Mgmt 485 Final Exam

Front 1

International Strategy

Back 1

a strategy through which the firm sells its goods or services outside its domestic market.

Front 2

Multidomestic Strategy

Back 2

an international strategy in which strategic and operating decisions are decentralized to the strategic business units in individual countries or regions for the purpose of allowing each unit the opportunity to tailor products to the local market.

Front 3

Global Strategy

Back 3

an international strategy in which a firm's home office determines the strategies business units are to use in each country or region.

Front 4

Transnational Strategy

Back 4

an international strategy through which the firm seeks to achieve both global efficiency and local responsiveness.

Front 5

Greenfield Venture

Back 5

an entry mode through which a firm invests directly in another country or market by establishing a new wholly owned subsidiary.

Front 6

International Diversification Strategy

Back 6

a strategy through which a firm expands the sales of its goods or services across the borders or global regions and countries into a potentially large number of geographic locations or markets.

Front 7

Organizational Structure

Back 7

specifies the firm's formal reporting relationships, procedures, controls, and authority and decision-making processes.

Front 8

Organizational Controls

Back 8

guide the use of strategy, indicate how to compare actual results, and suggest corrective actions to take when the differences is unacceptable.

Front 9

Strategic Controls

Back 9

are largely subjective criteria intended to verify that the firm is using appropriate strategies for the conditions in the external environment and the company's competitive advantage.

Front 10

Financial Controls

Back 10

are largely objective criteria used to measure the firm's performance against a previously established quantitative standards.

Front 11

Simple Structure

Back 11

a structure in which the owner-manager makes all major decisions and monitors all activities while the staff serves as an extension of the manager's supervisory authority.

Front 12

Functional Structure

Back 12

consists of a chief executive officer and a limited corporate staff, with functional line managers in dominant organizational areas such as production, accounting, marketing, R&D, engineering and human resources.

Front 13

Multidivisional (M-form) Structure

Back 13

consists of a corporate office and operating divisions, each operating division represents a separate business or profit center in which the top corporate officer delegates responsibilities for day-to-day operations and business-unit strategy to division managers.

Front 14

Cooperative Form

Back 14

is an M-form structure in which horizontal integration is used to bring about interdivisional cooperation.

Front 15

Strategic Business Unit (SBU) Form

Back 15

is an M-form consisting of 3 levels:
- Corporate Headquarters
- Strategic Business Units (SBUs)
- SBU Divisions

Front 16

Competitive Form

Back 16

is an M-form structure characterized by complete independence among the firm's divisions which compete for corporate resources.

Front 17

Worldwide Geographical Area Structure

Back 17

emphasizes national interests and facilitates the firm's efforts to satisfy local differences.

Front 18

Worldwide Product Divisional Structure

Back 18

decision-making authority is centralized in the worldwide division headquarters to coordinate and integrate decisions and actions among divisional business units.

Front 19

Combination Structure

Back 19

is a structure drawing characteristics and mechanisms from both the worldwide geographic area structure and the worldwide product divisional structure.

Front 20

Strategic Leadership

Back 20

is the ability to anticipate, envision, maintain flexibility, and empower others to create strategic change as necessary.

Front 21

Top Management Team

Back 21

is composed of the key individuals who are responsible for selecting and implementing the firm's strategies

Front 22

Heterogeneous Top Management Team

Back 22

is composed of individuals with different functional backgrounds, experience, and education.

Front 23

Internal Managerial Labor Market

Back 23

consists of a firm's opportunities for managerial positions and the qualified employees within the firm.

Front 24

External Managerial Labor Market

Back 24

the collection of managerial career opportunities and the qualified people who are external to the organization in which the opportunities exist.

Front 25

Determining Strategic Direction

Back 25

involves specifying the vision and the strategy to achieve this vision over time.

Front 26

Human Capital

Back 26

refers to the knowledge and skills of a firm's entire workforce

Front 27

Social Capital

Back 27

involves relationships inside and outside the firm that help the firm accomplish tasks and create value for customers and shareholders.

Front 28

Organizational Culture

Back 28

consists of a complex set of ideologies, symbols, and core values that are shared throughout the firm and influence the way business is conducted.

Front 29

Balanced Scorecard

Back 29

is a framework firms can use to verify that they have established both strategic and financial controls to assess their performance.