Chapter 4 Flashcards
what model to use if asked about the external environment
drivers of change, strategic drift
what model to use if asked about the macro environment
PESTEL
what model to use if asked about the national environment
Porters diamond
what model to use if asked about industry or sector environment
porters five forces
what model to use if asked about scenario planning
stages in scenario planning
porters five forces
1) threat of new entrants
2) power of suppliers
3) power of buyers
4) threat of substitutes
5) competition and rivalry
difference between threat of new entrants and threat of substitues
substitute’s is similar thing but different business model, new entrants is same business model
5 stages of industry life cycle
development growth shakeout maturity decline
4 points of porters diamond
firm strategy, structure and rivalry
demand conditions
factor conditions
related and supporting industries
2 different levels of factor conditions
basic ( natural)
advanced ( man made)
both relate to operations only
what is macro environement
external environement
what is micro environment
the market
examples of triggers for change
arrival of new entrants into the market
slowdown of market growth
innovation
