate and act on future needs
Pattern
The degree of consistency in a firm’s strategic actions
Potential new entrants
Companies that do not currently compete in an industry but might join the industry in the future
Strategy as Pattern
The extent to which a company’s actions overtime are consistent
Environment
The set of external conditions and forces that have potential to influence the organization
Emergent Strategy
Unplanned direction that arises in response to unexpected opportunities and challenges
Adaptability
A willingness and capacity to reshape supply chain when necessary.
scoundrels
CEOs who display high levels of relative fame but low levels of reputation
Primary Activities
An action directly involved in the creation and distribution of goods and services.
Environmental Segment
The portion of the general environment that involves the natural environment.
Silent Killers
CEOs who are overlooked and ignored sources of harm to their firms
Supply Chain
A system of people activities, information and resources involved in creating a product and moving it to the customer.
non-realized strategy
Parts of the intended plan that are abandoned
SWOT Analysis
A technique for understanding a company’s situation by considering its strengths and weaknesses along with the opportunities and threats that exist in the company’s environment.
Mintxberg’s Five P’s
Plan Ploy Pattern Position Perspective
Piracy
Theft of trademark or copyrighted material
Cost
The price paid for supply chain inputs.
Strategic Management
Examines how actions and events involving top executives, firms and industries influence a company’s success or failure.
Tangible Resources
Resources that can be readily seen, touched, and quantified, such as physical assets, property, plant equipment and cash.
Strategy as Position
A company’s place in the industry relative to its competitors
Position
A firm’s place in the industry relative to its competitors
Industry ( Competitive Environment)
Multiple organizations that collectively compete with one another by providing similar goods services or both
Mission
The reasons for an organization’s existence
Trademarks
Phrase, picture, name, or symbol used to identify a particular organization.
Enactment
A theoretical perspective that contends that an organization can, at least in part, create an environment for itself that is beneficial to the organization by putting strategies in place that reshape competitive conditions in a favorable way.
Strategic Plans
A carefully crafted set of steps that a company intends to follow to be successful
Autonomy
Whether an individual or team of individuals within an organization has the freedom to develop an entrepreneurial idea and then see it through to completion.
Agility
The supply chain’s relative capacity to act rapidly in response to dramatic changes in supply and demand.
Exit Barriers
Factors that make it difficult for a company to stop competing in an industry.
Company Infrastructure
How the company is organized and led by executives.
Difficult to Imitate
Resources that cannot be easily duplicated by competitors and are often protected by various legal means, including trademarks, patents and copyrights.
Resource-Based Theory
A theory that contends that the possession of strategic resources can provide an organization with competitive advantages over its rivals.
Balanced Scorecard
An approach to assessing performance that target managers’ attention on four areas: financial, customer, internal business process and learning & growth
Goals
Narrower aims that organizations pursue to serve their vision and missions
Institutional Theory
The extent to which companies copy one another’s strategies.
Inbound Logistics
The arrival of raw materials.
Patents
Legal decree that protects inventions from direct imitation for a limited period of time.
Strategic Groups
Sets of companies that follow similar strategies
Innovativeness
The tendency to pursue creativity and experimentation
Promotion
The communications used to market a product, including advertising, public relations, and other forms of direct and indirect selling.
Opportunities
Events and trends that create chances to improve an organization’s performance level
Technological Segment
The portion of the general environment that involves scientific advances.
Human Resource Management
Includes activities involved in recruiting, training and compensating employees
Social Segment
The portion of the general environment that involves demographics and cultural trends
Strategic Supply Chain Management
The use of supply chains as a means to create competitive advantages and enhance company performance.
