Study Guides (248,269)
Canada (121,449)
York University (10,192)
ADMS 1000 (264)

Chapter 9 Responding to the Environment.docx

3 Pages
94 Views
Unlock Document

Department
Administrative Studies
Course
ADMS 1000
Professor
Peter Tsasis
Semester
Winter

Description
Chapter 9 Responding to the Environment: Developing Business Strategy  Strategy and Planning  Strategy  A comprehensive and integrated plan that states how the organization will use its resources in the pursuit of its mission and objectives.  Strategic Planning  A process that involves defining the mission of the business and laying out the broad strategies or courses of action the firm will use to achieve that mission.  The Five-Forces Model  Threat of New Entrants  Can be new firms or diversifying entrants  Incumbents must create barriers to entry: • Economies of scale • Capital requirements • Switching costs • Access to distribution channels • Cost disadvantages unrelated to scale • Intellectual property (patents, trademarks, trade secrets)  Bargaining Power of Suppliers • How critical are the inputs provided by suppliers? • Are there many suppliers relative to producers?  Bargaining Power of Buyers  Are switching costs for buyers high?  Are competitive products undifferentiated?  How important are the products to buyers?  Are there many buyers relative to producers?  Threat of Substitutes  Is the industry facing many competitive substitutes?  Air vs. rail travel  Movie theaters vs. DVD rentals  CDs vs. MP3 downloads  Rivalry Among Existing Firms Undifferentiated products and low switching costs encourage more  intense rivalry  Many similar producers tend to compete more fiercely  High exit barriers increase competitive rivalry  High fixed costs  Specialized assets and sunk costs  Escalating commitment  Social pressures  Types of Strategies Corporate-level strategy   Identifies the portfolio of businesses that compose the corporation and the ways in which these businesses fit together • Concentration • Market penetration
More Less

Related notes for ADMS 1000

Log In


OR

Join OneClass

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

Sign up

Join to view


OR

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.


Submit