MGMT Exam 2- faster memorization

What are slack resources?

Extra resources that provide flexibility and a buffer for change

Single-use vs standing plans?

Single-use = one-time events; Standing = repeated for recurring situations

Types of standing plans?

Policies, Procedures, Rules & Regulations.

Delphi technique?

Expert panel answers questionnaires until reaching agreement

Nominal group technique?

Members write ideas, discuss, and privately rank them.

Corporate-level strategy?

Decides what businesses a company should be in

Acquisition?

One company buys another to enter new markets

Unrelated diversification?

Owning businesses in unrelated areas; reduces risk but no synergy.

Related diversification?

Similar businesses with shared resources; creates synergy.

Grand strategies?

Growth, Stability, Retrenchment

Growth strategy?

Increase profits, market share, or business size

Stability strategy?

Maintain current operations

Retrenchment strategy?

Shrink or cut costs to recover from poor performance

Porter’s Five Forces?

Rivalry, New Entrants, Substitutes, Supplier Power, Buyer Power

Organizational decline stages?

Blinded, Inaction, Faulty Action, Crisis, Dissolution

Technological discontinuity?

Breakthrough innovation causing major change

Dominant design?

New standard technology that wins in the market

Technological lockout?

Inability to compete using outdated technology

Steps to manage change?

Unfreeze, Change, Refreeze

Ways to reduce resistance to change?

Education, Participation, Negotiation, Support, Coercion

Forms of global business (low to high risk)?

Exporting, Cooperative Contracts, Alliances, Wholly Owned, Global Ventures

Exporting?

Sell domestic goods abroad; low risk

Licensing?

Allow others to produce/sell your product for royalties

Franchising?

Licensing entire business model

Joint venture?

Two companies create a third to share costs and risks

Wholly owned affiliate?

100% owned foreign operation; full control, high risk

Global new venture?

New company with global operations from the start

Expatriate?

Someone working outside their home country

Adaptability screening?

Tests how well managers and families will adjust abroad

Cross-cultural training types?

Documentary, Simulation, Field

Hofstede dimensions?

Power distance, Individualism, Masculinity, Uncertainty, Time, Indulgence

GATT?

1947–1995 trade pact reducing tariffs

WTO?

1995 global trade organization enforcing trade rules

USMCA?

U.S., Mexico, Canada trade deal replacing NAFTA

Other trade zones?

EU, CAFTA-DR, MERCOSUR, ASEAN, AfCFTA, APEC