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

question 30

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 the business purpose or mission.
• D) strategy relates broadly to a company's competitive moves and business approaches (which may or may not lead to profitability) while its business model relates to whether the revenues and costs flowing from the strategy demonstrate that the business is viable from the standpoint of being able to earn satisfactory profits and returns on investment.
• E) a company's strategy concerns how to please customers while its business model concerns how to please shareholders.

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Definitions:

Standard Deviations

A measure of the amount of variation or dispersion in a set of values, indicating how much the values deviate from the mean.

Null Hypothesis

A statement in statistics that suggests there is no effect or no difference, used as a starting point for hypothesis testing.

ANOVA F Test

A statistical test used to assess whether there are significant differences between the means of multiple groups, based on the F-distribution.

Herd Size

The total number of animals or individuals within a defined group or area.