Assignment:
External Environment Analysis
Purpose: You will use the tools and apply concepts learned in this and previous business courses to demonstrate an understanding of how organizations develop and manage strategies to establish, safeguard and sustain its position in a competitive market.
Monitoring competitors' performance is a key aspect of performing an external environment analysis. This assignment provides you with the opportunity to evaluate the competitive position of one of the organizations listed below and integrate that information in an External Factor Evaluation (EFE) matrix and Competitive Profile Matrices (CPM).
Students are presenting a PowerPoint presentation. The expectation is that the presentation provides the level of detail to help a viewer grasps the main topics and to fully understanding the External Environmental Analysis.
Analysis is the operative word. In analyzing the external environment, you are expected to thoroughly research and take that research and break it into small parts to gain a better understanding of what is happening in the external environment of the business. In researching an industry, it is important to understand that every company within an industry is different so gathering information on one company does not mean that the collected information is relevant to other company within that industry. When researching, parsing the material is critical to an accurate analysis. Avoid presenting just any information as that may lead to using irrelevant information.
Step 1: The External Analysis
You will perform an external analysis on an industry where a company from the list below operates and competes. You will select one of these companies to complete the analysis. Using a company other than these will result in a zero for the assignment. You will perform research on the selected company, its industry and its competitors.
Focus on factors related to the company's industry and the environment that it and its competitors make. The factors to measure are those identified in a SWOT, Porter's Five Forces, PESTEL, EFE, and CPM.
• Team, Inc. (NASDAQ: TISI)
• HealthStream (NASDAQ: HSTM)
• United Rentals (NYSE: URI)
• Hawkins (NASDAQ: HWKN)
Step 2: Complete the External Environmental Analysis
In the past weeks, you have learned new concepts and techniques to assess the business environment. You will use these techniques (tools), concepts and information from your own research to perform the external analysis of the selected company's environment. You are not lifting from other sources but performing your own analysis. Include the following:
• Company overview
• Industry analysis
• Competitive analysis: [Use the company's closest competitors (3) plus the selected company.]
• Techniques Analysis: PESTEL, Five Forces, OT from SWOT, EFE, and CPM.
• Trends: Discuss trends significant to the industry and company and discuss key areas of uncertainty related to trends or events that potentially could impact the company's strategy.