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Chapter 8 Key Terms

Across
Orchestrating value chain activities in which a firm is backwardly integrated but also relies on outside-market firms.
Stand-alone organization created and jointly owned by two or more parent companies.
A company that combines two or more strategic business units under one overarching corporation.
Analyzes possible combinations of existing/new core competencies and existing/new markets.
Stock price of the related diversification firms is valued at greater than the sum of their individual business units.
Corporate planning tool where the corporation is viewed as a portfolio of business units.
Transformation of RM into FG and services along distinct vertical stages.
Long term contract in which a franchisor grants a franchisee the right to use the franchisor's trademark and business processes.
Down
A theoretical framework to explain and predict the boundaries of the firm.
A form of long term contracting in the manufacturing sector that enables firms to commercialize IP.
Changes in an industry value chain that involve moving ownership of activities upstream.
When an agent performing activities on behalf of a principal pursues his or her own interests.
Decision and actions it takes to gain and sustain competitive advantage. Made by senior management.
Corporate strategy in which a firm in several different countries.