MGMT 303 Learnsmart #3
Corporate Level-Strategy
When top management decides the industries and national markets in which their organizations plan to compete
Differentiation strategy
distinguishing an organization's product from competitors' through quality, design, or after-sales service
Scenario Planning
generation of multiple forecasts of future conditions followed by an analysis of how to respond effectively to each of the conditions
Standing plans include
policies, rules, and standard operating procedures (SOPs)
Functional level responsibility
Planning necessary to increase the efficiency & effectiveness of their particular department
Franchising
Selling to a foreign organization the rights to use a brand name and operating know-how in return for payment and share of profit
Rolling Plan
Business-level plan that extends over several years and then is amended/updated annually
Focused differentiation strategy
Serving only one or few segments of the market and aim to make their organization the most differentiated company serving that segment
Strategic Alliance
Agreement in which managers pool/share their organization's resources and know how w/ a foreign company -they share rewards and risks of starting a new venture
Synergy
Performance gains that result when individuals and departments coordinate their actions
Corporate-level strategies
Concentration on a single industry, vertical integration, diversification, and international expansion
Multidomestic Strategy
Customized and marketed to accommodate particular national conditions
Business responsibility
Planning & strategy for their particular business division/unit
Strategy Formulation
Development of strategies -Allows an organization to accomplish its mission and achieve its goals
Corporate-level responsibility
Planning & strategy making for the whole organization