Jade N.

del Mundo BSHM 3A

Final Exam

Examination questions:

1. What is strategy? The importance of strategy?

Strategy can often be confused with tactics, goals and even actions. It takes its
origins from the early 19th Century: from the French stratégie, from Greek
stratēgia “generalship” and from stratēgos which refer to military ploys and
deployment of troops. Strategy also refers to basic directional decisions, that is,
to purposes and missions. Strategy consists of the important actions necessary
to realize these directions.

It is important, it’s because it provides direction and action plans, prioritizes and
aligns activities, defines accountabilities, enhances communication and
commitment, provides a framework for ongoing decision making. You have to
have a plan for day-to-day business, but you also need to spend time looking and
listening to the changes that are happening in your industry. It is a matter of
having both a daily plan to get things done and an overarching strategy to guide
those daily plans so you make progress towards your long-term goals.

2. What is management? The importance of management?

Management is essential for an organized life and necessary to run all types of
management. Good management is the backbone of successful organizations.
Managing life means getting things done to achieve life’s objectives and
managing an organization means getting things done with and through other
people to achieve its objectives.
Management plays an important role in the achievement of objectives of an
organization. Objectives can be achieved only when the human and non-human
resources are combined in a proper way. Management is goal oriented. With a
 view to realize the pre-determined goals—managers plan carefully, organize the
resources properly, hire competent people and provide necessary guidance.

3. How do strategic management works?

The strategic management process means defining the organization’s strategy. It

is also defined as the process by which managers make a choice of a set of
strategies for the organization that will enable it to achieve better performance.
Strategic management is a continuous process that appraises the business and
industries in which the organization is involved; appraises its competitors; and
fixes goals to meet the entire present and future competitor’s and then reassesses
each strategy. There are 4 steps in strategic management. The environmental
scanning, strategy formulation, strategy implementation, and the strategy
evaluation.

4. Illustrate the process of Strategic Management in the context of Tourism industry?

Every year the tourist industry of the Republic of Kazakhstan increasingly involves
into the global market. However, this process is constrained by a number of
factors, including the state policy deficiencies in the field of tourism, the industry
backlog from its foreign counterparts. In order to the successful survive in the long
term, the organization must be able to forecast the difficulties that may arise in its
path in the future, and what new opportunities may open for it. Therefore, strategic
management, studying the external environment, focuses on finding out what the
opportunities and threats it carries. In tourism the main factors of successful
strategic management of the company are the systematic analysis of both internal
and external environment of the company, competent management staff and
flexible motivation of the sales managers.

5. Do you agree or disagree that Strategic Management inputs can help the current
challenges in the tourism industry? If you agree, how? If not, why?
 In my opinion, I agree that strategic management inputs can help the current
challenges in the tourism industry. The industry will benefit from it to achieve its
organizational goals and will avoid extreme conflicts in the future.

6. What do you think are the importance of strategic decision? Structure? Analysis?
In the process of organizational success goals?

Strategic decision making deals with poorly structured decision‐making problems

for which there is no clear procedure on how to solve them, leading to the
decision. The strategic decision for the company is considered to be the choice of
the overall strategic orientation of the company which is followed by the
decomposition of strategic decisions and consequently the tactical nature.
Effective strategic decisions are the result of a gradual, step‐by‐step on‐going
analysis of information. Strategic decisions are intended to provide a competitive
advantage and try to change the overall scope and direction of the company.
They are important for organizational health and survival.
The role of structure in strategy is to facilitate delegation, authorization, review
and adjustment of the strategy. The structure allows the strategy to be cascaded
into the organization. It supports both the significant changes and the operational
workings of the organization. It considers both expense and investment. Structure
also allows the strategy to be considered over an interval of time. Long term high
level goals can be broken down into near term goals which in turn can be broken
down into departmental goals and eventually to individual objectives.
Strategic analysis is a process that involves researching an organization’s
business environment within which it operates. Strategic analysis is essential to
formulate strategic planning for decision making and smooth working of that
organization. With the help of strategic planning, the objective or goals that are set
by the organization can be fulfilled. Strategic analysis is essential if a company
has a goal and a mission for themselves. All leading organization who are well
known for their achievements have years of strategic planning being implemented
 at various stages. Strategic planning is a long-term task involving continuous and
systematic planning and resource investment.

7. How can you relate or use strategic management in your personal goal? Give
specific examples.

It relates with how to achieve the dream job that I want. It is important to plan and
use strategic management on what ways is going to do to achieve this goal. Its
main goal is to fulfill my studies.

8. What are the elements that manager must consider in creating a strategic
decision?
A strategy consists of an integrated set of choices. These choices relate to
five elements managers must consider when making decisions: (1) arenas, (2)
differentiators, (3) vehicles, (4) staging and pacing, and (5) economic logic.

9. Case:
Suppose a company produces a product X and uses machines to do so.
Suppose that each machine can produce 40 units, and that the company has Y
machines.
Question:
If the company must decide how many machines to buy, if the company needs to
produce 3600 units per day?

x= number of units per machine

y= number of machines
z= total number of units produced by machine per day

x= 40 units of units per machine

y= ?
z= 3600 units per day
y= z÷x
 y= 3600÷40
y= 90 machines

Therefore, the company should have 90 machines to buy to produce 3600 units
per day.

10. Examine how at least three (3) growth strategy alternatives utilized by
Amazon.com in the global and domestic retail markets influenced profitability and
indicate if the strategies were successful.
 Customer Centricity - you’ve heard of WIIFM, or what’s in it for me, right? Rather
than trying to stay ahead of his competitors, he tries to stay one step ahead of his
customers.

 Innovation - this is about coming up with new ideas and new ways of doing
things, but not for the sake of creativity or impressing stockholders.

 Corporate Agility - Corporate agility is about speed of execution, the ability to

remain flexible and adaptable regardless of your business’ stage of growth.