Strategy

Question 1

Benefits of Strategy formulation (6)

Answer 1

• Clarity
• Coordination
• Efficiency
• Incentives
• Change
• Career Development

Question 2

Types of Resources/Inputs (3)

Answer 2

1. Land
2. Capital
3. Labour

Question 3

Aligning HR & business strategy (3 methods)

Answer 3

1. HR strategy is based off existing business strategy
2. Business strategy is based off required HR strategy
3. HR & business strategy is developed simultaneously (reciprocal interdependency”

Question 4

What question does the corporate strategy answer?

Answer 4

What business should we be in

Question 5

Corporate Strategy

Answer 5

considers how we structure the overall business, so all of its parts create more value together than they would individually

Question 6

Turnaround Strategy

Answer 6

an attempt to increase the viability of an organization

Question 7

Divestiture

Answer 7

the sale of a division or part of an organization

Question 8

Liquidation

Answer 8

the termination of a business and the sale of its assets

Question 9

Bankruptcy

Answer 9

A formal procedure in which an appointed trustee in bankruptcy takes possession of a business; assets and disposes of them in an orderly fashion

Question 10

Incremental Growth

Answer 10

attained by expanding the client base, increasing products/services, changing the distribution networks, or using technology

Question 11

International Growth

Answer 11

attained by seeking new customers or markets by expanding internationally

Question 12

Acquisition

Answer 12

purchase of one company by another

Question 13

Merger

Answer 13

when two organizations combine resources and become one

Question 14

Key challenges of International HRM (4)

Answer 14

1. Workforce diversity
2. Employment legislation
3. The role of the HR function
4. Being flexible

Question 15

Domestic Growth Strategy

Answer 15

Companies become international by exporting their goods abroad as a means of seeking new markets

Question 16

Multi-Domestic Growth Strategy

Answer 16

Resulting in subsidiaries. Producing within the market where goods are sold

Question 17

Multinational Growth Strategy

Answer 17

Standardizing the products and services around the world to gain efficiency

Question 18

Global Growth Strategy

Answer 18

Introduces culturally-sensitive products in chosen countries with the least amount of cost

Question 19

Host-Country Nationals

Answer 19

individuals from the subsidiary country who know the foreign cultural environment well

Question 20

Parent-Country Nationals

Answer 20

individuals from headquarters who are highly familiar with the firm’s products and services, as well as with its corporate culture

Question 21

Third-Country nationals

Answer 21

individuals from a third country who have extensive international experience and how the corporate culture from previous working experience with corporate branches in the third country

Question 22

Expatriate

Answer 22

any individual who gives up residence in their home country to take up residence in a foreign country either temp. or permanently

Question 23

Reality of the Strategic Process (4 strategies)

Answer 23

1. Intended Strategy
2. Emergent Strategy
3. Discarded Strategy
4. Realized Strategy

Question 24

Categories of a Balanced Scorecard (4)

Answer 24

1. Financial
2. Customer
3. Learning & Growth
4. Internal Business Processes

Question 25

Porter's Model of Competitive Strategies (5)

Answer 25

1. Low-Cost Leader 2. Broad Differentiation 3. Best-cost provider 4. Focus/market-niche based on differentiation 5. Focused/market-niche based on lower cost