Value Chain

THE MACRO-ENVIRONMENT 55 key drivers can be used to construct scenarios of workable futures. Scenarios consider how strategies might need to change depending on the antithetical ways in which the business environment might change. ? Industry, or sector, forms the next layer with this broad general environ- ment. This is made up of organisations producing the same products or services. Here the ?ve forces framework is particularly helpful in understanding the attractiveness of particular industries or sectors and electromotive force threats from outside the present set of competitors. This chapters key make out (Illustration 2.6) addresses the importance of industry factors, rather than business-speci?c factors, in determine success. ? Competitors and markets are the most immediate layer surrounding organis- ations. indoors most industries or sectors there will be many another(prenominal) different organisations with different characteristics and competing on different bases, some finisher to a particular organisation, some more remote. The concept of strategical groups can help identify close and more remote competitors. Similarly, in the marketplace, customers expectations are not all the same.

They have a range of different requirements the importance of which can be mute finished the concepts of market segments and critical success factors. This chapter works through these three layers in turn, starting with the macroenvironment. 2.2 THE MACRO-ENVIRONMENT The three concepts in this contribution PESTEL, key drivers and scenarios are interrelated tools for analysing the broad macro-environment of an organisation. PESTEL provides a panoptic overview; key drivers help focus on what is most serious; and scenarios build on key drivers to explore different ways in which the macro-environment might change. 2.2.1 The PESTEL framework The PESTEL framework categorises environmental in?uences into 6 main types: political, economic, social, technological, environmental and legal... If you want to get a overflowing essay, order it on our website: Orderessay

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