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Example of practical application of External environment data

gathering Process: Namibian Agricultural organisation June ‘09

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M Ungerer
USB Strategic Management
Abcc Strategy:
Industry Analysis
Industry trends and opportunities (1)

 How would you describe the Industry/Industry cluster Xyzz is competing


in?
 Zzz

 What are the other industry/alternative industry descriptions you can


define for the competitive space Abcc wants to occupy?
 yyy

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Industry trends and opportunities (2)

 What are the challenges and rivalries in this industry? What are some of
the key trends that we observe here?:
 Are there any threats from disintermediating industries?
• Y…
 Are there any threats from current players or new entrants into this industry –
now and in future?
• Y…
 Are there changes to the industry rules that will make it difficult in the future?
• Y…

 What orthodoxies (generally accepted rules, approaches, thinking) exist in


this industry, that we can possibly capitalize on?
 Yy..

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Industry trends and opportunities (3)

 How can we shift our relative bargaining power in this industry. What
advantages is there in doing this?
 Yy..

 Can we compete in other industries through substitute products and


services that can add or improve value, based on some of our current
skills?
 Yy..

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Industry Value chain

 What is the position of our


organisation in the industry value
chain? What are the areas of
threats and opportunities?

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Summary: Industry trends and opportunities

Key Industry Trends Implications/Opportunities/Threats

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Abcc Strategy:
Competitor Analysis
Competitor trends and opportunities (1.1)

 Who are the main competitors/potential competitors of Abcc? (Think of who


have the capabilities to replace your offering, substitute your offering). Also
describe the competitors core business.
Main Competitors Their core business, offerings and strengths

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Competitor trends and opportunities (1.2)

 Who are the main competitors/potential competitors of Abcc? (Think of who


have the capabilities to replace your offering, substitute your offering). Also
describe the competitors core business.
Main Competitors Their core business, offerings and strengths

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Thinking about Competitors

Here essentially the focus moves to the other players in the industry you play in or players from
industries potentially targeted by your company.

Key questions to answer is:

•Who are our real competitors?


•Where are they beating us and why?
•What are their business designs?
•What are their strategies and where are they making investments to break out of their current value
chain role?
•How can we counteract their competitive positioning?

We should also now already establish the right mental model for our review. When looking at
your competition do not think of ways of going against competitors but of going around them. It
is based rather on avoidance than attack. ( Hamel) Too many examples exists of head-on battles
that developed into ever escalating price or promotion wars, pressure on margins and eventually
demise

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Conclusions: Competitor trends and opportunities

Key Competitor Trends Implications/Opportunities/Threats

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Abcc Strategy:
Customer Trends
Customer trends and opportunities (1)
The first important aspect here is to be able to categorize customers accurately. Be very clear on
who the customer is and don’t think you have a homogeneous customer base. Think of end
customer groups who have similar needs.

 What do customers currently value and prefer? (per segment)


 Zz..

 How have their priorities changed?


 Zz..

 Are there any new customers we should include in our scope?


 Zz..

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Customer trends and opportunities (2.1)
The first important aspect here is to be able to categorize customers accurately. Be very clear on
who the customer is and don’t think you have a homogeneous customer base. Think of end
customer groups who have similar needs.

Segment Current Future Customer Present Offering Gaps & Implications for
Description Customer Needs Needs Features new offerings/ features

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Customer trends and opportunities (2.2)
The first important aspect here is to be able to categorize customers accurately. Be very clear on
who the customer is and don’t think you have a homogeneous customer base. Think of end
customer groups who have similar needs.

Segment Current Future Customer Present Offering Gaps & Implications for
Description Customer Needs Needs Features new offerings/ features

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Abcc Strategy:
External Analysis Integration
Development of Opportunities and Treats based on External analysis

Threats Impact Scale 1-10:


1=Weak 10=Strong

Threats Impact Scale 1-10:


1=Weak 10=Strong

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Development of Opportunities and Treats based on External analysis

Opportunities Impact Scale 1-10:


1=Weak 10=Strong

Opportunities Impact Scale 1-10:


1=Weak 10=Strong

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