Internal Analysis : External Analysis

"A good mission statement portrays an organization's unique and lasting reason for being, and energizes stakeholders to follow common goals. It likewise enables a focused allocation of

The main purpose of this paper is through the company 's external and internal environment analysis to evaluate the company in the industry and future developments. Assess the external environment mainly through PESTLE Analysis and Porter 's 5 Forces. Strategic Recourses & Capability Analysis for internal environmental assessment is conducted. Finally, the company somehow SWOT analysis, concluded ••••

Ideally, a good mission statement also provides information regarding the organization’s overall management philosophy, its business model, its technical and social competencies, and its values and beliefs (Aguinis, 2009; Azaddin, 2011; Bart & Hupfer, 2004; Covin, Slevin, & Schultz, 1994). Moreover, to make mission statements of large companies more individually relevant, Azaddin (2011) advocates flexible “guiding statements” that account for the “context, culture, structure, and needs of an organization” (p. 31). Thus, a mission statement must be meaningful and applicable to all stakeholders for strategic decision-making to be effective.

When manipulating a business’s strategy, it is important to focus on the external factors in the environment. An external analysis is where a business conducts environmental scanning that present a company with the key external forces influencing the organization. The facets of external forces examined are the business environment, remote environment, or the competitive environment. A business environment is all of the external factors in the general environment that a firm cannot control, but can affect their strategy. The remote environment is the forces that affect most firms. Lastly, a competitive environment is the firm’s specific industry and its entirety. The external analysis is pertinent to a company called Dick’s Drive- In; without it, Dick’s would not be a thriving popular business today.

34). The organization’s mission statement should “work through metaphors that help employees make appropriate decisions when faced with day-to-day situations, which sometimes can be novel or stressful” (Rothaermel, 2013, p. 34). More specifically, customer-oriented businesses should have a customer-oriented mission statement, while product-oriented businesses should have a product-oriented mission statement (Rothaermel, 2013). Product-oriented businesses should be wary, however, as customer-oriented mission statements allow for greater strategic flexibility (Rothaermel, 2013).

the internal analysis of the firm and the external analysis of the industry and competitive environment

The assessment of internal factors analyze inside the physical confines of the organization. These factors are within the control of the organization. The internal assessment considers plan implementation, structure, culture, innovation, diversity, ethics, processes and technology. All of the factors can have a grave impact on the success of an organization. This is why the planning function of management is so important. Technology is rapidly changing, and for a business to succeed it must change with the time to adapt to

In this segment, the retailer J.C. Penney will be analyzed against the department store retail industry, with particular emphasis placed upon their competitors, Macy’s and Kohl’s. The major components to be discussed will include the general external environment (i.e. demographics, economics, politics, legal requirements, technologies and global expansion), the industry environment, the competitive environment, the driving forces and the key factors for success within the industry. In terms of the general external environment, the retail industry is a multi-trillion dollar business in the United States alone and maintains operations primarily due to consumer spending. Such purchases rely upon the disposable income of

LVMH has a wide range of consumers from different backgrounds. It is imperative that they are aware of religion, race, culture, and buying habits in every country. For instance, worldwide people are more dependent on the Internet, signifying that the methods of how people purchase goods are changing.

Moving ahead,in order to get the idea about company’s internal environment and its capacity to survive and prosper in the market(Strategic capability), I analysed the resources and competencies(Appendix 3) ,the value chain (Appendix 3),the Cultural Web(Appendix 5). To find out the influence of stakeholders on the company I applied Power/Interest to the company and finally analysis of strengths,weaknesses ,opportunities and threats to the company(SWOT Analysis-Appendix 7) provide with clear idea about the strategic position of M&S.

There are five main components of an Internal Analysis, including resources, capabilities, core competencies, competitive advantage, and strategic competitiveness. Each component is the basis of next one in turn.

For strategic analysis part, we used PESTLE and Porter’s 5 forces for external analysis; and SWOT and Value Chain for internal analysis.

Organizing the direction of a business or corporation is essential because it can increase profitability and provide broad guidelines for how to accomplish the organization goals. This is where a mission statement becomes useful. A mission statement should be short, concise, and to the point. Employees should be able to remember it and make it part of their everyday work culture.

A personal mission statement is a philosophy or creed that one plans to follow in daily life. It is usually designed with positivity, purpose, and with personal goals for every aspect of life such as career, finances, etc. It also focuses on personality traits that one would like to possess and the accomplishments that one wants to achieve, both short-term and long term. It also houses the individuality of the person writing it. Every person writing a personal mission statement is will produce a different statement. This is primarily because people value different things, characteristics and have different goals. The purpose of this paper is to explore my mission statement (Covey, 2013, pp.113).

The internal environment consists of the inherent competencies of the firm and the structure of its internal systems and processes. It is imperative for the organization to conduct an internal analysis