Strategic Position

Annotations:

• Influences are layers around org.

1. Macro-enviroment

   Annotations:

   • Outer layer, can be anaylsed with PESTLE-G which helps identify key drivers of change. Scenarios can be constructed according to developed key drivers
   1. PESTLE-G
   2. Drivers of Change
   3. Scenarios
2. Competitors & Markets
   1. Strategic Group analysis
   2. Market segemenation
   3. Strategy Canavas
3. Industry and Sector

   Annotations:

   • Middle layer
   1. Analysis
      1. Porter's Five forces

         Annotations:

         • Barriers to entry, subsitutes, buyers power, suppliers power and rivalry. Determine industry or sectors attractiveness and can influential for overall performance
         •  Developed by M Porter in Competitive Strategy – Techniques for Analysing Industries and Competitors   
   2. Changes Analysis
      1. Industry life cycle

         Annotations:

         • Five forces power varies with stages of industry life cycle Anita McGahan warns of ‘Maturity mindset’ which can leave managers complacent and slow to responding to new competition.
         • Stages: Development - experminental, innovation Growth -high growth, low entry barriers Shake-out - growth rate declining, increased rivalry Maturity - low growth, economies of scale Decline - exterme rivalry, high exit barriers dog-eat-dog competition
      2. Hypercompetitve & cycles of competition

         Annotations:

         • Competitor constantly interact in terms of competitive moves e.g. Price cuts and innovations matched Mutli-Point competition is competitive dynamic between orgs competing in different product or geographical markets
         • Cycle of competition concept structures are reshaped and created by deliberate strategies of compeitiors
         • Hypercompetition occurs when frequency, boldness and aggressivenss of dynamic movements by competitors accelerate to create a condition of constant disequilibrum and change
      3. Comparative five forces radar plots