INSTRUCTOR‘S MANUAL
Instructor Solution Manual For Business Strategy, Development, Application 3rd Edition By Gary Bissonette Chapter 1-15
Chapter 1: What Is Business? Chapter Summary In this chapter, we have described the nature of business and discussed the ways in which businesses create profits and interact with the marketplace in order to meet the needs, wants, and desires of targeted customers. Our discussion focused on the interaction of business as a commercial endeavour, guided by employee interaction and supported by organizational efficiency and structure, which results in the development of a business system and, ultimately, a business model designed to deliver desired goods and services to the marketplace. Utilizing productive resources at their disposal (assets, labour, capital, and managerial acumen), businesses seek to drive a profit from the sale of such goods and services and ensure long-term profitability and growth by continually seeking to make the most efficient use of their resources. While striving for profitability, businesses are being increasingly challenged by customers, and the marketplace at large, to be good corporate citizens, acknowledging their responsibility to act in a socially acceptable manner and respecting the finite nature and scarcity of resources. This new requirement of businesses is resulting in a significant emphasis on resource sustainability and environmental initiatives. To help you to understand why some companies are more successful than others, this chapter‘s focus emphasizes the importance of positioning, and developing and communicating a value proposition to the customer group that a business is trying to attract in a manner that differentiates the business‘s products and services from those of its direct competitors, and that attempts to develop and sustain a competitive advantage in the marketplace. The creation of this value proposition takes into consideration both tangible and intangible benefits that the product or service offers, and looks to determine the extent at which price will become a key decision criterion within the customer‘s purchase decision. The chapter closes with a discussion associated with the importance and interrelationship between strategy and tactics and the need for managers to recognize that in order to be successful, businesses not only have to properly develop a plan for attacking the marketplace, but also must be effective in the implementation of this plan. Bissonette, Business, Strategy, Development, Application, 3rd Edition, ©2020 McGraw-Hill Education 1-1