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Analyzing the Current Situation

Analyzing the Current Situation. Today’s Discussion (Overview). Environmental Scanning and Analysis Analyzing the Internal Environment Mission Resources Offering Previous Results Business Relationships Keys to Success and Warning Signs. Overview Continued.

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Analyzing the Current Situation

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  1. Analyzing the Current Situation

  2. Today’s Discussion (Overview) • Environmental Scanning and Analysis • Analyzing the Internal Environment • Mission • Resources • Offering • Previous Results • Business Relationships • Keys to Success and Warning Signs

  3. Overview Continued • Analyzing the External Environment • Demographic Trends • Consumer Demographics • Business Demographics • Economic Trends • Ecological Trends • Technological Trends • Political-Legal Trends • Social-Cultural Trends • Competitor analysis • SWOT Analysis

  4. Environmental Scanning • Macro-environment • Broad demographic, economic, ecological, technological, political-legal and social-cultural forces • Micro-environment • Specific groups that more directly influence performance, such as customers, competitors, channel members, partners, suppliers, and employees

  5. SWOT • Strengths • Internal capabilities that can help the firm achieve its goals and objectives • Weaknesses • Internal factors that can prevent the firm from achieving its goals and objectives • Opportunities • External circumstances that the organization might be able to exploit for higher performance • Threats • External circumstances that might hurt the organization’s performance, now or in the future

  6. Kodak • Strengths • Weaknesses • Threats • Opportunities

  7. InternalEnvironment (Resources)

  8. Offerings (Products) • What products are being offered • What price points • Which customer segments • What is the age, sales and profit trends • New products • Market share • Importance of each product (supplements) • How does each product support the bottom line • Does one product account for a large % of sales • PLC can it be extended

  9. Business Relationships • Do suppliers and distributors • Have the capacity to increase volume if needed • Maintain a suitable quality level • Can be true partners in adding value • Has the roster changed over time • Is the company dependent on one partner

  10. Identify warning signs early

  11. ExternalEnvironment12

  12. Porter’s generic Strategies • Cost leadership • Differentiation • Focus

  13. New coke

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