CGMA-E2-Part 3-Business environm

一、Business Environment level

1, Four levels

Global Marco environment

Industry or sector

Market or competitor

The organization

2, The model for analysising Marco environment-PEST

Channels to have Marco information: news media, industry media, word bank, government published information&FCST,overseas trade organization, professional business data provider, government departments of commerce

3, Company analysising model-5 Forces

Key: industry internal competition

4, Competitor analysis

Internal:financial strength, resource&capability, likely cost and therefore price, method of production and operation, management&organization

External: customer’s satisfaction, demand, likely spending power; difference with other competitors

Channels to get rival’s information: industry media, industry associations, financial data from rivals, observations, investor’s analysis on rival, former manager and staff, competitor accounting, published marketing research

二、Globalisation of business

1, impaction: global plants and markets, global employee, global supplier, global rivals

2, reasons: increased liberalization, improved IT technology, eger to lower cost, converge of same tastes creat global market

3, Consequence for business: need global strateg, face diverse operating environment, need manage relationship between different countries

三、Big data

1, characters: 4V

Volume, Variety, Velocity, Veracity &Value

2, uses of analytics

Internal: Monitor Operation efficiency, identify waste/cost & fraud

External: customer segments, tastes, satisfaction; supplier monitor; competitors activity; market trends