Chapter 3 - External Assessment -Instructor Supplement 1.pptx

BUS 444 Chapter ThreeExternal Environmental AssessmentPart 1: Strategic Analysis.Chapter TopicsEnvironmental scanning, environmental monitoring, and competitive intelligence Impact of the general environment on a firm’s strategies and performanceForces in the competitive environment and their significance to strategy Trends and events in the general environment and forces in the competitive environment Concept of strategic groups and their strategy and performance implicationsStrategyDevelopmentTactic(functional strategy) DevelopmentStrategy / TacticImplementationEnvironmentalAnalysisStrategy Development Process ReviewChapt. 1(Corp / Business)Chapt. 2-4Internal (34)External (2) Chapt. 9-12Chapt. 5 - 8“If you don’t know where you’re going, any road will get you there.”StrategyDevelopmentTactic(functional strategy) DevelopmentStrategy / TacticImplementationEnvironmentalAnalysisStrategy Development Process ReviewChapt. 1(Corp / Business)Chapt. 2-4Internal (34)External (2) Chapt. 9-12Chapt. 5 - 8“If you don’t know where you’re going, any road will get you there.” Source: The Cheshire Cat, Alice In WonderlandEnvironmental Forecasting ElementsEnvironmental ScanningEnvironmental scanningDetect major environmental changes which could significantly alter the industryPredict environmental changes to comeDetect changes already under wayIdentify Opportunities Threats (SWOT)Environmental MonitoringEnvironmental monitoringDetect environmental changes which could significantly alter the competitive landscapeCompetitive IntelligenceCompetitive intelligenceTracking competitor’s strengths weaknesses, and understanding their strategyGeneral EnvironmentThe Changing EnvironmentGeneral environmental trends and events:Limited ability to predict themEven less ability to control themCan vary across industriesMay represent Opportunities and/or Threats (SWOT)DemographicSocioculturalPolitical/LegalTechnologicalEconomicGlobalGeneral EnvironmentDemographic SegmentAging populationRising af