Punko Test #2

What is a tariff?

A direct tax on imported goods

What is a product prototype?

A full-scale working model that is being tested for design, function, and reliability

What is a government subsidy?

A government loan, grant, or tax deferment given to domestic companies to protect them from foreign competition

What is organizational decline?

A large decrease in organizational performance that occurs when companies don't anticipate, recognize, neutralize, or adapt to the internal or external pressures that threaten their survival

What is an import quota?

A limit on the number or volume of imported products

What is direct foreign investment?

A method of investment in which a company builds a new business or buys an existing business in a foreign country

What is a stability strategy?

A strategy that focuses on improving the way in which the company sells the same products or services to the same customers

What is rational decision making?

A systematic process of defining problems, evaluation alternatives, and choosing optimal solutions

A situational analysis for a manufacturer of pet food might reveal what?

All the above is the answer to this question

What is a situational analysis?

An assessment of the strengths and weaknesses in an organization's internal environment and the opportunities and threats in its external environment

What is the answer to #16?

B

What are the five stages of organizational decline?

Blinded Inaction Faulty Action Crises Dissolution

Because resistance to change is inevitable, successful change efforts require what?

Careful management

_____________ are the assets, capabilities, processes, employee time, information, and knowledge that an organization uses to improve its effectiveness and efficiency, create and sustain competitive advantage, and fulfill a need or solve a problem

Resources

What is exporting?

Selling domestically produced products to customers in foreign countries

What are the main steps of planning?

Set goals Develop commitment to them Develop action plans Track progress Maintain flexibility

___________ is the first step in planning

Setting goals

___________ are plans used repeatedly to handle frequently recurring events.

Standing plans

___________ is a group of companies within an industry against which top managers compare, evaluate, and benchmark strategic threats and opportunities

Strategic group

___________ is a competitive advantage that other companies have tried unsuccessfully to duplicate and have, for the moment, stopped trying to duplicate

Sustainable Competitive advantage

_________________ are plans created and implemented by middle managers that specify how the company will use resources, budgets, and people over the next six months to two years to accomplish specific goals

Tactical Plans

What is a core firm?

The central companies in a strategic group

Managers are involved in ____________ when he or she chooses a goal and develops a strategy to meet the goal

planning

A ____________ exists when there is a gap between a desired state and an existing state

problem

The ____________ strategy is analogous to pruning a rose

retrenchment

What are the causes of resistance to change?

self-interest, misunderstanding, and distrust, or a general intolerance for change

What is the vision of top managers focused on?

the overall strategic mission of the company

Ford motor company owns and operates a 1.9 billion manufacturing plant in Brazil. This is an example of a ______________

wholly owned affiliate

Who are top managers?

Executives

______________ is a standing plan that indicates the general course of action that should be taken in response to a particular event or situation ______________ is a standing plan that indicates the specific steps that should be taken in response to a particular event

Policies Procedures

What is a competitive advantage?

Providing greater value for customers than competitors can

What are the pitfalls of planning?

Planning can impede change and prevent or slow needed adaption It can create a false sense of certainty Detachment of planners

What is planning?

Choosing a goal and developing a method or strategy to achieve that goal

___________ is an approach to innovation that assumes that incremental innovation can be planned using a series of steps and that compressing those steps can speed innovation

Compression approach to innovation

What is pruning a rose?

Cutting back a rose to two-thirds their normal size, this makes them stronger and more likely to produce beautiful, fragrant flowers

What are operational plans?

Day-to-day plans, developed and implemented by lower level managers for producing or delivering the organization's products and services over a 30-day to six-month period

What are the steps in rational decision making?

Define the problem Identify decision criteria Weight the criteria Generate alternative courses of action Evaluate each alternative Compute the optimal decision

When change is based on information that is inconsistent, managers should use ______________ and ______________ to overcome resistance

Education Communication

_________________ is change based on incremental improvements to a dominant technological design such that the improved technology is fully backward compatible with the older technology

Generational Change

_____________ is when a multinational company has offices, manufacturing plants, and distribution facilities in different countries and runs them all using the same rules, guidelines, policies, and procedures

Global Consistency

What is a trade barrier?

Government-imposed regulations that increase the cost and restrict the number of imported goods

___________ is a broad corporate level strategic plan used to achieve strategic goals and guide the strategic alternatives that managers of individual businesses or subunits may use _____________ is a strategy that focuses on increasing profits, revenues, market share, or the number of places in which the company does business _______________ is a strategy that focuses on turning around very poor company performance by shrinking the size or scope of the business

Grand Strategy Growth Strategy Retrenchment

Patterns of innovation over time that can create sustainable competitive advantages are called _____________

Innovation Streams

_____________ are patterns of innovation over time that can create sustainable competitive advantages

Innovation streams

What are the benefits of planning?

Intensified effort Persistence Direction Creation of Task Strategies

____________ managers develop tactical plans and use management objectives to motivate employee efforts toward the overall purpose and strategic objective

Middle

What is local adaptation?

Modifying rules, guidelines, policies, and procedures to adapt to differences in foreign customers, governments, and regulatory agencies

___________ is a corporation that owns businesses in two or more countries

Multinational corporation

_____________ are non-tax methods of increasing the cost or reducing the volume of imported goods

Non-tariff barriers

What are strategic plans?

Overall company plans that clarify how the company will serve customers and position itself against competitors over the next two to five years

What is goal commitment?

The determination to achieve a goal

What is resource similarity?

The extent to which a competitor has similar amounts and kinds of resources

What is a technological substitution?

The purchase of new technologies to replace older ones

What is required to define a problem?

They need to be aware of the problem Be motivated to solve it Have the skills, abilities, knowledge, and resources to fix the problem

What is the job of lower level management?

Use operational, single-use, and standing plans to implement the tactical plans

From a competitive standpoint, resource similarity means what?

Your direct competitors can probably match the strategic actions your company takes