Review for Midterm: Important Concepts/Tools


When you are reviewing the following concepts/tools, ask yourself the questions: “what does it mean?” “Does it closely relate to other concepts?” “How may I explain it to my managers and/or subordinates and/or my friends?”



  1. Strategy
  2. Strategic management process
  3. Cognitive bias in decision making
  4. Stakeholders
  5. Vision/mission statement
  6. Corporate governance mechanisms
  7. Five forces model
  8. Strategic group
  9. Industry life cycle
  10. Competitive advantage
  11. Four generic building blocks (Efficiency, Quality, Innovation, Customer Response)
  12. Distinctive (or core) competency, resources and capabilities
  13. Durability or sustainability of competitive advantage
  14. SWOT Analysis
  15. Economies of scale
  16. Experience curve
  17. Functional level strategies
  18. Three generic business strategies
  19. Business strategies corresponding to industry life cycle
  20. Strategies for profiting from innovation