MGMT - Chapter Six by Dr. L- https://padlet.com/jplineman/9y0f5m5vr0s9pcsp Made with an aura of mystery en-us 2021-10-01 13:40:12 UTC 2025-11-27 23:15:00 UTC hello@padlet.com Resources & Strategy Making Process - 6.1/6.2a jplineman https://padlet.com/jplineman/9y0f5m5vr0s9pcsp/wish/1784226183 Alaina, Josh, Lane, Jimmy, Chris, Nils, Mason

4 types of resources: valuable, rare, imperfectly imitable, nonsubstituable.

6.2a 
Strategy making process; consists of competitive inertia and strategic dissonance. Competitive inertia is the reluctance to change. Strategic dissonance is the difference between what a company wants to do, versus what they actually do to implement a strategy.]]> 2021-10-01 13:46:43 UTC https://padlet.com/jplineman/9y0f5m5vr0s9pcsp/wish/1784226183 Situational Analysis - 6.2b jplineman https://padlet.com/jplineman/9y0f5m5vr0s9pcsp/wish/1784227615 First of all, the company should determine whether it needs to change its strategy to sustain a competitive advantage. Even though it could sound easy to have a strategy or change it, it is not. There’s a great deal of uncertainty in strategic business environments. What can managers do to improve the speed and accuracy with which they determine the need for strategic change? One method is to actively look for signs of strategic dissonance. Strategic dissonance is a discrepancy between a company’s intended strategy and the strategic actions managers take when actually implementing that strategy.

Also, a situational analysis can help managers determine the need for strategic change. A situational analysis, also called a SWOT analysis, for strengths, weaknesses, opportunities, and threats, is an assessment of the strengths and weaknesses in an organization’s internal environment and the opportunities and threats in its external environment.
Strategic reference point theory suggests that when companies are performing better than their strategic reference points, top management will typically choose a risk-averse strategy. When performance is below strategic reference points, risk-seeking strategies are more likely to be chosen.

Lukas Juodkunaitis, Jack Cook, Marielle Guindon, Heather Hunt, Allison MacMillan, Kennedy Lacy
]]> 2021-10-01 13:47:14 UTC https://padlet.com/jplineman/9y0f5m5vr0s9pcsp/wish/1784227615 Corporate Level Strategies (BCG) - 6.3 jplineman https://padlet.com/jplineman/9y0f5m5vr0s9pcsp/wish/1784229367 1. Corporate level-strategy: organizational strategy asking "what business are we in" or "what business should we go into?"

2. 6-3a Portfolio Strategy: that minimizes risk by diversifying investments in different assets

3. Diversification: Spreading out assets by investing in a variety of sources to reduce risk

4. BCG (Boston Consulting Group Matrix): Portfolio strategy based off this. Corporations are categorized by business growth and market share. Helps managers to decide where to dedicate resources 
     - Star: a company with a large share of a fast growing market
     - Question mark: a company with a small share in a fast growing market
     - Cash cow: firm with large share of fast growing market
     - Dog: a company with a small share in a slow growing market

5. Acquisitions: purchase of a company by another company

6. Unrelated Diversification: creating or acquiring businesses that are not related to each other to reduce risk. 

7. Drawbacks of portfolio strategy:
- Could yield incorrect judgements
- BCG: evaluates past performances of firms

8. Related Diversification: creating/acquiring firms that are related to market, tech, and culture.

1. Companies use a grand strategy as a broader plan that help them achieve strategic goals. Grand strategies allow companies to navigate the subunits of what businesses they should be in. There are three types of Grand Strategies the first being Growth.

2.  Growth involves profits, revenues, market shares, and number of locations. Companies can grow by acquisitions of other firms or expanding the business into a new branch. 

3. The next type is a stability strategy which involves companies keeping up what they’ve been doing. The goal is to take strategies they have been succeeding with and just making them better. 

4. The final strategy is retrenchment strategy. This strategy takes areas of poor performance within a business and either shrinking them or shutting them down. This involves laying off employees and/or closing branches of the firm.

Members: Olivia K, Kaitlyn F, Isaac B, Joseph F, Brody S. Kaley S, Trent G, Sebastian C, Syaira G


]]> 2021-10-01 13:47:51 UTC https://padlet.com/jplineman/9y0f5m5vr0s9pcsp/wish/1784229367 Industry Level Strategies - 6.4 jplineman https://padlet.com/jplineman/9y0f5m5vr0s9pcsp/wish/1784230859 Parker Rowley, Emma Jatho, Kinsey Langin, Olivia Atwood, Brenda Gomez, Daniel Simons, Tim Tenkley, Josh Beck, Hunter Stratford, Ethan Williams
  1. Industry Level Strategy
    1. A corporate strategy that addresses the question, “How should we compete in this industry?”
  2. 6-4a. Five Industry Forces
    1. The character of the rivalry, the threat of new entrants, the threat of substitute products or services, the bargaining power of suppliers, and the bargaining power of buyers
    2. Character of Chivarly: a measure of the intensity of competitive behavior between companies in an industry
    3. The threats of new entrants: a measure of the degree to which barriers to entry make it easy or difficult for new companies to get started in an industry
    4. Threat of Substitute Products or Services: a measure of the ease with which customers can find substitutes for an industry’s products or services
    5. Bargaining Power of Suppliers: a measure of the influence that suppliers of parts, materials, and services to firms in an industry have on the prices of these inputs
    6. Bargaining Power of Buyers: is a measure of the influence that customers have on the firm’s prices



  1. 6-4b. Three positioning strategies: Cost leadership, differentiation, and focus. 


Cost leadership: is when a company produces a product of good quality at lower production costs than its competitors to offer the lower price. Forces down the prices of substitutes of products and services. It attracts bargain seeking buyers and increases bargaining power. 


Differentiation: is making the product different from other competitors to a point where customers are willing to pay a higher price based on the extra value in the product. Reduces threat of substitute products. 


Focus Strategy: A company uses either cost leadership or differentiation to produce a specific product for a specific group of customers. 




  1. 6-4c The purpose is to choose a strategy that is best suited to changes in the organization’s external environment. 

There are four kinds of adaptive strategies

Defenders: seek moderate, steady growth by offering a limited range of products and services to a well-defined set of customers. In other words, defenders aggressively “defend” their current strategic position by doing the best job they can to hold on to customers in a particular market segment. 

Prospectors: seek fast growth by searching for new market opportunities, encouraging risk taking, and being the first to bring innovative new products to market.

Analyzers: are the blend of the defender and prospector strategies. They seek moderate, steady growth and limited opportunities for fast growth. Analyzers are rarely first to market with new products or services. Instead, they try to simultaneously minimize risk and maximize profits by following or imitating the proven successes of prospectors 

Reactors: Finally, unlike defenders, prospectors, or analyzers, reactors do not follow a consistent strategy. Rather than anticipating and preparing for external opportunities and threats, reactors tend to react to changes in their external environment after they occur. 







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