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Section 1: analyse the industry. The analysis provides a starting point for formulating strategy and understanding the competitive landscape in which the company operates.
Attention has to be paid to macro-environment and micro-environment (including customers and competitors). The application of PESTLE, and Five forces frameworks is imperative and should allow the individual to get insight on company’s strategy in meeting the opportunities and threats in the external environment. The limitations of each used framework should be stated. It is important not to confuse external and internal analysis! In a conclusion to this section, you MUST summarise the main opportunities and threats affecting the industry.
Section 2: analysis of capabilities to effectively coordinate and redeploy the competences. The analysis should begin with the identification of the company resources (tangible, intangible, threshold and unique). Students are asked to use the Value Chain framework (Porter 1988;1985) and VRIO (Barney, 1991) tools and apply them correctly.
By providing a critical, realistic and thorough analysis students should indicate if the company currently has any competitive advantage. Discuss the company’s ability to secure and/or obtain a competitive advantage in the future by implementing value-creating strategies, not simultaneously being implemented by the competitors. You need to link this section with the external analysis (section 2).
In a conclusion to this section, you MUST summarise the main strengths and weaknesses of the company.
Section 3: What are the key strategic issues deriving from your analysis?
Identify potential future strategies (options) using Ansoff and evaluate them using SFA. Which one would you recommend and why? Justify your recommendations and show how they address the key issues and could assist the company to achieve competitive survival.
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