Hi, need to submit a 750 words essay on the topic Strategic Management (Topic In Instruction).
With the company, being actively governed by a board, with the CEO, Mr. Edward Perry at the top, it comes to a situation whereby every decision made relating to the company is carefully deliberated. Decisions and rulings that fall under this category include mainly, the company’s mode of carrying out external analysis. An external analysis is a specific analytical method by a firm, which is made use of, to examine the opportunities, as well as threats, that predominantly exist in the business environment (Lee, 2010).
It is important for a company such as Timber King to engage in thorough external analysis. Performing this analysis is important, most especially in the long term effectiveness of the firm. Being aware of one’s competitive environment comes in handy in terms of exploring the underlying potential in the market. The analysis is considered to be external to the firm if a question concerning the opportunities of the company, or firm, still exists even in the absence of a particular company. These factors are considered to still exist, though have to be acted on, if at all, the firm is to benefit, whether directly, or indirectly, from them (Logan, 2009).
For Timber King, the company in question, to perform a thorough and effective external analysis, it is important, to gather as much competitive intelligence about the most important external factors as possible. Basically, the company has to realize factors that may include, political, environmental, social, economic, and generally all related competitive factors. The use of SWOT analysis is the most common, and widely used mode of collecting external analysis (Lee, 2010).
The SWOT analysis, also known as SWOT Matrix, refers to a structured planning mode that evaluates the strengths, weaknesses, opportunities as well as threats, which are involved or encountered in a business venture. This mode of external analysis involves specifying the company’s goals and relatively identifying factors that