Sometimes alliances are necessary in order to include a proportion of local contact in a
product.
For Lean manufacturing practices to work well in a firm, experts say that the
organization’s culture must change in significant ways.
The presence of a powerful owner removes all forms of agency problems.
Unemployment rates can have a strong impact on strategy.
The vertical alliance is an alternative for vertical integration.
When managers decide on generic competitive positions, they are actually deciding on
strategies themselves.
Focus strategies are influenced by unique economic drivers.
The Cadbury Commission was established to help raise corporate governance standards
and increase the level of confidence in financial reporting and auditing.
Performance benefits from R&D increase with a firm’s degree of internationalization.
The elements of a firm’s strategy diamond must be internally consistent, but it is not
necessary for them to be aligned with the firm’s strategic position.
A low cost leader is a firm that competes by achieving lower margins due to a higher
cost basis than rivals.
Organizational performance is positively correlated with the integration of internal
stakeholders.
Relatively dynamic environments can mask poor decisions such as alliance structures.
A firm’s resources and capabilities become less significant when a firm chooses to enter
into a strategic alliance.
Outcome controls reward individuals based on whether a measurable goal has been
achieved.
In the workplace, what gets done is what gets rewarded.
In a market-expansion acquisition, the acquiring company expands its product line by
purchasing another company.
Executives of the firm who also serve on the board are often referred to as “insiders.”
The key to using incentives is to use the metrics identified with the balanced scorecard
and link pay to these outcomes.
Firms in which CEOs collaborate with board members on an informal basis perform
worse than those where the relationships remain more formalized.