week 6 quiz Flashcards
what criteria is used in Boston Consulting Group (BCG) matrix to determine the attractiveness and balance of a business portfolio
- market growth and market share
- 4 categories include stars, question marks, cash cows and dogs.
which type of corporate parent of multi-business organisations seeks to employ its own central capabilities to add value to its business units
The parental developer
outsourcing refers to….
the process by which value chain activities previously carried out by the organisation are subcontracted to external suppliers
which of the following is not a cause of value destruction by corporate parents
a - Adding management costs
b - Opaque financial performance reporting
c - Facilitating synergies among SBUs
d - Slow decisions due to organisational complexity
Facilitating synergies among SBUs
the parenting matrix (Ashridge portfolio display) emphasizes…
how parental firms benefit business units
Ansoff’s corporate strategy matrix offers four distinct directions for organisational growth. what are they?
market penetration, product and service development, market development and unrelated diversification
which of the following is not an advantage of vertical integration?
a - It helps the firm retain control over proprietary knowledge.
b - It reduces uncertainties in demand and price.
c - It enables the firm to internationalize quickly.
d - It brings activities up and down the same value network together.
it enables the firm to internationalize quickly
corporate parent refers to….
the corporate head office
horizontal diversification into new product or service markets seeks to achieve….
- efficiency gains from deploying existing resources and capabilities
- block rivals from entering the market
- economies of scope
- an opening of new managerial opportunities for high performing staff
