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SENIOR HIGH SCHOOL

Trends, Networks, and


Critical Thinking in the
21 century
st

Quarter 1 – Module 9:
Applying Strategic Analysis
 
Humanities and Social Sciences – Grade 12
Alternative Delivery Mode
Quarter 1 – Module 9: Applying Strategic Analysis
First Edition, 2020

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Trends,
Networks and
Critical Thinking
in the 21 st

Century
Quarter 1 – Module :9
Applying Strategic Analysis
Introductory Message
For the facilitator:

Welcome to the Trends, Networks and Critical Thinking in the 21 st Century Grade
12 Alternative Delivery Mode (ADM) Module on Applying Strategic Analysis.This
module was collaboratively designed, developed and reviewed by educators both
from public and private institutions to assist you, the teacher or facilitator in
helping the learners meet the standards set by the K to 12 Curriculum while
overcoming their personal, social, and economic constraints in schooling.

This learning resource hopes to engage the learners into guided and independent
learning activities at their own pace and time. Furthermore, this also aims to help
learners acquire the needed 21st century skills while taking into consideration
their needs and circumstances.

In addition to the material in the main text, you will also see this box in the body of
the module:

Notes to the Teacher


This contains helpful tips or strategies
that will help you in guiding the learners.

As a facilitator you are expected to orient the learners on how to use this module.
You also need to keep track of the learners' progress while allowing them to
manage their own learning. Furthermore, you are expected to encourage and assist
the learners as they do the tasks included in the module.

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For the learner:

Welcome to the Trends, Networks and Critical Thinking in the 21st Century
Alternative Delivery Mode (ADM) Module on Applying Strategic analysis.The hand is
one of the most symbolized part of the human body. It is often used to depict skill,
action and purpose. Through our hands we may learn, create and accomplish.
Hence, the hand in this learning resource signifies that you as a learner is capable
and empowered to successfully achieve the relevant competencies and skills at
your own pace and time. Your academic success lies in your own hands!
This module was designed to provide you with fun and meaningful opportunities
for guided and independent learning at your own pace and time. You will be
enabled to process the contents of the learning resource while being an active
learner.

This module has the following parts and corresponding icons:

What I Need to Know This will give you an idea of the skills or
competencies you are expected to learn in
the module.

What I Know This part includes an activity that aims to


check what you already know about the
lesson to take. If you get all the answers
correct (100%), you may decide to skip this
module.

What’s In This is a brief drill or review to help you link


the current lesson with the previous one.

What’s New In this portion, the new lesson will be


introduced to you in various ways such as a
story, a song, a poem, a problem opener, an
activity or a situation.

What is It This section provides a brief discussion of


the lesson. This aims to help you discover
and understand new concepts and skills.

What’s More This comprises activities for independent


practice to solidify your understanding and
skills of the topic. You may check the
answers to the exercises using the Answer
Key at the end of the module.

What I Have Learned This includes questions or blank


sentence/paragraph to be filled in to
process what you learned from the lesson.

What I Can Do This section provides an activity which will


help you transfer your new knowledge or
skill into real life situations or concerns.

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Assessment This is a task which aims to evaluate your
level of mastery in achieving the learning
competency.

Additional Activities In this portion, another activity will be given


to you to enrich your knowledge or skill of
the lesson learned. This also tends retention
of learned concepts.

Answer Key This contains answers to all activities in the


module.

At the end of this module you will also find:

References This is a list of all sources used in


developing this module.

The following are some reminders in using this module:

1. Use the module with care. Do not put unnecessary mark/s on any part of
the module. Use a separate sheet of paper in answering the exercises.
2. Don’t forget to answer What I Know before moving on to the other activities
included in the module.
3. Read the instruction carefully before doing each task.
4. Observe honesty and integrity in doing the tasks and checking your
answers.
5. Finish the task at hand before proceeding to the next.
6. Return this module to your teacher/facilitator once you are through with it.
If you encounter any difficulty in answering the tasks in this module, do not
hesitate to consult your teacher or facilitator. Always bear in mind that you are
not alone.

We hope that through this material, you will experience meaningful learning
and gain deep understanding of the relevant competencies. You can do it!

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What I Need to Know This will give you an idea of
the skills or competencies you are expected to learn in the
module.

This module was designed and written with you in mind. It is here to help
you master the nature of Trends, Networks and Critical Thinking in the 21st
Century. The scope of this module permits it to be used in many different learning
situations. The language used recognizes the diverse vocabulary level of students.
The lessons are arranged to follow the standard sequence of the course. But the
order in which you read them can be changed to correspond with the textbook you
are now using.
The module is about the difference of Trends from Fads (MELC 9, Week 3).
 After going through this module, you are expected to:
1. Define PEST and SWOT analysis.
2. Discuss SWOT and PEST analysis in relation to strategic analysis. .
3. Recognize the importance of these tools in their everyday life

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What I Know

This part includes an activity that aims to check what you already know about the
lesson to take. If you get all the answers correct (100%), you may decide to skip this
module.

Multiple Choice. Read each item carefully and shade the circle that corresponds to
the correct answer
1. _________ is one of the most reputed techniques for internal strategic analysis
  A. SWOT B. NEDA
C. PEST D. WOH
 2. Which makes you stand out from others?
  A. Strength B. Weakness C. Opportunities D. Threats

4. There are negative factors that will affect the growth of the organization.
  A. Strength B. Weakness C. Opportunities D. Threats
4. Strategic Thinking requires SWOT analysis to anticipate whether the goal is
feasible or not. What is T in SWOT stands for?
  A. Time B. Timing C. Threats D. Threatened
5. PEST analysis is much way simple than any other tools. What is E in PEST
means?
A. Economic B. Economy C. Ecosystem D. East

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Lesson
Relationship of SWOT and
1 PEST in Strategic Analysis

What’s In This is a brief drill or review to help you link the


current lesson with the previous one.

Philippine Women’ volleyball team started to make their own name in the field of
sports. Decade after decade, they learned from their mistakes and show eagerness
to end their stint on podium. The team go back to basics and gradually shaping
everybody to be globally competitive as the international ambience differs very
much on how local players play. They spent time training every day just to prove to
their fellow countrymen that they are deserving to the support they are receiving.
ASEAN games was once again held in the Philippines in November 2019. By this,
Filipinos all over the world are showing their support and really hoping that the
women’s team performs well. Then, the said 30th ASEAN Games finally started and
fans are on their feet to show their big heart to the sport of volleyball. Moreover,
Philippine volleyball star Alyssa Valdez, Mika Reyes and Abigail Marano bannered
the team Philippines. Unfortunately, the dream podium wasn’t meant for the girls
as they ended the tournament as 4 th runner up after losing the match for 3 rd place
against Vietnam. It sets to be a silver-lining to local volleyball players as they look
forward to win gold in the next tournament.

QUESTION:
Why do you think the Philippine Women’ volleyball team didn’t get their desired
podium finish? What areas do you think that they should’ve focused on and areas
they lack on? Write your answers on the space provided.
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What’s New In this portion, the new lesson will be
introduced to you in various ways such as a story, a song, a
poem, a problem opener, an activity or a situation.

INSTRUCTION. Analyse the pictures below. Give your insights on how these
businesses achieved its success in the given field. Also, if given a chance, choose
one and explain how you will run it over years. Write your insights on the space
provided.

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What is It This section provides a brief discussion of the
lesson. This aims to help you discover and understand new
concepts and skills.

In this part of your journey, we provided something for you to deepen your
understanding about the topic.

Please read with comprehension to discover knowledge that will help you out in
dealing with the next phase of your quest.

APPLYING STRATEGIC ANALYSIS

Strategic analysis refers to the process of researching an organization and


it's working environment to formulate a strategy. There are many other definitions
of strategic analysis with a different perspective. But they all involve a lot of
common factors.

1. Identifying and evaluating data relevant


to the company’s strategy
2. Defining the internal and external
environments to be analyzed
3. Using several analytic methods such as
Porter’s five forces analysis, SWOT
analysis, and value chain analysis

Types of Strategic Analysis


Internal strategic analysis: As the name suggests, through this analysis
organizations look inwards or within the organization and identify the positive and
negative points and establish the set of resources that can be used to improve the
company’s image within the market. Internal analysis starts from evaluating the
performance of the organization. This includes evaluating the potential of an
organization and its capacity to grow.

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The analysis of the strengths of the company should be oriented to the market,
focusing on the client. The strengths only make sense when they help the company
to fulfill client’s needs. When doing an internal strategic analysis one should also
know the weaknesses and limitations that a company faces existentially or in the
future.
SWOT analysis is one of the most
reputed techniques for internal
strategic analysis. There is no better
way to benefit from a strategically
performed analysis than to use it to
detect the strengths, opportunities,
weaknesses, and threats that your
project may suffer.

External strategic analysis: Once the organization has successfully completed its


internal analysis, the organization needs to know about external factors that can
be a hindrance in their growth. To do so, they need to know how the market
functions and how consumers react or behave to certain products or services.
Measuring customer satisfaction is a common external analysis method. PESTLE
analysis is one of the most widely used external analysis techniques. The process
one is most likely to adopt when using a PEST technique is relatively a simple one.

PEST Analysis (political, economic, social and technological) is a management


method whereby an organization can assess major external factors that influence
its operation in order to become more competitive in the market. As described by
the acronym, those four areas are central to this model. Also, PEST analysis is a
strategic business tool used by organizations to discover, evaluate, organize, and
track macro-economic factors which can impact on their business now and in the
future. The framework examines opportunities and threats due to Political,
Economic, Social and Technological forces.

Political - Political or politically motivated factors that could impact the


organization.

Examples include:

Government policy, political stability or instability, bureaucracy, corruption,


competition regulation, foreign trade policy, tax policy, trade restrictions,
labor/environmental/copyright/consumer protection laws, funding grants &
initiatives, etc.

Questions to ask:

 What government policies or political groups could be beneficial or


detrimental to our success?
 Is the political environment stable or likely to change?

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Economic

Overall economic forces that could impact on your success.

Examples include:

Economic trends, growth rates, industry growth, seasonal factors, international


exchange rates, International trade, labor costs, consumer disposable income,
unemployment rates, taxation, inflation, interest rates, availability of credit,
monetary policies, raw material costs, etc.

Questions to ask:

 What economic factors will affect us moving forward?


How does the performance of the economy affect us at the moment?
 How are our pricing, revenues, and costs impacted by each economic factor?

Social

Social attitudes, behaviors, and trends that impact on your organization and target
market.

Examples include:

Attitudes and shared beliefs about a range of factors including money, customer
service, imports, religion, cultural taboos, health, work, leisure, the environment;
population growth and demographics, immigration/emigration, family
size/structure, lifestyle trends, etc.

Questions to ask

 How do our customer’s beliefs and values influence their buying habits?
 How do cultural trends and human behavior play a role in our business?

Technological

Technology that can affect the way you make, distribute, and market your products and
services.

Examples include:

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Technology and communications infrastructure, legislation around technology,
consumer access to technology, competitor technology and development, emerging
technologies, automation, research and innovation, intellectual property regulation,
technology incentives, etc.

Questions to ask:

 What technological advancements and innovations are available or on the


horizon?
 How will this technology impact on our operations?

Why do a PEST analysis?

 Helps to evaluate how your strategy fits into the broader environment and
encourages strategic thinking
 Provides an overview of all the crucial external influences on the organization
 Supports more decisive and knowledgeable decision making
 Assists planning, marketing, organizational change initiatives, business and
product development, project management, and research papers

Who should use a PEST analysis?

A PEST analysis is useful for any organization that needs to gauge current and
future markets. The significance of each area in PEST Analysis will vary for
different industry sectors. For example, there is likely to be a different emphasis on
the technology element for IT organizations compared with those involved in health,
tourism, mining, defense, and banking.

To conclude this lesson, SWOT analysis and PEST analysis are important most
especially in dealing with strategic thinking in order to solve existing problems.
These two inform about both internal and external factors that affect a firm's
success and/or failure. These tools help firms assess the report and take counter
measures for improvement and analyzing threats. Also, identify potential threats to
the organization and help to reduce the impact. Encourage employees to adopt a
strategic thinking mindset. Create methods to find and exploit new opportunities.
Evaluate the impact of various decisions before implementations.

Source: Trends, Networks, and Critical Thinking in the 21st century - Gladys P. Mangiduyo

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What’s More This comprises activities for independent
practice to solidify your understanding and skills of the topic. You
may check the answers to the exercises using the Answer Key at
the end of the module.

Applying Strategic Analysis

INSTRUCTION. Assess the statements below if it is pertaining to SWOT or PEST


analysis. If you think the statement lies under SWOT write S and if not, just write P
for PEST. Write your answer on the space provided before each number.

________1. Issues related to tax, trade and employment law.


________2. Formulating strategies.
________3. Factors such as inflation, growth, interest rates and unemployment rate.
________4. External factors.
________5. Issues such as culture, education, demographic, etc.
________ 6. Able to know weaknesses and limitations.
________ 7. Technological development, internet use and government sponsored
research.
________ 8. Strengths, Weaknesses, Opportunities and Threats
________ 9. Political, Economic, Social and Technological
________ 10. Internal factors.

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What I Have Learned

DIRECTION: As you assimilated how SWOT and PEST work in strategic thinking,
it’s your time to write what you have learned in this lesson. State your
understanding on the space provided.

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What I Can Do

INSTRUCTION: Answer the PEST Analysis table below and supply all the needed
information.

WRITE YOUR PREFERRED BUSINESS: ______________________________________

List all the possible


political factors that can
make an impact on your
P POLITICAL business.

List all the possible


economic factors that
can make an impact on
E ECONOMIC your business.

List all the possible


social factors that can
make an impact on your
S SOCIAL business.

List all the possible


technological factors
that can make an impact
T TECHNOLOGICA on your business.
L

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Assessment

Multiple Choice. Read each item carefully and shade the circle that corresponds to
the correct answer

1. ______________ that can affect the way you make, distribute, and market your products
and services.

  A. Political B. Economic C. Technological D. Social

2. ____________ attitudes, behaviors, and trends that impact on your organization


and target market.

  A. Political B. Social
C. Economic D. Technological

3. Overall _____________ forces that could impact on your success.

  A. Political B. Social C. Technological D. Economic


4._______________ motivated factors that could impact the organization.

  A. Political B. Social C. Technological D. Economic


5. ________________ is a strategic business tool used by organizations to discover,
evaluate, organize, and track macro-economic factors which can impact on their
business now and in the future. 

A. SWOT Analysis B. Intuitive Thinking

C. Strategic Thinking D. PEST Analysis

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Additional Activities

INSTRUCTION: Read the quotation below and understand the message it imparts to you. Write
your interpretation on the space provided.

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Answer Key

Assessment What's More What I Know


1. C 1. P 1. A
2. B 2. S 2. A
3. D 3. P 3. D
4. A 4. S 4. C
5. D 5. P 5. A
6. S
7. P
8. S
9. P
10.S

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References

Book/s:
Rachel Mary Anne A. Basas. Trends, Networks, & Critical Thinking in the 21 st
Century. Manila, Philippines: JFS Publishing Services, 2016. 3-14

Website:

David Zach, “Preach It, Teach It” https://preachitteachit.org/articles/detail/fads-


trends-and-principles-what-guides-your-life/

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For inquiries or feedback, please write or call:

Department of Education - Bureau of Learning Resources (DepEd-BLR)

Ground Floor, Bonifacio Bldg., DepEd Complex


Meralco Avenue, Pasig City, Philippines 1600

Telefax: (632) 8634-1072; 8634-1054; 8631-4985

Email Address: blr.lrqad@deped.gov.ph * blr.lrpd@deped.gov.ph

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