The Fundamentals of Strategic Management
Thinking the COVID 19 pandemic's effects to all over the world, what ist main rationale in stragetic management?
The close and far environmental issues (changes, developments, etc.) are the main rationale for strategic management. Since, the environmental issues are in continously dynamic, the firms have to monitor and adapt the firm's strategies to reach final goals.
What is the main difference between goal and strategy?
The goal is the eventual or final position which the firm want to reach. The stratgy is the path or map to reach that position efficiently.
What is the major managerial competence to formulate a strategy?
A manager has to held a holistic view of the firm to formulate a strategy; first the interior operations and conditions of the firm, and secondly the exterior environmental conditions.
What are the main functions of strategic management?
The main functions of strategic management are formulating, implementing, and evaluating crossfunctional decisions that enable an organization to achieve its objectives.
In the light of critical questions in strategic management, what is the central issue in those questions?
The environmental (both interior and exterior) is the critical issue to evaluate in strategic management.
"Strategies are the means through which firms achieve..................." Please fill in the blank.
"Strategies are the means through which firms achieve the long term objectives"
What could be the reason for that the strategy is a concept derived from the war?
The strategy is the powerful tool for competing. In a war, both sides' objectives are the same; "winning", however the one who get the better strategy wins the war.
"Matching the opportunities with the corporate resources to improve the performance of the corporate is ..................... " Please fill in the blank.
"Matching the opportunities with the corporate resources to improve the performance of the corporate is strategic thinking."
What are the two main ways in strategical thinking?
Vertical (rational) thinking and lateral (intuitive)
thinking.
Strategy demands from the strategist(s)
both creativity – lateral thinking, often applied
to divergent problems, and rationality – vertical
thinking, often applied to convergent problems
"In the future, as the X Corporation, we want to be one of the leading international firm in our sector." What could be this very consice sentece for a firm?
A declaration for the future like this example, is a vision statement.
What should the strategist do, after formulating the strategy?
The strategist don't only formulate the strategy, but also guides and empowers the execution of the strategies.
What is the resource of information that we can learn a firm's reason for existence and how it differs from it's competitors?
The mission statement is the declaration of the firm's reason for existence and how it differs from it's competitors
What are the resources to perform a task such as management style, organizational design?
Those resources are named as capability.
What are the unique and the most competitive and sustaining processes of the company?
The unique and the most competitive and sustaining processes of the company are core competences.
What could be the main difference in competitive advantage and the sustainable competitive advantage?
Both conceptions emphisize to perform better than competitors. However, sustainable competitive advantage refers to maintain above-avarege profitability for an extended period of time.
What is the reason for complication of managing resources?
As the environment becomes complicated so does managing resources. The
strategic approach integrates tools and resources to position a company in a competitively advantageous place in the market.
What are the generic strategies developed by Michael Porter?
Cost leadership, differentation and focus.
What are the common phases proposed by different strategic management models?
The common phases proposed by different strategic management models are:
1) strategy formulation, 2) strategy implementation, and 3) strategic evaluation and control.
What is the main components which are evaluated by the customer in value?
The customer evaluate the costs and the benefits of a product, so that the customer has a perception of the value
Why is the external and internal analysis are imperative in strategy formulation?
The strategy is a response or reaction to a dynamic environment. Thus, the firm's continously monitor and analyse the external and the internal environment.