BU111 Study Guide - Midterm Guide: Pest Analysis, Walmart, Junk Food
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BU111 Full Course Notes
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The relationship between the firm and it"s external environment. Before change is implemented, a business must go through the course model. Critical success factors influence and are inter-related to the internal (hr: employee commitment) and external environment (pest) Anticipating, meet/deliver and understand trends (customer needs) Every other success factor leads to this. Cutting costs through efficient distribution network (behind the scenes innovation) * links to financial performance. Product advantage: how product meets customer needs better (perfect quality- more cost- isn"t always most advantageous for all customer needs) Customers: distinct and different (other than price)- toys r us, maintain profit margin. Employees: rewards systems for employees (rather work for google than wal mart) Diamond e model: (managers go through process as a strategy to make changes) Identifying key variables to be considered in strategic analysis. Strategy needs to be implemented based on realistic observation of internal variables: Management preferences: consider they can be biased.
