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Prentice Hall Effective Adaptation Adapting to Change Requires longterm focus 29 Copyright 2023 Prentice Hall ? What kind of business should we bee? ? Are we in the right fields ? Are there new petitors? ? What strategies should we pursue? ? How are our customers changing? Adapting to Change – Key Strategic Management Questions 30 Copyright 2023 Prentice Hall Key Terms Various Job Titles: ?Chief Executive Officer (CEO) ?Chief Strategy Officer (CSO) ?President ?Owner ?Board Chair ?Executive Director Strategists – Firm’s success/failure 31 Copyright 2023 Prentice Hall Vision Statement – What do we want to bee? Mission Statement – What is our business? Key Terms 32 Copyright 2023 Prentice Hall ? Largely beyond the control of a single anization Key Terms Opportunities and Threats (External) 33 Copyright 2023 Prentice Hall Opportunities Threats (External) Key Terms Analysis of Trends: ? Economic ? Social ? Cultural ? Demographic/Environmental ? Political, Legal, Governmental ? Technological ? Competitors 34 Copyright 2023 Prentice Hall ? Process of conducting research and gathering and assimilating external information Key Terms Opportunities Threats Environmental Scanning (Industry Analysis) 35 Copyright 2023 Prentice Hall Basic Te of Strategic Management Key Terms Opportunities Threats Strategy Formulation Take advantage of External Opportunities Avoid/minimize impact of External Threats 36 Copyright 2023 Prentice Hall ? Controllable activities performed especially well or poorly Key Terms Strengths Weaknesses (Internal) 37 Copyright 2023 Prentice Hall Strengths Weaknesses (Internal) Key Terms Typically located in functional areas of the firm ? Management ? Marketing ? Finance/Accounting ? Production/Operations ? Research Development ? Computer Information Systems 38 Copyright 2023 Prentice Hall Assessing the Internal Environment Key Terms Strengths Weaknesses Internal Factors Performance Metrics Financial Ratios Industry Averages Survey Data 39 Copyright 2023 Prentice Hall ? Missiondriven pursuit of specified results more than one year out Key Terms Longterm Objectives 40 Copyright 2023 Prentice Hall Longterm Objectives Key Terms Essential for ensuring the firm’s success ? Provide direction ? Aid in evaluation ? Create synergy ? Focus coordination ? Basis for planning, motivating, and controlling 41 Copyright 2023 Prentice Hall ? Means by which longterm objectives are achieved Key Terms Strategies 42 Copyright 2023 Pr