Strategic management and business policy globalization innovation and sustainability 14e global edition wheelen

Strategic Management and Business Policy Globalization, Innovation, and Sustainability For these Global Editions, the editorial team at Pearson has collaborated with educators across the world to address a wide range of subjects and requirements, equipping students with the best possible learning tools This Global Edition preserves the cutting-edge approach and pedagogy of the original, but also features alterations, customization and adaptation from the North American version Global edition Global edition Global edition Strategic Management and Business Policy Globalization, Innovation, and Sustainability FOURTEENTH edition FOURTEENTH edition Pearson Global Edition Wheelen Hunger Hoffman Bamford This is a special edition of an established title widely used by colleges and universities throughout the world Pearson published this exclusive edition for the benefit of students outside the United States and Canada If you purchased this book within the United States or Canada you should be aware that it has been imported without the approval of the Publisher or Author Thomas L Wheelen • J David Hunger Alan N Hoffman • Charles E Bamford FOURTEENTH EDITION Strategic Management and Business Policy GLOBALIZATION, INNOVATION, AND SUSTAINABILITY # 111708   Cust: PE/NJ/B&E   Au: Wheelen  Pg No A01_WHEE0811_14_GE_FM.indd Title: Strategic Management and Business Policy     Server: Jobs4 C/M/Y/K Short / Normal DESIGN SERVICES OF S4carlisle Publishing Services 5/20/14 12:26 PM This page is intentionally left blank # 111708   Cust: PE/NJ/B&E   Au: Wheelen  Pg No A01_WHEE0811_14_GE_FM.indd Title: Strategic Management and Business Policy     Server: Jobs4 C/M/Y/K Short / Normal DESIGN SERVICES OF S4carlisle Publishing Services 5/20/14 12:26 PM FOURTEENTH EDITION Strategic Management and Business Policy Global EDITION Globalization, Innovation, and Sustainability Thomas L Wheelen Formerly with University of Virginia, Trinity College, Dublin, Ireland Alan N Hoffman Boston Delhi University of Notre Dame Columbus Cape Town Mexico City Iowa State University, St John’s University Charles E Bamford Bentley University Amsterdam J David Hunger Indianapolis Dubai São Paulo New York London Sydney Madrid San Francisco Upper Saddle River Milan Paris Hong Kong Munich Seoul Singapore # 111708   Cust: PE/NJ/B&E   Au: Wheelen  Pg No A01_WHEE0811_14_GE_FM.indd Title: Strategic Management and Business Policy     Server: Jobs4 Montreal Taipei Toronto Tokyo C/M/Y/K Short / Normal DESIGN SERVICES OF S4carlisle Publishing Services 5/20/14 12:26 PM Editor in Chief: Stephanie Wall Acquisitions Editor: Daniel Tylman Acquisitions Editor, Global Editions: Debapriya  Mukherjee Project Editor, Global Editions: Suchismita Ukil Program Management Lead: Ashley Santora Program Manager: Sarah Holle Editorial Assistant: Bernard Ollila Director of Marketing: Maggie Moylan Marketing Manager: Erin Gardner Marketing Assistant: Gianni Sandri Project Management Lead: Judy Leale Project Manager: Karalyn Holland Head of Learning Asset Acquisition,   Global Editions: Laura Dent Media Producer, Global Editions: M Vikram Kumar Senior Manufacturing Controller, Production,   Global Editions: Trudy Kimber Procurement Specialist: Michelle Klein Creative Director: Blair Brown Central Design Manager: Jayne Conte Cover Design: PreMedia Global Cover Image: © majeczka/Shutterstock VP, Director of Digital Strategy & Assessment:   Paul Gentile Digital Editor: Brian Surette Digital Development Manager: Robin Lazrus MyLab Project Manager: Joan Waxman Digital Project Manager: Alana Coles Media Project Manager: Lisa Rinaldi Full-Service Project Management: S4Carlisle   Publishing Services Credits and acknowledgments borrowed from other sources and reproduced, with permission, in this textbook appear on the appropriate page within text Additional photo/image credits: Sustainability issue, LehaKok/Shutterstock; Innovation issue, ssuaphotos/Shutterstock; Global issue, Rob Wilson/Shutterstock; Strategy highlight, Triff/Shutterstock; Chapter opener globe, Nelson Marques/Shutterstock Pearson Education Limited Edinburgh Gate Harlow Essex CM20 2JE England and Associated Companies throughout the world Visit us on the World Wide Web at: www.pearsonglobaleditions.com © Pearson Education Limited 2015 The rights of Thomas L Wheelen, J David Hunger, Alan N Hoffman, and Charles E Bamford to be identified as the authors of this work have been asserted by them in accordance with the Copyright, Designs and Patents Act 1988 Authorized adaptation from the United States edition, entitled Strategic Management and Business Policy, 14th edition, ISBN 978-0-13-312614-3, by Thomas L Wheelen, J David Hunger, Alan N Hoffman, and Charles E Bamford, published by Pearson Education © 2015 All rights reserved No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without either the prior written permission of the publisher or a license permitting restricted copying in the United Kingdom issued by the Copyright Licensing Agency Ltd, Saffron House, 6–10 Kirby Street, London EC1N 8TS All trademarks used herein are the property of their respective owners The use of any trademark in this text does not vest in the author or publisher any trademark ownership rights in such trademarks, nor does the use of such trademarks imply any affiliation with or endorsement of this book by such owners ISBN 10: 1-292-06081-6 ISBN 13: 978-1-292-06081-1 ISBN 13: 978-1-292-06794-0 (Print) (PDF) British Library Cataloguing-in-Publication Data A catalogue record for this book is available from the British Library 10 14 13 12 11 Typeset in 10/12 Times LT Std by S4Carlisle Publishing Services Printed and bound by Courier Kendallville in The United States of America # 111708   Cust: PE/NJ/B&E   Au: Wheelen  Pg No A01_WHEE0811_14_GE_FM.indd Title: Strategic Management and Business Policy     Server: Jobs4 C/M/Y/K Short / Normal DESIGN SERVICES OF S4carlisle Publishing Services 5/20/14 12:26 PM Brief Contents PART one  Introduction to Strategic Management and Business Policy 35 CHAPTER   Basic Concepts of Strategic Management 36 C H A P T E R   Corporate Governance 74 C H A P T E R   Social Responsibility and Ethics in Strategic Management 102 PART two  Scanning the Environment 123 C H A P T E R   Environmental Scanning and Industry Analysis 124 C H A P T E R   Internal Scanning: Organizational Analysis 160 PART three  Strategy Formulation 195 C H A P T E R   Strategy Formulation: Situation Analysis and Business Strategy 196 C H A P T E R   Strategy Formulation: Corporate Strategy 218 C H A P T E R   Strategy Formulation: Functional Strategy and Strategic Choice 248 PART four  Strategy Implementation and Control 277 C H A P T E R   Strategy Implementation: Organizing for Action 278 C H A P T E R   Strategy Implementation: Staffing and Directing 308 C H A P T E R 1   Evaluation and Control 336 PART five  Introduction to Case Analysis 365 C H A P T E R   Suggestions for Case Analysis 366 PART six  Cases in Strategic Management 393 Glossary  803 Name Index  815 Subject Index  820 # 111708   Cust: PE/NJ/B&E   Au: Wheelen  Pg No A01_WHEE0811_14_GE_FM.indd Title: Strategic Management and Business Policy     Server: Jobs4 C/M/Y/K Short / Normal DESIGN SERVICES OF S4carlisle Publishing Services 5/20/14 12:26 PM This page is intentionally left blank # 111708   Cust: PE/NJ/B&E   Au: Wheelen  Pg No A01_WHEE0811_14_GE_FM.indd Title: Strategic Management and Business Policy     Server: Jobs4 C/M/Y/K Short / Normal DESIGN SERVICES OF S4carlisle Publishing Services 5/20/14 12:26 PM Contents Preface  23 About the Authors   31 PART one Introduction to Strategic Management and Business Policy  35 CHAPTER Basic Concepts of Strategic Management  36 The Study of Strategic Management   38 Phases of Strategic Management  38 Benefits of Strategic Management  39 Globalization, Innovation, and Sustainability: Challenges to Strategic Management   41 Impact of Globalization  42 Impact of Innovation  43 Global Issue: REGIONAL TRADE ASSOCIATIONS REPLACE NATIONAL TRADE BARRIERS  43 Impact of Sustainability  44 Theories of Organizational Adaptation   45 Creating a Learning Organization   46 Basic Model of Strategic Management   47 Environmental Scanning  48 Strategy Formulation  50 Strategy Implementation  53 Evaluation and Control  55 Feedback/Learning Process  55 Initiation of Strategy: Triggering Events   56 Strategic Decision Making   57 What Makes a Decision Strategic  57 Mintzberg’s Modes of Strategic Decision Making  58 Strategic Decision-Making Process: Aid to Better Decisions  59 The Strategic Audit: Aid to Strategic Decision Making   60 End of Chapter Summary  61 Appendix 1.A Strategic Audit of a Corporation  66 # 111708   Cust: PE/NJ/B&E   Au: Wheelen  Pg No A01_WHEE0811_14_GE_FM.indd Title: Strategic Management and Business Policy     Server: Jobs4 C/M/Y/K Short / Normal DESIGN SERVICES OF S4carlisle Publishing Services 5/20/14 12:26 PM C O N T E N T S  CHAPTER Corporate Governance  74 Role of the Board of Directors   77 Responsibilities of the Board  78 Members of a Board of Directors  80 Innovation Issue: JCPenney and Innovation   81 Strategy Highlight: AGENCY THEORY VERSUS STEWARDSHIP THEORY IN CORPORATE GOVERNANCE  83 Nomination and Election of Board Members  86 Organization of the Board  87 Impact of the Sarbanes–Oxley Act on U.S Corporate Governance  88 Global Issue: GLOBAL BUSINESS BOARD ACTIVISM AT YAHOO!  90 Trends in Corporate Governance  91 The Role of Top Management   92 Responsibilities of Top Management  92 Sustainability Issue: CEO PAY AND CORPORATE PERFORMANCE  93 End of Chapter Summary  96 CHAPTER Social Responsibility and Ethics in Strategic Management  102 Social Responsibilities of Strategic Decision Makers   104 Responsibilities of a Business Firm  104 Sustainability  107 Corporate Stakeholders  108 Sustainability Issue: MARKS & SPENCER LEADS THE WAY  108 Strategy Highlight: JOHNSON & JOHNSON CREDO  111 Ethical Decision Making   111 Some Reasons for Unethical Behavior  112 Global Issue: HOW RULE-BASED AND RELATIONSHIP-BASED GOVERNANCE SYSTEMS AFFECT ETHICAL BEHAVIOR  113 Innovation Issue: Turning a Need into a Business to Solve the Need   115 Encouraging Ethical Behavior  116 End of Chapter Summary  118 PART two Scanning the Environment  123 CHAPTER Environmental Scanning and Industry Analysis  124 Environmental Scanning  126 Identifying External Environmental Variables  126 # 111708   Cust: PE/NJ/B&E   Au: Wheelen  Pg No A01_WHEE0811_14_GE_FM.indd Title: Strategic Management and Business Policy     Server: Jobs4 C/M/Y/K Short / Normal DESIGN SERVICES OF S4carlisle Publishing Services 5/20/14 12:26 PM CONTENTS Sustainability Issue: GREEN SUPERCARS  128 Global Issue: SUVs POWER ON IN CHINA  136 Identifying External Strategic Factors  137 Industry Analysis: Analyzing the Task Environment   138 Porter’s Approach to Industry Analysis  138 Industry Evolution  142 Innovation Issue: TAKING STOCK OF AN OBSESSION   143 Categorizing International Industries  143 International Risk Assessment  144 Strategic Groups  144 Strategic Types  146 Hypercompetition  146 Using Key Success Factors to Create an Industry Matrix  147 Competitive Intelligence  148 Sources of Competitive Intelligence  149 Strategy Highlight: EVALUATING COMPETITIVE INTELLIGENCE  150 Monitoring Competitors for Strategic Planning  151 Forecasting  152 Danger of Assumptions  152 Useful Forecasting Techniques  152 The Strategic Audit: A Checklist for Environmental Scanning   154 Synthesis of External Factors—EFAS   154 End of Chapter Summary  156 CHAPTER Internal Scanning: Organizational Analysis  160 A Resource-Based Approach to Organizational Analysis   162 Core and Distinctive Competencies  162 Using Resources to Gain Competitive Advantage  163 Determining the Sustainability of an Advantage  164 Business Models  166 Value-Chain Analysis  167 Industry Value-Chain Analysis  168 Corporate Value-Chain Analysis  169 Scanning Functional Resources and Capabilities   170 Basic Organizational Structures  171 Corporate Culture: The Company Way  172 # 111708   Cust: PE/NJ/B&E   Au: Wheelen  Pg No A01_WHEE0811_14_GE_FM.indd Title: Strategic Management and Business Policy     Server: Jobs4 C/M/Y/K Short / Normal DESIGN SERVICES OF S4carlisle Publishing Services 5/20/14 12:26 PM www.downloadslide.net 812 Gl os s a r y  Strategic alliance A partnership of two or more corporations or business units to achieve strategically significant objectives that are mutually beneficial Strategic planning staff A group of people charged with supporting both top management and business units in the strategic planning process Strategic audit A checklist of questions by area or issue that enables a systematic analysis of various corporate functions and activities It’s a type a management audit Strategic R&D alliance A coalition through which a firm coordinates its research and development with another firm(s) to offset the huge costs of developing new technology Strategic audit worksheet A tool used to analyze a case Strategic rollup A means of consolidating a fragmented industry in which an entrepreneur acquires hundreds of owner-operated small businesses resulting in a large firm with economies of scale Strategic business unit (SBU) A division or group of divisions composed of independent product-market segments that are given primary authority for the management of their own functions Strategic choice The evaluation of strategies and selection of the best alternative Strategic choice perspective A theory that proposes that organizations adapt to a changing environment and have the opportunity and power to reshape their environment Strategic decision-making process An eight-step process that improves strategic decision making Strategic decisions Decisions that deal with the long-run future of an entire organization and are rare, consequential, and directive Strategic factors External and internal factors that determine the future of a corporation Strategic sweet spot A market niche in which a company is able to satisfy customers’ needs in a way that competitors cannot Strategic type A category of firms based on a common strategic orientation and a combination of structure, culture, and processes that are consistent with that strategy Strategic vision A description of what the company is capable of becoming Strategic window A unique market opportunity that is available only for a particular time Strategic-funds method An evaluation method that encourages executives to look at development expenses as being different from expenses required for current operations Substages of small business development A set of five levels through which new ventures often develop Substitute products Products that appear to be different but can satisfy the same need as other products Supply chain management The formation of networks for sourcing raw materials, manufacturing products or creating services, storing and distributing goods, and delivering goods or services to customers and consumers Support activity An activity that ensures that primary value-chain activities operate effectively and efficiently SWOT analysis Identification of strengths, weaknesses, opportunities, and threats that may be strategic factors for a specific company Synergy A concept that states that the whole is greater than the sum of its parts; that two units will achieve more together than they could separately Tacit knowledge Knowledge that is not easily communicated because it is deeply rooted in employee experience or in a corporation’s culture Tactic A short-term operating plan detailing how a strategy is to be implemented Takeover A hostile acquisition in which one firm purchases a majority interest in another firm’s stock Strategic flexibility The ability to shift from one dominant strategy to another Strategies to avoid Strategies sometimes followed by managers who have made a poor analysis or lack creativity Strategic-funds method An approach that separates developmental expenses from expenses required for current operations Strategy A comprehensive plan that states how a corporation will achieve its mission and objectives Strategic group A set of business units or firms that pursue similar strategies and have similar resources Strategy-culture compatibility The match between existing corporate culture and a new strategy to be implemented Strategic inflection point The period in an organization’s life in which a major change takes place in its environment and creates a new basis for competitive advantage Task environment The part of the business environment that includes the elements or groups that directly affect the corporation and, in turn, are affected by it Strategy formulation Development of longrange plans for the effective management of environmental opportunities and threats in light of corporate strengths and weaknesses Strategic management A set of managerial decisions and actions that determine the long-run performance of a corporation Technological competence A corporation’s proficiency in managing research personnel and integrating their innovations into its dayto-day operations Strategy implementation A process by which strategies and policies are put into action through the development of programs, budgets, and procedures Technological discontinuity The displacement of one technology by another Strategic management model A rational, prescriptive planning model of the strategic management process including environmental scanning, strategy formulation, strategy implementation, and evaluation and control Strategic myopia The willingness to reject unfamiliar as well as negative information Strategic piggybacking The development of a new activity for a not-for-profit organization that would generate the funds needed to make up the difference between revenues and expenses Structure follows strategy The process through which changes in corporate strategy normally lead to changes in organizational structure Stuck in the middle A situation in which a company or business unit has not achieved a generic competitive strategy and has no competitive advantage Suboptimization A phenomenon in which a unit optimizes its goal accomplishment to the detriment of the organization as a whole # 111708   Cust: PE/NJ/B&E   Au: Wheelen  Pg No 812 Z35_WHEE0811_14_GE_GLOS.indd 812 Title: Strategic Management and Business Policy     Server: Jobs4 Taper integration A type of vertical integration in which a firm internally produces less than half of its own requirements and buys the rest from outside suppliers Technological follower A company that imitates the products of competitors Technological leader A company that pioneers an innovation Technology sourcing A make-or-buy decision that can be important in a firm’s R&D strategy Technology transfer The process of taking a new technology from the laboratory to the marketplace Time to market The time from inception to profitability of a new product C/M/Y/K Short / Normal DESIGN SERVICES OF S4carlisle Publishing Services 5/20/14 12:22 PM www.downloadslide.net Timing tactics Tactics that determine when a business will enter a market with a new product Tipping point The point at which a slowly changing situation goes through a massive, rapid change Top management responsibilities Leadership tasks that involve getting things accomplished through, and with, others in order to meet the corporate objectives Total Quality Management (TQM) An operational philosophy that is committed to customer satisfaction and continuous improvement TOWS matrix A matrix that illustrates how external opportunities and threats facing a particular company can be matched with that company’s internal strengths and weaknesses to result in four sets of strategic alternatives Transaction cost economics A theory that proposes that vertical integration is more efficient than contracting for goods and services in the marketplace when the transaction costs of buying goods on the open market become too great Transferability The ability of competitors to gather the resources and capabilities necessary to support a competitive challenge Transfer pricing A practice in which one unit can charge a transfer price for each product it sells to a different unit within a company Transformational leader A leader who causes change and movement in an organization by providing a strategic vision Transparent The speed with which other firms can understand the relationship of resources and capabilities supporting a successful firm’s strategy Trends in governance Current developments in corporate governance Triggering event Something that acts as a stimulus for a change in strategy G LOSSARY 813 Trigger point The point at which a country has developed economically so that demand for a particular product or service is increasing rapidly Vertical integration The degree to which a firm operates in multiple locations on an industry’s value chain from extracting raw materials to retailing Turnaround specialist A manager who is brought into a weak company to salvage that company in a relatively attractive industry Virtual organization An organizational structure that is composed of a series of project groups or collaborations linked by changing nonhierarchical, cobweb-like networks Turnaround strategy A plan that emphasizes the improvement of operational efficiency when a corporation’s problems are pervasive but not yet critical Turnkey operation Contracts for the construction of operating facilities in exchange for a fee Turnover A term used by European firms to refer to sales revenue It also refers to the amount of time needed to sell inventory Uncertainty avoidance (UA) The extent to which a society feels threatened by uncertain and ambiguous situations Union of South American Nations An organization formed in 2008 to unite Mercosur and the Andean Community Utilitarian approach A theory that proposes that actions and plans should be judged by their consequences Value chain A linked set of value-creating activities that begins with basic raw materials coming from suppliers and ends with distributors getting the final goods into the hands of the ultimate consumer Value-chain partnership A strategic alliance in which one company or unit forms a long-term arrangement with a key supplier or distributor for mutual advantage Value disciplines An approach to evaluating a competitor in terms of product leadership, operational excellence, and customer intimacy Vertical growth A corporate growth strategy in which a firm takes over a function previously provided by a supplier or distributor # 111708   Cust: PE/NJ/B&E   Au: Wheelen  Pg No 813 Z35_WHEE0811_14_GE_GLOS.indd 813Management and Business Policy     Server: Jobs4 Title: Strategic Virtual team A group of geographically and/or organizationally dispersed co-workers who are assembled using a combination of telecommunications and information technologies to accomplish an organizational task Vision A view of what management thinks an organization should become VRIO framework Barney’s proposed analysis to evaluate a firm’s key resources in terms of value, rareness, imitability, and organization Web 2.0 A term used to describe the evolution of the Internet into wikis, blogs, RSSs, social networks, podcasts, and mash-ups Weighted-factor method A method that is appropriate for measuring and rewarding the performance of top SBU managers and group-level executives when performance factors and their importance vary from one SBU to another Whistle-blower An individual who reports to authorities incidents of questionable organizational practices World Trade Organization A forum for governments to negotiate trade agreements and settle trade disputes Z-value A formula that combines five ratios by weighting them according to their importance to a corporation’s financial strength to predict the likelihood of bankruptcy C/M/Y/K Short / Normal DESIGN SERVICES OF S4carlisle Publishing Services 5/20/14 12:22 PM www.downloadslide.net This page is intentionally left blank Z35_WHEE0811_14_GE_GLOS.indd 814 5/20/14 12:22 PM www.downloadslide.net NAME INDEX A C Nielsen Co., 149 ABB Asea Brown Boveri AG, 173, 174, 340 ABC Network, 263 AB InBev, 43, 211, 227, 349 Ace Hardware, 259 Ackman, Bill, 81 Adelphia Communications, 88 Adidas, 139 Admiral, 323 Aerospatiale, 211 AFL-CIO, 92 AFNOR, 351 AFTA (ASEAN Free Trade Area), 45 AIM Global, 354 Airbus Industries, 140, 202, 212, 267 Alcon, 287 Aldi, 204 Alexander, M., 239 All-China Federation of Trade Unions, 135 Altegrity Inc., 150 Amazon.com, 58, 95, 140, 167 AMD, 52 American Airlines, 43, 52, 233 American Customer Satisfaction Index (ACSI), 339 American Cyanamid, 303 American Hospital Supply (AHS), 186 American Standards Institute, 351 Amoco, 168 Andean Community, 44 Anheuser-Busch Companies, 43, 86, 227, 257 Apotheker, Leo, 76, 93 Applebee’s, 312 Apple Inc., 81, 94, 116–117, 140, 163, 176, 178, 204, 207, 224, 235, 293, 313, 345 Apple iPhone, 143 APQC (American Productivity & Quality Center), 350 Archer Daniels Midland (ADM), 209–210 Arctic Cat, 288 Arm & Hammer, 202 Arthur D Little Inc., 144 ASEAN (Association of Southeast Asian Nations), 45, 142 ASEAN Free Trade Area (AFTA), 45 Association of Southeast Asian Nations (ASEAN), 45, 142 AstraZenica, 205 Atlantic Gulf & Pacific Company (AG&P), 54 AT&T, 176, 324, 343 Atwater, H Brewster, 238 Audi, 354 Auerbach, David, 115 Autonomy, 355 Avon Products, 59, 150, 162, 259 A&W restaurants, 213 Baan, 353 Baby Fresh Organic Baby Foods, 296 Badaracco, Joseph, 118 Bain & Company, 40 Bajaj Auto, 166 Baldwin Locomotive, 126 Ballmer, Steve, 94 Balsillie, Jim, 249 Bankers Trust of New York, 316 Banking Act of 1933, 85 Bank of America, 134 Barnevik, Percy, 174 Barney, J B., 163, 210 BASF, 146 Bassil, Gebran, 243 BCG Growth-Share Matrix, 234–237 Bechtel Group Inc., 59 Beirut Stock Exchange (BSE), 272–273 Bell Labs, 239 Benetton, 296 Ben & Jerry’s Ice Cream, 107 Bentley, 128 Berkshire Hathaway, 229, 241–242 Berle, A A., 83 Bert, A., 281 Best Buy, 147, 165, 173, 226 Best Price, 227 Bezos, Jeff, 58, 95 Bharti Enterprises, 227 Bice,Allison, 111 BlackBerry, 249 Bloom, Ron, 183 Bloomberg, Michael, 112 Bloomberg Businessweek, 43, 89 BMW, 54, 128, 136, 172, 204, 228 BNSF Railroad, 242 Body Shop, 94 Boeing, 54, 140, 202, 260, 324, 347 Bombardier, 229, 297 Borders, 316 Bosch-Siemens, 208 BP, 168, 223 Brabeck-Letmathe, Peter, 303 Branson, Richard, 94 Bristol-Myers Squibb, 224 British Aerospace, 211 British Airways, 43, 52 British Petroleum See BP British Standards Institute, 351 Budweiser, 211, 227 Buffalo Wild Wings, 349 Buffett, Warren, 229, 241 Burger King, 145 Burns, Larry, 236 Business Environment Risk Index, 144 Business Records Management, 207 Byron, William J., 105 Cadbury Schweppes, 285–286 CAFTA (Central American Free Trade Agreement), 44 Callinicos, Brent, 342 Campbell, A., 239, 286 Canadair, 229 CANENA, 351 Canon, 116 Capgemini, 224 Carbon Trust, 133 Carrefour, 225 Carroll, Archie, 105–107, 118 Categorical imperatives, 118 Caterpillar, 176, 189 Cavanagh, G F., 118 Central American Free Trade Agreement (CAFTA), 44 Cedar Oil, 243 Chandler, Alfred, 47, 287–288, 292, 312 Charon, Ram, 347 Checkers Restaurants, 368 CHEGG, 208 Chevron, 267 Chick-fil-A, 110 China Mobile, 176 Chow, Dan, 352 Christensen, C M., 179 Chrysler Corporation, 85, 182, 271, 322, 341 Church & Dwight Co., 202 Circuit City, 173, 233–234 Cisco Systems, 88, 106, 143, 150, 222, 318, 352 Citigroup, 93, 134 CITY Target, 197 Clorox Company, 171–172, 212, 285 Coca-Cola, 51, 103–104, 131, 134, 176, 185, 224, 257, 285, 343, 344, 353 Coca-Cola Bottling Company Consolidated (CCBCC), 109 Cognizant Technology Solutions, 302 Colgate Palmolive Company, 207 Comcast, 286 Compact Disclosure, 368 Compaq, 230 Compustat, 368 ConAgra, 269 Connecticut Spring & Stamping, 182 Construcciones Aeronáuticas, 211 Continental Airlines, 287 Converse, 139 Corbett, Julie, 283 # 111708   Cust: PE/NJ/B&E   Au: Wheelen  Pg No 815 Z36_WHEE0811_14_GE_NIDX.indd 815Management and Business Policy     Server: Jobs4 Title: Strategic C/M/Y/K Short / Normal 815 DESIGN SERVICES OF S4carlisle Publishing Services 5/20/14 12:23 PM www.downloadslide.net 816 NAM E IN D E X  Cornerstone Records Management, 207 Corning Inc., 300, 311 Corporate Library, 89 Costco, 309 Crane, A., 107 CSA, 351 CSX Corporation, 229 Enterprise, 204 Equitable Life, 78 Erhart, Charles, 219 Eskew, Mike, 153 ESPN, 210 Estée Lauder, 130 European Union (EU), 43, 133, 142, 351 Daft, Douglas, 185 Daimler-Benz, 322–323 Daimler-Benz Aerospace, 211 Dairy Queen, 242 Daksh eServices Ltd., 261 Dale, Karen, 256 Danone, 257 D’Aveni, Richard, 46, 147, 207–209 Davis, S M., 295 Deepwater Horizon oil spill, 109 Deere and Company, 205, 343 Defining Moments (Badaracco), 118 Dell, Michael, 231 Dell Computers, 138, 186, 231, 261 Delphi Corporation, 233 Delta Airlines, 225 Deming, W Edwards, 256 DHL, 214 Diligence Inc., 150 DIN, 351 Dixon, Lance, 256 DoCoMo, 176 Dodd-Frank financial reform law, 93 Doha Round, 135 Dole Food, 354 Domino’s, 206 Donald, Jim, 55 Dow Chemical, 257, 299, 359 Dow Jones & Company, 107–108 Dow Jones Sustainability Index, 134 Drauch, Douglas, 236 Duke Energy, 222, 340 Dunn, Patricia, 76 DuPont, 236, 259, 291, 340, 342, 346 Durant, William, 292 Facebook, 80, 91, 166 Fairfax, 150 Federated Department Stores, 287 FedEx, 55, 162, 185, 259, 347, 354 Ferrari, 128 Fiat, 228, 304 Fila, 139 Filo, David, 90, 292 Financial Accounting Standards Board, 350 Financial Crimes Enforcement Network, 111 Finsbury Data Services, 149 Fiorina, Carly, 75–76, 96 Five Guys, 204, 337 Footnoted.org, 368 Ford, Clay (Bill), 37 Ford, Henry, 168, 222, 292 Ford Motor Company, 37–38, 136, 168, 184, 222, 233, 236, 282, 292, 340, 347 Fortune magazine, 103 Foster, Richard, 179 Frank J Zamboni & Company, 201–202 Fredrickson, James, 61–62 Friedman, Milton, 104–106 Friedman, Thomas, 42 Frito Lay, 146 Fruit of the Loom, 242 Fujitsu Ltd., 263 Eastman Kodak, 126, 293 Eaton Corporation, 357 eBay, 167, 292, 354 Ecologic Brands, 283 Economic Espionage Act, 151 Economist, 150 Economist Intelligence Unit, 144 Eisner, Michael, 96 Electrolux, 43, 84, 208, 318 Eli Lilly, 153, 343 Elkington, John, 42 Elliot, J Raymond, 130 Ellison, Lawrence, 221, 289, 291 Emerson Electric, 86 Encyclopaedia Britannica, 58 Enron, 77, 88, 112, 114 Galbraith, J R., 168 Gannet, 316 Gates, Bill, 94 GEICO Insurance, 242 Genentech, 57, 88, 287 General Electric, 39, 42, 53, 59, 126, 163, 210–211, 229, 233, 240, 260, 261, 270, 291, 311, 315, 343, 344, 349, 359 General Foods, 172 General Mills, 140, 149, 238 General Motors, 94, 126, 166, 168, 233, 235, 236, 288, 291, 292, 318, 340, 344, 359 Genpact, 261 Georgia-Pacific, 343 Gerstner, Louis V Jr., 41, 58, 59, 94 Ghosn, Carlos, 323 Gilad, B., 151 Gillette, 165, 166, 173, 286 GIS (Global Information Solutions), 324 Global Crossing, 77, 88 GlyEco Inc., 207 # 111708   Cust: PE/NJ/B&E   Au: Wheelen  Pg No 816 Z36_WHEE0811_14_GE_NIDX.indd 816 Title: Strategic Management and Business Policy     Server: Jobs4 Goizueta, Roberto, 344 Goldman Sachs, 134, 347 GoodData, 149 Goodyear Tire & Rubber, 183 Google, 53, 91, 153, 166, 167, 172, 176, 287, 347 Goold, M., 239, 286 Governance Metrics International (GMI), 89 Graduate Management Admission Council, 112 Grant, R M., 59 Greiner, L E., 289, 292 Gretzky, Wayne, 156 Grove, Andy, 56, 142, 266 Haier, 208 Hallmark, 211 Hambrick, Donald, 61–62 Hamilton, R D., 339 Hamilton Beach, 213 Hammer, Michael, 298 Harley Davidson, 182, 299, 317 Harrigan, K R., 223 Heilmeier, George, 180 Heineken, 187 Heins, Thorsten, 249 Herd, T., 281 Hershey Foods, 353 Hesse, Daniel, 138 Hewlett, Walter, 75 Hewlett-Packard Company, 75–77, 94, 96, 116, 140, 204, 230, 239, 258, 315, 340, 355 Hofstede, G., 327, 328 Home Cafe, 213 Home Depot, 55, 226, 286, 294, 320, 321, 353 Honda, 164, 206, 227–228 Hoover, Robert, 311 Hoover’s, 149, 150, 369 HSBC, 125, 316 Hsieh, Tony, 311 Huckabee, Mike, 110 Hurd, Mark, 76 Hypercompetition (D’Aveni), 46 Hyundai/Kia, 181 IBM, 41, 58, 59, 94, 137, 166, 176, 202, 212, 228, 236, 239, 261, 318, 359 iDisorder: Understanding Our Obsession with Technology. .  (Rosen), 143 IHOP (International House of Pancakes), 312 IKEA, 226 ImClone, 224 Immelt, Jeffrey, 315 InBev, 43 Infosys, 302 Infrasource Services, 91 C/M/Y/K Short / Normal DESIGN SERVICES OF S4carlisle Publishing Services 5/20/14 12:23 PM www.downloadslide.net Ingersoll, 347 Innovator’s Dilemma (Christensen), 179 In Search of Excellence (Peters and Waterman), 357 Instagram, 80 Institutional Shareholder Services (ISS), 89 Intel, 52, 178, 239, 266, 344 Internal Revenue Service, 350 International Accounting Standards Board, 350 International Electrotechnical Commission (IEC), 351 International Harvester, 352 International House of Pancakes (IHOP), 312 International Organization for Standardization (ISO), 351 Intrade.com, 153 iPad tablets, 143, 313 iPhone, 143, 163, 176, 235 iTunes App Store, 143 J D Edwards, 353 J P Morgan Chase & Company, 262 Japanese Industrial Standards Committee, 351 JCPenney, 81 JetBlue, 146 Jim Henson Company, 110 Jobs, Steve, 94, 293, 313 Johnson, Ron, 81 Johnson & Johnson, 110–111, 116, 178 Jones, Michael, 286 Joyce, W., 40 JPMorgan Chase, 134 Jreij, Frank, 243 Kaiser Health, 354 Kant, Immanuel, 118 Kaplan, R S., 345 Kelleher, Herb, 94 KFC, 213, 322 KIA Motors, 167 Kimberly Clark, 209 Kirin, 211 KLD Broad Market Social Index, 134 Kleiner Perkins, 86 Kmart, 206, 294 Kodak See Eastman Kodak Kohlberg, L., 115, 118 Korn/Ferry International, 84 KPMG, 182 Kraft Foods, 209, 367 Kramer, M R., 107 Krups, 213 Kurtzman Group opacity index, 113 Kvinnsland, Stener, 329 Kyoto Protocol, 133 N A M E I NDEX Labatt, 211 Lafley, A G., 289 Lafley, Art, 173 Lamborghini, 136 Land, Edwin, 292 Larsen, Ralph, 271 Lawrence, P R., 295 Lazaridis, Mike, 249 Lean Six Sigma, 299 Learjet, 229 Leder, Michelle, 368 LEGO, 186, 233 Levinsohm, Ross, 90 Levinson, Arthur, 57 Levi Strauss, 107, 116, 279–280 Lexis-Nexis, 149 LG, 208 Lincoln Electric, 146 LinkedIn, 182 Linux, 239 Liveris, Andrew, 257 Livingston, Robert, 260 Lockheed Martin, 260 Long John Silver’s, 213 Lopez, José, 257 Lorange, Peter, 213 Lorenz, John, 207 Lutz, Robert, 236, 271 Mercosur, 44, 142 Mesa Airlines, 225 Microsoft, 42, 52, 94, 132, 140, 150, 153, 176, 178, 202, 279, 283, 342, 344 Midamar Corporation, 204 Miles, R E., 146, 297 Mintzberg, Henry, 56, 58–59, 271 Mitsubishi Motors, 322–323 Modelo, 211 Monsanto, 329 Montgomery Ward Inc., 312 Moody’s, 89, 150 Morgan Motor Car Company, 204 Morningstar, 89 Mossville Engine Center, 298 Motorola, 116, 298 Mr Coffee, 213 Mulally, Alan, 37–38 Mullen, Dan, 354 Muralidharan, R., 339 MacDonald, T., 281 Macy’s, 165, 287 Magic Chef, 52 Malmendier, U., 94 Manco Inc., 350 Marchionne, Sergio, 304 Market Research.com, 149 Marks & Spencer Group, 108 Marlboro, 176 Marsh Consumer BPO, 302 Mary Kay Corporation, 150 Maserati, 136 Matsushita, Konosuke, 174 Mattel, 260 Matten, D., 107 Maybelline, 130 May Company, 287 Mayer, Marissa, 90 Maytag Corporation, 155, 199, 208, 212, 228, 233, 323, 375, 384–391 McCafé, 255 McDonald, Bob, 289 McDonald’s, 145, 176, 226, 255, 259, 347 McDonnell-Douglas, 324 McKinsey & Company, 40 Means, G C., 83 Medtronic, 116 Mercedes-Benz, 136 Merck, 178, 205 # 111708   Cust: PE/NJ/B&E   Au: Wheelen  Pg No 817 Z36_WHEE0811_14_GE_NIDX.indd 817Management and Business Policy     Server: Jobs4 Title: Strategic 817 NAFTA (North American Free Trade Agreement), 43, 142 Nardelli, Robert, 286, 320, 321–322 NBC Universal, 286 NCR Corporation, 324 Nestlé, 131, 185, 257, 303 Netscape, 283 Netsuite, 339 New Balance, 138, 205 Newman’s Own, 116 Newport News Shipbuilding, 50 Nickelodeon, 204 Nike Inc., 42, 139, 205, 253, 296 Nissan, 166, 227–228, 236, 323 Nohria, N., 40 Nokia, 352 Noorda, Raymond, 214 Nordstrom’s, 172, 345 North American Free Trade Agreement (NAFTA), 43, 142 Northwest Airlines, 85, 225 Norton, D P., 345 Novartis, 287 Nucor, 172 Nutrasweet, 141 Nutt, Paul, 269 Obama, Barack, 153 Office Depot, 339 Olive Garden, 145 Olson, Matthew, 279, 280 Olympic Games, 184 Omidyar, Pierre, 292 Oracle Corporation, 150, 221, 239, 289–291, 353 Orbitz, 91 OrphageniX, 204, 205 Owens-Corning, 353 C/M/Y/K Short / Normal DESIGN SERVICES OF S4carlisle Publishing Services 5/20/14 12:23 PM www.downloadslide.net 818 NAM E IN D E X  Panasonic, 173, 174, 236 Panda Restaurant Group, 206 Pandit, Vikram, 93 Panera Bread Company, 319 Pascal, 45 Patagonia, 116 Pelino, Doug, 315 PeopleShareNet, 46 PeopleSoft, 353 PepsiCo, 131, 257, 373 Perez, Antonio, 293 Peters, T J., 357 P.F Chang’s, 206 Pfizer, Charles, 219 Pfizer Inc., 51–52, 178, 182, 219–220, 287, 291, 329 P&G See Procter & Gamble (P&G) Pharmacia, 219, 291, 329 Pharmacia & Upjohn, Inc., 329 Pitney Bowes, 88 Pixar, 164 Pizza Hut, 213, 322 Platt, Lewis, 75 Polaroid, 263, 292, 343 Porsche, 128, 136 Porter, M., 107 Porter, Michael E., 45, 127, 138, 140, 141, 151, 164, 169, 170, 203, 206, 285 Potlach Corporation, 204 Procter & Gamble (P&G), 52, 107, 137, 140, 146, 150, 165, 169, 173, 187, 204, 209, 212, 213, 224–225, 240, 285, 286, 288–289, 313, 320, 331, 352 Progress Energy, 222 Project GLOBE, 328 Quaker Oats, 343, 373 Qwest, 77, 88 RAND Corporation, 153, 347 Read, Ian, 219 Red Hat, 239 Reebok, 42, 139, 296 Reggie White, et al v NFL, 210 Reinhardt, F L., 45 Renault, 166, 228, 323 Rensi, Edward, 259 RIM (Research in Motion), 140, 249, 263, 316 RJR Nabisco, 344 Roberson, B., 40 Roche, 287 Rockwell Collins, 178 Roddick, Anita, 94 Romanos, Jack, 243 Romney, Mitt, 153 Royal Dutch Shell, 153, 223 Rumelt, Richard, 228 Ryanair, 53 S C Johnson, 116 Saab Automobile Parts AB, 321 SAM Group, 134 Samsung, 140 SAP AG, 353 Sarbanes-Oxley Act, 88–91, 116 Savage, Randy, 357 SBC Communications, 86 Schilit, Howard, 367–368 Schiller, Steve, 313 Schlitz Brewing Company, 84 Schoonover, Philip, 173 Schultz, Howard, 55, 56, 94, 255 Scientific-Atlanta Inc., 222 ScoreTop.com, 112 Sears, 41, 147, 164–165, 294, 316, 356 Security Outsourcing Solutions, 150 See’s Candies, 242 Seidenberg, Ivan, 94 Semel, Terry, 90 Seventh Generation Laundry Detergent, 283 Shanghai Automotive, 318 ShareNet, 46 Sherwin-Williams Company, 224 Shorebank, 116 Shutterfly, 211 Siemens, 46 Simpson Industries, 233 Six Sigma, 282, 298–299, 330 Skipper, John, 210 Sloan, Alfred P., 270, 288 Smeltzer, Larry, 113 Smithfield Foods, 223, 224 Smucker, 116 Snow, C C., 146, 297 Society of Competitive Intelligence Professionals, 151 Sony, 116, 212, 313, 354 South African Breweries (SAB), 202 Southwest Airlines, 94, 146, 204, 285, 339 Sports Center, 210 Sprint, 343 Sprint Nextel, 138 SSA Global Technologies, 353 Standard & Poor’s (S&P), 89, 150 Stanley Works, 353 Staples, 52 Starbucks, 53, 55, 56, 94, 107, 255, 316 Stern Stewart & Company, 343, 344 Stewart, Julia, 312 Stoneyfield Yogurt, 107 Stuart, Spencer, 78 Sullivan, Jerry, 184 Sunbeam, 367 Surowiecki, James, 153 Swiss Re, 45 Taco Bell, 204, 213, 322 Tagliatti, 228 Taisei Corporation, 59 # 111708   Cust: PE/NJ/B&E   Au: Wheelen  Pg No 818 Z36_WHEE0811_14_GE_NIDX.indd 818 Title: Strategic Management and Business Policy     Server: Jobs4 Target, 59, 80, 81, 107, 165, 197 Tata Consultancy Services, 302 Tata Group, 268 Tata Motors, 161–162, 166, 233 Tate, G., 94 Taxin, Gregory, 89 Tenneco, 343 Tennessee Valley Authority, 267 Tesco, 225 Tesla Motors, 133 Third Point, 90 Thompson, Scott, 90 3M, 53, 172, 299, 303, 340 TIAA-CREF, 84 Timex, 204 Toman Corporation, 238 Toro, 229 Toshiba, 212, 224 Toyota, 47, 128, 186, 206, 228, 236, 343 Trans Ocean, 109 Trans-Pacific Partnership Free Trade agreement, 205 Treacy, M., 151 Treat.com, 211 Tricon Global Restaurants, 322 Trident Group, 150 TurboTax, 167 Tyco, 77, 88, 112 UnderArmour, 139 Unilever, 257, 318 Union of South American Nations, 44 United Airlines, 85, 225, 287, 339 United Auto Workers, 85 United Express, 225 United National Global Compact, 106 United Nations Development Program, 103 United Steel Workers, 183 Upjohn Pharmaceuticals, 329 UPS, 55, 214, 259 U.S Department of Defense, 353 US Airways, 225, 233 US Airways Express, 225 Value Line, 150 van Bever, Derek, 279, 280 Vanguard, 167 Verizon Communications, 94, 176 Verry, Seth, 279, 280 Vibram Five Fingers, 139 Virgin, 94 Volkswagen, 353 Wagoner, Richard Jr., 236 Wal-Mart, 133–134, 165, 167, 186, 187, 204, 225, 227, 279, 352–353 Walt Disney Company, 96, 164, 167, 204, 263, 292, 359 Warner-Lambert, 59, 219, 291 Waterman, R H., 357 C/M/Y/K Short / Normal DESIGN SERVICES OF S4carlisle Publishing Services 5/20/14 12:23 PM www.downloadslide.net Watkins, Sherron, 114 Web 2.34, 186 WebFountain, 137 Welch, Jack, 240, 270, 299 Wells Fargo, 345 Wendy’s, 145, 182 Weyerhauser, 169 Wheeling-Pittsburgh Steel, 85 Whirlpool, 199, 208, 233, 260, 323, 343, 353 Whitman, Meg, 76, 94, 354 Whole Foods, 107 Who Says Elephants Can’t Dance? (Gerstner), 59 N A M E I NDEX Wiersema, F., 151 Wiersema, Margarethe, 96 Wilburn, Nicole, 296 Wilburn, Randy, 296 Williamson, O E., 225 Wisdom of Crowds (Surowiecki), 153 WorldCom, 77, 88, 112 The World is Flat (Friedman), 42 World Political Risk Forecasts, 144 World Trade Organization (WTO), 134–135, 142 W&T Offshore, 91 Wyeth, 219, 287 # 111708   Cust: PE/NJ/B&E   Au: Wheelen  Pg No 819 Z36_WHEE0811_14_GE_NIDX.indd 819Management and Business Policy     Server: Jobs4 Title: Strategic 819 Xerox, 164, 282, 316, 341 Yahoo!, 90, 292 Yamaha, 352 Yang, Jerry, 90, 292 Young, Shirley, 318 Yum! Brands, 213, 226, 227, 322 Zabriskie, J., 329 Zappos, 311 Zimmer Holdings, 129–130 Zuckerberg, Mark, 80, 91 Zynga, 167 C/M/Y/K Short / Normal DESIGN SERVICES OF S4carlisle Publishing Services 5/20/14 12:23 PM www.downloadslide.net SUBJECT INDEX Accounting accrual method of, 360 activity-based costing (ABC), 341–342 cost accounting, 341 forensic, 367 GAAP, 350 Accounts receivable, 367 Acquisitions, 222, 227, 230 See also Mergers corporate culture considerations, 173, 322–324 cross-border, 227 Action plan, 324–326 Activity-based costing, 341–342 Activity ratios, 369, 370–371 Adaptive mode, 58 Advertising model, 166 Affiliated directors, 82 Agency theory, 81–83 Airline industry, 225, 229 Alternative energy sources, 132 Altman’s Z-Value Bankruptcy Formula, 373–374 Analytical portfolio manager, 312 Analyzers, 146 Annual report, 369 Appliance industry, 144, 147, 208–209 Apps, 143, 176 Arms race strategy, 263 Assimilation, of cultures, 323 Athletic shoe industry, 138–139 Automobile industry, 37–38, 152, 161–162, 166, 168, 236 downsizing study, 316 SUV demand in China, 136 Autonomous work teams, 182 Baby boomers, 129, 130 Backward integration, 223 Balanced scorecards, 40, 345 Bankruptcy, 294 Bankruptcy strategy, 233 Basic R&D, 178 Behavior controls, 339 Behavior substitution, 356 Benchmarking, 40, 349–350 Biotechnology, 131 Blind spot analysis, 151 Blockbuster model, 167 Board of directors, 77–92 board activism, 90 codetermination and, 85 company performance and, 96 compensation of, 85, 355 continuum of, 79–80 evaluating, 346–347 globalization’s impact on, 84 Hewlett-Packard, 75–77 interlocking directorates, 85–86 liability insurance for, 78 members of, 80–86 nomination and election of, 86–87 organization of, 87–88 responsibilities of, 78–80 SEC requirements for, 81 in strategic management, 78–79 women and minorities on, 84, 91 BOT concept, 228 Brainstorming, 152–153 Brand, 176 Brand management, 296 Budget, 54, 285–286 See also Capital budgeting Budget analysis, 350 Bureaucracy, 134 Business intelligence See Competitive intelligence Business models, 166–167 Business strategy, 52, 53, 203–214 Porter’s competitive strategies, 203–209 Bypass attack, 284 Capabilities, 162 Capital budgeting, 177–178 Captive companies, 224 Captive company strategy, 232–233 Carbon footprint, 127 Carbon-friendly products, 133 Carbon neutral environments, 108 Case analysis, 366–377 case situation research, 368–369 common-size statements, 373 economic measures, 374–375 financial analysis, 369–375 financial ratio analysis, 369, 370–371 index of sustainable growth, 374 red flag checklist, 367–368 strategic audit, 375–376, 384–391 Z-value formula, 373–374 Cash cows, 235–236 Cash flow, 367 Cautious profit planner, 312 Cell phones, 176 Cellular organization, 297 Center of excellence, 240 Center of gravity, 168–169 Certified Emissions Reductions (CERs), 369 Change management programs, 40 Chapter 7, 294 Chapter 11, 294 Cheating, 112 Chief Executive Officer (CEO), 92–95 company performance and, 96 compensation of, 93, 355, 358–359 evaluating, 346–347 executive succession, 314 turnover, 345 type of, and company strategy, 312–313 Chief Operating Officer (COO), 92 Chief Risk Officer, 342 Chocolate market, 131 Clayton Act, 85 Climate change, 45, 257, 345 risk categories (for companies), 133–134 Cloud computing, 132 Clusters, 164 Co-creation product development, 186 Code of ethics, 89, 116–117 Codetermination, 85 College textbooks, 208 Collusion, 209–211 Commodities, 140 Common-size statements, 373 Common thread, 202 Communication, 322 Company information services, 368–369 Compensatory justice, 117 Competition, 140 See also Hypercompetition clusters, 164 competitive intelligence and, 148–149 competitors defined, 151 diversity of rivals, 141 industry evolution and, 142 monitoring, 151 rivalry among existing firms, 140–141 Competitive advantage gaining, 163–164 sustaining, 164–166 Competitive intelligence, 148–151 evaluating, 150 monitoring competitors, 151 sources of, 149–151 Competitive scope, 203 Competitive strategies, 52, 203–209 hypercompetition and sustainability, 207–209 industry structure and, 206–207 risks, 205 Complementor, 142 Computer industry, 58–59 Computer tablets, 44 Concentration, 222–228, 312 horizontal growth, 224–230 vertical growth, 222–223, 225, 230 Concentric diversification, 229 Concurrent engineering, 182 820 # 111708   Cust: PE/NJ/B&E   Au: Wheelen  Pg No 820 Z37_WHEE0811_14_GE_SIDX.indd 820Management and Business Policy     Server: Jobs4 Title: Strategic C/M/Y/K Short / Normal 820 DESIGN SERVICES OF S4carlisle Publishing Services 5/20/14 12:24 PM www.downloadslide.net Concurrent sourcing, 224 Conflict of interest, 83 Conglomerate diversification, 229 Conglomerate structure, 172 "Conscious parallelism," 211 Consensus, 269 Consolidated industry, 142, 206–207 Consolidation, 232 Constant dollars, 374 Continuous systems, 180 Contraction, 232 Controls, types of, 339–341 Control system guidelines, 357 Conventional level, 115 Cooperative contractual relationships, 224 Cooperative strategies, 52, 209–214 collusion, 209–211 strategic alliances, 211 Co-opetition, 214 Coordinated strategies, 286 Core competencies, 40 Core rigidity, 162 Corporate brand, 176 Corporate culture, 172–174 communication and, 322 diversity after acquisitions, 322–324 international issues in, 319, 329 managing, 320–324 policy development and, 271 strategic choice and, 268 strategy-culture compatibility assessment, 320–322 Corporate development stages, 288–292 beyond SBUs, 291–292 blocks to changing, 292 divisional structure, 291 functional structure, 290–291 simple structure, 289–290 Corporate governance avoiding improvements, 89, 91 board of directors and (See Board of directors) defined, 77 evaluating, 89 impact of Sarbanes-Oxley Act on, 88–91 improving, 89 top management and, 92–95 trends, 91–92 Corporate parenting, 220, 239–241 Corporate reputation, 177 Corporate scandals, 76, 88, 96 Corporate scenarios, 264–269, 271 Corporate social responsibility (CSR), 105 See also Social responsibility Corporate strategy, 52, 53 corporate parenting, 220, 239–241 defined, 220 directional strategies, 220–234 horizontal strategy, 241 multipoint competition, 241 SU BJ ECT INDEX portfolio analysis, 220, 234–238 retrenchment strategies, 232–234 stability strategies, 231–232 Corporate value-chain analysis, 169–70 Corruption, 77 Cost focus, 203, 204 Cost leadership, 203, 204 Counterfeiting, 351–352 Crisis of autonomy, 291 Crisis of control, 291 Crisis of leadership, 289 "Critical mass," 221 Cross-functional work teams, 182 Cross-impact analysis (CIA), 153 Cultural integration, 173 Cultural intensity, 172 Cultural norms and values, 112 Cultural relativism, 114 Cultural trends, 135 Currency convertibility, 135 Customer satisfaction, 327, 339 Customer solutions model, 166 Cycle of decline, 234 Dashboard software, 339 Debt-elimination scams, 111 Decision making ethical, 111–118 strategic, 57–60 Deculturation, 324 De Facto industry standard model, 167 Defenders, 146 Defensive tactics, 284, 285 Delphi Technique, 153 Demographic trends, 129 Deregulation, 40 Devil’s advocate, 270 Diagnostic imaging equipment, 47 Dialectical inquiry, 270 Differentiation, 203, 204, 208, 286 Differentiation focus, 203, 204–205 Differentiation strategy, 204 Digital technology, 131 Dimensions of national culture, 327 Direct interlocking directorate, 85–86 Directional strategy, 220–234 controversies in, 230 growth strategies, 221–225 "Dirty hands problems," 118 Discretionary responsibilities, 105 Distinctive competencies, 163 Distributive justice, 117 Diverse workforce, 259 Diversification, 222, 312 concentric (related), 229 conglomerate (unrelated), 229 controversies in, 230 Diversity, 131 Divestment strategy, 233 Divisional performance measures, 347–348 Divisional structure, 171–172, 288 # 111708   Cust: PE/NJ/B&E   Au: Wheelen  Pg No 821 Z37_WHEE0811_14_GE_SIDX.indd 821Management and Business Policy     Server: Jobs4 Title: Strategic 821 Dodd-Frank financial reform law, 93 Do everything strategy, 263 Dogs (products), 236 Downsizing, 315–316 Downstream value chains, 168 Due care, 78 Durability, 164 Dynamic capabilities, 162, 208 Dynamic industry expert, 312 Earnings at risk (EAR), 342 Earnings guidance, 355 Earnings per share (EPS), 338, 343 Ecological forces, 136 Economic forces, 127, 136 Economic indicators, 375 Economic measures, 374–375 Economic responsibilities, 105 Economic value added (EVA), 343, 344 Economies of scale, 139, 142, 181, 287 Economies of scope, 170, 287 EDGAR database, 369 EFAS (external factors analysis summary), 154–155 Efficiency model, 167 80/20 rule, 357, 360 Electric cars, 236 Electric utility industry, 340 Electric vehicle battery reuse, 340 Electronic networking, 131 Eleos Foundation, 115 Emissions trading program, 133 Employees, 183 See also Human resources; Staffing Employee Stock Ownership Plans (ESOPs), 85 Encirclement, 284 Energy alternative sources, 132 efficiency, 351 Engineering R&D, 178 Enterprise resource planning (ERP), 185, 353 Enterprise risk management (ERM), 342 Enterprise strategy, 109 Entrepreneurial mode, 58 Entrepreneurial model, 167 Entry barrier, 139 Environmental awareness, 130 Environmental efficiency, 44 Environmental responsibility, 44 Environmental scanning, 48–50, 60 See also Competitive intelligence; Forecasting; Industry analysis checklist (strategic audit), 154 defined, 126 ecology, 132–134 economics, 132 external factors analysis summary, 154–155 C/M/Y/K Short / Normal DESIGN SERVICES OF S4carlisle Publishing Services 5/20/14 12:24 PM www.downloadslide.net 822 S UB J E C T IN D E X  external strategic factors, identifying, 137–138 international societal considerations, 135 natural environment, 127 political-legal trends, 134 scanning system creation, 135–137 sociocultural trends, 130–131 STEEP analysis, 128–137 task environment, 137 technology, 131–132 Environmental standards, 351 Environmental uncertainty, 126 Equilibrium periods, 56 E-receipts, 345 Ethical behavior code of ethics, 116–117 guide to, 117–118 individual rights approach to, 117, 118 Ethical decision making, 111–118 Ethical responsibilities, 105, 106 Ethics, 117 Evaluation and control process, 55, 60, 338–360 control system guidelines, 357 performance measurement, 338–352 strategic incentive management, 357–359 strategic information systems, 352–354 Executive succession, 314 Executive type, 312 Exit barriers, 141 Expense centers, 348 Experience curve, 142, 181, 237 Expert opinion, 153 Explicit knowledge, 165 Exporting, 226 External environment (in SWOT analysis), 49, 59 External factors analysis summary (EFAS), 154–155 Externally oriented (strategic) planning, 39 Extranets, 186 Extrapolation, 152 Family directors, 84 Farming, 132 Feedback/learning process, 55–56 Financial analysis, 369–375 Financial crisis (global), 42 Financial leverage, 177 Financial performance, socially responsible actions and, 106–107 Financial planning, 38 Financial ratio analysis, 369, 370–371 Financial statements, 367 Financial strategy, 251–253 First mover, 282 Five-year plans, 39 Flanking maneuver, 284 Flexible manufacturing, 181 Focus, 203, 206 Follow the leader strategy, 263 Follow-the-sun management, 260 Forecast-based planning, 39 Forecasting assumption errors, 152 techniques, 152–154 Forensic accounting, 367 Forward integration, 223 Fragmented industry, 142, 206 Franchising, 227 Free cash flow, 343 "Frogs in boiling water" analogy, 114 Frontal assault, 284 Full integration, 223 Functional knowledge, 47 Functional performance measures, 347–348 Functional strategy, 52, 53, 250–260 financial strategy, 251–253 HRM strategy, 259 information technology strategy, 259–260 logistics strategy, 258–259 marketing strategy, 250–251 operations strategy, 254–256 purchasing strategy, 256–258 research and development (R&D) strategy, 253–254 Functional structure, 171, 290–291 Generally Accepted Accounting Principles (GAAP), 350 Genetically altered organisms, 132 Geographic-area structure, 303 Global expansion, 226 Global industries, 144 Globalization, 41, 42–43 board membership and, 84 Global MNC, 351 Global supply chains, 133 Global warming, 45, 127, 133 Goal displacement, 356 Goals, 51 Goodwill, 107 Government regulations, 133, 134 Grand strategies, 221 Green-field development, 227–228 Gross domestic product (GDP), 374 Gross margins, 367 Growth strategies, 221–225 concentration, 222–228 diversification, 228–229 Guerilla warfare, 284–285 Health consciousness, 130 Hierarchy of strategy, 52–53 Historical comparisons, 350 Hit another home run strategy, 263 Home appliance industry, 144, 147, 208–209 # 111708   Cust: PE/NJ/B&E   Au: Wheelen  Pg No 822 Z37_WHEE0811_14_GE_SIDX.indd 822 Title: Strategic Management and Business Policy     Server: Jobs4 Horizontal growth, 224–225 achieving, 225 controversies in, 230 international entry options for, 226–229 Horizontal integration, 224 Horizontal strategy, 241 Household composition, 131 Human assets, 162 Human diversity, 184 Human resource management (HRM) strategy, 259 in United Arab Emirates, 331 Human resources, 181–185 See also Staffing identifying employees for training/ promotion, 315 quality of work life/human diversity, 183–185 teams and, 182–183 union relations and temporary/part-time workers, 183 Human rights, 135 Hurdle rate, 54, 177–178 Hypercompetition, 147 Imitability, 165 Immigration, 131 Index of sustainable growth, 374 Indirect interlocking directorate, 85–86 Individualism-collectivism (I-C), 327–328 Individual rights approach to ethical behavior, 117, 118 Industrial espionage, 149–151 Industry See also specific industry consolidated, 142 defined, 138 evolution of, 142–143 fragmented, 142 global, 144 multidomestic, 143 regional, 144 Industry analysis, 138–148 buyer bargaining power, 141 complementary industry power, 142 defined, 127 hypercompetition, 146–147 industry evolution, 142–143 industry matrix, 147–148 international industry categorization, 143–144 international risk assessment, 144 Porter’s approach to, 138–142 rivalry among firms, 140–141 strategic groups, 144–146 strategic types, 146 supplier bargaining power, 141–142 threat of new entrants, 139–140 threat of substitute products/ services, 141 Industry information services, 368–369 Industry matrix, 147–148 C/M/Y/K Short / Normal DESIGN SERVICES OF S4carlisle Publishing Services 5/20/14 12:24 PM www.downloadslide.net Industry scenario, 153–154, 264 Industry value-chain analysis, 168–169 Inflation, 374 Information services, 368–369 Information systems/technology, 179 performance impact, 185–186 supply chain management, 186–187 Information technology strategy, 259–260 Innovation, 41, 43–44 defined, 43 product innovation, 148 sustainability and, 44 Input controls, 339 Inside directors, 80 Institutional investors, 84, 91 Institution theory, 45 Intangible assets, 162 Integration, of cultures, 323 Integration managers, 310 Interlocking directorates, 85–86 Intermittent systems, 180 Internal environment (in SWOT analysis), 49, 59 Internal scanning See Organizational analysis International development stages, 301–302 International Financial Reporting Standards (IFRS), 350 International performance evaluation, 350 International transfer pricing, 350 Internet, 42 businesses, 343 environmental scanning and, 149 marketing uses, 186 Internet browsers, 283 Internet search engines, 90 Intranets, 186 Inventory turnover ratio, 339 Investment centers, 349 ISO 14000 Standards Series, 340 ISO 14001 designation, 44 ISO 9000 Standards Series, 340 ISO 20121, 184 Job characteristics, 299 Job design, 299–300 Job enrichment, 300 Job rotation, 299, 315 Joint ventures, 212–213, 227, 300 Justice approach to ethical behavior, 117, 118 Keiretsu, 86 Key performance measures, 346 Key success factors, 147 Kohlberg’s levels of moral development, 114–115 Labor unions, 183 Late mover, 283 Law, defined, 117 Lead director, 87–88 SU BJ ECT INDEX Leadership management by objectives, 326 Total Quality Management (TQM), 326–327 Leading, 319–329 corporate culture, 320–324 international considerations in, 327–329 Lean Six Sigma, 282, 299 Learning organizations, 46–47 LEED certification, 42 Legal responsibilities, 105 Leveraged buyout, 252 Leverage ratios, 369, 371 Licensing, 213, 226–227, 300 Linkages, 170 Liquidation strategy, 233–234 Liquidity ratios, 369, 370 Litigation risk, with climate change, 133 Logical incrementalism, 59 Logistics strategy, 258–259 Long-term care facilities, 130 Long-term contracts, 224 Long-term evaluation method, 358 Long-term orientation (LT), 328 Losing hand strategy, 263 Lower-cost strategy, 204 Management See also Chief Executive Officer (CEO); Corporate governance; Top management diversity, 315 evaluating, 346–347 Management audits, 347 Management by objectives (MBO), 326 Management contracts, 228 Management directors, 80 Market-aggregated forecasts, 153 Market development strategy, 250 Market diversity, 131 Marketing, strategic issues, 174–177 Marketing mix, 174–175 Marketing "pull," 52 Marketing strategy, 250–251 Market location tactics, 284–285 Market position, 174 Market segmentation, 174 Market value added (MVA), 343, 344 Masculinity-femininity (M-F), 328 Mass customization, 130–131, 181 Matrix structures, 42, 294–296 Mature matrix, 296 Mergers, 75–76, 94, 173, 222, 230, 355 See also Acquisitions cultural differences and, 329 staffing and, 310 Millennials, 130, 130 Mintzberg’s strategic decision making modes, 58–59 Misconduct, 111 # 111708   Cust: PE/NJ/B&E   Au: Wheelen  Pg No 823 Z37_WHEE0811_14_GE_SIDX.indd 823Management and Business Policy     Server: Jobs4 Title: Strategic 823 Mission statements, 40, 50, 202 Modular building, 54 Moore’s Law, 179 Moral development, Kohlberg’s levels of, 114–115 Moral hazard, 83 Morality, 117 Moral relativism, 114 Mortgage fraud, 111 Mortgage lending, 42 Most-favored nation, 134 Multi-alliance management, 238 Multicomponent system/installed base model, 166 Multidomestic industries, 143 Multinational corporations (MNCs), 135, 143–144, 300, 350–351 centralization vs decentralization, 302–303 international experience of executives, 317–318 stages of, 301–302 turnkey operations, 228 Multipoint competition, 241 Mutual service consortium, 212 Naïve relativism, 114 Nanotechnology, 131 Natural environment, 126 Net present value (NPV), 266 Network structures, 296–297 New business creation, 287 New entrants, 139 Niche markets, 130 No-change strategy, 231 Nongovernmental organizations (NGOs), 110 Non-management directors, 80 Obesity, 130 Objectives (strategy formulation), 50–51, 202 Offensive tactics, 284 Offshoring, 260–261 Oil industry, 40–41, 125, 152, 223–224 Oil spills, 109 Opacity index, 113 Open Standards Benchmarking Collaborative database, 350 Operating budgets, 348 Operating cash flow, 343 Operating leverage, 180 Operational planning See Strategy implementation Operations, 180–181, 327 Operations strategy, 254–256 Organizational adaptation theories, 45–46 Organizational analysis basic organizational structures, 171–172 business models, 166–167 C/M/Y/K Short / Normal DESIGN SERVICES OF S4carlisle Publishing Services 5/20/14 12:24 PM www.downloadslide.net 824 S UB J E C T IN D E X  core and distinctive competencies, 162–163 corporate culture, 172–173 financial issues, 177–178 gaining competitive advantage, 163–164 human resources issues, 181–185 information systems/technology issues, 185–187 internal factor analysis summary, 187–188 operations issues, 180–181 R&D issues, 178–180 strategic audit checklist, 187 strategic marketing issues, 174–177 sustaining competitive advantage, 164–166 value-chain analysis, 167–170 Organizational learning theory, 46 Organizational structures, 171–172 cellular/modular organization, 297 matrix structure, 294–296 network structure, 296–297 Organization life cycle, 292–294 Output controls, 339 Outside directors, 80–82, 91 Outsourcing, 42, 224, 228, 260–263, 296, 302 Paper industry, 169 Parallel sourcing, 257 Parenting strategy, 220, 239 Part-time workers, 183 Pause/proceed-with-caution strategy, 231 Penetration pricing, 251 Performance, 55, 338 Performance appraisal system, 315 Performance gap, 56 Performance measurement, 338–352 activity-based costing, 341–342 appropriate measures of, 338–339 balanced scorecard, 345–347 benchmarking, 349–350 divisional and functional, 347–348 enterprise risk management, 342 international issues, 350–351 primary measures of, 342–345 problems in, 354–355 responsibility centers, 348–349 types of controls, 339–341 Periodic statistical reports, 348 Personal assistants, virtual, 132 PESTEL Analysis, 128 Pet care industry, 130 Pharmaceuticals, 57, 219–220 Phases of strategic management, 38–39 Physical risk, with climate change, 134 Piracy, 351, 352 Planned emergence, 59 Planning mode, 58–59 Policy, 52–53 Policy development, 270–271 Political-legal forces, 127, 136 Political risk, 212 Political strategy, 268 Pollution abatement, 41, 107 Pooled negotiating power, 287 Pooling method, 372–373 Population ecology theory, 45 Population growth, 129 Portable information devices, 131 Porter’s competitive strategies, 203–209 Portfolio analysis, 220, 234–238 advantages and limitations of, 237–238 BCG Growth-Share Matrix, 234–237 strategic alliance portfolio management, 238 Power distance (PD), 327 Precision farming, 132 Preconventional level, 115 Prediction markets, 153 Pressure-cooker crisis, 292 Primary activities, 169 Primary stakeholders, 109 Prime interest rate, 374 Principled level, 115 Procedures, 54–55 Process R&D, 178 Product development strategy, 250 Product differentiation, 140 Product-group structure, 303 Product innovation, 148 Production sharing, 228 Product life cycle, 175 Product management, 296 Product R&D, 178 Product risk, with climate change, 133 Professional liquidator, 312 Profit, environmental sustainability and, 133 Profitability ratios, 369, 370 Profit centers, 348 Profit multiplier model, 167 Profit pyramid model, 166 Profit strategy, 231–232 Program (to support strategy), 54, 282 Propitious niche, 199, 201–202 Prospectors, 146 Punctuated equilibrium, 56 Purchasing strategy, 256–258 Purpose (in mission statement), 50 QR codes, 258 Quality of work life, 183–184 Quasi-integration, 224 Question marks (products), 235 Quick response codes, 258 Radio frequency identification (RFID), 187, 353–354 Ratio analysis, 369, 370–372 R&D intensity, 178 Reactors, 146 # 111708   Cust: PE/NJ/B&E   Au: Wheelen  Pg No 824 Z37_WHEE0811_14_GE_SIDX.indd 824 Title: Strategic Management and Business Policy     Server: Jobs4 Real-options theory, 266 Recycling, 41, 44 Red tape crisis, 291 Reengineering, 297–298 Refurbishing, 41 Regional industries, 144 Regional trade associations, 43 Regulatory risk, with climate change, 133 Relationship-based governance, 112, 113 Remanufacturing, 189 Rental book market, 208 Repatriation of profits, 128, 351 Replicability, 165 Reputation, 177 Reputational risk, with climate change, 133–134 Research and development (R&D) functional strategies, 52 intensity, technological competence, technology transfer, 178 R&D mix, 178–179 technological discontinuity impact, 179–180 Research and development (R&D) strategy, 253–254 Resource productivity, 52 Resources, 162–164 Responsibility centers, 348–349 Restaurant industry, 145, 206 Retail trends, 129 Retaliation, 285 Retired executive directors, 82, 84 Retrenchment strategies, 232–234, 310–311 Retributive justice, 117 Return on assets (ROA), 203 Return on equity (ROE), 343 Return on investment (ROI), 288, 338, 342–343, 350, 355 Revenue centers, 348 Reverse logistics, 189 Revolutionary periods, 56 RFID (radio frequency identification), 187, 353–354 Rightsizing/resizing, 315 Risk, management’s attitude toward, 266–267 Risk mitigation, 44 Robot development, 132 Role relativism, 114 R/3 software system, 353 Rule-based governance, 112, 113 Safety standards, 351 Sanergy, 115 Sarbanes-Oxley Act, 88–91, 116 Scenario analysis, 342 Scenario planning, 153 Scenario writing, 153 SEC 10-Q form, 369 SEC 10-K form, 369 SEC 14-A form, 369 Secondary stakeholders, 110 C/M/Y/K Short / Normal DESIGN SERVICES OF S4carlisle Publishing Services 5/20/14 12:24 PM www.downloadslide.net Securities and Exchange Commission, 89, 150, 369 Sell-out strategy, 233 Seniors, market expanse for, 130 Separation (of cultures), 324 SFAS matrix, 198–199, 214 Shared know-how, 286 Shared tangible resources, 287 Shareholders, 44, 77, 91, 92 Shareholder value, 343–345 Short-term orientation, 354–355 Simple structure, 171, 289–290 Situational analysis finding a propitious niche, 199, 201–202 generating a SFAS matrix, 198–199 mission and objectives review, 202 SWOT approach, 198–202 Six Sigma, 282, 298–299, 330 Smartphones, 143, 176 Social capital, 107 Social group relativism, 114 Social responsibility, 44, 104–111 Carroll’s four responsibilities of business, 105–107 Friedman’s view of business responsibility, 104–105 Societal environment, 127 Sociocultural forces, 127, 136 Software dashboard, 339 enterprise resource planning (ERP), 185, 353 piracy, 352 programming, 261 R&D expenditures, 178 Red Hat, 239 R/3 system, 353 Web services, 186 Solar arrays, 340 Sole sourcing, 256–257 Sports broadcasting, 210 Stability strategies, 231–232, 312 Staffing, 310–319 action planning, 324–326 hiring/training requirements, 311 identifying abilities/potential, 315 international issues in, 317–319 matching manager to strategy, 311–313 selection and management development, 313–315 Staggered board, 86–87 Stakeholder analysis, 109–110 Stakeholder input, 110 Stakeholders, 108–111 bargaining power of, 142 strategic choice and, 267–268 Stall points, 279–280 Standard cost centers, 348 Standard Operating Procedures (SOP), 54–55, 286 SU BJ ECT INDEX Standards, for products and services, 351 Stars (products), 235 Statistical modeling, 153 Stealth expatriates, 319 STEEP analysis, 128–137 Steering controls, 338–339 Stewardship theory, 82, 83 Strategic alliance portfolio management, 238 Strategic alliances, 211–214, 224, 300–301 Strategic audit, 60–61, 66–71, 347 student-written analysis of Maytag, 375, 384–391 worksheet, 375, 376 Strategic business units (SBUs), 172, 347 Strategic choice, 263–270 corporate culture pressure and, 268 corporate scenarios and, 264–269 key managers and, 268–269 process of, 269–270 stakeholder pressure, 267–268 Strategic choice perspective, 45 Strategic decision making, 57–60 Mintzberg’s modes of, 58–59 process, 59–60 strategic audit as aid to, 60–61 Strategic decisions, 57–60 Strategic factors, 48 Strategic factors analysis summary (SFAS) matrix, 198–199, 214 Strategic flexibility, 46 Strategic-funds method, 359 Strategic group, 144–146 Strategic incentive management, 357–359 Strategic inflection point, 56 Strategic information systems, 352–354 divisional and functional support, 354 enterprise resource planning (ERP), 353 radio frequency identification (RFID), 353–354 Strategic management benefits, 39–41 board of directors role in, 78–79 CEO and management responsibilities to, 92–93 challenges to, 41–45 defined, 38 innovation and, 43–44 learning organizations and, 46–47 organizational adaptation theories, 45–46 phases of, 38–39 strategic audit, 60–61 strategic decision making, 57–60 Strategic management model, 47–56 environmental scanning, 48–50 evaluation and control process, 55 feedback/learning process, 55–56 strategy formulation, 50–53 strategy implementation, 53–55 triggering events, 56 # 111708   Cust: PE/NJ/B&E   Au: Wheelen  Pg No 825 Z37_WHEE0811_14_GE_SIDX.indd 825Management and Business Policy     Server: Jobs4 Title: Strategic 825 Strategic myopia, 138 Strategic planning process, 95 Strategic reorientation, 316 Strategic rollup, 207 Strategic type, 146 Strategic vision, 93–94 Strategic window, 201 Strategy, 51–52 Strategy-culture compatibility, 320–322 Strategy formulation, 50–53, 60, 198 Strategy implementation, 53–55, 60, 280–291 budgets, 285–286 centralization versus decentralization, 302–303 competitive tactics, 282 corporate development stages, 288–292 defensive tactics, 285 international development stages, 301–302 international issues in, 300–303 international strategic alliances, 300–301 job design for, 299–300 market location tactics, 284–286 organization life cycle, 292–294 organizing for action, 287–300 procedures, 286 programs and tactics, 282 reengineering and, 297–298 structure follows strategy, 287–288 synergy, 286–287 timing tactics, 282–284 Stress testing, 342 Structural barriers, 285 Structured Query Language (SQL), 289 Structure follows strategy, 287–288 Suboptimization, 356 Substitute product, 141 Suppliers, bargaining power of, 141–142 Supply-chain efficiency, 353 logistical improvements, 42 management, 186–187 risk, with climate change, 133 Support activities, 169–170 Sustainability, 41, 44–45, 107–108, 127, 210 corporate sustainability performance, 134 green supercars, 128 Switchboard model, 167 SWOT analysis, 48–50, 198–202, 214, 271 Synergy, 229, 286–287 Tablets (computer), 44, 143 Tacit knowledge, 165 Tactic (to support strategy), 54, 282 Takeovers, 222 Take rate, 354 Tangible assets, 162 Taper integration, 224 Task environment, 127 C/M/Y/K Short / Normal DESIGN SERVICES OF S4carlisle Publishing Services 5/20/14 12:24 PM www.downloadslide.net 826 S UB J E C T IN D E X  Teams, 182 Technical skill, 47 Technological competence, 178 Technological discontinuity, 179 Technological follower, 253 Technological followership, 52 Technological forces, 127, 136 Technological leader, 253 Technological leadership, 52 Technology risk, with climate change, 133 Technology transfer, 178 Telecommuting, 131, 182 Temporary cross-functional task forces, 295 Temporary employees, 183 Testing procedures, 351 Textbooks, 208 360-degree appraisal, 259 Time model, 167 Timing tactics, 282–284 Tobacco industry, 143 Top management CEO pay and corporate performance, 93 executive leadership and strategic vision, 93–95 responsibilities, 92–95 strategic planning process and, 95 Total Quality Management (TQM), 326–327, 330 Total weighted score, 155 Toxic wastes, 41 Trade agreements, 42, 134–135, 205 Trade associations, 42 European, 43 North American, 44 South American, 44 Southeast Asian, 45 Trade regulations, 142 Trade secrets, 150–151 Transaction cost economics, 223, 225 Transferability, 165 Transfer pricing, 348–349 Transformational leaders, 93–94 Transparency, 113, 165 Trend-impact analysis (TIA), 153 Triggering events, 56 Triple bottom line, 42, 44 Turnaround specialist, 312 Turnaround strategy, 232, 282 Turnkey operations, 228 Uncertainty avoidance (UA), 327 Unethical behavior, 112–115 Union relations, 183 Upstream value chains, 168 Utilitarian approach to ethical behavior, 117, 118 Value at risk (VAR), 342 Value chain alliances, 211 # 111708   Cust: PE/NJ/B&E   Au: Wheelen  Pg No 826 Z37_WHEE0811_14_GE_SIDX.indd 826 Title: Strategic Management and Business Policy     Server: Jobs4 Value-chain analysis, 167–170, 341 corporate, 169–170 industry, 168–169 Value-chain partnership, 213 Values societal, 106 unethical behavior and differences in, 112 Van Der Linde, Bob, 341 Vertical growth, 222–223, 225, 230 Vertical integration, 169, 223, 225 Virtual organization, 296 Virtual personal assistants, 132 Virtual teams, 182–183 Vision statements, 40, 50 VRIO framework, 163, 187 War gaming, 151 Water bottled, 131 shortages, 257 Watershed stewardship, 103 Web services, 186 Web sites, company-sponsored, 150 Weighted-factor method, 358 Whistleblowers, 88, 116 Workforce diversity, 131 Z-Value Bankruptcy Formula, 373–374 C/M/Y/K Short / Normal DESIGN SERVICES OF S4carlisle Publishing Services 5/20/14 12:24 PM ...FOURTEENTH EDITION Strategic Management and Business Policy GLOBALIZATION, INNOVATION, AND SUSTAINABILITY # 111708   Cust: PE/NJ/B&E   Au: Wheelen  Pg No A01_WHEE0811_14_GE_FM.indd Title: Strategic Management. .. Services 5/20/14 12:26 PM FOURTEENTH EDITION Strategic Management and Business Policy Global EDITION Globalization, Innovation, and Sustainability Thomas L Wheelen Formerly with University of... Introduction to Strategic Management and Business Policy  35 CHAPTER Basic Concepts of Strategic Management  36 The Study of Strategic Management   38 Phases of Strategic Management  38 Benefits of Strategic