ADMS 4570 Chapter Notes - Chapter 2: Environmental Monitoring, Competitive Intelligence, Market Environment
12 May 2014
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Might also consider companies abroad that are competition. These assumptions make the theory of business. Need to therefore, scan, monitor, gather competitive intelligence, forecast and use scenario analysis. It involves surveillance of a firm"s external environment to predict future environmental changes and detect changes already under way. Need to know critical trends and events: ex. globalization, time to market (a gap that exists between product development cycles), shifting roles and responsibilities. Tracks the evolution of environmental trends, sequences of events or streams of activities: ex. Helps better define and understand the industry and also identify rival"s strengths and weaknesses. It helps avoid surprises by anticipating competitor"s moves and decreasing response time. Should gather information and analyze it to the point where it is possible to make an appropriate decision should not spy on the other company. Should use it as a tool to alert of threats and opportunities it does not predict the future but prepares for it.
