Strategic Planning and Decision Making

  1. Strategic Analysis: The External Environment
    1. Macro-Environmental Analysis (PESTLE)
      1. Overview of PESTLE Analysis
        1. Framework Purpose
          1. Analysis Process
            1. Integration with Strategy
            2. Political Factors
              1. Government Stability
                1. Political Risk Assessment
                  1. Regime Changes
                    1. Policy Continuity
                    2. Taxation Policies
                      1. Corporate Tax Rates
                        1. Tax Incentives
                          1. International Tax Issues
                          2. Trade Regulations
                            1. Import/Export Restrictions
                              1. Tariffs and Duties
                                1. Trade Agreements
                              2. Economic Factors
                                1. Economic Growth Rates
                                  1. GDP Growth
                                    1. Sectoral Growth
                                      1. Regional Variations
                                      2. Inflation and Interest Rates
                                        1. Inflation Impact
                                          1. Interest Rate Effects
                                            1. Monetary Policy
                                            2. Exchange Rates
                                              1. Currency Fluctuations
                                                1. Exchange Rate Risk
                                                  1. Hedging Considerations
                                                2. Sociocultural Factors
                                                  1. Cultural Norms and Values
                                                    1. Social Values
                                                      1. Cultural Preferences
                                                        1. Behavioral Patterns
                                                        2. Lifestyle Changes
                                                          1. Consumer Behavior
                                                            1. Work-Life Balance
                                                          2. Technological Factors
                                                            1. Technological Innovation
                                                              1. Emerging Technologies
                                                                1. Innovation Rate
                                                                  1. Technology Disruption
                                                                  2. R&D Activity
                                                                    1. Research Investment
                                                                      1. Innovation Capacity
                                                                        1. Technology Transfer
                                                                        2. Technology Adoption Rates
                                                                          1. Adoption Patterns
                                                                            1. Digital Transformation
                                                                              1. Technology Infrastructure
                                                                            2. Environmental Factors
                                                                              1. Environmental Regulations
                                                                                1. Environmental Standards
                                                                                  1. Pollution Controls
                                                                                    1. Waste Management
                                                                                    2. Climate Change Impacts
                                                                                      1. Physical Risks
                                                                                        1. Transition Risks
                                                                                          1. Adaptation Strategies
                                                                                      2. Industry Analysis (Porter's Five Forces)
                                                                                        1. Overview of Porter's Five Forces
                                                                                          1. Framework Purpose
                                                                                            1. Industry Attractiveness
                                                                                              1. Competitive Dynamics
                                                                                              2. Threat of New Entrants
                                                                                                1. Barriers to Entry
                                                                                                  1. Capital Requirements
                                                                                                    1. Economies of Scale
                                                                                                      1. Product Differentiation
                                                                                                        1. Switching Costs
                                                                                                          1. Access to Distribution
                                                                                                            1. Government Policy
                                                                                                            2. Entry Deterrence
                                                                                                              1. Incumbent Responses
                                                                                                                1. Strategic Barriers
                                                                                                              2. Bargaining Power of Buyers
                                                                                                                1. Buyer Concentration
                                                                                                                  1. Market Concentration
                                                                                                                    1. Buyer Volume
                                                                                                                    2. Price Sensitivity
                                                                                                                      1. Price Elasticity
                                                                                                                        1. Switching Costs
                                                                                                                          1. Product Importance
                                                                                                                          2. Buyer Information
                                                                                                                            1. Market Knowledge
                                                                                                                              1. Alternative Awareness
                                                                                                                            2. Bargaining Power of Suppliers
                                                                                                                              1. Supplier Concentration
                                                                                                                                1. Market Structure
                                                                                                                                  1. Supplier Alternatives
                                                                                                                                  2. Switching Costs
                                                                                                                                    1. Relationship Specificity
                                                                                                                                      1. Technical Requirements
                                                                                                                                      2. Forward Integration Threat
                                                                                                                                        1. Supplier Capabilities
                                                                                                                                          1. Market Access
                                                                                                                                        2. Threat of Substitute Products or Services
                                                                                                                                          1. Availability of Substitutes
                                                                                                                                            1. Direct Substitutes
                                                                                                                                              1. Indirect Substitutes
                                                                                                                                                1. Functional Alternatives
                                                                                                                                                2. Switching Costs for Customers
                                                                                                                                                  1. Economic Costs
                                                                                                                                                    1. Psychological Costs
                                                                                                                                                      1. Learning Costs
                                                                                                                                                      2. Performance-Price Trade-offs
                                                                                                                                                        1. Value Comparison
                                                                                                                                                          1. Quality Considerations
                                                                                                                                                        2. Rivalry Among Existing Competitors
                                                                                                                                                          1. Industry Growth Rate
                                                                                                                                                            1. Market Maturity
                                                                                                                                                              1. Growth Opportunities
                                                                                                                                                              2. Product Differentiation
                                                                                                                                                                1. Commodity vs. Differentiated
                                                                                                                                                                  1. Brand Loyalty
                                                                                                                                                                  2. Exit Barriers
                                                                                                                                                                    1. Asset Specificity
                                                                                                                                                                      1. Fixed Costs
                                                                                                                                                                        1. Strategic Interrelationships
                                                                                                                                                                        2. Competitive Moves
                                                                                                                                                                          1. Price Competition
                                                                                                                                                                            1. Innovation Competition
                                                                                                                                                                              1. Marketing Competition
                                                                                                                                                                          2. Competitor Analysis
                                                                                                                                                                            1. Identifying Competitors
                                                                                                                                                                              1. Direct Competitors
                                                                                                                                                                                1. Same Product/Service
                                                                                                                                                                                  1. Same Target Market
                                                                                                                                                                                    1. Same Geographic Area
                                                                                                                                                                                    2. Indirect Competitors
                                                                                                                                                                                      1. Substitute Products
                                                                                                                                                                                        1. Alternative Solutions
                                                                                                                                                                                          1. Future Competitors
                                                                                                                                                                                        2. Analyzing Competitors' Objectives and Strategies
                                                                                                                                                                                          1. Strategic Intent
                                                                                                                                                                                            1. Growth Objectives
                                                                                                                                                                                              1. Market Goals
                                                                                                                                                                                                1. Financial Targets
                                                                                                                                                                                                2. Market Positioning
                                                                                                                                                                                                  1. Competitive Position
                                                                                                                                                                                                    1. Value Proposition
                                                                                                                                                                                                      1. Strategic Focus
                                                                                                                                                                                                    2. Assessing Competitors' Strengths and Weaknesses
                                                                                                                                                                                                      1. Resource Comparison
                                                                                                                                                                                                        1. Financial Resources
                                                                                                                                                                                                          1. Physical Assets
                                                                                                                                                                                                            1. Human Resources
                                                                                                                                                                                                            2. Capability Assessment
                                                                                                                                                                                                              1. Core Competencies
                                                                                                                                                                                                                1. Operational Capabilities
                                                                                                                                                                                                                  1. Strategic Capabilities
                                                                                                                                                                                                                2. Predicting Competitors' Future Actions
                                                                                                                                                                                                                  1. Strategic Moves
                                                                                                                                                                                                                    1. Expansion Plans
                                                                                                                                                                                                                      1. New Product Launches
                                                                                                                                                                                                                        1. Market Entry
                                                                                                                                                                                                                        2. Likely Responses
                                                                                                                                                                                                                          1. Competitive Reactions
                                                                                                                                                                                                                            1. Defensive Moves
                                                                                                                                                                                                                              1. Counter-Strategies
                                                                                                                                                                                                                          2. Opportunity and Threat Identification
                                                                                                                                                                                                                            1. Scanning for Opportunities
                                                                                                                                                                                                                              1. Market Opportunities
                                                                                                                                                                                                                                1. Technology Opportunities
                                                                                                                                                                                                                                  1. Regulatory Opportunities
                                                                                                                                                                                                                                  2. Recognizing Threats
                                                                                                                                                                                                                                    1. Competitive Threats
                                                                                                                                                                                                                                      1. Market Threats
                                                                                                                                                                                                                                        1. Environmental Threats
                                                                                                                                                                                                                                        2. Prioritizing External Factors
                                                                                                                                                                                                                                          1. Impact Assessment
                                                                                                                                                                                                                                            1. Probability Evaluation
                                                                                                                                                                                                                                              1. Strategic Significance

                                                                                                                                                                                                                                          Previous

                                                                                                                                                                                                                                          1. Foundations of Strategic Management

                                                                                                                                                                                                                                          Go to top

                                                                                                                                                                                                                                          Next

                                                                                                                                                                                                                                          3. Strategic Analysis: The Internal Environment