What are the three basic activities involved in strategy evaluation?
Three fundamental strategy-evaluation activities are (1) reviewing external and internal factors that are the bases for current strategies, (2) measuring performance, and (3) taking corrective actions.
What are the basic activities of the strategy evaluation process quizlet?
What are the basic activities of the strategy-evaluation process? Examine the underlying bases of a firm’s strategy, compare expected results with actual results, and take corrective actions to ensure the performance conforms to plans.
What is the cornerstones of effective strategy evaluation?
(3) Taking corrective actions to ensure that performance conforms to plans. Adequate and timely feedback is the cornerstone of effective Strategy Evaluation. Strategy Evaluation is important because organizations face dynamic environments in which key external and internal factors can change quickly and dramatically.
Which two variables are of central importance to strategy implementation?
Two variables are of central importance to SI: Market segmentation.
Which of these is cornerstone of effective strategy evaluation?
15) Adequate and timely feedback is the cornerstone of effective strategy evaluation.
What are the characteristics of an effective evaluation system?
4 Traits of Effective Evaluation Systems
- Provide Feedback. It’s critical that we provide timely, specific, and actionable feedback regarding practice.
- Provide Actionable Data. Teachers should be able to use the data to identify exactly what they need to work on in their practice.
- Ensure Opportunities for Deliberate Practice.
- Leverage Technology.
Why do changes in company strategy often require changes in the way an organization is structured?
Why do changes in company strategy often require changes in the way an organization is structured? A) Structure dictates how objectives and policies will be established. Structure dictates how resources will be allocated.
Are quantitative criteria commonly used to evaluate strategies?
Financial ratios are rarely used as criteria to evaluate strategies. Most quantitative evaluation criteria are geared to long-term objectives rather than annual objectives. False. Measuring organizational performance requires making changes to reposition a firm competitively for the future.
Which two types of objectives are especially common in organizations?
Strategic Objectives • Two types of objectives are especially common in organizations: financial and strategic objectives.
Under which condition would a differentiation strategy be especially effective?
Differentiation strategy can be especially effective under the following conditions (when there are many ways to differentiate the product or service and many buyers perceive these differences as having value; when buyer needs and uses are diverse; when few rival firms are following a similar differentiation approach; …
Under which condition would a cost leadership strategy be especially effective group of answer choices?
A cost leadership strategy can be especially effective when the market is composed of many price-sensitive buyers. According to Porter, strategies allow organizations to gain competitive advantage from three different bases: cost leadership, differentiation, and decentralization.
Under which condition would a cost leadership strategy be especially effective?
Cost leadership strategy is most effective when the organization has access to several sellers. Having several sellers available gives the organization the option to purchase materials and manipulate their costs.
What refers to a strategy of seeking ownership of or increased control over a firm’s competitors select one?
Horizontal integration is seeking ownership or increased control over competitors. If a firm’s present suppliers are expensive and unreliable in meeting the firm’s needs for parts, components, and/or raw materials, the firm should pursue a horizontal integration strategy.
Is the strategy of seeking ownership of or control over a firms competitors?
Horizontal integration is seeking ownership or increased control over competitors. Forward integration strategy is especially effective when the availability of quality distributors is so limited as to offer a competitive advantage to those firms that integrate forward.
Which of the following is often considered to be the first step in strategic planning?
Many organizations today develop a vision statement that answers the question “What do we want to become?” Developing a vision statement is often considered the first step in strategic planning, preceding even development of a mission statement.
What kind of strategy is retrenchment?
Retrenchment strategy is a corporate level strategy that aims to reduce the size or diversity of organizational operations. At times, it also becomes a means to ensure an organization’s financial stability.
What is the extreme case of divestment strategy?
Divestment is a form of retrenchment strategy used by businesses when they downsize the scope of their business activities. Divestment usually involves eliminating a portion of a business. Firms may elect to sell, close, or spin-off a strategic business unit, major operating division, or product line.
What is divestiture strategy?
Sale. One divestiture strategy involves the sale of the subsidiary or business line to another company. The parent company decides that it no longer serves as the best owner of that portion of the business. Sometimes unsolicited buyers will approach to buy the subsidiary. More often, the parent must seek out buyers.
Which of the following is an example of retrenchment strategy?
Vodafone was acquired by hutch is a goodexample of divestment strategy. Split of Hero Honda. A retrenchment strategy which is considered the most extreme and unattractive is the liquidation strategy which involves closing down a firm and selling its assets.
What is turnaround strategy?
Turnaround strategy is a revival measure for overcoming the problem of industrial sickness. It is a strategy to convert a loss making industrial unit to a profitable one. Turnaround is a restructuring process that converts the loss-making company into a profitable one.
What is combination strategy with examples?
A combination strategy is the pursuit of two or more of the previous strategies simultaneously. For example, one business in the company may be pursuing growth while another in the same company is contracting. In the spring of 1989, for instance, Texas Air was rapidly expanding its Continental Airlines unit.
Why is retrenchment strategy important?
Advantages of retrenchment include reduced costs, improved efficiency, improved competitiveness and reduced reliance on the markets. Retrenchment increases profits for shareholders and creates a strategy to survive economic downturn.
How do you handle retrenchment strategy?
Ways of Dealing with Retrenchment
- Turn the challenges into opportunities. Use this time to think about what you want to do.
- Keep your networks strong. At a time like this it is very important to keep positive people close to you who will keep you motivated because retrenchment can be a major confidence knock.
- Job Searching.
- Rebrand Yourself.
What are the effects of retrenchment?
The Effects of Retrenchments / Redundancies
- It is natural to have feelings of resentment and dislike for the employer, and feelings of bitterness and even jealousy toward employees who have made the cut; you have to eventually move on.
- After the initial grieving period use these emotions as motivation.
What is retrenchment strategy and why it is done?
A strategy used by corporations to reduce the diversity or the overall size of the operations of the company. This strategy is often used in order to cut expenses with the goal of becoming a more financial stable business.