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mention 5 long terms objectives profitability, productivity, competitive position, employee relations/development, technological leadership
mention the 3 generic strategies low cost leadership, differentiation, focus
2 risk of low cost leadership imitation, technological changes, proximity to differentiation is lost
2 risk of differentiation imitation, differentiation becomes less important to customers, cost proximity is lost
2 risk of focus target segment becomes unattractive, focus strategy is imitated
mentions at least 10 grand stategies concentrated growth, market development, product development, innovation, horizontal integration, vertical integration, concentric diversification, conglomerate diversification, turnaround, divestiture, liquidation, bankrupcy, join ventures, str allnce
Characteristics of a Concentrated Growth Strategy Involves focusing resources on the profitable growth of a single product, in a single market, with a single dominant technology
Characteristics of Market development Consists of marketing present products, often with only cosmetic modifications, to customers in related market areas by Adding channels of distribution or Changing content of advertising or promotion
Characteristics of Product development Involves substantial modification of existing products or creation of new but related products
Characteristics of Innovation Strategy Involves creating a new product life cycle, thereby making similar existing products obsolete
Characteristics of Strategies of Horizontal integration Based on growth via acquisition of one or more similar firms operating at the same stage of the production-marketing chain
Characteristics of Strategies of Vertical Integration Involves acquiring firms To supply acquiring firm with inputs - backward integration or Are customers for firm’s outputs - forward integration
Characteristics of Concentric diversification Involves acquisition of businesses related to acquiring firm in terms of technology, markets, or products
Characteristics of Conglomerate diversification Involves acquisition of a business because it represents a promising investment opportunity Primary motivation is profit pattern of venture
Characteristics of Turnaround Strategy Involves a concerted effort over a period of time to fortify a firm’s distinctive competencies, returning it to profitability
Characteristics of Divestiture strategy Involves selling a firm or a major component of a firm
Characteristics of Liquidation strategy Involves selling parts of a firm, usually for its tangible asset value and not as a going concern
Characteristics of Strategy of Bankruptcy liquidation Involves complete distribution of a firm’s assets to creditors, Reorganization - Involves creditors temporarily freezing their claims while a firm reorganizes
Characteristics of Joint venture Involves establishing a third company (child), operated for the benefit of the co-owners (parents)
Characteristics of Strategic alliance Involves creating a partnership between two or more companies that contribute skills and expertise to a cooperative project
What is a balance scoreboard? Is a measure on how well the company is doing with its strategy, it measure, finance performance, business processes, customer knowledge, learn and growth
Mention 3 reasons for outsourcing? focus in business main competence, free resources, use the best capabilities of other companies.
Created by: jnartig
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