Strategic Management,1/e

APPENDIX

CONCEPTS OF STRATEGIC MANAGEMENT

• Acquisition: The purchase of a firm that is subsequently absorbed and integrated as an operating subsidiary at the discretion of the acquiring firm.
• Aspirations: How does the firm envision its future state of being and measure success.
• Asset flows: Movement of assets from within the firm outside or vice versa; only tradable assets are subjected to movement.
• Asset stocks: Accumulation of both tradable and non-tradable assets. It is difficult for any firm to accumulate pieces of assets and integrate them into an organic whole within a short time period. Thus, asset stocks or lack of asset stocks become a factor for competitive advantage.
• Balanced scorecard: Four factors are taken into consideration while ...