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Flashcards in Business Environments Deck (6)
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1
Q

Developing a management strategy

A

Define vmg and corporate objectives

Analyze environments

Identify possible issues

Identify different strategic options available

Evaluate viability and analyze options+prioritize

Plan implementations

Implement strategy

Monitor + control

2
Q

Micro environment components

A

PPP HAM GF

3
Q

Techniques to identify challenges in micro

A

SWOT

Resource based approach ( valuable rare unique non-substitutable > value creating strategy )

Value chain analysis ( costs )

BALANCED SCORECARD - overall performance

  • financial perspective
  • customer perspective
  • internal (business) process perspective ( operations + social )
  • Learning + growth perspective ( assets + improvements/ opportunities)
4
Q

Porters 6 force

A
Threat of new entrants 
Level or rivalry 
Power of buyers 
Power of suppliers 
Threat/ availability of substitute products 
Complementary products
5
Q

Advantages of strategies

A

Gives direction and aims

Consistency in decisions

Differentiates responsibility areas of management

Puts business role into broader economy

Anticipates internal + external changes ( links environments and aligns resources with changes )

6
Q

Types of strategies

A

CORPORATE
growth
( internal - emphasizing aspect of existing & external adjusting surroundings etc )
Decline - diversiture ( selling ) - harvest ( withdrawing cash/assets) - liquidation ( termination )

CORPORATE COMBINATION 
Joint venture ( maintain identity ) 

Merger ( growth - new identity )

Takeover ( shares > ownership )

Competition
Bigger player
Finance / resources

GENERIC
low-cost ( reducing costs - increasing profits / increasing market share ) - financial stability

Differentiation

Focus strategy - segment , specification

INTENSIVE STRATEGIES 
market penetration ( gain m share > pricing marketing strategies ) 

Product development ( new product , existing market )

Market development ( new market existing product )

Diversification ( new product for new market / complimentary / unrelated products to exiting market / creating market / invention ) - less risk

OTHER STRATEGIES
Revise mission

Revise / establish new objectives

Allocate resources more effectively