Test Dos Flashcards
(190 cards)
What is compete Intelligence?
Gaining information about one’s competitors’ activities you can anticipate their moves and react
What are ways to receive competitive intelligence?
Public prints and advertising, investor information, informal sources
What is environmental scanning?
Careful monitoring of an organization’s internal and external environments to detect early signs of opportunities and threats that may influence firm’s place
What is the SWOT analysis?
Strengths- Internal
Weaknesses-Internal
Opportunities-External
Treats-External
What is a forecast?
A vision or projection of the future.
What is trend analysis?
Hypothetical extension of a past series of events into the future
What is a contingency plan?
Creation of alternative hypothetical but equally likely future conditions.
Also called scenario planning and scenario analysis
What are Porter’s Five competitive forces?
- Threat of new entrants
- Bargaining power of suppliers
- Bargaining power of buyers
- Threat of substitute products or services
- Rivalry among competitors
What are Porter’s four competitive strategies?
Cost leadership-wide
Differentiation- wide
Cost-Focus-narrow
Focused-differentiation-narrrow
What is Cost-leadership strategy?
Keep the costs, and hence the prices, of a product or service below those of competitors and to target a wide market
What is differentiation strategy?
Offer products that are unique and superior value compared to those of competitors but target a wide market.
What is cost-focus strategy?
Keep costs of a product below those of competitors and to target a narrow market.
What is focused-differentiation?
Off products that are unique and superior value compared to those com competitors and to target a narrow market
What is single-product strategy?
company makes and sells only one product within its market
Benefit-focus
Risk-vulnerablilty
What is diversification?
Operating several businesses under one ownership that are not related to one another
What are advantages of related diversification?
reduced risk (more than 1 product) Management efficiency (administration spread over several businesses)
What is BCG matrix?
Stars, cash cows, question marks, dogs
What is a star?
Have high growth, high market share
What is a question mark?
Low market share, high market growth
What is a cash cow?
Low market growth, high market share
What is a star?
High market growth, high market share
What is a dog?
Low market growth, low market share
What is execution?
Consists of using questioning, analysis, and follow-through in order to mesh strategy with reality, align people with goals, and achieve results promised
What are the three core processes of business?
People Consider who will benefit you in future Strategy Consider how success will be accomplished Operations Consider what path will be followed