...To fully analyse the Macro business environment, one must look at: *Please note that all answers are according to the information acquired during the interview with the owner* Strengths: The fact that the business is owned and run by family only means that all employees are fully committed to the business. They rely on hard work and dedication in order for the business to succeed. This means that the human resources of the business are at the strongest possible level, and that there is a limited chance of failure due to a lack of dedicated employees. Staff have also been described to be extremely dedicated towards their work, and are professional in the way they conduct their allocated tasks within the business itself. The business’ main source...
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...Assignment Describe SWOT analysis as a way to guide internal environment. How does this approach reflect the basic strategic management? Contents 1.0 INTRODUCTION 3 1.1 Overall description of SWOT analysis 3 1.2 Overview of the elements of the SWOT analysis 3 2.0 SWOT analysis as a way to guide the internal environment 4 2.1 How SWOT analysis prevents weaknesses and maintains strength 4 3.0 How SWOT analysis reflects the basic strategic management 5 Conclusion 7 References 7 1.0 INTRODUCTION 1.1 Overall description of SWOT analysis SWOT analysis is an analytical method which is used to identify and categories significant internal (Strengths and Weaknesses) and external (Opportunities and Threats) factors faced either in a particular arena, such as an organization, or a territory, such as a region, nation, or city. It provides information that is helpful in matching the firms' resources and capabilities to the competitive environment in which it operates and is therefore an important contribution to the strategic planning process. It should not be viewed as a static method with emphasis solely on its output, but should be used as a dynamic part of the management and business development process. Strategic planning depends on a clear understanding of your organization’s resources and Capabilities, as well as critical ingredients that are lacking. The assessment of organizational Strengths and weaknesses and opportunities and threats must...
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...Powerpoint [pic][pic] Marketing Teacher: Home / The Marketing Environment The Marketing Environment [pic][pic][pic][pic][pic][pic][pic][pic] [pic][pic][pic][pic]The Marketing Environment What is the marketing environment? The marketing environment surrounds and impacts upon the organization. There are three key perspectives on the marketing environment, namely the 'macro-environment,' the 'micro-environment' and the 'internal environment'. [pic][pic][pic][pic][pic] The micro-environment This environment influences the organization directly. It includes suppliers that deal directly or indirectly, consumers and customers, and other local stakeholders. Micro tends to suggest small, but this can be misleading. In this context, micro describes the relationship between firms and the driving forces that control this relationship. It is a more local relationship, and the firm may exercise a degree of influence. The macro-environment This includes all factors that can influence and organization, but that are out of their direct control. A company does not generally influence any laws (although it is accepted that they could lobby or be part of a trade organization). It is continuously changing, and the company needs to be flexible to adapt. There may be aggressive competition and rivalry in a market. Globalization means that there is always the threat of substitute products and new entrants. The wider environment is also ever changing, and the marketer needs to compensate...
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...A SWOT Analysis view of the software development industry Georgios Kormaris Department of Information and Computing Sciences, Utrecht University, Utrecht, The Netherlands gkormari@cs.uu.nl WWW home page: http://www.cs.uu.nl/ Introduction I n the past twenty to thirty years many changes and developments have taken place in the software industry which started off during the 1960s mainly in the United States of America and experienced a revolutionary boom since the 1980s, Steinmueller, (1995). There are many different ways and methods of developing software and planning the strategy of a software development company, as we can derive from many recent research projects. Most of these projects are usually concerned with the way that software is developed and not with the way that the strategy of the company as a whole is planned, Cusumano, MacCormack, Kemerer, & Crandall, (2003). Another important factor is which techniques and methods are used to analyze company’s environment and how the strategy is formulated and implemented. In this paper we analyze a popular method for strategic planning which has been mostly used for product portfolio planning and strategic planning on an abstract level, as stated in a research paper by Houben, Lenie, & Vanhoof, (1999). We will focus our interest in the software industry and base our research on the case study of the Austrian software industry as it is presented by Bernroider, (2002). Additionally, certain guidelines are...
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...WHAT IS SWOT ANALYSIS? SWOT analysis (alternately SWOT Matrix) is a strategic planning method used to evaluate the Strengths, Weaknesses/Limitations, Opportunities, and Threats involved in a project or in abusiness venture. It involves specifying the objective of the business venture or project and identifying the internal and external factors that are favorable and unfavorable to achieve that objective. The technique is credited to Albert Humphrey, who led a convention at the Stanford Research Institute (now SRI International) in the 1960s and 1970s using data from Fortune 500companies. Setting the objective should be done after the SWOT analysis has been performed. This would allow achievable goals or objectives to be set for the organization. Strengths: characteristics of the business, or project team that give it an advantage over others Weaknesses (or Limitations): are characteristics that place the team at a disadvantage relative to others Opportunities: external chances to improve performance (e.g. make greater profits) in the environment Threats: external elements in the environment that could cause trouble for the business or project Identification of SWOTs is essential because subsequent steps in the process of planning for achievement of the selected objective may be derived from the SWOTs. First, the decision makers have to determine whether the objective is attainable, given the SWOTs. If the objective is NOT attainable a different objective must...
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...providing information from internal and external environments to the executives so measures can be taken to take advantage of the information and succeed. SWOT (strengths, weaknesses, opportunities, threats) analysis is a key element of environmental scanning process which provides detailed information for the organization that can assist in growth and profits. Environmental scanning and SWOT analysis and how organizations use these tools to succeed and grow will be discussed in this paper. Environmental scanning is a process which monitors, evaluates, and disseminates information from internal and external environments to the people of the organization responsible of making decisions regarding growth and success of the company. Scanning the natural environment, societal environment (STEEP analysis), and task environment are the key elements of identifying the external environment. SWOT analysis should be performed to assess the internal environment of the organization. (Wheelen & Hunger, 2010) In scanning the natural environment, strategic managers must assess physical resources, wildlife, and climate. “The concept of sustainability argues that a firm’s ability to continuously renew itself for long-term success and survival is dependent not only upon the greater economic and social system of which it is a part, but also upon the natural ecosystem in which the firm is embedded” (Wheelen & Hunger, 2010). When scanning the natural environment, strategic decision-making process must include...
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...convey the detailed environmental analysis conducted, as well as the identified SWOT and PEST analysis, both internal and external environments for Nando’s Restaurant that is based in Singapore. 2. Environmental Analysis 2.1 Definition of Environmental Analysis “Environmental analysis presents information regarding the organization’s current situation with respect to the marketing environment, the current marketing objectives and performance.” (Houghton Mifflin Company. Appendix C Sample Marketing Plan.) “Before developing any marketing strategy, one should immerse in what you know about the markets in which you are interested. One should read all about the markets. Look at what the competitors are doing in those markets. Talk to customers or potential customers in those markets. Consider any trends that affect those markets.” (Don Sexton. 2010. Trump University Marketing 101 – Maco Trends.) 2.2 Importance of Environmental Analysis A marketing environmental analysis is a vital step in identifying all internal and external environmental elements that that might affect the business performance and evaluating the level of threat or opportunity. These factors are largely not able to be controlled by the organisation but the business and marketing strategy is adaptable to take advantage of the opportunities they present while minimising the potential threats. PEST and SWOT are closely related approaches to environmental analysis. PEST analysis measures the market potential...
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...SIMILARITIES BETWEEN SWOT AND PEST ANALYSIS SWOT and PEST analyses are similar both focus on environmental factors that may affect a company. Both types of analysis use group brainstorming to identifying environmental factors. However, there are several important differences between the analysis frameworks that must be understood before either can be used effectively. PURPOSE Both SWOT and PEST have become components of a good business plan and are key in evaluating environmental factors. In order to understand how these analysis frameworks are similar, it is important to fully understand each framework individually. FEATURES OF SWOT SWOT analysis is a simple framework for evaluating the internal and external environments affecting a company. These environmental factors can be divided into four categories, from which SWOT analysis derives its name. The categories are: strengths, weaknesses, opportunities and threats. Strengths and weaknesses represent the internal environment, whereas opportunities and threats represent the external environment. FEATURES OF PEST PEST is a type of analysis used in strategic management that takes into account Political, Economic, Social and Technological factors. PEST analysis is a useful tool for understanding market demand/decline, current business position and potential opportunities/obstacles. The factors it analyzes should not be solely at the company level. Rather, these external factors must be examined at a company,...
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...Strategic Management: SWOT analysis’ advantages and disadvantages Decision-making and problem-solving techniques Strategic Management is defined as a set of managerial decisions and actions that determines the long-run performance of a corporation. It includes a variety of tools and analysis which help implement, evaluate and control the general strategy of a company. Strategy formulation begins with a situational analysis and it emphasises the monitoring and evaluating of external opportunities and threats in light of a corporation´s strengths and weaknesses (Wheelen and Hunger, 2006; Saloner et al., 2001). Objective The objective of this report is to describe, analyse and discuss advantages and disadvantages of a concept named SWOT which is an acronym for Strengths, Weaknesses, Opportunities and Threats. These concepts are frequently used as tools for analyzing the external environment of an organisation as well as the internal factors that constitutes its structure (Wheelen and Hunger, 2006). History SWOT analysis came from a research conducted at Stanford Research Institute in the 1960´s. The creation of the SWOT analysis comes from the need to find out why corporate planning failed. The research was funded by the fortune 500 companies to find out what could be done about this. Albert Humphrey together with his team began testing this tool and it suddenly became a corporate planning trend, which seemed to appear first at Du Pont in 1949 (Morrison, 2009; Friesner...
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...SWOT Analysis Guide The comprehensive guide to the SWOT analysis method In the following guide we will introduce you to several widely used strategic planning methods. They enable business executives and strategists to evaluate options, plan for the strategic goals and implement the changes necessary to achieve those goals. The evaluation version of the guide Distribution note: You may NOT distribute the original or modified version of the document. Check more information about licensing in license.txt BSCDesigner.com AKS-Labs SWOT Analysis Guide Copyright © AKS-Labs Page 2 SWOT analysis: introduction and use of the method in the business environment If you are even remotely familiar with a business world, you have certainly heard about the competitive environment, strategic planning and business analysis. There are several different methods currently used in the business world and one of the most popular st strategic evaluation tools is the SWOT analysis. SWOT stands for strengths, weaknesses, opportunities, and threats. Strengths Weaknesses Opportunities Threats SWOT can be further classified in to internal and external factors. Strength and weaknesses belong to the internal factors, and the opportunities and strength are classified as external factors. Why use SWOT analysis you might ask? Well, it is a very useful and highly effective tool when useful planning for the strategic goals, when trying to analyze the environment the company operates...
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...influenced by factors operating in its internal and external environment; an organisation can increase its success by adopting strategies which manipulate these factors to its advantage. A successful organisation will not only understand existing factors but also forecast change, so that it can take advantage of change within the environments in which it operates. PEST and SWOT analysis are the tools used to find out the current status and position of an organization or individual in relation to their external environment and current role. They can then be used as a basis for future planning and strategic management. PEST analysis is a concept in marketing principles. Moreover, this concept is used as a tool by companies to track the environment they’re operating in or are planning to launch a new project, product or service. PEST is a mnemonic which in its expanded form denotes P for Political, E for Economic, S for Social, T for Technological, L for Legal and E for Environmental. It gives a bird’s eye view of the whole environment from many different angles that one wants to check and keep a track of while contemplating on a certain idea/plan. A PEST analysis is often conducted prior to SWOT analysis. The data gathered in PEST analysis is used as the “external issues” in a SWOT analysis. A SWOT Analysis is a tool that identifies the strengths, weaknesses, opportunities and threats of an organization. Specifically, SWOT is a basic, straightforward model that assesses what an...
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...Mashell Chapeyama University of the People Swot analysis for Chipinge Banana Company Swot analysis is an environmental scanning tool. It is widely used in the world of business in analyzing some factors that have a great bearing on the company’s drive to achieve its mission. With swot companies are able to identify both negative and positive factors that have a bearing on the viability of the organization. Using swot, a company can find its own weaknesses and strengths as well as the opportunities and threats that are found in the broader economy. This essay shall concentrate on identifying and evaluating the internal and external factors that affect Chipinge Banana Company. Chipinge Banana Company is a company that is devoted to the production of bananas for sale to the local and international market. It sells its bananas in Zimbabwe, as well as to countries such as Zambia and South Africa. This company has no any other businesses which it does. It is a well known company that operates in Zimbabwe. The following table shows the results of the swot analysis carried on this company. The writer has selected this company because he currently works in it and has a very good understanding of its operations. Strengths • There is a strong team spirit in management • There is good infrastructure • Clearly established administrative system • There if flat piece of land • There is high morale among employees • There are open lines of communication • Employee have good attitudes...
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...strategy with wider business goals – needs analytical thinking. Critical Thinking * Critical thinking is a set of skills or abilities that you can develop over time. * It doesn't have to be negative, but is about developing your own conclusions based on evidence. * It's the process of gathering information about something, and then thinking about it and coming up with your own views. * Critical thinking is reasonable, reflective thinking that is focused on deciding what to do or believe (Ennis 1990). What does it involve? * Being able to question and evaluate information * Solving problems * Thinking beyond the immediate situation * Looking at the big picture and the context of a topic * Asking questions about different aspects of the topic – what? How? When? Who? Why? What if? * Looking at theory and asking how it relates to practice * Reading different viewpoints about issues and forming your own conclusions * Reflecting on your work and deciding how to improve it in the future Overview * The ability to think analytically and critically is fundamental in HR. * Does not always occur naturally but develops over time. * HR professionals must arrive at an informed opinion based on technical knowledge, specific training or personal and professional experience. * HR professionals cannot exercise critical thinking without first having requisite professional knowledge, skills and experience. Situational Analysis...
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...Wal mart With around 5000 retail outlets worldwide, operating in more then a dozen countries and with over US$286 billion in annual sales, Wal-Mart is the top retail chain and number one fortune 500 company in the world. Wal-Mart is the top employer in the U.S. with 1.3 million employees, “the company accounts for 9 cents of every US retail dollar and sells around 20 per cent of the nation’s groceries and pharmaceuticals.” (Times News Network). Wal-Mart’s sheer size gives it unrestrained economic power which allows it to drive down costs in the retail and manufacturing sectors and to enact its own standards with regards to its work force. Facts about Wal-Mart and China * It is important to understand that there is a huge difference between the Chinese model and the Indian growth model, the Indian model is essentially domestic demand driven unlike the Chinese one that is fuelled by export growth. * More than 70 per cent of the commodities sold in Wal-Mart are made in China. * Wal-Mart Stores Inc, says its inventory of stock produced in China is expected to hit US$18 billion this year, keeping the annual growth rate of over 20 per cent consistent over two years. * "If Wal-Mart were an individual economy, it would rank as China's eighth-biggest trading partner, ahead of Russia, Australia and Canada," Xu Jun, Wal-Mart China's director of external affairs said. * Insiders point out that Wal-Mart's imports from China have largely influenced the US trade deficit...
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...CHAPTER IX STRENGTHS, WEAKNESS, OPPORTUNITIES, AND THREATS ANALYSIS Strategic planning is a tool for organizing the present on the basis of the projections of the desired future. A strategic plan is a road map to lead an organization from where it is now to where it would like to be in five or ten years.It is necessary to have a strategic plan for your organization. In order to develop a comprehensive plan for your organization which would include both long- range and strategic elements.One of the most important parts of the strategic planning process is the examination of the internal and external environment of the business. The strengths or weaknesses of the business can be seen by considering its internal environment. On the other hand, the external environment factors of the business define the threats and opportunities it will face. Strengths, Weaknesses, Opportunities, and Threats analysis can be used for all sorts of decision making and proactive thinking rather than relying in habitual or instinctive reactions in the business. Specifically, SWOT analysis is basic straight-forward model that assesses what an organization can and cannot do as well as its potential opportunities and threats. SWOT analysis is essential in a business in accomplishing its objectives and what obstacles must be overcome or minimized to achieve the desired result. It is but inevitable for business enterprises to be faced with serious problems and be burdened with critical decision making...
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