Road map for strategic analysis identifies key variables and structures critical relationships. Strategy tells you what opportunities the business is pursuing in the environment, and what resources, organizational capabilities, and mgmt. preferences are required for effective execution. Consistency among component variables will lead to successful performance. Viable strategy must be in alignment with opportunities and challenges of environment, and with internal capabilities, drives, and constraints of business. In dynamic environment with shifting customer preferences and competition, strategy and org must be nimble. Strategy must satisfy both external and internal circumstances simultaneously. Linkages must developed and sustained over time, even as circumstances change. Principle of alignment remains driving concern in strategic analysis. Environmental risks: arise from potential inconsistencies between strategy and environment. Short run: risk is of miscalculating timing or potential, or competitive reaction: you think strategic initiative will work but might be misreading situation.