The Difference Between a Company's Strategy and a Company's Business

question 32

Multiple Choice

The difference between a company's strategy and a company's business model is that

• A)a company's strategy is management's game plan for achieving strategic objectives while its business model is management's game plan for achieving financial objectives.
• B)the strategy concerns how to compete successfully and the business model concerns how to operate efficiently.
• C)a company's strategy is management's game plan for realizing the strategic vision, whereas a company's business model is the game plan for accomplishing its corporate responsibility goals.
• D)strategy relates broadly to a company's competitive moves and business approaches while its business model relates to whether the revenues flowing from the strategy are sufficient to cover costs and realize a profit.
• E)a company's strategy is solely concerned with how to please customers while its business model is solely concerned with how to please shareholders.

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Definitions:

Trading

The action of buying, selling, or exchanging goods and services within or across markets.

Cooperation

The process of groups working or acting together for their common/mutual benefit, as opposed to working in competition for selfish benefit.

Natural Gas Prices

The cost for consumers to purchase natural gas, which fluctuates based on factors like supply, demand, weather conditions, and geopolitical events.

Real Terms

Economic metrics or data adjusted for inflation, providing a more accurate comparison over time.