Strategic Management 1

– A Position Analysis

© University of Hertfordshire
Three elements of position analysis

A position analysis can be seen to incorporate

three elements:

• 1. the environment.
• 2. strategic capability.
• 3. expectations and purpose.

© University of Hertfordshire Strategic Management 1 2

 Definition of a position analysis
• In Exploring Corporate Strategy 7th edition a
definition of a position analysis is given on page
17.

• “The strategic position is concerned with the

impact on strategy of the external environment,
an organisation’s strategic capability (resources
and competences) and the expectations and
influence of stakeholders”.
© University of Hertfordshire Strategic Management 1 3
 Position analysis and competing
philosophies
• In terms of Exploring Corporate Strategy 7th edition we may
wish to see a position analysis as being concerned with three
chapters. Chapters 2, 3 and 4.

• A diagram that puts position into context is on page 16 of the

textbook. The diagram is also on the next slide. This shows
how a rational and design view of strategy would see position
analysis as the first of three parts of the ENTIRE subject of
strategic management. However, some strategists
(particularly those in the emergent/learning school) would
argue that the subject cannot be simplified into these three
“areas”.

© University of Hertfordshire Strategic Management 1 4

 A model of the elements of Strategic
Management

Exploring Corporate Strategy, Seventh Edition © Pearson Education Ltd 2005

© University of Hertfordshire Strategic Management 1 5