Strategy Introduction Flashcards
What is the definition of Strategy?
Strategy is the creation of unique and differentiated position involving a different set of activities.
Length of strategy
Long term 3-5 years
What is not a strategy?
Operational effectiveness
- Total quality management
- Benchmarking
- Outsourcing
What is the basic strategic framework?
Strategy forms as a link between the firm and its environment.
Why do firms need strategy?/ What is strategy used for?
Strategy as decision support
Strategy as coordinating device
Strategy as targets
How do can you describe strategy?
Strategy as position
Strategy as direction
Why are some individuals successful?
Clear career goal
Understand personal strengths and weaknesses
Clear career strategy
What is a corporate business strategy?
Defines the scope of the firm in terms of industries and markets in which is competes in.
What is a business strategy?
How a firm competes in a particular industry or market.
What is the goal of strategy?
Maximise the value of the enterprise through seeking to maximise profits over long term.
What are the three justifications for money making?
Competition
Threat of acquisition
Convergence of stakeholder’s interests
Value for whom
Creating value for stakeholders
What are some examples of stakeholders?
Employees, owners, customers or governments.
