MAN 4970: Ch. 1 - What is Strategy:

which of the following is an example of a strategy for competitive advantage?

"we will leverage our IT systems to provide superior customer service"

Which of the following are elements of a good strategy according to the AFI framework?

1. a diagnosis of the competitive challenge 2. a guiding policy to address the competitive challenge 3. a set of coherent actions to implement the firms guiding policy

Which of the following are primary strategy objectives?

1. creating value 2. controlling costs

what should a successful vision do for an organization?

1. it should make employees feel that their work is important 2. it should inspire employees

which of the following factors would be examined in the external analysis stage of the afi strategy framework?

1. strategic groups 2. competitive forces

a firm can gain competitive advantage by providing goods and services ______

1. that create more value for consumers than competitors' offerings 2. that are of similar quality to competitors offerings but can be sold at a lower price due to lower costs

which of the following topics should be considered during the strategy analysis phase of the AFI framework?

1. the role of strategic leadership and the strategy-making process 2. the firm's internal strengths and resources 3. the firm's business model and competitive advantages 4. the external environment and associated challenges

which of the following are questions that managers are likely to ask when beginning the strategic management process?

1. what are our values? 2. what do we ultimately hope to achieve? 3. how can we achieve our goals?

a well-devised strategy helps a firm understand ______

1. what not to do 2. what to do

which of the following statements regarding tasks in the AFI strategy framework is true?

the tasks are very interdependent

what are strategic commitments?

they are actions that are costly, long-term oriented, and difficult to reverse

why might a company develop organizational core values?

to encourage employees to make ethical choices

managers often have to make decisions between two conflicting strategic options, otherwise known as _____

trade-offs

competitive parity occurs when _____

two or more firms achieve the same performance results

in the strategic management process, which basic principle must be defined first?

vision

the elements of a firm's strategy that summarizes the ultimate goals of the firm is known as the ______?

vision

Burger bomb has been outperforming other burger restaurants for a decade. this indicates that burger bomb has which of the following?

a competitive advantage

based on its long dominance as a coffeehouse chain, Starbucks has _______?

a sustainable competitive advantage

a(n) ______ can help employees feel that they are doing something worthwhile and are part of something important and meaningful

aspirational vision

in a(n) ______ strategy formulation, managers focus on deciding HOW the firm should compete

business

a(n) ______ occurs when a firm performs below the industry average or is outperformed by its competitors

competitive disadvantage

a statement of guiding principles that typically provides very specific ethical considerations is a(n) ________?

core values statement

what is the focus in a customer-oriented vision statement?

developing goods and services that solve consumer problems

Managers have ___ resources in their quest for competitive advantage.

limited

defining organizational core values provides employees with information on how to accomplish the organization's

mission

________ vision statements do not describe how to provide solutions to customer needs

product-oriented

what type of vision is most likely to fail?

product-oriented

In order to achieve and sustain competitive advantage, a company devises and adopts a set of goal-directed actions know collectively as a(n)

strategy

a powerful strategic commitment assures _______

that steps are taken to achieve the mission

employees tend to adhere to organizational core values when ______

the leaders of the organization also adhere to the values