STRATEGIC POSITIION AND

ACTION EVALUATION (SPACE)

MATRIX
PRESENTED BY:
HANNA MOHAMMAD TAHIR

G1310116

NUR ADIBAH BINTI SALLEH G1218294

OBJECTIVE
To determine the type of a strategy
that Proton should undertake in order
to hold, maintain or expand their
market position.

BACKGROUND
A strategic management tool that
focuses on strategy formulation
especially as related to the
competitive position of an

 Market penetration
Market development
Product
development
Related
diversification

Retrenchment
Divestiture
Liquidation

Vertical / horizontal
Integration
Market penetration
Market development
Product development
Diversification

Vertical / Horizontal
Integration
Market penetration
Market development
Product development

SPACE MATRIX OF PROTON

Financial Position (FP)

Stability Position (SP)

+6 (best) to+1 (worst)

-6 (worst) to-1 (best)

Liquidity

Technological Changes

-4

Leverage

Price range of competing products

-4

Cash Flow

Barriers to entry into market

-3

Profitability

Competitive Pressure

-5

Earning Per Share

Demand Variability

-3

Risk involved in business

-5

TOTAL

-24

TOTAL

18

Competitive Position (CP)

Industry Position (IP)

-6 (worst) to-1 (best)

+6 (best) to+1 (worst)

Market Share

-3

Growth Potential

Product Quality

-3

Financial stability

Brand and Image

-3

Ease of entry into market

Government Support

-1

Profit potential

Product life-cycle

-3

Resource utilization

Customer loyalty

-3

Productivity utilization

Technology know-how

-3

Adaptability

TOTAL

-19

TOTAL

26

CALCULATED VALUE
Average Calculated for Financial Position: 3.6 (18/5)
Average value for Competitive Position: -2.71 (-19/7)
Average Value for Stability Position: -4.0 (-24/6)
Average Value for Industry Position: 3.71 (26/7)
Point on x-axis: CP +IP= (-2.71+3.71)= 1.00
Point on y-axis: FP + SP = (3.60+(-4.00)=-0.40

FP
CONSERVATIVE

AGGRESSIVE
X-axis 1.00
Y-axis
-0.40
IP

CP

Vertical / Horizontal
Integration
Market penetration
Market development
Product development

COMPETITIVE

DEFENSIVE
SP