HOSPITALITY STRATEGIC MANAGEMENT

HTH668 TEST 1

NAME : Nurazerra Binti Md Afandi

UITM ID : 2019341339
GROUP : HM240 5Ab

Part A

1. B. Stakeholders
2. C. Internal and external environment
3. A. Flexible
4. D. Traditional
5. D. Enactment
6. C. One that is not planned or intended
7. D. Industry
8. D. Situation analysis
9. B. Stakeholder approach
10. A. Resource based view

11. A. The external environment

12. B. Economic environment
13. D. Radical innovations
14. C. The products they are buying are differentiated
15. B. Sell products and services that can be substituted with other products and services
16. B. A slow growth industry
17. D. Oligopoly
18. B. Economies of scale
19. D. Product/service differentiation
20. D. Substitute resources
21. C. Formal strategic plans
22. B. Structural inertia
23. A. Written mission statement
24. C. Define the business
25. A. A sense of what it wants to be in the future
26. C. Personal survival responsibility
27. B. No significant difference in performance from firms with less social responsibility
28. A. Views the purpose of business organizations is to maximize profits
29. D. Develop values that are friendlier to a wider set of international constituents
30. A. Communicating values to employees and other stakeholders

31. C. Sustainable competitive advantage

32. D. Intangible resources competitive advantage
33. A. Intangible resources tangible resources
34. B. In-room services
35. A. Property maintenance
36. D. Envisioning the organization in the future
37. A. Core values
38. A. Entrenchment
39. D. Codified knowledge
40. B. Tacit knowledge
Part B

a) Define Strategic Management

Strategic management is a process through which organizations analyze and learn from their
internal and external environments, establish strategic direction, create strategies that are
intended to move the organization in that direction, and implement those strategies, all in an
effort to satisfy key stakeholders.

b) Describe and give an example for each of the following; monopoly, oligopoly and
hypercompetition.

Monopoly
A monopoly is a situation in which one firm is the only significant provider of a good or
service. For example in monopoly situation, one company dominates all others in a
sector. Monopolists may misuse their dominant positions through activities such as
engaging in unfair practices that limit the ability of competitors to compete, erecting
entry barriers to keep new competitors out of the industry, or charging too much for
products or services.

Oligopoly
An oligopoly exists when an industry contains a few very large firms (very common in
established industries). For example, cruise industries and theme park. Other example,
airline industries in the United States, the European Union, and Asia are dominated by a
few large carriers.

Hypercompetition
Hypercompetition is a condition of rapidly escalating competition based on price, quality,
first - mover actions, defensive moves to protect markets, formation of strategic alliances,
and reliance on wealthy parent companies. For example, airlines industries are
hypercompetitive. Competitive practices are forcing profits to lower and lower levels.