Ch 1 What is Strategy
True or False:
Strategy is about making intuitive and random choices under constraints and environmental uncertainty to address challenges and achieve organizational goals.
False
The view that managers should avoid social issues because they lack the expertise to address them reflects a critique from which theory of the firm?
Shareholder theory of the firm
This framework helps businesses analyze political, economic, sociocultural, technological, ecological, and legal factors.
PESTEL analysis
This framework helps firms understand the activities involved in transforming inputs into outputs that create value for customers. It identifies primary and support activities within a business.
Value chain analysis
What was my PhD major?
1. Sociology
2. Environmental Science
3. Business
4. Psychology
3. Business
This level of strategy is concerned with how a firm competes within a specific industry.
Business-level strategy
This ethical theory emphasizes following moral rules and duties regardless of the outcome.
Deontology
The bargaining power of this group is high in the electric vehicle industry due to the scarcity of materials like lithium.
Suppliers
In Starbucks’ wholesale business, the packaging and delivery of bottled beverages to supermarkets is part of which value chain activity?
Outbound logistics
In which city did I complete my PhD study?
1. Los Angeles
2. New York City (NYC)
3. Boston
4. Philadelphia (Philly)
2. New York City (NYC)
This level of strategy focuses on deciding which business or businesses a firm should compete in.
Corporate-level strategy
This term refers to shareholders attempting to influence or challenge a company’s management, often on issues like environmental performance or executive pay.
Shareholder activism
True or False:
When industry rivalry is low, companies in this industry are likely to face intense price competition.
False
In Starbucks’ retail business, the delivery of high-quality coffee beans to Starbucks stores is part of this primary activity.
Inbound logistics
In which city was I an exchange student at a university in China?
1. Shanghai
2. Xi'an
3. Beijing
4. Nanjing
3. Beijing
Amazon’s acquisition of Whole Foods is an example of what type of strategy?
1. Corporate-level strategy
Critics noted that BP’s sale of its Alaskan oil operations reduced BP’s reported greenhouse gas emissions, but the new owner, Hilcorp Energy, continued oil production at similar levels—raising concerns about whether the sale achieved any real environmental benefit. This is an example of which general strategic response firms can adopt in response to social rules imposed upon them?
Corporate social avoidance
Give two examples of substitutes in the social media industry.
Streaming platforms (e.g., YouTube, Netflix)
Messaging apps (e.g., WhatsApp, Discord)
Online gaming platforms with social features (e.g., Twitch)
What are the five primary activities in the value chain analysis framework?
Inbound Logistics -> Operations -> Outbound Logistics -> Marketing and Sales -> After-sales Service
In which year did I complete my mandatory military service in Korea?
*Hint: It was around the time I first used an iPhone 4.
2011
What corporate-level strategy involves selling off a business unit or division?
Divestiture/divestment
What is the term for one of the four general strategic responses firms can adopt in response to social rules imposed upon them, where firms attempt to manipulate these rules to their advantage?
Corporate political activity
One of the Five Forces reflects the pressure from alternative products or services that could meet customer needs. Which competitive force is this?
Threat of substitutes
Who became the CEO of Starbucks in September 2024, after previously leading Chipotle Mexican Grill?
Brian Niccol
In which year was I born?
1. Year of the Snake (1989)
2. Year of the Horse (1990)
3. Year of the Sheep (1991)
4. Year of the Monkey (1992)
2. Year of the Horse (1990)