Lecture 7

Question 1

What is strategy? James Brian Quinn

Answer 1

“a strategy is the pattern or plan that integrates an
organization’s major goals, policies, and action
sequences into a cohesive whole.

Question 2

Stages in Strategy

Implementation

Answer 2

Vision
Setting objectives
Planning
Implementation
Tracking and change

Question 3

Hierarchy of Strategies

Answer 3

Corporate strategy (in organizations with multiple
business unit)
Business strategy (for an SBU)
Functional strategy (mkt, finance, operations,
R&D, etc.)

Question 4

A firm has a competitive advantage if

it offers:

Answer 4

Lower cost

Better product

Question 5

Functional Strategy

Answer 5

•A functional strategy is the approach in
functional areas (marketing, finance, etc.)
taken to best achieve corporate and business
unit objectives.

Question 6

Is There a Need for Change?

Answer 6

Evaluating indicators
– Profitability
– Sales
– Stock prices
– Reputation
– Quality

Question 7

Situational Analysis

Answer 7

SWOT
Strengths + Weaknesses +
Opportunities + Threats

Question 8

Netflix vs Blockbuster

Answer 8

Subscription vs. direct marketing