Part 1 Strategic Analysis

Strategic Analysis

PART 1

■ External analysis ■ Customer intelligence ■ Segmentation ■ Internal analysis ■ Developing a future orientation

Undertaking a strategic analysis is the foundation upon which strategic decisions are constructed. In this text strategic analysis is broken down into three constituent elements: external analysis, customer analysis and internal analysis. Undertaking the analysis is not however a linear process and there are areas of the analyses that overlap. The aim of the process is to develop a detailed and all embracing view of the company and its external environment to permit the organisation to formulate informed strategic decisions.

Chapter 2 explores the external analysis. This consists of an initial audit of the macro-environment. The organisation’s micro-environment is then considered and an initial analysis of the company’s competitive position is undertaken.

Chapter 3 explores the increasingly critical function of competitive intelligence and examines how organisations can employ such a practice to support and develop successful marketing strategies.

Chapter 4 examines the customer. Consumer behaviour is explored to illustrate what the effect of changes in the external environment can have on customers. Market segmentation techniques are then discussed.

Chapter 5 describes the process of internal analysis. This looks at the ways of identifying the organisation’s assets and competencies.

These four chapters illustrate the groundwork that needs to be undertaken by an organisation before it can begin to form a view of the future.

Chapter 6 discusses different approaches that organisation’s can take to develop a view of what developments may occur, and affect their activities, in the future. Part 1 also covers the process of matching the organisation’s resources and competencies to attractive market opportunities that is at the heart of strategic choice (the topic of Part 2 of this book).