Study Guides (238,413)
Canada (115,125)
QMS 102 (88)
Amy Peng (3)

GMS200-031 EXAM REVIEW.pdf

10 Pages
Unlock Document

Ryerson University
Quantitative Methods
QMS 102
Amy Peng

Chapter 5: Entrepreneurship & Small Business 1. Who is an entrepreneur? What is entrepreneurship? Entrepreneur: Entrepreneurship • Internal locus of control Risk taking behavior that results in new • High energy level opportunities • High need for achievement • Tolerance for ambiguity • Self confidence • Passion and action orientation • Self reliance and desire for independence • Flexibility 2. What are myths about entrepreneurs? • Entrepreneurs are born and not made (to say that they are born is to say it is genetics) (to say they can be made it to say u can teach someone about risk making) • Entrepreneurs are gamblers gamblers (we like to believe they take captivated risk, make inform decisions) • Money is the key to entrepreneur success success (money is not a single decisive factor) • Age is a precondition of being a successful entrepreneur 3. Review the different forms of business ownership. Sole proprietorship when individual pursues business for a profit Partnership Where 2 or more ppl agree to contribute resources to start and operate a business together Corporation Legal entity that exists separately from its owners Limited liability Hybrid business form combing advantages of the sole prop., partnership and corporation 4. Review the financing options available to new ventures Debt Financing borrowing money that must be repaid over time with interest Equity exchanging ownership share for outside investment monies Venture Making large investments in new ventures in return for an Capitalists equity stake in the business Initial Public Initial selling of share of stock to the public at large Offering 5. Review the stages in the life cycle of an entrepreneurial firm Birth Stage Breakthrough Stage Maturity Stage -establishing the firm -working on the finances -refining the strategy -getting customers -becoming profitable -continuing growth -finding the money -growing -managing for success Fighting for existence Coping with growth and Investing wisely and and survival takeoff staying flexible 6. Review the Cupcake lecture. Cupcakes by Heather and Lori • Mission: celebrate everyday their focus: branding and marketing • Had many challenges starting the business but learned as they operated 7. Concepts to review First mover advantage: comes from being first to exploit a niche or enter a market Business Plan: describes the direction for a new business and the financing needed to operate it Intrapreneurship: act like an entrepreneur within a larger organization (ppl who are comfortable with taking the initiative etc) Chapter 6: Planning Processes & Techniques 1. What is planning? Planning is setting the direction (where u want to go and how u will go about it, it creates a solid platform for the other management functions) 2. In our evaluation of Walmart’s approach to planning, we noted that it primarily gains direction from two factors, what are they? Customer service sun down rule, 10 foot rule, everyday low prices rules: Beliefs: respect for the individual, service to our customers, striving for excellence 3. What did we identify as the main responses of Loblaws to entry of Walmart in the Canadian grocery industry? Spent more on IT and laid off workers. They’ve been looking for ways to reduce operating costs so they can automate certain processes so they can replace ppl with technology 4. What is scenario planning? What are its benefits? Scenario planning: identifies alternative future scenarios and makes plans to deal with each(thinking about future situations) Benefits: promotes a better focus, flexibility, action orientation, coordination, control, time management 5. What is contingency planning? Contingency planning: identifying alternative courses of action to take when things go wrong (being prepared when circumstances change) 6. What are organizational procedures and policies? What is the main difference between them. Procedure/rule: precisely describes actions that are to be taken in a specific situation EX. Dealing with sexual harassment > specific rule to deal with it Policies Standing plan that communicates broad guidelines for decisions and actions EX. You MUST report to person A and B to do THIS and THAT Policies are stricter and more specific. Chapter 7: Strategy & Strategic Management 1. What is strategy? What is strategic management? Strategy: comprehensive plan guiding resource allocation to achieve long term organization goals Strategic Management: process of formulating and implementing strategies 2. What are the two basic ways in which firms compete against their rivals? Cost Leadership Strategy Offer the SAME products at below average prices Product Differentiation Offer DIFFERENT products at above average Strategy 3. Review Porters 5 forces framework; review its application to the Canadian auto industry- what factors are associated with greater competition, and hence a lower average price? New Entrants (new firms entering the industry): low risk of new entrants, is it easier for other firms to enter the industry? Good thing to think about if an industry is attractive EX. Real estate… barriers to entry is too low Suppliers (bargaining power of suppliers): auto part suppliers are likely to have a low bargaining power relative to leading auto manufacturers Industry (rivalry) given the high fixed costs of production, there is Competition intense competition for greater market share to ensure cost recovery at competitive prices Customers (bargaining power of buyers): buyers have low to medium bargaining power relative to manu/dealers because of the variety in car models over a range of prices Substitute (Threat of Substitute product/services): the relatively high Products reliance on private cars compared to taxis, bikes & public transit system suggests that the latter modes of transport are weak substitutes 4. Review porters model of generic strategies Cost leadership Seeks to operate with low costs so that products can strategy be sold at low prices Focused cost strategy Strategy seeks the lowest costs of operations within a special market segment Differentiation Offers products that are different from the competition Strategy Focused Strategy offers a unique product to a special market differentiation segment 5. Review the various components of a SWOT analysis Internal STENGTHS WEAKNESSES -skilled workers -outdated facilities -good market share -obsolete tech -strong financing -weak management External OPPORTUNITIES THREATS -possible new markets -new competitors -strong economy -shortage resources -weak market rivals -new regulations -emerging tech -substitute products 6. Concepts to review: Customer relationship Strategically tries to build lasting relationships management with and to add value to customers Supply chain management Strategically links all operations dealing with resource supply Total quality management Managing with an organization wide commitment to continuous improvement, product quality and customer needs Organizational culture System of shared beliefs and values that guide behavior in organizations 7. Review the BCG Matrix approach (analyzes business opportunities according to market growth rate and market share) HIGH Question Marks Stars Poor position; growing industry Dominant position growing industry (growth or retrenchment strat) (growth strategy) LOW Dogs Cash Cows Poor position; low growth indust. Dominant position;low growth indus. (retrenchment strategy) (stability or modest growth strategy) LOW HIGH 8. review concepts Strategic alliance: organizations join together in partnership to pursue an area of mutual interest vertical integration: Growth by acquiring suppliers or distributors Renewal/retrenchment Tries to solve problems and overcome weaknesses strategy: that are hurting performance re
More Less

Related notes for QMS 102

Log In


Don't have an account?

Join OneClass

Access over 10 million pages of study
documents for 1.3 million courses.

Sign up

Join to view


By registering, I agree to the Terms and Privacy Policies
Already have an account?
Just a few more details

So we can recommend you notes for your school.

Reset Password

Please enter below the email address you registered with and we will send you a link to reset your password.

Add your courses

Get notes from the top students in your class.