Principles of Management Chapter 2

The flashcards below were created by user jwil42 on FreezingBlue Flashcards.

  1. open systems
    Organizations that are affected by, and that affect, their environment.
  2. inputs
    Goods and services organizations take in and use to create products or services.
  3. outputs
    The products and services organizations create.
  4. exteranl environment
    All relevant forces outside a firm's boundries, such as competitors, customers, the government, and the economy.
  5. competitive environment
    The immediate environment surrounding a firm; includes suppliers, customers, rivals, and the like.
  6. macroenvironment
    The general environment; includes governments, economic conditions, and other fundamental factors that generally affect all organizations.
  7. demographics
    Measures of various characteristics of the peole who make up groups or other social units.
  8. barriers to entry
    Conditions that prevent new companies from entring an industry.

    • government policy
    • capital requirements
    • brand identification
    • cost disadvantages
    • distribution channels
  9. switching costs
    Fixed costs buyers face when they change suppliers.
  10. supply chain management
    The managing of the network of facilities and people that obtain materials from outside the organization, transform them into products, and distribute them to customers.
  11. final consumer
    A customer who purchses products in their finished form.
  12. intermediate consumer
    A customer who purchases raw materials or wholesale prducts before selling them to final customers.
  13. environmental uncertainty
    Lack of information needed to understand or predict the future.
  14. environmental scanning
    Searching for and sorting though information about the environment.
  15. competitive intelligence
    Information that helps managers determine how to compete better.
  16. Scenario
    A narrative that describes a particular set of future conditions.
  17. forecasting
    Method for predicting how variables will change the future.
  18. benchmarking
    The process of comparing an organization'spractices and technologies withthose of other companies.
  19. empowerment
    The process of sharing power with employees , thereby enhancing their confidence in their ability to perform their jobs and their belief that they are influential contributors to the organization.
  20. buffering
    Creating supplies of excess resources in case of unpredicable needs.
  21. smoothing
    Leveling normal fluctuations at the boundaries of the environment.
  22. flexible processes
    Methods for adapting the technical core to changes in the environment.
  23. independent strategies
    Strategies that an organization acting on its own uses to change some aspect of its current environment.
  24. cooperative strategies
    Strategies used by two or more organizations working together to manage the external environment.
  25. strategic maneuvering
    An organization's conscious efforts to change the boundaries of its task environment.
  26. domain selection
    Enteringa new market or industry with an existing expertise.
  27. diversification
    A firm's investment in a different product, business, or geographic area.
  28. merger
    One or more companies combining with another.
  29. acquisition
    One firm buying another.
  30. divestiture
    A firm elling one or more businesses.
  31. prospectors
    Companies that continuously change the boundaries for their task environments by seeking new products and markets, diversifying and merging, or acquiring new enterprises.
  32. defenders
    Companies that stay within a stable product domain as a strategic maneuver.
  33. organization culture
    The set of important assumptions about the organization and its goals and practices that members of the company share.
Card Set:
Principles of Management Chapter 2
2012-01-26 01:14:27
management chapter

management chapter 2
Show Answers: