Business 201 - Chapter 2

Question 1

Business Growth and Profitability = ?

Answer 1

Well directed and positioned strategy + Effective and efficient tactic excecution

Question 2

6 Core Elements for Assessing Business Strategy

Answer 2

Purpose
Markets
Products and Services
Resources
Business System Configuration
Responsibility and Accountability

Question 3

What is an organizations purpose?

Answer 3

Reason for existence

Broad goals around which company was formed

Question 4

Vision Statement

Answer 4

What a company wants to become and where it is going

Question 5

Markets

Answer 5

Where a business sees itself competing,

Question 6

Harvesting a market

Answer 6

Reducing a commitment to a market given perceived weak growth or profitability potential

Question 7

Products and Services

Answer 7

Current and future (planned) that are in an organizations portfolio

Question 8

Resource strategy

Answer 8

Allocation of resources in support of strategic decisions

Where to allocate limited resources

Question 9

Business System Configuration

Answer 9

Modifying infrastructure and the way and organization does business to ensure the success of a plan

Question 10

Responsibility and Accountability

Answer 10

Who within a business will be responsible for each aspect of it’s strategic plan