Goals, Values and Performance

Question 1

Strategy can be considered as a quest to…

Answer 1

create value

Question 2

whats the difference between stakeholder and shareholder approach?

Answer 2

stakeholder = multiple interest groups, value created for all 
shareholder = maximise shareholder wealth

Question 3

What are the key determinants of industry profitability?

Answer 3

1. value of product to customers
2. intensity of competition
3. bargaining power in value chain

Question 4

What are Porter’s Five Forces?

Answer 4

Threat of new entrants, threat of substitutes, bargaining power of suppliers, rivalry between existing competitors and bargaining power of buyers