Exam 5: Environmental Analysis and Strategic Uncertainty

The ideal number of scenarios to work with is three to five.

Scenario analysis provides an alternative to investing in information to reduce uncertainty that is often an expensive and futile process.

A strategic uncertainty should be evaluated with respect to its impact and relevance to future strategy.

of the three components of environmental analysis is internal analysis.

Demographic trends can be a strong indicator of the growth of a market and it can be predictable.

In California, one-half of the state's voters in a 2005 poll supported an aggressive attack on global warming.

key to understanding trends is to interact with people of all types.

has been shown that, on average, increasing marketing budgets in recessions pays off during the recession and after as well.

goals of environmental analysis are to identify fads, trends and events that will only affect strategy in a direct way.

There are two types of scenario analyses: strategy-developing scenarios and decision-driven scenarios.

A new generation of products such as the Boeing 747 would be considered a transformation innovation.

company who wants to gain credit for "green" programs can effectively ensure the ability to do so with _______________.

three forms of innovation are ___________, ___________ and ___________.

Innovations that are transformational or substantial tend to be employed by new participants in an industry rather than established players.

reason to incorporate green programs into strategy or business models is cost savings.