Post on 09-Apr-2018
8/7/2019 example of practical application of external environmental analysis
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M UngererUSB Strategic Management
Example of practical application of External environment datagathering Process: Namibian Agricultural organisation June ‘09
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8/7/2019 example of practical application of external environmental analysis
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Abcc Strategy:
Industry Analysis
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Industry trends and opportunities (1)
How would you describe the Industry/Industry cluster Xyzz is competingin?
Zzz
What are the other industry/alternative industry descriptions you candefine for the competitive space Abcc wants to occupy?
yyy
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Industry trends and opportunities (2)
What are the challenges and rivalries in this industry? What are some ofthe key trends that we observe here?: Are there any threats from disintermediating industries?
• Y…
Are there any threats from current players or new entrants into this industry –
now and in future?• Y…
Are there changes to the industry rules that will make it difficult in the future?• Y…
What orthodoxies (generally accepted rules, approaches, thinking) exist inthis industry, that we can possibly capitalize on?
Yy..
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Industry trends and opportunities (3)
How can we shift our relative bargaining power in this industry. Whatadvantages is there in doing this? Yy..
Can we compete in other industries through substitute products andservices that can add or improve value, based on some of our currentskills? Yy..
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Industry Value chain
What is the position of ourorganisation in the industry value
chain? What are the areas ofthreats and opportunities?
8/7/2019 example of practical application of external environmental analysis
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Summary: Industry trends and opportunities
Key Industry Trends Implications/Opportunities/Threats
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Abcc Strategy:
Competitor Analysis
8/7/2019 example of practical application of external environmental analysis
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Competitor trends and opportunities (1.1)
Who are the main competitors/potential competitors of Abcc? (Think of whohave the capabilities to replace your offering, substitute your offering). Also
describe the competitors core business.
Main Competitors Their core business, offerings and strengths
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Competitor trends and opportunities (1.2)
Who are the main competitors/potential competitors of Abcc? (Think of whohave the capabilities to replace your offering, substitute your offering). Also
describe the competitors core business.
Main Competitors Their core business, offerings and strengths
8/7/2019 example of practical application of external environmental analysis
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Thinking about Competitors
Here essentially the focus moves to the other players in the industry you play in or players fromindustries potentially targeted by your company.
Key questions to answer is:
•Who are our real competitors?•
Where are they beating us and why?•What are their business designs?•What are their strategies and where are they making investments to break out of their current valuechain role?•How can we counteract their competitive positioning?
We should also now already establish the right mental model for our review. When looking at your competition do not think of ways of going against competitors but of going around them. It is based rather on avoidance than attack. ( Hamel) Too many examples exists of head-on battles
that developed into ever escalating price or promotion wars, pressure on margins and eventually demise
8/7/2019 example of practical application of external environmental analysis
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Conclusions: Competitor trends and opportunities
Key Competitor Trends Implications/Opportunities/Threats
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Abcc Strategy:
Customer Trends
8/7/2019 example of practical application of external environmental analysis
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Customer trends and opportunities (1)The first important aspect here is to be able to categorize customers accurately. Be very clear onwho the customer is and don’t think you have a homogeneous customer base. Think of end
customer groups who have similar needs.
What do customers currently value and prefer? (per segment)
Zz..
How have their priorities changed?
Zz..
Are there any new customers we should include in our scope?
Zz..
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Customer trends and opportunities (2.1)The first important aspect here is to be able to categorize customers accurately. Be very clear onwho the customer is and don’t think you have a homogeneous customer base. Think of end
customer groups who have similar needs.
Segment
Description
Current
Customer Needs
Present Offering
FeaturesGaps & Implications for
new offerings/ features
Future Customer
Needs
C
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Customer trends and opportunities (2.2)The first important aspect here is to be able to categorize customers accurately. Be very clear onwho the customer is and don’t think you have a homogeneous customer base. Think of end
customer groups who have similar needs.
Segment
Description
Current
Customer Needs
Present Offering
FeaturesGaps & Implications for
new offerings/ features
Future Customer
Needs
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Abcc Strategy:
External Analysis Integration
8/7/2019 example of practical application of external environmental analysis
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Development of Opportunities and Treats based on External analysis
Threats Impact Scale 1-10:
1=Weak 10=Strong
Threats Impact Scale 1-10:
1=Weak 10=Strong
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Development of Opportunities and Treats based on External analysis
Opportunities Impact Scale 1-10:
1=Weak 10=Strong
Opportunities Impact Scale 1-10:
1=Weak 10=Strong