external analysis basics
This type of analysis evaluates the environment outside the company to support strategy decisions.
What is external analysis?
This force examines how many companies are competing in the industry.
What is industry rivalry?
A general rise in prices across an economy.
What is inflation?
Changes in how people shop, think, and choose products.
What is consumer behaviour?
SWOT stands for Strengths, Weaknesses, Opportunities, and ____.
What are Threats?
Two main parts of external analysis are Porter’s Five Forces and the analysis of these national-level conditions.
What are macroeconomic conditions?
This force looks at how easy it is for new businesses to enter an industry.
What is threat of new entrants?
Measures how much of the workforce cannot find employment.
What is unemployment?
Growth in online purchasing and mobile-based information searching relates to this factor.
What is digitalisation?
Strengths and weaknesses are part of the ______ environment.
What is the internal environment?
This concept explains how external factors influence a company’s choice of strategy.
What is strategic impact of external factors? / What is external influence on strategy?
This force considers how much influence customers have on prices or quality demands.
What is bargaining power of buyers?
When this rises, loans become more expensive for companies and consumers.
What is the interest rate level?
A radical innovation that changes the entire industry landscape.
What is disruption?
Opportunities and threats come from the ______ environment.
What is the external environment?
Trend-based long-term societal shifts like sustainability are known as these.
What are megatrends?
This force looks at the risk that alternative products will replace existing ones.
What is threat of substitutes?
The pattern of boom, recession and recovery in an economy.
What is the economic cycle?
These three factors often influence each other: C_____, D_______, D_________.
What are Consumer behaviour, Digitalisation and Disruption?
Increasing demand for sustainable products is an example of this SWOT element.
What are opportunities?
This factor investigates how digital development affects threats and opportunities for companies.
What is digitalisation?
This force examines how much influence raw material or service providers have.
What is bargaining power of suppliers?
Changes in this variable influence the price of imports and exports.
What are exchange rates?
A new tech-based competitor delivering value differently is an example of this.
What is disruption?
A company losing competitiveness due to digital rivals belongs to this SWOT element.
What are threats?