Slide 1

Question 1

What is corporate strategy?

Answer 1

Corporate strategy is basically a vital part of the
management process by which top managers
determine how an organization responds to
the external environment in which it operates.

Question 2

What are the 6 critical dimensions of strategy?

Answer 2

1. a coherent unifying pattern of decisions
2. a means of establishing an organization’s long-term objectives
3. a definition of an organization’s competitive domain
4. a response to SWOTs so as to achieve competitive advantage
5. a logical system for differentiating managerial tasks at corporate business and functional levels
6. a definition of the economic and
   non-economic contribution the organisation
   intends to make to its stakeholders.

Question 3

What is a strategy?

Answer 3

An organization’s strategy consists of the
moves and approaches devised by
management to produce successful
organization performance. Strategy, in effect
is management’s game plan for the
business

Question 4

What are the necessary conditions for determining a business strategy in an organization?

Answer 4

1. pressure to raise corporate performance
2. competition in product markets
3. a deliberate “vision” by business leaders
4. analysis of the external environment
5. identification of strategic options
6. internal resources to implement strategy

Question 5

What are the four levels of strategy?

Answer 5

1. Corporate level
2. Business level
3. Functional level
4. Operational level

Question 6

What is a corporate level strategy?

Answer 6

This involves CEOs, board of directors etc. It consists of the moves made by the organization to establish business positions in different industries and the approaches used to manage the company’s group of businesses

Question 7

What is business level strategy?

Answer 7

This refers to the managerial game plan for single business. It is usually handled by division managers. It focuses on how to build and strengthen the company’s long-term competitive position in the market

Question 8

What is functional level strategy?

Answer 8

This involves work done by marketing, operations, accounting and human resources. It involves management formulating a strategy that will help their function contribute to the achievement of corporate unit objectives

Question 9

What is operational level strategy?

Answer 9

These are more specific approaches or moves aimed at supporting functional and business strategy and achieving operating unit objectives

Question 10

What is human resource planning?

Answer 10

It involves anticipating the future business and environmental demands of an organization and then developing a blue print to meet personnel requirements dictated by these conditions.