Management and Organizational Studies 4410A/B Study Guide - Midterm Guide: Strategic Management, Scenario Analysis, Swot Analysis

• School: Western University
• Department: Management and Organizational Studies
• Course: Management and Organizational Studies 4410A/B
• Professor: Raymond Leduc

Document Summary

Chapter 2: analyzing the external environment of the firm. Firms must continuously analyze the general environment and firm"s industry and competitive environment: general environment elements that an organization finds outside its own boundaries and which have some bearing on its ability to exist and thrive. Manager have no control over these elements. Legislation, technology, cultural changes, globalization , etc: industry or a company"s competitive environment is composed of a set of firms that produce similar products or services, sell to similar customers and use similar methods of production. Definitions can vary on the perspective (suppliers vs market ) Factors that can define the boundaries of an industry. Time (longer timeline- distant firms can become competition) Gathering industry information and understanding the competitive dynamics are keys to successful strategic management. Environmental analysis requires managers to continually question their own assumptions regarding their environment. Managers use 3 important processes: scanning, monitoring, gathering competitive intelligence.