You are on page 1of 9

STRATEGIC

MANAGEMENT

Internal And External Factors Evaluation Matrix


FACULTY: SIR NAVEED MUHAMMAD
KHAN

PRESENTED BY: SHAYAN KHAN (20202-


27032)
EXTERNAL FACTOR EVALUATION
MATRIX

OPPORTUNITIES WEIGHT RATING WEIGHTED


S AVERGE
Awareness about global warming 0.07 4 0.28
Hybrid and fuel efficient vehicles 0.10 3 0.30
Increase in technology 0.15 4 0.60
Increase in demand of small vehicles 0.15 2 0.30
Automobiles increasing 0.09 1 0.09
Total 0.56 1.57
EXTERNAL FACTOR EVALUATION
MATRIX

THREATS WEIGHT RATING WEIGHTED


AVERAGE
Political instability 0.06 2 0.12
Energy Crisis 0.08 3 0.24
Rising fuel and steel prices 0.10 3 0.30
Inflation and Tax rates 0.10 2 0.20
Depreciation of rupees against dollar 0.10 2 0.20
Total 0.44 1.06
EXTERNAL FACTOR EVALUATION
MATRIX

EXTERNAL FACTORS WEIGHT WEIGHTED AVERAGE


Opportunities 0.56 1.57
Threats 0.44 1.06
Total 1.00 2.63

From the above matrix calculation, we can see that the total weighted score for Honda
Atlas is 2.63, which shows that it falls in attractive segment.
INTERNAL FACTOR EVALUATION
MATRIX

STRENGTHS WEIGHT RATINGS WEIGHTED


AVERAGE
Brand Image 0.15 4 0.60
Strong R&D 0.10 3 0.30
Timely new models 0.07 3 0.21
Advance technology/equipment 0.20 3 0.60
Customer Loyality 0.15 3 0.45
Total 0.67 2.16
INTERNAL FACTOR EVALUATION
MATRIX

WEAKNESSES WEIGHT RATINGS WEIGHTED


AVERAGE
Costly Spare Parts 0.08 2 0.16
Dealership Network 0.05 2 0.10
Shortage of trained technician 0.07 2 0.14
Limited product line 0.08 1 0.08
High production cost 0.05 2 0.10
Total 0.33 0.58
INTERNAL FACTOR EVALUATION
MATRIX

INTERNAL FACTORS WEIGHT WEIGHTED AVERAGE


Strength 0.67 2.16
Weakness 0.33 0.58
Total 1.00 2.74

From the above matrix calculation, we can see that the total weighted score for Honda
Atlas is 2.74, which shows the company is above the minimum point.
THANK
YOU

You might also like