1.What are the key issues in the external and competitive environment Essay

1.What are the key issues in the external and competitive environment affecting your organisation Discuss the opportunities and threats for your organisation - Essay Example he organization by applying relevant, correct strategic management theory to determine the key issues in the external and competitive environment affecting Morrison Supermarket1 as an organization. By so doing, the paper aims also to discuss the industry opportunities and threats. Strategic management aims for attainment of corporate objectives. Strategic management theory could use the models called Porter’s five forces and SWOT to determine the external and competitive environment affecting Morrison Supermarket. Before proceeding further, therefore, we have to understand the meaning of the models. SWOT stands for strength, weaknesses, opportunities and threats. As to how the models relate to each other, Porter’s five forces will dissect the facts classifying the effects of the industry forces to the profitability2 of the industry. For example, the ease or difficulty of entry, which is part of the model, assumes that the presence of entry barriers is an opportunity since less competition will allow present players to have wider area for influencing prices. SWOT includes the company’s strengths and weaknesses as opportunities and threats but we are only interested on the latter. The opportunities and threats that will be derived will be used to attain corporate objectives. As to how to attain objectives, industry opportunities must be taken advantage while industry threats must be avoided or overcome. The taking of advantage will be in the nature of the strategies that need to be formulated and implemented to attain the desired objectives of Morrison Supermarket. Strategies must be prepared in relation to industry opportunity and threats as well as company’s strengths and weaknesses. However, since strengths and weaknesses are not made part of this analysis, it must made clear that any strategy that may be may not fully consider the complete model. New entrants will find few big players, which make them concentrated, making it difficult for