study guide 1
Globalization - companies spread internationally
Technological change - the development of new goods and/or better ways of producing goods and service
Knowledge management - set of practices aimed at discovering and harnessing an organization’s intellectual resources
Collaboration across organizational boundaries - leveraging knowledge for maximum impact, requires people in different departments, divisions of subunits of the organization to collab and communicate effectively
Centralized management - board of directors make policy decisions while corporate officers tun the day-to-day operations
Decentralized management - decision making is moved down to the level of staff
Innovation - the introduction of new goods and services
Quality - the excellence of your product
Management - the process of working with people and resource to accomplish organizational goals
Cost competitiveness - keeping costs low enough so that the company can realize profits and price its products at levels that are attractive to consumers
Sustainability - the effort to minimize the use and loss of resources, especially those that are polluting and not renewable
Service - giving customers what they want or need when they want it
Intangible - not graspable/physical
Tangible - objects, products
Emotional intelligence - the ability to perceive, understand, manage, and use emotions
Speed as an important factor - fast execution, response, delivery - often separates winners from losers
4 traditional functions of management - planning, organizing, leading, controlling
Planning - specifying goals ot be achieving and deciding in advance the appropriate actions needed to achieve those goals
Organizing - assembling and coordinating the human, financial, physical, information, and other resources needed to achieve goals
Leading - stimulating people to be high performers
Controlling - monitors performance and takes any needed corrective action
Top level managers - senior executives of an organization - responsible for its overall management
Middle level managers - located in the organization’s hierarchy below top level management and above frontline managers
Frontline managers - lower level managers who supervise the operational activities of the organization
Technical skills - skills that involve the ability to perform tasks in specific method or process
Conceptual and decision skills - skills related to abilities that help identify and resolve problems for the benefit of the organization and everyone concerned
Competitive environment - composed of the firm and its rivals, suppliers, customers, new entrants, and substitute/complementary products
Open system - affected by and in turn affect their external environment
Inputs - human resources and investment capital from their environment; use them to create products and service that are outputs to their environment
External environment - all relevant forces outside a firm’s boundaries, such as competitors, customers, the government, and the economy
Macroenvironment - includes legal, political, economic, technological, demographic, and social and natural factors that generally affect all organizations
Substitute - a potential threat, an alternative
Complement - a potential opportunity, bought together
Complementary goods - a good whose se is relate to the use of an associate or paired good
Suppliers - companies that provide material, human, financial and informational resources to other companies
Switching costs - fixed costs buyers face when they change suppliers
Supply chain management - aka extended enterprise: managing of the entire network of facilities and people that obtain raw material from outside the organization, transform them into products and distribute them to customers
Customers - people who buys goods and services
Intermediate customer - purchase raw material or wholesale products before selling them to final customers
Final customers - purchase products in their finished form
Environmental uncertainty - managers do not have enough information about the environment to understand or predict the future
Environmental scanning - the process of collecting information about forces in the marketing environment
Best case scenario - an analysis in which all of the input variables are set at their best reasonably forecasted values
Worst case scenario - an analysis in which all of the input variables are set at their worst reasonably forecasted values
Contingency plan - an alternative course of action to be followed if a specific problem arises
Forecast - a simple prediction of the future
Benchmarking - identifying the best in class performance by a company in a given area and then comparing your processes to theirs
Domain selection - entering a new market or industry with existing expertise
Diversification - occurs when a firm invest in a different product, business, or geographic area
Merger of acquisition - takes place when two or more firms combine or one firms buys another to form a single company
Divestiture - occurs when a company sells one or more business
Defenders - companies that stay within a stable product domain as a strategic maneuver
Organization culture - set of important assumptions about the organization and its goals and practices that members of the company share
Moment of truth - a time when a person or thing is tested, a decision has to be made, or a crisis has to be faced
Organizational climate - consists of the patterns of attitudes and behavior that shape people's experience of an organization
Economy - all organizations operate in a macroenvironment, so external factors are taken into consideration
Technology - a company cannot succeed without incorporating it
Laws and regulations - us government policies impose strategic constraints on organizations but also may provide some opportunities
Competitive advantage - a condition or circumstance that puts a company in a favorable or superior business position
Demographics - measures of various characteristics of the people who make up groups or social units
Social issues - societal trends have major implications for management of labor force, corporate social actions, and strategic decisions about products and markets
Sustainability and the natural environment - organization depends on the natural environment to provide them with resources
Capital requirements - requirement that the owners of banks hold substantially more assets that the value of bank deposits
Brand identification - memory is stored in terms of the brands name
Cost advantages - a firm that can produce a particular product or service at a lower cost than the competition
Distribution channels - the path through which products or services get to customers
Globalization - companies spread internationally
Technological change - the development of new goods and/or better ways of producing goods and service
Knowledge management - set of practices aimed at discovering and harnessing an organization’s intellectual resources
Collaboration across organizational boundaries - leveraging knowledge for maximum impact, requires people in different departments, divisions of subunits of the organization to collab and communicate effectively
Centralized management - board of directors make policy decisions while corporate officers tun the day-to-day operations
Decentralized management - decision making is moved down to the level of staff
Innovation - the introduction of new goods and services
Quality - the excellence of your product
Management - the process of working with people and resource to accomplish organizational goals
Cost competitiveness - keeping costs low enough so that the company can realize profits and price its products at levels that are attractive to consumers
Sustainability - the effort to minimize the use and loss of resources, especially those that are polluting and not renewable
Service - giving customers what they want or need when they want it
Intangible - not graspable/physical
Tangible - objects, products
Emotional intelligence - the ability to perceive, understand, manage, and use emotions
Speed as an important factor - fast execution, response, delivery - often separates winners from losers
4 traditional functions of management - planning, organizing, leading, controlling
Planning - specifying goals ot be achieving and deciding in advance the appropriate actions needed to achieve those goals
Organizing - assembling and coordinating the human, financial, physical, information, and other resources needed to achieve goals
Leading - stimulating people to be high performers
Controlling - monitors performance and takes any needed corrective action
Top level managers - senior executives of an organization - responsible for its overall management
Middle level managers - located in the organization’s hierarchy below top level management and above frontline managers
Frontline managers - lower level managers who supervise the operational activities of the organization
Technical skills - skills that involve the ability to perform tasks in specific method or process
Conceptual and decision skills - skills related to abilities that help identify and resolve problems for the benefit of the organization and everyone concerned
Competitive environment - composed of the firm and its rivals, suppliers, customers, new entrants, and substitute/complementary products
Open system - affected by and in turn affect their external environment
Inputs - human resources and investment capital from their environment; use them to create products and service that are outputs to their environment
External environment - all relevant forces outside a firm’s boundaries, such as competitors, customers, the government, and the economy
Macroenvironment - includes legal, political, economic, technological, demographic, and social and natural factors that generally affect all organizations
Substitute - a potential threat, an alternative
Complement - a potential opportunity, bought together
Complementary goods - a good whose se is relate to the use of an associate or paired good
Suppliers - companies that provide material, human, financial and informational resources to other companies
Switching costs - fixed costs buyers face when they change suppliers
Supply chain management - aka extended enterprise: managing of the entire network of facilities and people that obtain raw material from outside the organization, transform them into products and distribute them to customers
Customers - people who buys goods and services
Intermediate customer - purchase raw material or wholesale products before selling them to final customers
Final customers - purchase products in their finished form
Environmental uncertainty - managers do not have enough information about the environment to understand or predict the future
Environmental scanning - the process of collecting information about forces in the marketing environment
Best case scenario - an analysis in which all of the input variables are set at their best reasonably forecasted values
Worst case scenario - an analysis in which all of the input variables are set at their worst reasonably forecasted values
Contingency plan - an alternative course of action to be followed if a specific problem arises
Forecast - a simple prediction of the future
Benchmarking - identifying the best in class performance by a company in a given area and then comparing your processes to theirs
Domain selection - entering a new market or industry with existing expertise
Diversification - occurs when a firm invest in a different product, business, or geographic area
Merger of acquisition - takes place when two or more firms combine or one firms buys another to form a single company
Divestiture - occurs when a company sells one or more business
Defenders - companies that stay within a stable product domain as a strategic maneuver
Organization culture - set of important assumptions about the organization and its goals and practices that members of the company share
Moment of truth - a time when a person or thing is tested, a decision has to be made, or a crisis has to be faced
Organizational climate - consists of the patterns of attitudes and behavior that shape people's experience of an organization
Economy - all organizations operate in a macroenvironment, so external factors are taken into consideration
Technology - a company cannot succeed without incorporating it
Laws and regulations - us government policies impose strategic constraints on organizations but also may provide some opportunities
Competitive advantage - a condition or circumstance that puts a company in a favorable or superior business position
Demographics - measures of various characteristics of the people who make up groups or social units
Social issues - societal trends have major implications for management of labor force, corporate social actions, and strategic decisions about products and markets
Sustainability and the natural environment - organization depends on the natural environment to provide them with resources
Capital requirements - requirement that the owners of banks hold substantially more assets that the value of bank deposits
Brand identification - memory is stored in terms of the brands name
Cost advantages - a firm that can produce a particular product or service at a lower cost than the competition
Distribution channels - the path through which products or services get to customers