SWOT ANALYSIS

INTERNAL ANALYSIS
1. Strenghts
  1. Competitive advantage
    1. Profitability
      1. Value preposition
        Value chain
        Absorptive capacity
        The ability of an enterprise to identify, value, assimilate, and use new knowledge.
        Activities that transforms inputs into outputs to create value
      2. 1. VALUE 2. COST 3. PRICE
    2. Low Cost
    3. Differentiation
2. Weaknesses
  1. Opportunity areas
    1. Failures
      1. Things that are poorly done
        Areas to be improved
4. Avoiding failure and sustaining competitive advantage
  1. Strategy
  2. Resources
    1. Tangible
    2. Untangible
  3. Capabilities
    1. Skilss
    2. Structure
    3. Processes
    4. Controls
  4. Competences
    1. Distintive competences
      1. Firm-specific strengths that allow a company to differentiate.
5. ANALYZE THE COMPANY ITSELF
EXTERNAL ANALYSIS
1. Opportunities
  1. Allow you to create strategies to earn more profits
2. Threats
  1. They jeopardize the profitability of the company's business.
4. Competition within the industry in which a company is based.
  1. COMPETITIVE FORCES MODEL
    1. Rivalry among established competitors
      1. Risk of entry
        Barriers of entry
        Brand loyalty
        Cost advantages
        Economies of scale
        Government regulations
        Customer switching costs
      2. Barganing power of suppliers
        Few substitutes of supplies
        The industry is not as important for them
        Significant switching costs
      3. Threat of substitutes
        Products that satisfy similar customer needs
        Ex. : Soda = Water, Juice, Tea, etc.
      4. Barganing power of buyers
        More choices
        Large purchase quantities
        Dependence to few buyers
      5. Power of complement products
        Products that add value to products from another industry
        Ex. : PC's = Software
5. ANALYZE THE COMPANY'S INDUSTRY
6. Strategic Groups
Used to analyze the internal and external environment of an organization
Chapter 2 and 3
1. Charles W. L. Hill; Gareth R. Jones; Melissa A. Schilling (2015). Strategic Management: An Integrated Approach, 11th Edition. Cengage: USA
  1. Porter, M. (1996). “What is Strategy?”. Harvard Business Review. November-December
    1. M. (2012, December 25). Retrieved August 24, 2017, from https://www.youtube.com/watch?v=H8_W8tAEsfQ

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SWOT ANALYSIS

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