WPC 480 Exam #1 Questions and
Answers
Strategy ii- iiAnswers ii-An iiintegrated iiset iiof iigoal-directed iiactions iia iifirm iitakes iito iigain
iiand iisustain iicompetitive iiadvantages.
Vision ii- iiAnswers ii-What iido iiwe iiwant iito iiaccomplish?
Mission ii- iiAnswers ii-How iido iiwe iiaccomplish iiour iigoals? iiAnd iiwhat iido iiwe iido iito
iiaccomplish iiour iigoals?
Stakeholders ii- iiAnswers ii-organizations, iigroups, iiand iiindividuals. iiThey iican iiaffect iior
iiare iiaffected iiby iia iifirm's iiactions.
Competitive iiAdvantage ii- iiAnswers ii-superior iiperformance iirelative iito iiother
iicompetitors iiin iithe iisame iiindustry iior iithe iiindustry iiaverage.
Sustainable iiCompetitive iiAdvantage ii- iiAnswers ii-outperforming iicompetitors iior iithe
iiindustry iiaverage iiover iia iiprolonged iiperiod iiof iitime.
Competitive iiParity ii- iiAnswers ii-performance iiof iitwo iior iimore iifirms iiat iithe iisame iilevel
Strategic iiManagement iiProcess ii- iiAnswers ii--Environmental iiscanning
-Strategy iiformulation
-Strategy iiimplementation
-Strategy iievaluation
Intended iistrategy ii- iiAnswers ii-the iioutcome iiof iia iirational iiand iistructured iitop-down
iistrategic iiplan
Emergent iistrategy ii- iiAnswers ii-any iiunplanned iistrategic iiinitiative, iibubbles iiup iifrom
iithe iibottom iiof iithe iiorganization iiand iican iiinfluence iiand iishape iia iifirm's iioverall
iistrategy.
Realized iistrategy ii- iiAnswers ii-combination iiof iiintended iiand iiemergent iistrategy
PESTEL iiFramework ii- iiAnswers ii-Political iifactors: iiprocesses iiand iiactions iiof
iigovernment iibodies. iiLobbying, iipublic iirelations, iicontributions, iilitigations.
Economic iifactors: iimacro iieconomic iiclimates. iiGrowth iirates, iiemployment, iiinterest
iirates, iiprice iistability, iicurrency iiexchange iirates.
, Sociocultural iifactors:demographic iitrends,cultures, iinorms, iiand iivalues.
Technological iifactors: iiinnovations iiin iiprocess iiand iiproduct iitechnology
Ecological iifactors:involve iienvironmental iiissues ii(e.g., iiNatural iienvironment, iiglobal
iiwarming, iisustainable iieconomic iigrowth).
Legal iifactors:official iioutcomes iiof iipolitical iiprocesses ii(e.g., ii(de)regulations, iicourt
iidecisions, iilaws)
Competitive iiIndustry iiStructure ii- iiAnswers ii--Perfect iicompetition
-Oligopoly
-Monopolistic iicompetition
-Monopoly
Strategic iiGroups ii- iiAnswers ii-companies iiin iia iispecific iiindustry iithat iipursue iisimilar
iistrategies.
ii
Ex. iiwal-mart, iitarget, iifry's, iibashas
Ex. iicostco, iisam's iiclub
5 iiForces iiModel ii- iiAnswers ii--Power iiof iisuppliers
-Intra-industry iirivalry
-threat iiof iisubstitutes
-threat iiof iientrants
-Power iiof iibuyers
Core iiCompetencies ii- iiAnswers ii-Unique iistrengths iiallowing iia iifirm iito iidifferentiate iiits
iiproducts iiand iiservices iifrom iithose iiof iiits iirivals.
Ex. iiFacebook
iiIT iicapabilities
iiData iimining
Firm ii- iiAnswers ii-bundle iiof iiresources
-financial
-human
-organizational/societal
-physical
VRIO iiFramework ii- iiAnswers ii--Value--> iilower iicost/increase iivalue
-Rarity
-Imitability
-Organizational--> iisupportive iiof iiproduct iito iibe iisuccessful
Answers
Strategy ii- iiAnswers ii-An iiintegrated iiset iiof iigoal-directed iiactions iia iifirm iitakes iito iigain
iiand iisustain iicompetitive iiadvantages.
Vision ii- iiAnswers ii-What iido iiwe iiwant iito iiaccomplish?
Mission ii- iiAnswers ii-How iido iiwe iiaccomplish iiour iigoals? iiAnd iiwhat iido iiwe iido iito
iiaccomplish iiour iigoals?
Stakeholders ii- iiAnswers ii-organizations, iigroups, iiand iiindividuals. iiThey iican iiaffect iior
iiare iiaffected iiby iia iifirm's iiactions.
Competitive iiAdvantage ii- iiAnswers ii-superior iiperformance iirelative iito iiother
iicompetitors iiin iithe iisame iiindustry iior iithe iiindustry iiaverage.
Sustainable iiCompetitive iiAdvantage ii- iiAnswers ii-outperforming iicompetitors iior iithe
iiindustry iiaverage iiover iia iiprolonged iiperiod iiof iitime.
Competitive iiParity ii- iiAnswers ii-performance iiof iitwo iior iimore iifirms iiat iithe iisame iilevel
Strategic iiManagement iiProcess ii- iiAnswers ii--Environmental iiscanning
-Strategy iiformulation
-Strategy iiimplementation
-Strategy iievaluation
Intended iistrategy ii- iiAnswers ii-the iioutcome iiof iia iirational iiand iistructured iitop-down
iistrategic iiplan
Emergent iistrategy ii- iiAnswers ii-any iiunplanned iistrategic iiinitiative, iibubbles iiup iifrom
iithe iibottom iiof iithe iiorganization iiand iican iiinfluence iiand iishape iia iifirm's iioverall
iistrategy.
Realized iistrategy ii- iiAnswers ii-combination iiof iiintended iiand iiemergent iistrategy
PESTEL iiFramework ii- iiAnswers ii-Political iifactors: iiprocesses iiand iiactions iiof
iigovernment iibodies. iiLobbying, iipublic iirelations, iicontributions, iilitigations.
Economic iifactors: iimacro iieconomic iiclimates. iiGrowth iirates, iiemployment, iiinterest
iirates, iiprice iistability, iicurrency iiexchange iirates.
, Sociocultural iifactors:demographic iitrends,cultures, iinorms, iiand iivalues.
Technological iifactors: iiinnovations iiin iiprocess iiand iiproduct iitechnology
Ecological iifactors:involve iienvironmental iiissues ii(e.g., iiNatural iienvironment, iiglobal
iiwarming, iisustainable iieconomic iigrowth).
Legal iifactors:official iioutcomes iiof iipolitical iiprocesses ii(e.g., ii(de)regulations, iicourt
iidecisions, iilaws)
Competitive iiIndustry iiStructure ii- iiAnswers ii--Perfect iicompetition
-Oligopoly
-Monopolistic iicompetition
-Monopoly
Strategic iiGroups ii- iiAnswers ii-companies iiin iia iispecific iiindustry iithat iipursue iisimilar
iistrategies.
ii
Ex. iiwal-mart, iitarget, iifry's, iibashas
Ex. iicostco, iisam's iiclub
5 iiForces iiModel ii- iiAnswers ii--Power iiof iisuppliers
-Intra-industry iirivalry
-threat iiof iisubstitutes
-threat iiof iientrants
-Power iiof iibuyers
Core iiCompetencies ii- iiAnswers ii-Unique iistrengths iiallowing iia iifirm iito iidifferentiate iiits
iiproducts iiand iiservices iifrom iithose iiof iiits iirivals.
Ex. iiFacebook
iiIT iicapabilities
iiData iimining
Firm ii- iiAnswers ii-bundle iiof iiresources
-financial
-human
-organizational/societal
-physical
VRIO iiFramework ii- iiAnswers ii--Value--> iilower iicost/increase iivalue
-Rarity
-Imitability
-Organizational--> iisupportive iiof iiproduct iito iibe iisuccessful
