UNIT 7A DIFFERENCE BETWEEN STRATEGY AND TACTICS Flashcards
STrategy
LT plan to achiev bs vision through attaining its corp obj
tactics 2 marks
st descisions usually involving relativley few reosurces
made to implement a startegy
strategies tend to involve
major commitment of resources
dificl to reverse
if firm wants to become low market leaderwhat startegy could it use
one based on low prices
a startgeyg to become low cost market eader is based on low prices how could this affect corp obj
set corpp obj related to controlling/reducing costs
increasing sales
give example of startegy being major commitment
invest in new product development involves lots of finance + time
startegic descisons tend to invvolve high levels of
uncertainty
msrkte condiitons change OT so firms must
change startegies to cope with unfamiliar conditions
value of producing clear startegy is
sets out firms overall plan
value of producin clear strategy is it sets out firms overall plan how does this help employee
helps deelop their own plans to implement strategy
e.g if emp knows firm wants to diversify
they know realistic to consider mkt opportunities in new segments of the mkt
are tactics st or lt
st
tactical descision are
descisions made about how to implement bs startegy
tactical descisions involve less
resources
uncertainty
tactical desciosn e.g
increases in production
tactical descision often made by
junior managerswho may only be responsible for small element of bs activites
