In regards to strategic planning, what is the difference between a positioning based view and a resource based view?
Positioning based view; identifies opportunities in the environment
OT
Resource based view; Based on capabilities of business
SW
What areas are considered during strategic options evaluation?
S - Suitability of strategy
A - Acceptability to stakeholders
F - Feasibility with resources
What is a position/resource audit?
Examines the current state of the entity in relation to resources, results, shareholder returns etc
Assessment of how the company is doing
Kotler lists four types of competitors, match them to their description;
a) Brand competitors
b) Industry competitors
c) Generic competitors
d) Form competitors
- Similar products but differences include geographic area (e.g. Estate agents)
- Different products satisfying the same need (e.g. cinema vs restaurant)
- Similar firms with similar products
- Competing for the same disposable income (e.g. cars and holidays)
a 3
b 1
c 4
d 2
How do you calculate market share?
our market share : market share of largest competitor
Ratio, greater than 1 indicates we are a market leader
Match the key term to the definition
a) Strategic plan
b) Business plan
c) Operational plan
- Embodies corporate strategy & general direction taken to achieve this
- Sets out markets to be served, how they will be and what finance is required
- What actions will be taken by each function
a 1
b 2
c 3
What are the four balanced scorecard perspectives?
Customer
Financial
Innovation and Learning
Internal Business Processes
