A SEMINAR TOPIC ON

TECHNIQUES OF ENVIRONMENTAL ANALYSIS

PRESENTED BY
THOTA RAVINDER
21564C3035
I M.COM I SEMESTER(FA)
UCCBM,KAKATIYA UNIVERSITY
 SWOT ANALYSIS
• S= STRENGTH
INTERNAL FACTORS
• W= WEAKNESS
• O=OPPORTUNITIES
EXTERNAL FACTORS
• T= THREATS
INTERNAL FACTORS:
THESE ARE INTERNAL TO YOUR COMPANY THINGS THAT
YOU HAVE SOME CONTROL OVER AND CAN CHANGE.
EXAMPLE IT INCLUDE WHO IS ON YOUR TEAM, YOUR
PATENTS AND INTELLECTUAL PROPERTY AND YOUR
LOCATION
I) STRENGTH
• A FIRMS STRENGTH ARE ITS RESOURCES AND ABILITY THAT
CAN BE USED AS A FOUNDATION FOR EXPANDING
COMPETITIVE ADVANTAGE. IT INCLUDES FACTORS OF LIKE
BETTER BRANDS, REPUTATION, AND GOODWILL COST
REDUCTION.
II) WEAKNESS :-
• WEAKNESS INCLUDE THOSE ZONES WHERE THE
FIRM IS NOT STRONG. FOR INSTANCE HIGH COST
STRUCTURE AND INEFFICIENT PRODUCTION
PROCESS MAY KEEP A FIRM WEAK.
EXTERNAL FACTORS :-
1.OPPURTUNITIES
2. THREATS
• OPPORTUNITIES AND THREATS ARE EXTERNAL THINGS THAT ARE GOING
ON OUTSIDE YOUR COMPANY IN THE LARGER MARKET. YOU CAN TAKE
ADVANTAGES OF OPPORTUNITIES AND PROTEST AGAINST THREATS BUT
YOU CAN'T CHANGE THEM. EXAMPLE COMPETITORS, PRICE OF RAW
MATERIALS AND CUSTOMER SHOPPING TRENDS.
1 OPPORTUNITIES:-
• THESE ARE THE FACTORS WHICH OPEN DOORS TO PROFITABILITY AND
EXPANSION OF A FIRM, AND ARE PRESENT IN THE EXTERNAL
ENVIRONMENT OF A BUSINESS.
2.THREATS
• THREATS INCLUDE NEW POLICY OF REGULATION BY THE
GOVERNMENT STRICTLY INCREASING COST OF MATERIAL ETC. THE
SWOT ANALYSIS, ONE HAS TO IDENTIFY ALL THE FOUR FACTORS,
STRENGTHS SHOULD BE ENHANCED AND WEAKNESS SHOULD BE
ELIMINATED FOR EFFICIENCY REPEATING BENEFITS OF
OPPORTUNITIES AND AVOIDING CHALLENGES OF TREATS.
• IN SWOT ANALYSIS, ONE HAS TO IDENTIFY ALL THE FOUR
FACTORS STRENGTHS SHOULD BE ENHANCED WEAKNESS
SHOULD BE ELIMINATED FOR EFFICIENCY REPEALING BENEFITS
OF OPPORTUNITIES AND AVOIDING CHALLENGES OF THREATS.
 ETOP ANALYSIS

E = ENVIRONMENTAL
T= THREAT
O=OPPORTUNITY
P= PROFILE
• THE ENVIRONMENTAL FACTORS ARE QUITE COMPLEX AND IT MAY BE
DIFFICULT FOR STRATEGY MANAGERS TO CLASSIFY THEM INTO NEW
CATEGORIES TO INTERPRET THEM AS OPPORTUNITIES AND THREATS A
MATRIX OF COMPARISON IS DRAWN WHEN ONE ITEM OR FACTOR IS
COMPARED WITH OTHER ITEMS AFTER WHICH ARE SCORES ARRIVED AT
ARE ADDED AND RANKED FOR EACH SCORE CALCULATED FOR
PRIORITIZING OF THE FACTOR.
• THE PREPARATION OF ETOP INVOLVES DIVIDING THE ENVIRONMENT INTO
DIFFERENT SECTORS AND THEM ANALYSING THE IMPACT OF EACH SECTOR
ON THE ORGANISATION. A COMPREHENSIVE ETOP REQUIRES SUB DIVIDING
EACH ENVIRONMENT SECTOR IN SUB FACTOR AND THEM THE IMPACT OF
EACH SUB FACTOR ON ORGANISATION IS DESCRIBED IN THE FORM OF
STATEMENT