6. Management Flashcards
(19 cards)
BCG matrix
Explains Industry: Analyze business units or product lines to allocate resources
(Key words: Annual real rate of market growth, low/high, questions, dogs, stars, cows, market share)
Define: Dynamic
Define: Static
D: Vision/ Mission statement and how to get there
S: How/ Where to compete
Factors that considers a company a competitive advantage
Valuable, rare, difficult to imitate, non-substitutable
Fooled by Randomness
Luck can often be mistaken for skill, leading to misjudgments about one’s abilities
Four functions
Planning, directing/leading, organizing, controlling
Four practices of successful company managers
Culture, structure, strategy, execution
Intangible
Human capital/ social capital
Levels of management
Seniors: Focuses on strategies, gov’t investments relations, and raising of capital
Middle: Manages other managers, watch strategies
Lower: Oversees the workers working
Management
The process of getting the right things done right through the active involvement of other people.
Right things: Things that support the organization
Done right: Things are done on time, on budget, and ethically
Porter’s Competitive Strategy Matrix
Key Words: Market Scope, Source of Competitive Advantage, Narrow/Broad, Low price/ unique product, cost leadership, differentiation, focused low cost, focused differentiation
Porter’s Five Forces
The power of buyers: prices lower, costs upper
The likely threat of new extrants: prices lowers
The level of competitive rivarly: Prices lowers, costs upper
The threat of substitutes: Prices lowers
The power of suppliers: Costs uppers
Porter’s Five Forces gives insights on:
How we price things, alter forces, and how we change profitability before competitors
Porter’s Value Chain
Focuses on the company itself: Informs the sequence of activities the company preforms to design, produce, sell, deliver, and support its product. Used to determine how an organization currently is structuring its activities.
RBV capabilities
When firms integrates several different resources in a way that allows it to effectively and efficiently complete a task/s
Resource-Based View (RBV)
Tangible and intangible assets held by the firms that contribute to creating value for customers
SWOT analysis
Framework analyzing a company’s:
Strengths
Weaknesses
Opportunities
Threats
Tangible
Balance sheet (buildings, manufacturing)
The purpose of management
To ensure the success of the organization
Vertical Integration
Allows company to streamline its operations by taking direct ownership of various stages rather than relying on external contractors/ suppliers.
Supplier- Manufacturer- Distribution- Retailer- End Consumer
