Topic 5 Flashcards
Strategy to ________ how an organization to _______ its own capabilities with the opportunities in the market place to _______ its objectives
specify
match
accomplish
Strategy to _______ how an organization can create value for its customers while differentiating itself from its competiors.
describe
To _______ its strategy, an organization must first thoroughly understand its industry: 5 forces: competitors, potential entrants into the market, equivalent products, barganing power of customers, and bargaining power of input suppliers
formulate
To ______ to these challenges, the company must choose between two basic strategies: differentiating its product or achieving cost leadership
respond
Product differentiation to _____ products or services its customere perceive to _______ superior and unique
offer
be
Managers use differentiation to ________ brand loyalty and _______ higher prices.
increase
charge
Cost leadership is to _______ lower costs relative to competitors through productivity and efficiency improvements, elimination of waste, and tight cost control.
achieve
To _______ the success of its strategy, a company must trace the sources of its profitability to product differentiation or cost leadership.
evaluate
To _______ cost leadership strategy, the company must further improve its own internal capabilities
achieve
Reengineering is the fundamental rethinking and redesign of business processes to ______ improvements in critical measures of performance, such as cost, quality, service, speed, and customer satisfaction.
achieve
To _____ successful, reengineering efforts must focus on an entire process, change roles and responsibilities, eliminate unnecessary activities and tasks, use information technology and develope employee skills
be
Balance scorecard translates an organization’s mission and strategy into a set of performance measures to _______ the framework for implementing its strategy.
provide
Balance scorecard to ________ financial objectives and its also highlights the nonfinancial objectives to _______ and _______ its financial objectives
achieve
meet
sustain
The set of measures used to _______ performance depend on strategy is called a “ a balanced scorecard”
trace
Balance scorecard to __________ the use of financial and nonfinancial performance measures to ________ short-run and long-run performance in a single report
balance
evaluate