Strategy

7424 Words Jun 22nd, 2014 30 Pages
BANG COLLEGE OF BUSINESS

Department of Management and Marketing
Spring 2013

Strategy and Business Policy (Section 1)
MGT 4201

Assignment (Group project)

Activ Company

Faculty: Monowar Mahmood, Ph D

Group members:

Table of Content

1. Introduction………………………………………………………………………………2 2. External Analysis: Macro-environmental- PESTLE……………………………………..3 3. External Analysis: Industry Analysis - Porter’s Five Forces…………………………….9 4. Internal Analysis: SWOT analysis……………………………………………………...11 5. Internal / Organization Analysis (VRINE/VIRO analysis)……………………………..13 6. Internal / Organization Analysis (Value Chain)………………………………………...16 7. Recommendation (Corporate Strategy)…………………………………………………17
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The external analysis focuses and examines the opportunities and threats that exist in the environment and may be crucial in the decision making about how the business should be set up. In other words the external analysis has ability and intention to investigate the company’s macroeconomic, industrial and competitive conditions in the market.
As the matter of fact, any company cannot influence or directly control the changes in the fast moving unpredictable external environment. Therefore, the organization may only evaluate and measure the future possible opportunities and barriers that might be met through the company’s existence and its business operational cycle which have the one and the same aim to gain as many competitive advantages as possible in order to have the profitability and welfare of the business as a whole. There are two main tools that are widely used by the different companies for analyzing the external environment. They are called the PESTLE analysis and the Porter’s Five Forces model.

2.1 Macro-environmental – PESTLE PESTLE analysis or PEST stands for auditing the Activ Company’s current environment and assessing its potential changes by looking at the organization from different angles in order to be better placed than
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