Assignment task: Introduction
Over the last few weeks, we learned that a successful, practical and professional strategic plan requires a close attention to both internal and external environments of the business. Perhaps, having an accurate and meaningful internal and external analysis of business is an inevitable groundwork for any strategic development or investment. In this case analysis, as a group, you have to conduct group discussions around the external/internal analysis of a particular corporation and answer the following question in the format of a report. Imagine that you are a group of newly hired business graduates employed by an investment bank. Your director asked you to make this report to be used as a base for a better and more informed investment decision.
The Case:
As a young, emerging, and newly regulated industry, the Canadian Cannabis industry provides some excellent opportunities to understand strategic planning, management, and implementation. Among the market leaders of the Canadian Cannabis industry is "Canopy Growth Corp," an Ontario-based company. By investigating the top Canadian Cannabis Corporations, Nathan Rieff reports in his Investopedia article that Canopy Growth "has the distinction of having been the first federally-regulated and -licensed publicly-traded cannabis grower in North America. Now, thanks in part to an investment of close to $4 billion by Constellation Brands in August of 2018, Canopy Growth is the largest marijuana company in existence as of this writing and per market capitalization. Canopy Growth Corp. reported on its final-quarter results from 2018 early in the new year, and the figures boast some impressive accomplishments. The company boosted sales for its FY Q3 by 256% as compared with the prior quarter. Sales are up by 283% year-over-year for the quarter as well." (see Investopedia, 2019). The Canopy Growth's consolidated financial reports also show the fast and steady progress of an ambitious business. However, the company's growth and development showed some signs of decline by the end of 2019 with 15-20% slid in share prices "after the company posted weaker-than-expected earnings for its fiscal second-quarter" (see. Linnane, C. 2019, MarketWatch). This report, and many others, suggest that the young growing businesses like Canopy Growth face with many external and internal issues to address.
Answer the following questions based on the above case-
QUESTION 1- Internal Environment - Identify the company's internal strengths & weaknesses.
QUESTION 2- External Environment - what is the nature of the external environment of the company and how its defined through the PESTEL Analysis.