MGT 3830 Exam 2 Study GuideRead all chapters ( chapter 6,7,8,9, 10, and 12 , anything from the Chapters will be a fair game on Exam 2) Good Luck. Chapter 6 and chapter 7 (Business-level strategy)1) Definition of business-level strategy2) Porters generic strategies (definition of each, risk and benefits of each)3) Understand cost drivers and value drivers (two basic ways of competing)4) Innovation strategy (definition of innovation), the concept of Blue Ocean Strategy5) Industry life cycle and strategic implications Chapter 8, 9 Corporate-level strategy1) Definition of corporate-level strategy (three dimensions)2) Industry value chain (vertical integration), backward/forward vertical integration, benefits and risks of vertical integration.3) Transaction cost perspective (its role in a firms make/buy decision)4) Horizontal integration (diversification strategy : reasons of diversification, level of diversification and relationship between diversification and firm performance )5) Means of diversification (understand difference between merger, acquisitions, and strategic alliances. 6) BCG Matrix (what is this tool about, and what is the purpose of this tool in strategic management)Chapter 10 International strategy1) Porters Diamond model (determinants of a countrys competitiveness)2) Reasons for firms to be international3) Four options of how to compete globally (understand the difference of each choice, and the conditions of pursuing each strategy)4) Choice of entry strategies ( risk and benefits associated with each) 5) Risks of pursuing global strategy in generalChapter 12 Corporate Governance1) Definition of corporate governance2) Principle-principle issue, Principle-Agent issue3) Internal and external mechanisms of resolving P-A issues.