The Industrial Organization

1. What is strategic management? What is its purpose for the business?2. The mission and vision statement guide an organization’s practices and operations. What 3 factors do you feel are most important to consider when producing an appropriate mission and vision statement for an organization?Provide an example of a company/organization whose mission and vision statement contain the factors you feel are most important.3. According to the Resource-Based Model of Above-Average Returns, what are core competencies and what makes them so important for firm success?4. In the Art of War, Sun Tzu said,”And so, in the military,Knowing the other and knowing oneself, in one hundred battles no danger.Not knowing the other and knowing oneself, one victory for one loss.Not knowing the other and not knowing oneself, in every battle certain defeat.Upon reading and contemplating this quotation, according to Sun Tzu, what is the essence of strategy? 250 words5. In the article Building Companies to Last, author Jim Collins categorizes companies as “Clockbuilders” and “Time Tellers.” What are some key differences between Clockbuilders and Time Tellers and why do you these differences lead to superior returns6. What are the five forces of Porter’s model?What is the purpose of the Porter’s Five Forces analysis7. The Industrial Organization Model of above average returns suggests from a fundamentally economic view of the world what is most important for firms in achieving above-average returns. Two assumptions of this model are that,1. “…most firms competing within an industry…are assumed to control similar strategically relevant resources and to pursue similar strategies in light of those resources.2. “…resources used to implement strategies are assumed to be highly mobile across firms, so any resource differences that might develop between firms will be short-lived.”What are these assumptions saying in plain language, and why might they be incorrect?

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