Unit 3 - Module 2 Flashcards
What is Market Position?
The customer’s perception of a brand or product in relation to its competition
Define Differentiation
Refers to a firm’s ability to create a good that is difficult to replicate, thereby fulfilling niche needs.
Name brand, luxury branding. (Coach)
Define Strategic Obejectives & Analysis
An evaluation called a SWOT analysis is commonly used to perform both a thorough internal investigation of an organizatione (S) strengths and (W)weaknesses and external opportunities (O) or threats (T).
*taking the test to see where the company stands
What is Operational Strategy?
Operational strategies are defined as the methods companies use to reach their objectives
Define Strategic Evaluation and Control
Because internal and external conditions are always changing, this stage is crucial. Performance measurements will help determine if critical milestones are being met.
What are the 5 steps for organizational goal setting?
- Develop mission statement
- Create strategic goals
- Identify objectives
- Define performance measures
- Establish deadline
Define Allocation of Resources
Utilizing both money and people in a way that best serves the organization.
Name the three levels of planning and the level of management that they relate to.
Strategic Planning - Senior level / Executives
Operational Strategy - Lower Level Managers
Tactical Planning - Mid-Level Managers
Define Market Segmentation
Strategy that is narrow in scope (both cost leadership and differentiation are relatively broad in scope) and is a cross between the two strategies. Segmentation targets finding specific segments of the market, which are not otherwise tapped by larger firms.
What are SMART goals?
Goals that are: Specific Measurable Attainable Relevant to the mission Time-bound
What are Tactical Plans?
Involves specific units of the organization, short term (1 year or less) plans to determine:
What is to be done?
Who is going to do it?
How is going to be done?
What are Strategic goals?
Strategic goals involve the entire organization and answer:
What will we do?
How will we do it?
How will we know we acheived it?
Long term goal spanning 3- 5 years, requires a large investment of resources and commitment. facility location technology usage labor and equipment organization capacity to meet customer demands
What is Portfolio Management?
How an organization or person handles their range of investments or businesses.
What is the difference between Operational Strategy and Corporate Strategy?
Operational Strategies- methods companies use to reach their ‘objectives’.
Corporate Strategy is concentrated on driving the company ‘mission’
Define Tactics
The means used to gain an objective associated with a strategy, requires action.
What does PESTEL stand for?
Political Economic Social Technological Environmental Legal Factors
Define Strategic Formulation
Goals and objectives- based on the information obtained from the PESTLE and SWOT analyses
*Applying the results from SWOT and PESTEL
What are four essential components of ‘corporate strategy’?
Allocation of resources
Organizational design
Portfolio management
Strategic trade-offs
What does SWOT stand for?
Strengths
Weaknesses
Opportunities
Threats
What are the 4 steps of strategic management process?
- Strategic objectives and analysis
- Strategic formulation
- Strategic implementation
- Strategic evaluation and control
Define Objectives.
A measurable step to attain a goal. Quantative, how much? By when?
Name the 3 Competitive Strategies.
Cost leadership
Differentiation
Market segmentation
Define Organizational Design
Whether an organization is set up as a centralized system of administration or a decentralized network of control and decision-making authority.
Define Strategic Implementation
Go-Time
The stage is when the planning stops, and the action begins.
*The best plans will not make up for poor implementation.
Define Strategy
Plan of action, how an organization plans to meet the goals that support its mission.
Define Cost Leadership
Refers to a firm’s ability to create economies of scale through extremely efficient operations that produce a large volume.
Wal-mart / Volume = cheaper.
What is the difference between strategic goals and tactical plans?
Strategic goals refer to long term strategy (3-5 years) vs. Tactical which is short term (1 year)
What are Strategic trade-offs?
The risks and benefits of all decisions.
Define Strategy.
An approach to meeting a goal, general in nature.
Define Goal.
Broad primary outcome, qualatative in nature
