Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
21 Cards in this Set
- Front
- Back
|
business-level strategy |
a strategy designed for a firm or a division of a firm that competes within a single business |
|
|
generic strategies |
basic types of business level strategies based on breadth of target market (industrywide versus narrow narrow market segment) and type of competitive advantage (low cost versus uniqueness) |
|
|
overall cost leadership |
a firm's generic strategy based on appeal to the industrywide market using a competitive advantage based on low cost |
|
|
experience curve |
the decline in unit costs of production as cumulative output increases |
|
|
competitive parity |
a firm's achievement of similarity, or being "on par", with competitors with respect to low cost, differentiation, or other strategic product characteristic |
|
|
differentiation strategy |
a firm's generic strategy based on creating differences in the firm's product or service offering by creating something that is perceived industrywide as unique and valued by customers |
|
|
focus strategy |
a firm's generic strategy based on appeal to a narrow market segment within an industry |
|
|
combination strategies |
firms' integrations of various strategies to provide multiple types of value to customers |
|
|
mass customization |
a firm's ability to manufacture unique products in small quantities at low cost |
|
|
profit pool |
the total profits in an industry at all points along the industry's value chain |
|
|
digital technologies |
information that is in numerical form, which facilities its storage, transmission, analysis and manipulation |
|
|
industry life cycle |
the stages of introduction, growth, maturity, and decline that typically occur over the life of an industry |
|
|
introduction stage |
the first stage of the industry life cycle, characterized by (1) new products that are not known to customers, (2) poorly defined market segments, (3) unspecified product features, (4) low sales growth, (5) rapid technological change, (6) operating losses, (7) a need for financial support |
|
|
growth stage |
the second stage of the product life cycle, characterized by (1) strong increases in sales; (2) growing competition; (3) developing brand recognition; and (4) a need for financing complementary value-chain activities such as marketing, sales, customer service, and research and development |
|
|
maturity stage |
the third stage of the product life cycle, characterized by (1) slowing demand growth, (2) saturated markets, (3) direct competition, (4) price competition, and (5)strategic emphasis on efficient operations |
|
|
reverse positioning |
a break in industry tendency to continuously augment products, characteristic of the product life cycle, by offering products with fewer products with fewer product attributes and lower prices |
|
|
breakaway positioning |
a break in industry tendency to incrementally improve products along specific dimensions, characteristic of the product life cycle, by offering products that are still in the industry but that are perceived by customers as being different |
|
|
decline stage |
the fourth stage of the product life cycle, characterized by (1) falling sales and profits, (2) increasing price competition, and (3) industry consolidation |
|
|
harvesting strategy |
a strategy of wringing as much profit as possible out of a business in the short to medium term by reducing costs |
|
|
consolidation strategy |
a firm's acquiring or merging with other firms in an industry in order to enhance market power and gain valuable assets |
|
|
turnaround strategy |
a strategy that reverses a firm's decline in performance and returns it to growth and profitability |
