strategic management

Analysis 4: 5 Pages
 Analysis 5: 5 Pages
 Strategic Alternative 1: 1 – 2 pages.
 Strategic Alternative 2: 1 – 2 pages.
Analysis 4 (4 Points)
Explain how each of the five forces of competition [in Porter's model] influences
the profitability of the featured company's industry.
Analysis 4 is associated with Chapter 3 on "lndustry Analysis" and requires you to use
Porter's Five Forces model.

Source: Grant (2016) Contemporary Strategy Analysis, Chapter 3
You will apply Porter's five forces of competition framework to analyze how the five
competitive forces influence the profitability of the industry in which the given firm

competes. You will also use the Porter's five forces model to (a) describe the structure
of the given firm's industry, and (b) also talk about how some of these forces are
changing or will change in the future. Although the industry of the future could possibly
look very different from the industry of today, the fundamental structure and competitive
forces will probably remain the same.
Alternative 1 (1.5 Points)
What will be the key success factors in the featured company's industry in the
future?
Analysis 4 should lead to this sub-section on alternative 1. Basically, your strategic
alternative 1 should help a hypothetical firm in this industry improve its competitive
position or alter the industry structure. Start by thinking about the basis for competitive
advantage [of a hypothetical company] in this industry. What will this industry look like in
five to ten years? How will the factors that influence competitive advantage shift during
this time? Which of the Porter's five forces will change in the future? Use these
questions as a basis to develop strategic alternatives for a hypothetical company to
either achieve competitive advantage in the future or sustain its current competitive
advantage in the future.
Please refer to the following framework in Chapter 3 titled: Identifying Key Success
Factors

Source: Grant (2016) Contemporary Strategy Analysis, Chapter 3
Analysis 5 (4 Points)
Analysis 5 is associated with Chapter 5 (Analyzing Resources and Capabilities). Please
refer to the following framework in Chapter 5 titled: "A framework for Analyzing
Resources and Capabilities".

Source: Grant (2016) Contemporary Strategy Analysis, Chapter 5
Step 1: In which of the firm's principal (functions or) value chain activities do its main
competitive advantages lie? Use the Porter's Value Chain to identify a handful of
resources and capabilities in the company's primary value chain activities.

Source: Grant (2016) Contemporary Strategy Analysis, Chapter 5
Step 2: Please refer to Chapter 5 for an explanation on how to appraise the firm's
resources and capabilities in terms of (a) strategic importance, and (b) relative strength.
Source: Grant (2016) Contemporary Strategy Analysis, Chapter 5
Alternative 2 (1.5 Points)
How can the firm exploit internal strengths while defending against internal
weaknesses?
Step 3: Once you have appraised the firm's resources and/or capabilities, the next step
is to develop strategic implications.
Again, the alternatives are potential solutions to the strategic problem you would have
articulated in the first section.
More specifically, please refer to point # 3 (Develop strategy implications ……) in the
above figure ("A framework for Analyzing Resources and Capabilities").

 Exploiting key strengths or

Managing key weaknesses

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