Lesson 2 - Analysis Tools-Dreams

Analysis Tool /what are they/how to use them/from the analysis how to spot opportunities :

UNDERSTAND THE IMPLICATION OF EACH ANALYSIS.

HOW CAN YOU USE THE TOOL TO ADVISE SOMEONE ON THE BUSINESS OPPORTUNITIES.


Macro environment scanning : PEST.

Micro environment : SWOT.

Political

Economic

Socio Cultural

Technology

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Imagine you are tasked to expand your company business oversea.
Your boss has asked you to prepare a report.
What would you do?

- use PEST to give a big picture of the country your company going to expand to.

understand each factors and what is the implication for your business.

Socio cultural : see posting on Fad or Trend (Red Mango : yoghurt/what happen if your company don't understand the socio-cultural impact).

Ageing population : what is the implication to your business, what opportunities does it present ? - eg anti ageing cream maybe a bit hit (demand curve shift to right?)


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SWOT :

to analyse your business or company at the company level and immediate factors (micro environment- eg suppliers/competitors) that affect the company.
External factors : Opportunities/Threats.

Internal factors : Strength/Weakness.

Hey : opportunities arise from EXTERNAL factors that may be beyond your control.

Eg : if you are interested to start up an event planning business, if the IRs (EXTERNAL) are successful in attracting big MICE , it will present opportunities for your company.

However, if big, established event planners also set up shop here, they become a THREAT to your business.