Environmental Scanning:
The process of obtaining current and future information that may affect the
performance of a business, ensuring readiness for external and internal events. To
benefit from positive eventualities and overcome negative eventualitie.
To identify strengths, weaknesses, opportunities and threats
To identify and develop a strategy:
Chapter 1: Business Environments
Vision/mission
Formulate a strategy
Implement the strategy
Evaluation and control
Strengths and Weaknesses
-all strengths will apply as weaknesses if not applied properly, with the
opposite effect on the business in comparison to the strengths
•Competitive price
•Location
•Unique products (patents)
•Work skills
•Business culture
•Good marketing and a strong brand
Opportunities and Threats
-It is important that the business assesses the impact that opportunities and threats could
have on it and to deal with these factors by putting strategies in place-
•PESTLE factors in the macro environment
•Porter’s Six Forces Model in the market environment
8 Functional areas of a business
(8 functions of business)
Purchasing, Production, Financial, Marketing, Public Relations, Administration
,Human Capital, General Management
The process of obtaining current and future information that may affect the
performance of a business, ensuring readiness for external and internal events. To
benefit from positive eventualities and overcome negative eventualitie.
To identify strengths, weaknesses, opportunities and threats
To identify and develop a strategy:
Chapter 1: Business Environments
Vision/mission
Formulate a strategy
Implement the strategy
Evaluation and control
Strengths and Weaknesses
-all strengths will apply as weaknesses if not applied properly, with the
opposite effect on the business in comparison to the strengths
•Competitive price
•Location
•Unique products (patents)
•Work skills
•Business culture
•Good marketing and a strong brand
Opportunities and Threats
-It is important that the business assesses the impact that opportunities and threats could
have on it and to deal with these factors by putting strategies in place-
•PESTLE factors in the macro environment
•Porter’s Six Forces Model in the market environment
8 Functional areas of a business
(8 functions of business)
Purchasing, Production, Financial, Marketing, Public Relations, Administration
,Human Capital, General Management
