Exploring Management 4th Edition Schermerhorn Solutions Manual

Visit https://testbankfan.com to download the full version and
explore more testbank or solutions manual
Exploring Management 4th Edition Schermerhorn
Solutions Manual
_____ Click the link below to download _____
https://testbankfan.com/product/exploring-management-4th-
edition-schermerhorn-solutions-manual/
Explore and download more testbank or solutions manual at testbankfan.com

Here are some recommended products that we believe you will be
interested in. You can click the link to download.
Exploring Management 4th Edition Schermerhorn Test Bank
https://testbankfan.com/product/exploring-management-4th-edition-
schermerhorn-test-bank/
Exploring Management 5th Edition Schermerhorn Solutions
Manual
schermerhorn-solutions-manual/
Exploring Management 5th Edition Schermerhorn Test Bank
Management Canadian 4th Edition Schermerhorn Test Bank
https://testbankfan.com/product/management-canadian-4th-edition-

Management 13th Edition Schermerhorn Solutions Manual
https://testbankfan.com/product/management-13th-edition-schermerhorn-
solutions-manual/
Management 13th Edition Schermerhorn Test Bank
https://testbankfan.com/product/management-13th-edition-schermerhorn-
test-bank/
Exploring Geology 4th Edition Reynolds Solutions Manual
https://testbankfan.com/product/exploring-geology-4th-edition-
reynolds-solutions-manual/
Management Asia Pacific 6th Edition Schermerhorn Test Bank
https://testbankfan.com/product/management-asia-pacific-6th-edition-
Organizational Behavior 12th Edition Schermerhorn
Solutions Manual
https://testbankfan.com/product/organizational-behavior-12th-edition-
schermerhorn-solutions-manual/

Schermerhorn Exploring Management 4th edition Instructor’s Manual
Copyright © 2014 John Wiley & Sons, Inc. 7-1
CHAPTER 7
Strategy and Strategic Management
Insights and hard work deliver results
Chapter 7 Overview
Each Chapter contains several inset features designed to assist the student reader in applying
the concepts to relevant examples. Management Live illustrates how popular movies
demonstrate management concepts in the chapter. Role Models features a management
professional that illustrates key chapter concepts in a novel, visionary or inspirational way.
Explore Yourself refers students to self assessment activities relevant to concepts in the
chapter. Ethics Check profiles examples of ethical issues in management. Manager's Library
features books that illustrate current events or trends relevant to chapter concepts. Facts to
Consider introduces research or trends that may be used for class discussion in the classroom
or online for distance learning.
Chapter Seven provides a definition of strategy and a review of strategic management and
insights. The chapter explores various levels of strategies, including those for growth, in use
at most organizations. Considerable attention is then devoted to both corporate-level and
business-level strategy formulation. Divestiture and restructuring strategies, used primarily
when an organization runs into difficulties, are reviewed. A brief discussion of firms
pursuing global strategies, cooperative and partnership strategies, and e-business strategies
follows.
This chapter focuses on strategic management and the role that strategy plays in achieving
competitive advantage and maximum organizational performance. The chapter begins by
defining the key terms and concepts in strategic management and describing the strategic
management process. Emphasis is placed on strategy formulation and strategy
implementation. The importance of strategic management for gaining a competitive
advantage is also discussed. This is followed by a discussion of the different levels of
strategies used by an organization. Considerable attention is then devoted to both corporate-
level and business-level strategy formulation. The chapter’s focus then shifts to the process of
strategy implementation, with emphasis being placed on common strategic planning failures
that hinder strategy implementation and the importance and role of strategic leadership.
Next is a review of how managers formulate and implement strategies to accomplish long-
term goals and competitive advantage. The steps of the strategic management process are
defined, along with an explanation of strategy formulation as the basis of organization’s
mission and objectives. A SWOT analysis, tool to analyze company and industry strategy and
competitiveness, details an organization’s internal strengths and weaknesses and external
opportunities and threats is explored further.
Porter’s competitive strategies model and tools to understand the competition position of a
company and challenges within its industry are reviewed. Last is a discussion of strategic
leadership to ensure strategy implementation and control.

Chapter 7 Takeaway Questions
• Takeaway 7.1 What Types of Strategies Are Used by Organizations?
• Takeaway 7.2 How Do Managers Formulate and Implement Strategies?
Chapter 7 Objectives
• To define and explain strategy as a comprehensive plan to achieve competitive
advantage.
• To categorize and explain corporate, business, and functional strategies used within
organizations.
• To understand how organizations expand and the types of growth strategies utilized.
• To explain strategies organizations employ when they run into performance
difficulties.
• To explain the importance of global growth opportunities and ways organizations can
pursue globalization strategies for further growth.
• To explain how cooperative strategies and further cooperation among organizations
create new areas of mutual interest.
• To explain how companies use the internet or e-business strategies for competitive
advantage.
• To decipher between web-based business models.
• To explain how an organization’s mission and objectives becomes a basis for its
strategy formulation.
• To define and explore how a SWOT analysis is used to examine an organization’s
strengths and weaknesses as a basis for developing strategies.
• To review Michael Porter’s models as useful tools in understanding the competitive
position of a company and the challenges within an industry.
• To explain Porter’s competitive strategies model.
• To understand how companies operating multiple businesses selling many different
products utilize a portfolio planning strategic approach.
• To explain the Boston Consulting Group or BCG Matrix.
• To explain the importance of strategic leadership and how to implement strategies.
• To list the responsibilities of a strategic leader.
Chapter 7 Lecture Outline:
• Takeaway 7.1 What Types of Strategies Are Used By Organizations?
o Strategy is a comprehensive plan for achieving competitive advantage
o Organizations use corporate, business, and functional strategies
o Growth strategies focus on expansion.
o Restructuring and divestiture strategies focus on consolidation
o Global strategies focus on international business initiatives
o Cooperative strategies focus on alliances and partnerships
o E-business strategies focus on using the Internet for business success.
• Takeaway 7.2 How Do Managers Formulate and Implement Strategies?
o The strategic management process formulates and implements strategies
o Strategy formulation begins with the organization’s mission and objectives

o SWOT analysis identifies strengths, weaknesses, opportunities, and threats
o Porter’s five forces model examines industry attractiveness
o Porter’s competitive strategies model identifies business or product strategies.
o Portfolio planning examines strategies across multiple businesses or products
o Strategic leadership ensures strategy implementation and control
Chapter 7 Supporting Materials
Figures
• Figure 7.1: What Are the Steps in the Strategic Management Process?
• Figure 7.2: What Does SWOT Analysis Try to Discover?
• Figure 7.3: What Is Porter’s Five Forces Model of Industry Attractiveness?
• Figure 7.4: What are Strategic Options in Porter’s Competitive Strategies Model?
• Figure 7.5: Why is the BCG Matrix Useful in Strategic Planning?
Thematic Boxes and More
• Management Live: Critical Thinking and Tron: Legacy
• Role Models: Wendy Kopp Tackles the Culture of Low Achievement
• Ethics Check: Life and Death at an Outsourcing Factory
• Facts to Consider: Disposable Workers Are Indispensible to Business Profits
• Manager’s Library: Rebooting Work Transform How Your Work in the Age of
Entrepreneurship by Maynard Webb
• Explore Yourself: Critical Thinking
• Tips to Remember: Key Operating Objectives of Organizations
• Find Inspiration: Climbing High With Patagonia, Inc.
• Table 7.1 Web-Based Business Models
Applications
• TestPrep 7 Multiple-Choice Questions
• Skill Building Portfolio
o Self-Assessment 7: Handling Facts and Inferences
o Class Exercise 7: Strategic Scenarios
o Team Project 7: Contrasting Strategies
o Hot Topic: Pro and Con Debate: How about a “double Irish” with a “Dutch
sandwich”?
• Case Snapshot: Dunkin’ Donuts – Growth Feeds a Sweet Tooth
• Sidebar case: Jamba Juice Blends for Fruitful Growth
Chapter Outline:
Takeaway 7.1: What Types of Strategies Are Used by Organizations?
• Strategy is a comprehensive plan for achieving competitive advantage
✓ A strategy is a comprehensive action plan that identifies long-term direction for
an organization and guides resource utilization to accomplish its goals
✓ “Best guess” about what to do to be successful in the face of rivalry and changing
conditions
✓ Strategic intent is a unifying target or goal

✓ Competitive advantage is an “edge” or method of operations that allows an
organization to outperform rivals
➢ Sustainable Competitive Advantage is a way of operating that is difficult to
imitate
• Organizations use corporate, business and functional strategies
✓ Corporate strategy provides direction and guides resource allocations as a whole
✓ Business strategy provides direction and guides resource allocations for an
individual unit or division within a larger enterprise
✓ Functional strategy guides activities to implement strategies at a detail or
specific operations level
➢ Such as Marketing, Finance, Manufacturing, Marketing, and Human
Resources
• Growth strategies focus on expansion
✓ Growth strategies are those designed to increase the size of current operations
➢ Concentration strategies focus on an existing business area
➢ Diversification strategies focus on entering new business areas
o Related – similar or complementary business areas
o Unrelated – entirely new business areas
o Vertical integration - acquire suppliers (backward) or customers
(forward)
• Role Models: Wendy KoppTackles the Culture of Low Achievement
In an undergraduate thesis at Princeton University, Wendy Kopp, founder of Teach for
America, proposed the creation of her nonprofit. Her strategy included “eliminating
education inequities,” by providing excellent education for kids in low-income
communities. Her goal: to help children growing up in poverty beat the culture of low
achievement. In “What’s the Lesson Here,” students can discuss Kopp’s vision for social
change and the lessons for organizations on the link between vision and strategy. Lastly,
the question of how a leader of a business can gain high levels of employee commitment
to a strategy.
• Restructuring and divestiture strategies focus on consolidation
✓ A retrenchment strategy seeks to correct weaknesses by making radical changes
to current ways of operating
➢ Liquidation – when a business closes and sells is assets to pay creditors
✓ A restructuring strategy seeks to correct weaknesses by reducing the scale or
mix of operations
➢ Chapter 11 bankruptcy - protects an organization from creditors as it re-
organizes in an attempt to restore solvency.
✓ Downsizing seeks to decrease the size of operations
✓ Divestiture sells off parts of the organization to refocus attention on core business
areas
• Explore Yourself: Critical Thinking
Critical thinking is a “must-have” for success in strategic management. It enables you to
perceive problems, hone in on their more essential aspects, gather and interpret useful
information, and make good decisions in complex conditions. Unfortunately, critical
thinking can become blurred without the luxury of full information for analysis,
common in today’s work environment with its many uncertainties.

Encourage students to take the self-assessment on “Handling Facts and Interferences” in
the Skill Building Portfolio. Consider asking students about whether they are able to
distinguish “facts” from “interferences” when answering questions.
• Global strategies focus on international business initiatives
✓ Globalization strategy adopts standardized products and advertising for
worldwide use
➢ Gillette razors
✓ Multidomestic strategy customizes products and advertising to meet local
cultural needs
➢ Proctor & Gamble consumer products
✓ Transnational strategy seeks efficiencies of global operations with attention to
local markets
➢ Ford, Sony
• Ethics Check: Life and Death at an Outsourcing Factory
➢ The sight of netting outside the dormitories of Foxconn factories is sobering when
you learn that it was installed to prevent suicides of workers who lose hope and
jump off the dormitory roof. What responsibility do employers have to make sure
workers not only have safe working conditions, but work that has meaning with a
sense of accomplishment and hope of a better future? What responsibility do U.S
companies such as Apple, Dell and HP have to make sure Foxconn remedies
conditions that lead workers to suicide? How about us as consumers? Do we have
a responsibility? Would you alter your consumption habits?
• Cooperation Strategies focus on alliances and partnerships
✓ Strategic alliances - two or more organizations create a partnership to pursue an
area of mutual interest or strengthen competitive advantage.
➢ Airlines often create strategic alliances with foreign airlines to facilitate
easier foreign travel ticketing for travelers and create a competitive
advantage for the airlines.
➢ Supplier alliances - suppliers have preferred relationships with others in
the supply chain to facilitate smooth flow of supplies.
➢ Distribution alliances - firms cooperate for product/service sales and
distribution.
✓ Co-opetition - competitors share information or technology with the intent of
creating a larger market for both
✓ IBM and Red Hat cooperate on some aspects of Linux development
• E-business strategies focus on using the internet to gain competitive advantage
➢ B2B – business to business; uses web portals and IT to link organizations
vertically in supply chains
✓ B2C – business to customers; uses web portals and IT to link
organizations with customers
✓ Social media strategy -social media is used to engage customers and
other external groups
✓ Crowdsourcing - social media strategy that becomes an interactive idea
exchange with customers.
Table 7.1 summarizes the types of web-based business models

✓ Advertising model
✓ Brokerage model
✓ Community model
✓ Freemium model
✓ Infomediary model
✓ Merchant model
✓ Referral model
✓ Subscription model
• Manager’s Library: Rebooting Work: Transform How You Work in the Age of
Entrepreneurship by Maynard Webb
The book is a practical guide to navigating the new era of what many call
the “entrepreneurial workplace.” Described is the decline of age-old face-
to-face workplace mentoring relationships between senior managers and
their juniors. Reasons include technology, shorter, more temporary work
contracts, flatter organizations resulting in fewer middle-level managers.
Although mentoring has gone by the wayside, the author’s message is to
find and access mentors on your own.
The “Reflect and React: questions ask: Does the notion of entrepreneurial
workplace seem to describe the career settings ahead for you? How about
the mentoring strategy? If you don’t have a mentor, and your employer
isn’t helpful in finding you one, how can you get yourself one? Can
mentoring work as well online as face-to-face?
7.1 Questions for discussion Suggested Answers
1) With things changing so fast today, is it really possible for a business to achieve
“sustainable” competitive advantage?
It is much more difficult to sustain an advantage today, with the speed of change
and technology. However, companies can create a sustainable culture than allows a
sustainable advantage through ongoing commitments to innovation and continuous
improvement. Examples are Apple, 3M, Proctor and Gamble, Toyota, and many
other companies.
2) Why is growth such a popular business strategy?
Growth is popular because so many owners and investors desire growth in their
returns on capital. Additionally, American culture in particular is growth-oriented
compared to other cultures.
3) Is it good news or bad news for investors when a business announces that it is
restructuring?
Usually restructuring plans are treated as “good news” for investors. The reason
for this is that such plans are usually developed when a company is experiencing
financial difficulties or sales are slowing, etc. The restructuring plan sends a signal
to the market and investors that management is addressing issues and has a plan in
place for improving results.

Takeaway 7.2 How Do Managers Formulate and Implement Strategies?
• The strategic management process formulates and implements strategies
✓ Strategic management is the process of formulating and implementing strategies
to accomplish long-term goals and sustain competitive advantage
✓ Strategy formulation is the process of creating strategies
✓ Strategy implementation is the process of putting strategies into action
• See Figure 7.1 for a description of the steps in the management process
✓ Review current situation
✓ Analyze organization and external environment
✓ Develop new strategies
✓ Implement strategies
✓ Evaluate results
• Strategy formulation begins with the organization's mission and objectives
✓ Mission is the organization’s reason for existence or purpose
✓ Operating objectives are specific short-term results that organizations try to
achieve
• SWOT analysis examines strengths, weaknesses, opportunities, and threats
✓ SWOT analysis is a tool used in strategic planning to determine the current status
of the organization
➢ Internal assessment of the organizational strengths and weaknesses
➢ External assessment of environmental opportunities and threats
✓ See Figure 7.2 for a depiction of SWOT analysis
➢ Internal Assessment of the Organization includes its: strengths and
weaknesses
➢ External assessment of the organization includes its: weaknesses,
opportunities, and threats
✓ Core competency is a special strength that gives and organization a competitive
advantage
DISCUSSION TOPIC
To prompt a lively discussion, engage the students in a SWOT analysis of your college or
university. They will typically have a lot of opinions ⎯ some quite insightful ⎯ about the
strengths and weakness of the institution. They are likely to be less well informed about the
opportunities and threats that exist in your institution’s external environment.
This activity provides students with a real-life application of SWOT analysis that will help
them to better understand how to use this analytical tool.
• Tips to Remember : Key Operating Objectives of Organizations
• Profits
• Cost efficiency
• Market share
• Product quality

• Talented workforce
• Innovation
• Social responsibility
• Sustainability
• Porter’s five forces model examines industry attractiveness
✓ Figure 7.3 illustrates the five forces model which include competitors, new
entrants, suppliers, customers and substitutes
➢ Bargaining power of suppliers
➢ Bargaining power of customers
➢ Threat of new entrants to industry
➢ Threat of substitute products
✓ Unattractive industry – intense rivalry, easy entry, substitute products, powerful
suppliers and customers
✓ Attractive industry – low rivalry, barriers to entry, few or no substitute products,
weak supplier and customer power
• Porter’s competitive strategies model examines business or product strategies
✓ A differentiation strategy seeks competitive advantage seeks competitive
advantage through uniqueness
✓ A cost leadership strategy seeks competitive advantage through operating with
lower costs than competitors
✓ A focused differentiation strategy seeks competitive advantage through
concentration on one special market segment and offering a unique product to that
segment’s customers
✓ A focused cost leadership strategy seeks competitive advantage through
concentration on one special market segment and being the low cost provider to
that market segment’s customers
✓ See Figure 7.4 for a depiction of competitive strategies model in the soft drink
industry
✓ What is the market scope – broad or narrow?
✓ What is the expected source of competitive advantage – lower price or
product uniqueness?
✓ The four combinations of answers result in:
➢ Differentiation
➢ Cost leadership
➢ Focused differentiation
➢ Focused cost leadership strategies
DISCUSSION TOPIC
If you used the Discussion Topic regarding a SWOT analysis of your college or university,
you can continue with that scenario in this Discussion Topic. Have the students discuss which
of Porter’s generic strategies that your college or university uses. Make sure that the students
fully explain their reasoning.
• Portfolio planning examines strategies across multiple businesses or products
✓ Useful for companies that operates a variety of businesses

✓ BCG matrix analysis is a planning tool for such companies
✓ See Figure 7.5 for a depiction of the BCG matrix approach
➢ Stars - high market share in high growth markets
➢ Cash cows - high market share in low growth markets
➢ Question marks - low market share in high growth markets
➢ Dogs - low market share in low growth markets
• Find Inspiration: Climbing High with Patagonia, Inc.
✓ Patagonia is a strategic success story anchored to its mission of: “building the
best product, cause no unnecessary harm, use business to inspire and implement
solutions to the environmental crisis.” Patagonia is one of the first companies to
file papers to become a benefit corporation, which means that its policies will
always “create a material positive impact on society and the environment.”
• Strategic leadership ensures strategy implementation and control
✓ Requires good organization structures and cultures, and the right staffing
✓ Strategic leadership - the capability to inspire people to successfully engage in a
process of continuous change, performance enhancement, and implementation of
organizational strategies
✓ Strategic control - responsibility of top managers to keep in touch with strategy,
how well it is being implemented and if it needs to be changed to be more
effective in accomplishing the mission
✓ A strategic leader has to:
➢ Be a guardian of trade-offs
➢ Create a sense of urgency
➢ Make sure that everyone understands the strategy
➢ Be a teacher
➢ Be a great communicator
DISCUSSION TOPIC
Ask students to pick an industry and find examples of companies that seem to be using
strategic control as opposed to those who are not. Discuss these in light of the corporate
bailouts being sought by corporations vs. those who are not.
✓ Facts to Consider: Disposable Workers Are Indispensible to Business
Profits
➢ Northwestern University economist, Robert Gordon, proclaims that we are
now in the era of disposable workers. Businesses seem enamored with the idea
of hiring less full-timers and more part-time or temporary workers that can be
added and let go according to demand, or on a “pay-as-needed approach.” The
“Your Thoughts” section poses questions about whether the switch to more
disposable workers is a good long-term strategy for businesses and other
organizations and the downsides to remaining employees. Discuss with
students how this trend may impact them and whether it is something they
have factored into their career plan.
✓ Strategic Leadership Responsibilities:
➢ A strategic leader has to be the guardian of trade-offs
➢ A strategic leader needs to create a sense of urgency
➢ A strategic leader must make sure that everyone understands the strategy
➢ A strategic leader must be a teacher

7.2 Questions for discussion Suggested Answers
1) Can an organization have a good strategy but a poor sense of mission?
Yes, a strategy answers the question “how” we will succeed; the mission says
“what” the purpose of the organization is. If a company has a poorly written
mission statement that allows for a “jack of all trades” business definition, the
company may attempt to become a conglomerate and fail, or perform with
mediocrity, even though the strategies in each separate business/ market may be
sound. On the other hand, a company may see its mission as very narrowly defined
and miss out on opportunities for growth or adaptation.
2) Would a monopoly receive a perfect score for industry attractiveness in Porter’s five
forces model?
Monopolies would be very close and may receive a perfect score. The only area
where this may be less than perfect is the power of suppliers. Even a monopoly must
rely on suppliers. Unless the monopoly happens to also be the sole customer for the
supplier’s products (unlikely for most resources), then that aspect would make the
“score” less than perfect.
3) Does the BCG Matrix oversimplify a complex strategic management problem?
Yes, the BCG matrix oversimplifies strategic positions and strategic planning. It
offers a “formula” approach and may lead to abandoning a business that may yield
very high returns if management attention is focused on the business in question.
Very few companies use the BCG matrix; it was popular in the 1970’s when
conglomerates were in vogue.
Teaching Notes
In this section, ideas, exercises, and assignments are provided to assist you in integrating the
concepts in Exploring Management for your students, especially the special features of the
text.
Management Live: Critical Thinking and Tron: Legacy
Tron: Legacy creates a virtual world within a video game with few instructions. You don't
have to wander very far off that premise to draw a strong parallel between a lawless
cyberworld and the global environment managers operate in today. Managers need strong
strategic skills to compete in a confusing global economy with the goal of survival.
Critical thinking is mentioned as the most important skill, allowing us to accumulate relevant
information, prioritize goals, and develop strategies for success. Students can gain critical
thinking skills through case studies provided in the book, but only if they go beyond finding
the right vocabulary. They need to thoroughly apply the concepts and develop a winning
strategy.
Facts to Consider:
Disposable Workers Are Becoming Indispensible to Business Profits
Northwestern University economist, Robert Gordon, proclaims that we are now in the era of
disposable workers. Businesses seem enamored with the idea of hiring less full-timers and

more part-time or temporary workers that can be added and let go according to demand, or on
a “pay-as-needed approach.” The “Your Thoughts” section poses questions about whether the
switch to more disposable workers is a good long-term strategy for businesses and other
organizations and the downsides to remaining employees. Discuss with students how this
trend may impact them and whether it is something they have factored into their career plan.
Role Models: Wendy Kopp Tackles the Culture of Low Achievement
In an undergraduate thesis at Princeton University, Wendy Kopp, founder of Teach for
America, proposed the creation of her nonprofit. Her strategy included “eliminating
education inequities,” by providing excellent education for kids in low-income communities.
Her goal: to help children growing up in poverty beat the culture of low achievement.
In “What’s the Lesson Here,” students can discuss Kopp’s vision for social change and the
lessons for organizations on the link between vision and strategy. Lastly, the question of how
a leader of a business can gain high levels of employee commitment to a strategy.
Find Inspiration: Climbing High with Patagonia
Patagonia is a strategic success story anchored to its mission of: “building the best product,
cause no unnecessary harm, use business to inspire and implement solutions to the
environmental crisis.” Patagonia is one of the first companies to file papers to become a
benefit corporation, which means that its policies will always “create a material positive
impact on society and the environment.”
Manager's Library: Rebooting Work: Transform How You Work in the Age
of Entrepreneurship by Maynard Webb
The book is a practical guide to navigating the new era of what many call the “entrepreneurial
workplace.” Described is the decline of age-old face-to-face workplace mentoring
relationships between senior managers and their juniors. Reasons include technology, shorter,
more temporary work contracts, flatter organizations resulting in fewer middle-level
managers. Although mentoring has gone by the wayside, the author’s message is to find and
access mentors on your own.
The “Reflect and React: questions ask: Does the notion of entrepreneurial workplace seem to
describe the career settings ahead for you? How about the mentoring strategy? If you don’t
have a mentor, and your employer isn’t helpful in finding you
Ethics Check: Life and Death at an Outsourcing Factory
The sight of netting outside the dormitories of Foxconn factories is sobering when you learn
that it was installed to prevent suicides of workers who lose hope and jump off the dormitory
roof. What responsibility do employers have to make sure workers not only have safe
working conditions, but work that has meaning with a sense of accomplishment and hope of a
better future? What responsibility do U.S companies such as Apple, Dell and HP have to
make sure Foxconn remedies conditions that lead workers to suicide? How about us as
consumers? Do we have a responsibility? Would you alter your consumption habits?

one, how can you get yourself one? Can mentoring work as well online as face-to-face?
Explore Yourself: Critical Thinking
Critical thinking is a “must-have” for success in strategic management. It enables you to
perceive problems, hone in on their more essential aspects, gather and interpret useful
information, and make good decisions in complex conditions. Unfortunately, critical thinking
can become blurred without the luxury of full information for analysis, common in today’s
work environment with its many uncertainties.
The assessment for this Chapter is entitled “Facts and inferences”. The assessment tool is
intended to help students assess their ability to distinguish facts from inferences, an important
trait for a manager participating in the planning process.
For extended learning, students may discuss how perception of facts and inferences influence
strategic management. For example, what role does personal perception of facts influence the
establishment of mission or a SWOT analysis?
Hot Topic: Pro and Con Debate: How about a “double Irish” with a
“Dutch sandwich”?
No, it’s not a drink and a sandwich we’re talking about. It’s a global business strategy used to
reduce corporate income taxes in America. Ireland offers corporations that put offices and
plants there a 12.5% corporate tax rate. That compares with the standards 40% rate due at
home. If you set up two Irish companies and arrange to funnel foreign earnings through them
– the double Irish move – you pay the lesser tax bill. When it comes to managing a global
business, it requires crucial knowledge of tax laws, which vary widely from country to
country. Ask students if they would be able to execute a double Irish with a Dutch sandwich.
Career Situation: What Would You Do?
A neighborhood business association has this set of members: coffee shop, bookstore,
drugstore, dress shop, hardware store, and bicycle shop. The owners of these businesses are
interested in how they might “cooperate” for better success. As a business consultant to the
association, what would you propose as possible strategic alliances that would join sets of
these businesses together for mutual gain?
For some years now, you’ve owned a small specialty bookshop in a college town. You sell
some textbooks but mainly cater to a broader customer base. The store always stocks the
latest fiction, nonfiction, and children’s books. Recent numbers show a steep decline in sales,
including books that would normally be considered best sellers. You suspect this is because
of the growing popularity of e-books and e-readers such as the Amazon Kindle and Barnes &
Noble Nook. Some of your friends say it’s time to close up because your market is dying. Is it
hopeless or is there a business strategy that might save you?
Skill Building Portfolio
Terms to Define:

B2B business strategy
B2C business strategy
BCG Matrix
Business strategy
Chapter 11 bankruptcy
Competitive advantage
Concentration
Co-opetition
Core competencies
Corporate strategy
Cost leadership strategy
Crowdsourcing
Differentiation strategy
Diversification
Divestiture
Downsizing
E-business strategy
Focused cost leadership strategy
Focused differentiation strategy
Functional strategy
Globalization strategy
Growth strategy
Liquidation
Mission
Operating objectives
Restructuring
Retrenchment strategy
Social media strategy
Strategic alliance
Strategic control
Strategic intent
Strategic leadership
Strategic management
Strategy
Strategy formulation
Strategy implementation
Sustainable competitive advantage
SWOT analysis
Transnational firm
Vertical integration

TestPrep 7: Multiple-Choice Questions
1. Which is the best question to ask when starting the strategic management process?
(a)“What is our mission?”
(b)“How well are we currently doing?”
(c)“How can we get where we want to be?”
(d)“Why aren’t we doing better?”
2. The ability of a firm to consistently outperform its rivals is called ___________
(a)vertical integration
(b)competitive advantage
(c)strategic intent
(d)core competency
3. General Electric is a complex conglomerate that owns many firms operating in very
different industries. The strategies pursued for each of these units within GE would best
be called __________level strategies.
(a)corporate
(b)business
(c)functional
(d)transnational
4. An organization that is downsizing by cutting staff to reduce costs can be described as
pursuing a _________strategy.
(a)liquidation
(b)divestiture
(c)retrenchment
(d)stability
5. When you buy music downloads online, the firm selling them to you is engaging in which
type of e-business strategy?
(a)B2C
(b)B2B
(c)infomediary
(d)crowdsourcing
6. The alliances that link together firms in supply chain management relationships are examples
of how businesses try to use ____________strategies.
(a)B2C
(b)growth
(c)cooperation
(d)concentration
7. Among the global strategies that international businesses might pursue, the
_________strategy most directly tries to tailor products to fit local needs and cultures in

different countries.
(a)concentration
(b)globalization
(c)transnational
(d)multidomestic
8. If Google’s top management were to announce that the firm was going to buy Federal
Express, this would indicate a growth strategy of .____________
(a)diversification
(b)concentration
(c)horizontal integration
(d)vertical integration
9. ___________are special strengths that an organization has or does exceptionally well and
that help it outperform competitors.
(a)Core competencies
(b)Strategies
(c)Alliances
(d)Operating objectives
10. A ________in the BCG Matrix would have a high market share in a low-growth market.
(a)dog
(b)cash cow
(c)question mark
(d)star
11. In Porter’s five forces model, which of the following conditions is most favorable from the
standpoint of industry attractiveness?
(a)many competitive rivals
(b)many substitute products
(c)low bargaining power of suppliers
(d)few barriers to entry
12. The two questions asked by Porter to identify the correct competitive strategy for a business
or product line are: 1—What is the market scope?
2—What is the __________ ?
(a)market share
(b)source of competitive advantage
(c)core competency
(d)industry attractiveness
13. When Coke and Pepsi spend millions on ads trying to convince customers that their products
are unique, they are pursuing a ______________strategy.
(a)transnational

(b)concentration
(c)diversification
(d)differentiation
14. A firm that wants to compete with rivals by selling a very-low priced product in a broad
market would need to successfully implement a ________________ strategy.
(a) retrenchment
(b) differentiation
(c) cost leadership
(d) diversification
15. In addition to focusing on strategy implementation and strategic control, the responsibility
for strategic leadership of an organization involves success with _________________.
(a)motivating a disposable workforce
(b)the process of continuous change
(c)Chapter 11 bankruptcy
(d)growth by liquidation
Short-Response Questions:
16. What is the difference between corporate strategy and functional strategy?
A corporate strategy sets long-term direction for an enterprise as a whole. Functional
strategies set directions so that business functions such as marketing and manufacturing
support the overall corporate strategy. A corporate strategy sets long-term direction for an
enterprise as a whole. Functional strategies set directions so that business functions such
as marketing and manufacturing support the overall corporate strategy.
17. Why is a cost leadership strategy so important when one wants to sell products at lower prices
than competitors?
If you want to sell at lower prices than competitors and still make a profit, you have to
have lower operating costs (profit 3 revenues 5 costs). Also, you have to be able to operate
at lower costs in ways that are hard for your competitors to copy. This is the point of a cost
leadership strategy—always seeking ways to lower costs and operate with greater
efficiency than anyone else.
18. What strategy should be pursued for a “question mark” in the BCG Matrix, and why?
A question mark in the BCG matrix has a low market share in a high growth industry.
This means that there is a lot of upside potential, but for now it is uncertain whether or not
you will be able to capitalize on it. Thus, hard thinking is required. If you are confident,
the recommended strategy is growth; if you aren’t, it would be retrenchment, to allow
resources to be deployed into more promising opportunities.

19. What is strategic leadership?
Strategic leadership is the ability to enthuse people to participate in continuous change,
performance enhancement, and the implementation of organizational strategies. The
special qualities of the successful strategic leader include the ability to make tradeoffs,
create a sense of urgency, communicate the strategy, and engage others in continuous
learning about the strategy and its performance responsibilities.
Integration and Application Questions:
Integration and Application Question
20. Kim Harris owns and operates a small retail store, selling the outdoor clothing of an
American manufacturer to a predominantly college-student market. Lately, a large
department store outside of town has started selling similar but lower-priced clothing
manufactured in China, Thailand, and Bangladesh. Kim is starting to lose business to this
store. She has asked your instructor to have a student team analyze the situation and propose
some strategic alternatives to best deal with this threat. You are on the team.
Questions: Why would a SWOT analysis be helpful in addressing Kim’s strategic management
problem? How could Porter’s competitive strategies model be helpful as well?
A SWOT analysis is useful during strategic planning. It involves the analysis of
organizational strengths and weaknesses, and of environmental opportunities and threats.
Such a SWOT analysis in this case would help frame Kim’s thinking about the current
and future positioning of her store, particularly in respect to possible core competencies
and competitive opportunities and threats. Then she can use Porter’s competitive strategy
model for further strategic refinements. This involves the possible use of three alternative
strategies: differentiation, cost leadership, and focus. In this situation, the larger
department store seems better positioned to follow the cost leadership strategy. This means
that Kim may want to consider the other two alternatives. A differentiation strategy would
involve trying to distinguish Kim’s products from those of the larger store. This might
involve a “made in America” theme or an emphasis on leather or canvas or some other
type of clothing material. A focus strategy might specifically target college students and try
to respond to their tastes and needs rather than those of the larger community population.
This might involve special orders and other types of individualized service for the college
student market.
Self-Assessment 7: Handling Facts and Inferences
Instructions
1. Read the following report.
A well-liked college instructor had just completed making up the final examination and
had turned off the lights in the office. Just then a tall, broad figure with dark glasses
appeared and demanded the examination. The professor opened the drawer.
Everything in the drawer was picked up, and the individual ran down the corridor. The

president was notified immediately.
2. Indicate whether you think the following observations are true (T), false (F), or doubtful in
that it may be either true or false (?). Judge each observation in order. Do not reread the
observations after you have indicated your judgment, and do not change any of your answers.
1. The thief was tall, broad, and wore dark glasses.
2. The professor turned off the lights.
3. A tall figure demanded the examination.
4. The examination was picked up by someone.
5. The examination was picked up by the professor.
6. A tall, broad figure appeared after the professor turned off the lights in the office.
7. The man who opened the drawer was the professor.
8. The professor ran down the corridor.
9. The drawer was never actually opened.
10. Three persons are referred to in this report.
Scoring
The correct answers in reverse order (starting with 10) are: ?, F, ?, ?, T, ?, ?, T, T, ?.
Interpretation
To begin, ask yourself if there was a difference between your answers and the correct ones. If
so, why? Why do you think people, individually or in groups, may answer these questions
incorrectly? Good planning depends on good decision making by the people doing the
planning. Being able to distinguish “facts” and understand one’s “inferences” are important
steps toward improving the planning process. Involving others to help do the same can
frequently assist in this process.
Class Exercise 7: Strategic Scenarios
Preparation
In today’s turbulent economic climate, it is no longer safe to assume that an organization that
was highly successful yesterday will continue to be so tomorrow—or that it will even be in
existence. Changing times exact the best from strategic planners. Think about the situations
currently facing the following well-known organizations. Think, too, about the futures they may
face.
McDonald’s Ford Sony
Apple Computer Nordstrom United Airlines
Yahoo! National Public Radio AT&T
Ann Taylor The New York Times Federal Express
Instructions
Form into groups as assigned by your instructor. Choose one or more organizations from the
prior list (or as assigned) and answer the following questions for the organization:
1. What in the future might seriously threaten the success, perhaps the very existence, of this
organization? As a group, develop at least three such future scenarios.

2. Estimate the probability (0 to 100%) of each future scenario occurring.
3. Develop a strategy for each scenario that will enable the organization to successfully deal
with it.
4. Thoroughly discuss these questions within the group and arrive at your best possible
consensus answers. Be prepared to share and defend your answers in general class discussion.
Team Project 7: Contrasting Strategies
Starbucks is the dominant name among coffee kiosks—how does Dunkin Donuts compete?
Google has become the world’s search engine of choice—can Bing ever catch up? Does it make
a difference to you whether you shop for books at Amazon or Barnes & Noble, or buy gasoline
from BP, Shell, or the local convenience store?
Question
How do organizations in the same industry fare when they pursue somewhat or very different
strategies?
Instructions
1. Look up recent news reports and analyst summaries for each of the following organizations:
Coach and Kate Spade . . . Southwest Airlines and Delta Airlines . . . New York Times and
USA Today . . . UnderArmour and Lululemon . . . National Public Radio and Sirius Satellite
Radio. . . Coca-Cola and PepsiCo
2. Use this information to write a short description of the strategies that each seems to be
following in the quest for performance success.
3. Compare the strategies for each organizational pair, with the goal of identifying whether or not
one organization has a strategic advantage in the industry.
4. Try to identify other pairs of organizations and do similar strategic comparisons for them.
5. Prepare a summary report highlighting (a) the strategy comparisons and (b) those
organizations whose strategies seem best positioned for competitive advantage.
Cases for Critical Thinking
Dunkin Donuts – Growth Feeds a Sweet Tooth
Sidebar: Jamba Juice Blends for Fruitful Growth
Long before Starbucks was even a glimmer in anyone’s entrepreneurial mind, Dunkin’ Donuts
was a well-known chain of coffee shops in the Northeast. Today, Dunkin’ Donuts is a global
player quickly expanding its food and coffee menus to ride the wave of fresh trends appealing to
a generation of more health-conscious customers. It’s a highly competitive industry and change
is constantly on its menu. With Starbucks rethinking its positioning strategy and McDonald’s
offering a great tasting coffee at a reasonable price, Dunkin’ Donuts is hoping that careful
strategic planning will keep its customers “Runnin on Dunkin.”
Case discussion questions and suggested answers:

1. DISCUSSION
What does a Porter’s Five Forces analysis reveal about the industry in which Dunkin’
Donuts and Starbucks compete? What are the strategic implications for Dunkin’ Donuts?
Porter's Five Forces model analyzes factors that influence a specific industry to help
managers understand its competitive factors. An analysis of the factors would seem to
indicate that the industry is very competitive and competitive advantages can be very
quickly copied. The Five Factors as they apply to Dunkin’ Donuts and Starbucks might
include:
• New entrants - Dunkin’ and Starbucks sell breakfast beverages and pastries in an
effort to expand its breakfast menu. Competition includes expansion by similar
regional companies like Caribou Coffee and McDonald’s whose offerings include
premium coffee.
• Customers - the bargaining power of buyers is very influential to the industry. The
current recession has resulted in the closing of hundreds of Starbucks locations,
while relatively few of the franchised Dunkin’ Donuts have closed.
• Substitute products - the large number of substitute beverages and breakfast
alternatives makes this a huge factor in the industry.
• Suppliers - occasionally the supply of coffee beans is limited, driving up the cost of
the beverage.
• Industry competition - Starbucks and other regional coffee shops; convenience
stores like 7-Eleven and Circle K; fast food restaurants like McDonald’s and
Burger King.
2. DISCUSSION:
Discuss the pros and cons of Jamba Juice’s expansion strategy and how it compares to that of
Dunkin’ Donuts. What similarities are there between the two companies in terms of their
growth strategies? Discuss.
Pros of Jamba’s expansion strategy:
• The company has expanded beyond just a maker of smoothies to a active/healthy
lifestyle brand.
• It has refocused on franchising, consumer packaged goods (CPG), and Jamba GO
stations at various venues, to facilitate further expansion.
• Expanded menu items: Its product variety includes whole fruit smoothies, squeezed
juices, hot oatmeal, breakfast wraps, bistro sandwiches, mini-wraps, California
Flatbreads, frozen yogurt, and various baked goods and snacks. The company has also
expanded its menu to include vegan and vegetarian options.
• Jamba’s presence in various venues: JambaGo Express is a smoothie concept created
to facilitate the company’s brand presence into venues where healthier, quick serve
options are part of the menu offering. This includes K-12 schools, universities, college
campuses, convenience stores and delis.
• Franchise business model (an asset light business model) was a clever way to raise
cash. It was far less capital intensive. It also improved the company’s balance sheet.

Exploring the Variety of Random
Documents with Different Content

I have learned that truth alone shall stand,
And the Kingdom of God fill every land.
I have seen that Kingdom rolling along,
And taking its seat 'mid the mountains strong;
While the nations wondered, but could not tell
To what these wondrous things would swell.
I have wandered far, over land and sea,
To proclaim to the world its destiny—
To cry to the nations, repent and live,
And be ready the bridegroom to receive.
[Footnote] *An American soldier, of the Mormon Battalion,
discovered the gold mines in California in 1847.
I have wandered far—I have wandered wide,
From Maine to the wild Missouri's tide;
And over the Atlantic's sea-girt isles
Full many a weary thousand miles.
I have trampled the desert's burning sands
And the snow-clad mountains of unknown lands.
'Mid the crystal waters of Deseret
I have pulled the oar and cast the net.
I have climbed the steeps 'mid the golden ore,
And roamed o'er the lone Pacific shore.
I have ploughed its bosom many a day
To visit the nations far away.
I have stood on Chili's distant shore,
Where the Polar Star is seen no more.
I have gazed on the Andes' heights of snow,
And roamed 'mid the flowery plains below.
I have toiled with the great in freedom's cause,
And assisted to give to a State its laws.
I have lain in a dungeon, bound in chains,
And been honored in Courts where Justice reigns.
In a thousand joys, and a thousand fears
I have struggled on through my fifty years.

And now, by the law of God, I am free;
I will seek to enjoy my Jubilee.
I will hie me home, to my mountain dell,
And will say to the "Christian" world—farewell!
I have served ye long—; 'twas a thankless task;
To retire in peace is all I ask.
Another fifty years will fully prove
Our message true, and all our motives love.
Then shall an humble world in reverence bow,
And hail the Prophets so rejected now.
Kings shall revere, and nations incense bring
To Zion's temple and to Zion's King.
I shall be there and celebrate the day
'Till twice ten fifties shall have passed away.
A RESPONSE TO P. P. PRATT'S "FIFTIETH YEAR"
BY JOHN TAYLOR
Thou art "fifty years old"—I am glad to see
That thou now canst hope for a Jubilee.
Go rest thee, my friend, for weary and long
Thou hast faithfully striven with a wayward throng;
With a world environed with error's chain
Thou hast wrestled and struggled, but not in vain.
On thy native shore and on foreign land
Thou hast battled for truth with a master hand,
And their cities, and towns, and hamlets have rung
With the sound of truth, with the voice of song,
And thousands in Zion do now rejoice,
Who've read thy works or heard thy voice,
And millions have seen thy bosom swell
With celestial truths thou lov'st so well.

Let drivelling sycophants bow the knee
To that chameleon shrine, popularity,
And with honey'd lips, bound with mammon's spell
And with wheedling, whining, canting tongue,
Daub o'er the deeds of a hellish throng.
'Twas thine the mask from their loathsome face
To rend, and exhibit their foul disgrace.
Thou hast grappled with sages in error rife,
Thou hast taught to the erring the way of life;
With flaming words and a burning pen
Thou hast bearded gaunt priestcraft in his den,
And said Baal's grizzly priests, avaunt!
I dare you in your dark, ghastly haunt.
And the canting, craving minions fled
At the truths thou penned and the words thou said.
With Elijah's faith and Elijah's rod,
Thou despised their power and defied their god,
And made the canting hirelings cower
Beneath the truth's keen withering power.
Thou show'd them their systems were doom'd to fall
That "Upharsin" was written on Babel's wall.
Thou hast spent 'midst their hordes a busy life;
Thou art leaving the den of their Babel strife.
Let others know now 'mid the nations roam,
And hie thee away to thy mountain home.
If, sleeping at night, the weary may
Forget the cares and toils of day;
And if by God to man is given
A day of rest in every seven;
If the pledged possession could be restored,
On the grand release by Jehovah's word;
If the debtor's bonds could then be broke,
And the slave be freed from a master's yoke,
And the very land a partaker be

Of the general jubilant Jubilee;
If all bonds were broken on that day,
And chains and manacles thrown away;
If throughout the land, by every tongue,
All joined in the joyous Jubilee song;
If debtors and slaves and earth were free,
Thou oughtest to have a Jubilee.
If a wish from a sincere friendly heart
Can to thee any comfort or joy impart;
If a fervent prayer to the God of grace
Could smooth thy path in thy onward race,
That prayer would be, may grace be given
To wend thy onward course to Heaven.
May'st thou abound in corn and wine,
And the blessings of plenty now be thine;
May thy family all be free from care,
And a husband's and father's plenty share;
May thy sun go down with glory rife,
And dying may'st thou burst into life;
And, when sleeping among the silent dead,
Have the blessings of millions on thy head;
And living with God, may'st thou be free,
And partake of an endless Jubilee.
FINIS.
APPENDIX
Soon after the last extract from his journal, President P. P. Pratt left
St. Louis for Arkansas, where he was followed by three bloodthirsty
wretches, who had previously declared their intention to kill him. To
aid them in their sanguinary designs they preferred fictitious charges

against him, from which he was honorably discharged by a United
States Court at Van Buren. These assassins then followed him and
murdered him in cold blood, near Van Buren, Arkansas, May 13,
1857.
We extract the following, in relation to his death, from The Mormon
of May 30, published in New York, John Taylor, Ed.:
ASSASSINATION OF PRESIDENT P. P. PRATT.
"Our readers will doubtless be startled with the above
announcement; our heart is deeply pained to say it, but we have no
reason for doubting the sad intelligence that has reached us,
though, as yet, only by the way of the public press. A few days ago
we were advised of his apprehension near Fort Gibson; and, close
upon the receipt of that information, we learned, by telegraphic
despatch, that he had been assassinated near Van Buren, Arkansas,
May 13. * * *
"As we have not the space this week that we require to enter into
details, and may, before another issue, receive additional information
on the subject, we shall only say, for the benefit of those who are
interested, that his assassins followed him some twelve miles from
the place of trial, and, taking advantage of his lonely position, shot
him.
"Though we deeply deplore the loss to the Church of such a great
and upright man, and the bereavement to his family, yet we mourn
not. His life has been one of honor and faithfulness; his days have
been well spent in the service of his God; his name is revered by
thousands and tens of thousands, and will be honored by millions
yet unborn; while that of his cowardly assassins, and those who
have cheered them on to this damning deed, and who now rejoice
over their crime, will be loathsome, and a stink in the nostrils of God
and good men."

The following is extracted from the Millennial Star of July 4, 1857,
and written by his brother, Orson Pratt, who was then Editor of the
Star:

BIOGRAPHICAL SKETCH OF PARLEY P. PRATT.
"This great Apostle and martyr of the nineteenth century was born
on the 12th day of April, 1807, in Burlington, Otsego county, State of
New York. He was the third son of Jared and Charity Pratt; Jared
was the son of Obadiah and Jemima Pratt; Obadiah was the son of
Christopher and Sarah Pratt; Christopher was the son of William and
Hannah Pratt; William was the son of Joseph Pratt; Joseph was the
son of Lieutenant William and Elizabeth Pratt, who were found
among the first settlers of Hartford, Connecticut, in the year 1639.
They are supposed to have accompanied the Rev. Thomas Hooker
and his congregation, about one hundred in number, from Newtown,
now called Cambridge, Massachusetts, through a dense wilderness,
inhabited only by savages and wild beasts, and became the first
founders of the colony at Hartford, in June, 1636.
"This ancient pilgrim, William Pratt, was a member of the Legislature
for some twenty-five or thirty sessions; and the General Court gave
him one hundred acres of land in Saybrook, Connecticut, for service
performed as lieutenant in the Pequot war; he was one of the judges
of the first Court in New London County. Parley P. Pratt is a lineal
descendant, of the seventh generation, from that distinguished
pilgrim and humble pioneer to the new world.
"The youthful days of Parley P. Pratt were characterized by the
soberness and thoughtfulness of manhood. Though from adverse
circumstances his education was extremely limited, yet he displayed,
even in youth, an originality of mind seldom exhibited. In September,
1830, he, being led by the Spirit of the Lord from his home in the
State of Ohio, came several hundred miles eastward, where he
fortunately obtained a copy of one of the most remarkable works of
modern times—the Book of Mormon. He read the same, was
convinced of its divine authenticity, and traveled in search of the
highly favored men of God who had seen angels and heard the voice
of the Almighty. He soon succeeded in finding some of them, from

whom he learned that about five months previous the first Church of
Jesus Christ of the Latter-Day Saints had been organized. He
requested baptism, and was immediately thereafter ordained an
Elder. The same month he visited Canaan, Columbia County, New
York—the county where he had spent many of his youthful days—
and after preaching a few times in different neighborhoods, and
baptizing Orson Pratt, his brother, he returned to Seneca County.
"Receiving a revelation through Joseph the Prophet, he, in company
with three or four others, performed a mission, some fifteen
hundred miles, to the western boundaries of the State of Missouri,
and was among the first of the Saints to stand upon that choice land
where the City of Zion is hereafter to be built, preparatory to the
second advent of our Saviour.
"In the spring of 1831 he returned to the northern part of Ohio,
where he met Joseph the Prophet. In the summer he again
performed a mission through Ohio, Indiana, Illinois and Missouri,
preaching, baptizing and building up the Church.
"In the autumn of 1833 he and about twelve hundred men, women
and children were driven by a murderous, furious mob from their
own houses and lands in Jackson County, Missouri. Two hundred
houses were burned, cattle shot, hay stacks and grain burned, many
whipped until their bowels gushed out; others killed, and the
afflicted remnant driven across the river into Clay County.
"Soon after this Elder Pratt performed a long journey of about fifteen
hundred miles east, preaching repentance and strengthening the
Saints.
"In 1834 he again returned to Clay County, Missouri, officiating in his
holy calling wherever he went.
"In February, 1835, having returned to the northern part of Ohio, he
was chosen and ordained one of the Twelve Apostles of this last
dispensation, and the same year performed a lengthy journey

through Pennsylvania, New York, and several of the New England
States, and returned again to Ohio.
"In 1836 he visited Canada, and established a large branch of the
Church in Toronto, and other branches in adjoining towns.
"In 1837 he visited New York City, where he founded a large branch
of the Church.
"In 1838 he removed to Caldwell County, in the western boundaries
of Missouri; and in the same year another dreadful persecution
commenced against the Saints, and they were again driven from
their own houses and inheritances, and their property to the amount
of millions was destroyed; some scores of defenseless men, women
and children were murdered; some scores of others were
incarcerated in dungeons, among whom was P. P. Pratt; the balance,
about fifteen thousand, were exterminated from the State, and
found refuge in Illinois. Elder Pratt was kept in prison, without trial,
about eight months, when, by the kind providence of God, he made
his escape on July 4, 1839. Immediately after gaining his liberty he
published a history of the Missouri persecution, written while in
prison. The first edition appeared in Detroit in 1839.
"In 1840 he, in company with others of the Twelve, came to
England, and in the city of Manchester commenced the publication
of a periodical entitled the Millennial Star, which has continued until
the present time—-this being the forty-eighth volume (1886).
"In 1841 he was appointed the President over all the British
Conferences, and remained in this high and honorable station until
the autumn of 1842, during which he edited the Star, superintended
the Saints' emigration, and published several small but interesting
works. The following winter he returned to Illinois, where he
continued laboring in the ministry for one or two years.
"About the beginning of the year 1845 he was appointed the
President over all the Churches in the New England and Middle

States, his headquarters being at New York City, where he published
a periodical entitled The Prophet. In the summer he returned to
Nauvoo.
"In February, 1846, he was again driven from his home by a ruthless
mob. Some fifteen or twenty thousand Saints were also driven from
the United States about the same time, with the loss of houses, and
lands, and an immense amount of property, which the mob are in
the unmolested possession of until the present day. After wading
through unparalleled sufferings with his family, he and the suffering
Saints succeeded in reaching the Indian country at Council Bluffs,
and being called by the Holy Ghost, through the Prophet Brigham
Young, to go to England, he left his family upon the broad prairie,
without house or scarcely any food, to comply with the word of the
Lord. He arrived in England, assisted in setting the Churches in
order, and in strengthening the Saints throughout the British islands.
"In the spring of 1847 he returned to his family and brethren; and in
the summer and autumn of that year he removed to Great Salt Lake
Valley, and suffered incredible hardships until the harvest of 1848.
"He assisted in forming a Constitution for the Provisional
Government of Deseret, and was elected a member of the Senate in
the General Assembly; and was afterwards elected to the Legislative
Council when Utah became a Territory of the United States.
"The year 1851 he was sent on a mission to the Pacific islands and
to South America.
"In the summer of 1855 he returned over the Sierra Nevada
mountains to his home, and occupied a part of his time in preaching
in the various settlements of Utah, and at other times laboring with
his own hands in the cultivation of his farm. The following winter he
officiated as chaplain in the Legislative Council at the State House in
Fillmore City.

"In the autumn of 1856 he accompanied about twenty missionaries
across the plains to the States. During the winter and part of the
following spring he visited the Saints at St. Louis, Philadelphia, New
York and other places, preaching, writing and publishing the glad
tidings of the kingdom of God.
"And finally, on the 13th of May, 1857, he fell a noble martyr for the
cause of truth, which he had advocated with such untiring
perseverance for nearly twenty-seven years.
"Among the numerous writings of this martyred Apostle may be
mentioned first, the 'Voice of Warning,' printed in New York in 1838,
and which has since passed through many editions, and been
translated into several foreign languages; second, his 'History of the
Missouri Persecutions;' third, his 'Poems;' fourth, his 'Key to
Theology;' a masterly production, lately published. 'The History of
his Life,' up to near the time of his martyrdom, was written by
himself, and is now about ready for the press; this will doubtless
prove to be one of the most interesting works proceeding from his
pen.
"O, how pleasant is the death of a righteous person! he lays down
his body with a sure and certain hope of coming forth from the tomb
in the morning of the first resurrection, to reign as a mighty King
and Priest of the Most High God, to sit enthroned in eternal glory,
ruling with power and dominion for ever and ever.
"O, kind hearted, affectionate brother! how dearly we loved thee in
life I how joyous to our soul were the words of life which flowed
from thy mouth by the pure spirit of inspiration! how lovely still is
our remembrance of thee! We weep not for thy death, for it was
glorious! Thou hast left us only for a short moment, and we shall
soon embrace thee again! Thy fiftieth year had but just rolled away,
and now thy Jubilee has come! Rest in thy Father's house, with all
the noble martyrs of the nineteenth century, until the Jubilee of the

earth shall also come; then shalt thou return and reign triumphantly
with all the redeemed of Adam's race."
From the following letter, written only about four months prior to his
martyrdom, he plainly indicates that his pilgrimage and "personal
history in this world,"' were near their close:
"New York, United States,
January 2d, 1857.
"Dear Brother Orson—I received your kind letter on the 30th
December, 1856. I was thereby glad to hear from you and of your
welfare.
"I am well; I spent about a month in St. Louis; I then came on to
Cincinnati and stayed four days, drawing full houses. I arrived in
Philadelphia the day before Christmas—was present next day at a
grand party in that city in Washington Hall. It was a fine time.
Sunday last I preached three times to a full house.
"I arrived here on Wednesday last; found Presidents Taylor and
Smith as well as usual.
"Yesterday I attended a party here, in the Saints' Hall; it was an
interesting affair, some four hundred persons being present. We
were entertained with songs, prayers, preaching, praying,
recitations, eating, drinking, etc.
"In the midst of our evening's enjoyment the news arrived of the
arrival of the Columbia, with a ship load of Saints from England. To-
day we accompanied brother Taylor to see them. All well, but a
rough passage; no deaths. The weather is mild here, and the winter
so far very fine.
"I have not yet seen the Pratt family, of whom you speak, but I think
I will visit them in a day or two.

"You ask how long I will stay in the States. I answer, till spring. I will
then go home, if God will, if I have to go with a hand cart. This
country is no place for me; the darkness is so thick I can literally feel
it. I cannot obtain the least assistance here for my family; a tight
match to obtain travelling expenses.
"I have heard nothing from home since October 1st, but I hope to
hear soon. I congratulate you on the marriage of your first born, and
hope you will soon become a grandfather.
"Now, dear brother Orson, be of good courage—our pilgrimage will
soon be over, and our personal history in this world will naturally
come to the word FINIS.
"As to my history, I have it now complete from my birth up to to-day.
It will contain about as much reading as the Book of Mormon. I
would publish it, in part or in full, if gold was plentiful. * * *
"I have written to Nelson Pratt and received an answer; he is well. I
am going there soon, if all is well.
"I am to start from St Louis for home just as early in the spring as
the weather will permit. Farewell! God bless you.
"I am your own brother,
"P. P. Pratt."

GENEALOGY
The following correspondence, extracted from a letter from my
brother, Orson Pratt, Sen., dated at Washington, D. C, March 10th,
1853, throws a clear light upon our ancestry, back as far as the
earliest settlements of the Pilgrim Fathers in Saybrook and Hartford,
Conn.
"My dear brother Parley—I embrace the present opportunity to write
a few lines to you. * * *
"It affords me much joy to be able to inform you that I have
obtained the names and some knowledge of our ancestors back for
many generations.
"The genealogy runs thus: Our father, Jared Pratt, was the son of
Obadiah, who was the son of Christopher, who was the son of
William Pratt, who was the son of Joseph Pratt, who was the son of
Lieutenant William and Elizabeth Pratt, who is supposed to have
come with his brother, John Pratt, from Essex County, England,
about the year 1633, who were found among the first settlers of
Hartford, Connecticut, in the year 1639. They are supposed to have
accompanied the Rev. Thomas Hooker and his congregation, about
one hundred in number, from Newton, now called Cambridge,
Massachusetts, through a dense wilderness, inhabited only by
savages and wild beasts, and became the first founders of the
colony at Hartford, Connecticut, in June, 1636, and thence to
Saybrook about the year 1645.
"The way I came by this information is as follows: Seeing a short
editorial in some of my exchange papers, that there was an attempt
being made to search out the lineal descendants of Lieutenant Wm.
Pratt, and that the Rev. Frederick W. Chapman, of South

Glastenbury, Conn., was engaged in that work, I immediately
addressed a letter to him, giving him the names of Jared, Obadiah
and Christopher, and asking him for all the information he was in
possession of in relation to our ancestors. He immediately sent me a
letter and two printed circulars. The following is a copy of the letter:
South Glastenbury, March 5th 1853.
"Dear Sir—I have just received your favor. It affords me pleasure to
be able to show you the connecting links between your grandfather,
Obadiah Pratt, and the first settler, William Pratt, who came with the
company that located at Hartford, Conn. He received a portion of
land in the first distribution in February, 1639. He married Elizabeth
Clark, daughter of John Clark, of Milford, Connecticut, about the
same time. He had eight children. Of these, two were born in
Hartford. He removed to Saybrook in 1645. His third child, Joseph
Pratt, born at Saybrook, August 1st, 1648.
SECOND GENERATION.
Joseph Pratt & Sarah Chapman, Married September, 1686.
Thirteen children—five by a former wife. William one of the children.
THIRD GENERATION.
William Pratt & Hannah Hough, Married October 8, 1700.
Six children, viz:
Joseph, born April 13, 1103.
Ephraim, born April 1, 1705
Margaret, born April 1, 1708
Christopher, born Nov. 4, 1712
Elizabeth, born Jan. 20, 1717
Experience, born Sept. 28, 1720
FOURTH GENERATION

Christopher Pratt, Sarah Pratt, Married June 14, 1739
Children:
Stephen, born June 30, 1740, at Saybrook.
Obadiah, born Sept. 14, 1742, at Saybrook.
Sarah, born March 28, 1745.
Hannah, born Aug. 6, 1747.
Chalker, born Feb. 14, 1750.
Samuel
"I want very much to get all the descendants of the last six. Your
letter was the first clue to any of them which I have received. It is
more difficult to trace the descendants of Joseph than any other of
the six children of William Pratt. In fact, they seem to have
disappeared from Saybrook about a century ago.
"I have already collected about two thousand of the descendants of
William Pratt. There are probably not less than five thousand. Robert
Chapman, my ancestor, was married about two years after William
Pratt. I have collected over five thousand of his descendants, and
the work—a volume of three hundred to three hundred and fifty
pages—is nearly ready for the press. I shall be able to collect most
of the descendants of William if those whom I address will answer
my letters and lend a helping hand.
"May I rely on you to aid me in collecting the descendants of
Christopher Pratt?
"Is your father living? If so, he may be able to inform you where the
brothers and sisters of his grandfather, Christopher resided—or,
perhaps, give the post-office address of one of the descendants of
each family.
"He can, of course, give me some account of his uncles and aunts.
Please write immediately and inform me. I want the marriage of
Stephen, when and to whom—and of Obadiah, when and to whom,

and the names of their children—dates of birth; and so of Sarah and
the others.
"You can, of course, give me a list of your grandfather's children.
Also give the name of your mother, and date of your father's
marriage, with a list of all his children.
"I enclose two circulars. There is a Pratt, ex-Governor of Maryland; I
know not his address; if you can ascertain, please forward one. Let
me hear from you soon. Respectfully yours,
Frederick W. Chapman.
"Now, my dear brother Parley, when I received the foregoing letter I
wept like a little child; I was so overjoyed that I could not refrain
from weeping.
"There are none among all the descendants of our ancestor,
Lieutenant William Pratt, who have so deep an interest in searching
out his descendants as ourselves. We know that the God of our
fathers has had a hand in all this. He it was who brought our
ancestor William from England, and established him in this choice
land of promise, given to us by virtue of the covenant made with our
ancient father, Joseph, the son of Jacob.
"The Lord God of our fathers has multiplied them in this land, and
made them almost a nation within a nation. Blessed be the name of
our God, for He remembereth his covenants forevermore.
"He has wrought upon the hearts of his servants, our relations,
though unknown to them, to inquire out the genealogy and history
of our fathers upon the promised land. Yea, blessed be the name of
the Lord God of Joseph and of Israel, for he hath given into our
hands the keys of the priesthood and the doctrines of salvation, that
we might stand as saviors upon Mount Zion, in behalf of our
ancestors and their lineal descendants. Let us, my dear brother

Parley, take hold of this matter in earnest and assist our kindred in
the laudable enterprise which they have undertaken.
"I have no records with me and my memory is weak. Therefore, I
hope you will search up all the family records, and all the verbal
information within your reach—-with names, dates, births, places,
marriages and deaths, and forward without delay.
"Does our father's sister, aunt Lovina Van Cott, or yourself know
anything about the descendants of Stephen, Sarah and others, the
brothers and sisters to our grandfather, Obadiah? How shall we get a
clue to them? Is It possible to find out any descendant of either of
the brothers or sisters of Christopher Pratt, of Saybrook, our great-
grandfather? Who and when did our grandfather, Obadiah, marry?
How many children had Obadiah? Whom did they marry, and when?
How many children had each of our uncles and aunts, the brothers
and sisters of our father? And how many children and grandchildren
has each of these cousins? In short, all the descendants of our
great-grandfather, Christopher, are wanting.
* * * Send all the information you can gather to Mr. Chapman. It
might not be amiss to send him your 'History of the Persecution,'
your 'Voice of Warning,' and such other works as you may be the
author of; and also, if you see proper, a biographical sketch of your
life I have forwarded to him all of my works. * * * I have also sent
him all the information in my power concerning our kindred. * *
"I sent a letter last evening proposing to take some fifty or a
hundred dollars worth of the records as soon as published. These
will supply myself and brothers and our rising families. I also
proposed to search out, if possible, the ancestors of William Pratt, in
England. I expect to visit England in April or May, and shall probably
be absent two or three months.
"This from your younger brother,
"Orson Pratt."

After receiving the foregoing, I gathered the little information I
could, in so new a country as Utah Territory, and adding it to that
which I knew myself, the result or summary of the whole is as
follows— for a portion of which I am indebted to the family records
of my aunt Lovina Van Cott, and to her memory, she being still
living, and near my residence in Salt Lake City.
Our great-grandfather, Christopher Pratt, of Saybrook, Conn., had six
children, as follows, viz:
Stephen, born June 30, 1740, at Saybrook.
Obadiah, born Sept. 14, 1742, at Saybrook.
Sarah, born March 28, 1745.
Hannah, born Aug. 6, 1747.
Chalker, born Feb. 14, 1750.
Samuel
Our grandfather, Obadiah Pratt, son of Christopher and Sarah Pratt,
born in Saybrook, Conn., September 14, 1742, received in marriage
Jemina Tolls, born in New Haven, Conn., August 11th, 1754. Date of
marriage not known. He died in Canaan, Columbia County, New
York. March 2, 1797. His wife died in Washington, Dutchess County,
New York, Nov 24, 1812.
Eleven children, as follows:
Jared, born in Canaan, Columbia County, N. Y., November 25, 1769.
Barnabas, " " " " " " " March 4, 1771.
Samuel, " " " " " " " February 2, 1773.
Rhoda, " " " " " " " May 30, 1775.
William, " " " " " " " May 21, 1777.
Sarah, " " " " " " " September 3, 1781.
Obadiah, " " " " " " " July 30, 1784.
Lovina, " " " " " " " August 6, 1787.
Ira, " " " " " " " October 10, 1789.
Ellis, Twin sister of Ira, lived five days. October 10, 1789.
Allen, born in Canaan, Columbia County, N. Y., May 3, 1793.

Our father, Jared Pratt, son of Obadiah and Jemima Pratt, received in
marriage Mary Carpenter, daughter of Samuel Carpenter, of New
Lebanon, N. Y. She bore him one daughter, named Mary, and
afterwards died. This daughter married a Mr. Brown, of New
Lebanon, and bore one son, named Jerome Brown. She afterwards
lost her husband, and was married to Samuel Bigalow, of New
Lebanon; they may be still living at that place.
Our father, Jared, afterwards received in marriage Charity Dickison,
daughter of Samuel Dickison, of Bolton, N. Y. I remember seeing him
once (Dickison) when a small boy.
Our father, Jared, died at Detroit, Michigan, of a fever, November 5,
1839, being near seventy years of age. He died in the house of his
eldest son, Anson, who buried him some three or four miles north or
northeast from Detroit, in Michigan.
Our mother, Charity, died of cholera in the house of her son Anson,
at St. Joseph, Missouri, May 20, 1849, and was buried in the
graveyard of that town, and a tombstone erected to her memory.
Their children, five in number, were as follows:
Anson, born January 9, 1801, died May 26, 1849.
William D., born September 3, 1802, Town of Wooster, New York,
died September 15, 1870, Salt Lake City.
Parley P., born April 12, 1807, in Burlington, Otsego County, New
York.
Orson, born September 19, 1811, in Hartford, Washington Go. New
York.
Nelson, born May 26, 1815.

Transcriber's Note
This text was prepared by Tom Nysetvold, based on public-domain
materials including a text available from the Book of Abraham
Project and text and scans available from Archive.org. It is intended
to reproduce the 1888 Chicago edition. Email
tomnysetvold@gmail.com with corrections or to participate in
proofreading of similar early books of The Church of Jesus Christ of
Latter-Day Saints.

*** END OF THE PROJECT GUTENBERG EBOOK THE
AUTOBIOGRAPHY OF PARLEY PARKER PRATT ***
Updated editions will replace the previous one—the old editions
will be renamed.
Creating the works from print editions not protected by U.S.
copyright law means that no one owns a United States
copyright in these works, so the Foundation (and you!) can copy
and distribute it in the United States without permission and
without paying copyright royalties. Special rules, set forth in the
General Terms of Use part of this license, apply to copying and
distributing Project Gutenberg™ electronic works to protect the
PROJECT GUTENBERG™ concept and trademark. Project
Gutenberg is a registered trademark, and may not be used if
you charge for an eBook, except by following the terms of the
trademark license, including paying royalties for use of the
Project Gutenberg trademark. If you do not charge anything for
copies of this eBook, complying with the trademark license is
very easy. You may use this eBook for nearly any purpose such
as creation of derivative works, reports, performances and
research. Project Gutenberg eBooks may be modified and
printed and given away—you may do practically ANYTHING in
the United States with eBooks not protected by U.S. copyright
law. Redistribution is subject to the trademark license, especially
commercial redistribution.
START: FULL LICENSE

THE FULL PROJECT GUTENBERG LICENSE

PLEASE READ THIS BEFORE YOU DISTRIBUTE OR USE THIS WORK
To protect the Project Gutenberg™ mission of promoting the
free distribution of electronic works, by using or distributing this
work (or any other work associated in any way with the phrase
“Project Gutenberg”), you agree to comply with all the terms of
the Full Project Gutenberg™ License available with this file or
online at www.gutenberg.org/license.
Section 1. General Terms of Use and
Redistributing Project Gutenberg™
electronic works
1.A. By reading or using any part of this Project Gutenberg™
electronic work, you indicate that you have read, understand,
agree to and accept all the terms of this license and intellectual
property (trademark/copyright) agreement. If you do not agree
to abide by all the terms of this agreement, you must cease
using and return or destroy all copies of Project Gutenberg™
electronic works in your possession. If you paid a fee for
obtaining a copy of or access to a Project Gutenberg™
electronic work and you do not agree to be bound by the terms
of this agreement, you may obtain a refund from the person or
entity to whom you paid the fee as set forth in paragraph 1.E.8.
1.B. “Project Gutenberg” is a registered trademark. It may only
be used on or associated in any way with an electronic work by
people who agree to be bound by the terms of this agreement.
There are a few things that you can do with most Project
Gutenberg™ electronic works even without complying with the
full terms of this agreement. See paragraph 1.C below. There
are a lot of things you can do with Project Gutenberg™
electronic works if you follow the terms of this agreement and
help preserve free future access to Project Gutenberg™
electronic works. See paragraph 1.E below.

1.C. The Project Gutenberg Literary Archive Foundation (“the
Foundation” or PGLAF), owns a compilation copyright in the
collection of Project Gutenberg™ electronic works. Nearly all the
individual works in the collection are in the public domain in the
United States. If an individual work is unprotected by copyright
law in the United States and you are located in the United
States, we do not claim a right to prevent you from copying,
distributing, performing, displaying or creating derivative works
based on the work as long as all references to Project
Gutenberg are removed. Of course, we hope that you will
support the Project Gutenberg™ mission of promoting free
access to electronic works by freely sharing Project Gutenberg™
works in compliance with the terms of this agreement for
keeping the Project Gutenberg™ name associated with the
work. You can easily comply with the terms of this agreement
by keeping this work in the same format with its attached full
Project Gutenberg™ License when you share it without charge
with others.
1.D. The copyright laws of the place where you are located also
govern what you can do with this work. Copyright laws in most
countries are in a constant state of change. If you are outside
the United States, check the laws of your country in addition to
the terms of this agreement before downloading, copying,
displaying, performing, distributing or creating derivative works
based on this work or any other Project Gutenberg™ work. The
Foundation makes no representations concerning the copyright
status of any work in any country other than the United States.
1.E. Unless you have removed all references to Project
Gutenberg:
1.E.1. The following sentence, with active links to, or other
immediate access to, the full Project Gutenberg™ License must
appear prominently whenever any copy of a Project
Gutenberg™ work (any work on which the phrase “Project

Gutenberg” appears, or with which the phrase “Project
Gutenberg” is associated) is accessed, displayed, performed,
viewed, copied or distributed:
This eBook is for the use of anyone anywhere in the United
States and most other parts of the world at no cost and
with almost no restrictions whatsoever. You may copy it,
give it away or re-use it under the terms of the Project
Gutenberg License included with this eBook or online at
www.gutenberg.org. If you are not located in the United
States, you will have to check the laws of the country
where you are located before using this eBook.
1.E.2. If an individual Project Gutenberg™ electronic work is
derived from texts not protected by U.S. copyright law (does not
contain a notice indicating that it is posted with permission of
the copyright holder), the work can be copied and distributed to
anyone in the United States without paying any fees or charges.
If you are redistributing or providing access to a work with the
phrase “Project Gutenberg” associated with or appearing on the
work, you must comply either with the requirements of
paragraphs 1.E.1 through 1.E.7 or obtain permission for the use
of the work and the Project Gutenberg™ trademark as set forth
in paragraphs 1.E.8 or 1.E.9.
1.E.3. If an individual Project Gutenberg™ electronic work is
posted with the permission of the copyright holder, your use and
distribution must comply with both paragraphs 1.E.1 through
1.E.7 and any additional terms imposed by the copyright holder.
Additional terms will be linked to the Project Gutenberg™
License for all works posted with the permission of the copyright
holder found at the beginning of this work.
1.E.4. Do not unlink or detach or remove the full Project
Gutenberg™ License terms from this work, or any files

Exploring Management 4th Edition Schermerhorn Solutions Manual

More Related Content

Similar to Exploring Management 4th Edition Schermerhorn Solutions Manual (20)

Recently uploaded (20)

Exploring Management 4th Edition Schermerhorn Solutions Manual