Strategic MANA - Quiz 1

what 3 tests winning strategy must pass

-the fit test (how well does the strategy fit the company's situation) -the competitive advantage (is the strategy helping the company achieve as a competitive advantage?is the competitive advantage likely to be sustainable) -the performance test (is the strategy producing superior company performance)

what is a creative and distinctive strategy

a company most reliable ticket for developing a competitive advantage over its rivals (ex: Apple creates "must have" exciting new products, beautifully designed, technology advanced, easy to use, and sold in appealing stores offering fun experiences)

what is a cleverly crafted and well executed strategy

a constantly evolving strategy, pleasing their customers, shareholders, and other stakeholders ; strategy is setting yourself apart from the competition , making clear-cut choices about how to compete, great preparation and good strategy

what is an emergent strategy

consists of reactivate strategy elements that emerge as changing conditions warrant

what makes a strategy a winner (inner and external)

external - strategy has to be well matched to industry and competitive conditions, a company best market opportunities, other pertinent aspects of the business environment in which the company operates internal - tailored to the company's resources and competitive capabilities and be supported by a complementary set of functional activities dynamic - strategy evolves over time and maintains close and effective alignment with the company's situation (the fit test)

what are the questions that managers need to ask themselves when it comes to strategy

how to position the company in the marketplace how to attract customers how to compete against rivals how to achieve the company's performance targets how to capitalize on opportunities to grow the business how to respond to changing economic and market conditions

deliberate strategy

proactive, planned initiatives to improve the company's financial performance and secure a competitive edge reactive responses to unanticipated developments and fresh market conditions

when competition achieves competitive advantage

they provide the customer with a product or service that the customer values more highly than others (higher perceived value) OR they produce their product or service more efficiently (lower costs)