-> Complementary analysis of the 5 forces;
POLITICAL/LEGAL: – Regulation: automotive industry, UE commission should not allow to produce cars with traditional engine, this is a regulation; – Monopolies legislation; – Environmental protection laws; – Taxation policy; – Foreign trade regulations; – Employment law; Government stability; | ECONOMIC: – Business cycles; – GNP trends; – Interest rates; – Money supply and inflation; – Unemployment & av.income – Energy availability and cost; |
SOCIO-CULTURAL: – Population demographics; – Income distribution;+Social mobility; – Lifestyle changes; – Attitude to work and leisure; – Levels of education. | TECHNOLOGICAL: – Govnn. Spending on research; – Gov. /industry cfocus on technological effort; – New findings/developments; – Speed of technology transfer; – Rates of obsolescence. |
Steps:
- Identify each possible factor;
- Giece each factor a probability of occurence in % and rating for their impact in the comping 3-5 years where:
- -5: extremely negative impact;
- +5: extremely positive impact;
- Map factors as O/T to include the OT portion of the SWOT analysis;
Example representation:
⚠️Same trend can be an opportunity for someone and a threat for someone else.
📌Don’t spend to much space in PW for this kind of analysis;