2. Notice our lecture begins the SWOT analysis in Chapter 3 with the external environment – an environmental scan of the opportunities and threats. The internal analysis begins in the next lecture – Chapter 4. Why is that? Why do you begin your SWOT analysis externally, not internally?
The external analysis is more important than the internal analysis for a number of reasons. The external environment analysis takes into account non-controllable factors that affect the company but which the company cannot control. If the company does not take them into consideration, they could affect the very operations of the company. An internal analysis, on the other hand, only seeks to address issues within the company- meaning that these are concerns that the company is in a position to control.
3. As a corporate “strategic planning” resource, is it better to have assets or competencies. Give an example … a different one than your classmates’ examples. And, do not say “both” or “it depends.” Pick one and explain it.
Strategic assets are basically a corporation’s own resources. Core competencies, on the other hand, refer to a company’s best capabilities. In essence, strategic assets are worthless until they are converted into products that can be used by the company’s customers. Competencies are quite important as they can be used by businesses to leverage their strategic resources and generate a unique advantage over business rivals (Rumelt, 2011). Competencies are the more valuable choice.
4. Give an example of a product-market and why it fits the criteria for a product-market. Each student must give a “different” example –OR– disagree with another student’s example explaining why the disagreement. One input per student, please.
A "product market" refers to the distinct society demographic to which a business targets its newly created products. For instance, a new range of age defying