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chap03 - Chapter 3 The External Assessment External...

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Chapter 3 The External Assessment
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Identify & Evaluate factors beyond the control of a single firm Increased foreign competition Population shifts Information technology External Strategic Management Audit
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Competitors Suppliers Distributors Creditors Customers Employees Communities Managers Stockholders Labor Unions Special Interest Groups Products Services Key External Forces Opportunities & Threats Key External Forces & the Organization
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Performing External Audit External Factors Measurable Long-term orientation Applicable to competing firms Hierarchical
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Economies of Scale Industry Properties Barriers to market entry Product differentiation Level of competitiveness I/O Perspective Firm Performance
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Social, Cultural, Demographic & Environmental Forces U.S. Facts Aging population Less Caucasian Widening gap between rich & poor 2025 = 18.5% population >65 years 2075 = no ethnic or racial majority
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Key Social, Cultural, Demographic & Environmental Variables Number of marriages & divorces Number of special interest groups Number of births & deaths Immigration & emigration rates Childbearing rates
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Political, Government & Legal Forces
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