Application Paper: External Analysis
Internal External Environmenta Analysis of a Company VRIO PESTLE PESTEL SWOT Analysis
OBJECTIVE
To give you the experience of performing an analysis of a company’s external environment
INSTRUCTIONS
Select a company you like in the automotive industry.
• Using online and/or library resources, including primary and other credible websites, complete the External Environment Analysis of that company.
• Submit a 2-3 page APA paper that addresses the aforementioned and includes the analysis below.
• Use APA level headings for each section.
o Include citations and references as support.
o Leave no unsubstantiated claims.
o You must include at least 3 credible resources. Do not include blogs, dictionaries, or biased sources.
o Concentrate on primary sources, trade journals, scholarly/peer-reviewed articles, and other credible sources.
o You must respond to all questions directly and completely. Provide support (citations/references) and details. You cite both quoted and paraphrased work. You cite the idea, not just the words.
External Environment Analysis.
• Laws and regulations
• What are some key laws and regulations under which this company and the automotive industry must operate?
• The economy
• How does the state of the economy influence the sales of this company’s products? Technology
• What new technologies strongly affect the company you have selected? Demographics
• What changes in the population might affect the company’s customer base?
• Social issues
• What changes in society affect the market for your company’s automotive products? Suppliers
• How does your company’s relationship with suppliers affect its profitability?
• Competitors
• What companies compete with the firm you have selected?
• Do they compete on price, on quality, or on other factors?
• New entrants
• Are new competitors to the company likely? Possible?
• Substitutes and Complements
• Is there a threat of substitutes for the auto industry’s existing products?
• Are there complementary products that suggest an opportunity for collaboration?
• Customers
• What characteristics of the company’s customer base influence the company’s competitiveness?
• Further Analysis
• What has the company done to adapt to its environment?
• How does the company attempt to influence its environment?
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