Business
Environments
, Bus. Environments
Environmental Scanning
- constantly be done
bc. environments = everchanging
keep up w/ changes & trends
can be positive/negative
- Benefits
Identify threats
identify possible opportunities & gaps in market
Keeps a finger on pulse of competitor
allow entrepreneur = long & short term strategies
- 360° process
- types (before starting a business)
viability of the product
strength of competitor
size of market
Stability of resources
- continuous scanning: 3P's & TBL -> determines social, environmental & economic effect
- STEPS IN IMPLEMENTING/DEVELOPING A MANAGEMENT STRATEGY
Define the bus. vision, mission & corporate objective
Analyse the diff. environments in detail
Issues to consider when choosing a strategy
return on investment
potential for business growth
risk factors
image the business is trying to create
effect on decisions on ownership
political & social issues
identify various strategic options available
evaluate & analyse the viability of each strategic option (contingency plans)
plan the implementation of the chosen strategy
monitor and control
Micro Environment
- Business functions
General Management
Financial Function
Human Resources
Marketing
Production/Operation
Purchasing
Administration
Public Relations
Environments
, Bus. Environments
Environmental Scanning
- constantly be done
bc. environments = everchanging
keep up w/ changes & trends
can be positive/negative
- Benefits
Identify threats
identify possible opportunities & gaps in market
Keeps a finger on pulse of competitor
allow entrepreneur = long & short term strategies
- 360° process
- types (before starting a business)
viability of the product
strength of competitor
size of market
Stability of resources
- continuous scanning: 3P's & TBL -> determines social, environmental & economic effect
- STEPS IN IMPLEMENTING/DEVELOPING A MANAGEMENT STRATEGY
Define the bus. vision, mission & corporate objective
Analyse the diff. environments in detail
Issues to consider when choosing a strategy
return on investment
potential for business growth
risk factors
image the business is trying to create
effect on decisions on ownership
political & social issues
identify various strategic options available
evaluate & analyse the viability of each strategic option (contingency plans)
plan the implementation of the chosen strategy
monitor and control
Micro Environment
- Business functions
General Management
Financial Function
Human Resources
Marketing
Production/Operation
Purchasing
Administration
Public Relations
