Strategic Analysis and Planning for Business Growth

External Analysis: To detect Opportunities and Threats

Internal Analysis: To discover Strengths and Weaknesses

PEST Analysis: used by organizations to discover, evaluate, organize, and track macro-economic factors which can impact on their business now and in the future

Political • Change to the political system very often forces business to change its approach. Economic • Changes in the market conditions, such as the presence of new competitors, or simply changes in the economy. Social • Changes in society or culture, such as demographic change, Technological • Technological innovation can force changes in production techniques

SWOT: done to try to access the CURRENT & FUTURE situation of a product, brand, business… (at the beginning for decision making), developed to help businesses set SMART objectives.

Positive factors of SWOT analysis

Strengths: internal factors that are favorable compared with competitors

• Opportunities: external factors favorable for the business

Negative factors of SWOT analysis:

• Weaknesses: internal factors that are unfavorable
• Threats: external factors that obstruct the possibilities for an organization.

SWOT Analysis and Market Position:

Growth Strategies (Using strengths to take advantage of opportunities (produces the most short-term strategy) / Defusing Strategies: Using strengths to deal with threats) / Re-orientation Strategies: (when a business focuses on addressing its weaknesses in order to use them for the opportunities available in the market.) / Defensive Strategies: when a business is at its most vulnerable. When threats and weaknesses exist in combination, the business needs to act defensively and quickly.

ANSOF MATRIX: to help companies to plan their growth strategies.

Market Penetration (Existing Market, Existing Product): by increasing its market share, selling more of its existing products in the same market. / Market Development (New Market, Existing Product): looking for new markets or for new market / Product Development (Existing Market, New Product): development of new products for the existing market. / Diversification (New Market, New Product): riskiest growth strategy, new product into a new market.