CHAPTER 2
FROM THE OUTSIDE
WHAT IT'S ALL ABOUT
- The importance of segmenting the industry
- The concept of industry attractiveness
- The macro forces that shape industries
An organisation does not operate in a vacuum. Any strategy has to fit with the characteristics of its external environment, so let's begin from the outside. Given that multiple aspects of the environment could be evaluated – customers, markets, competitors, regulations, societal trends – where should you start? Clearly, a certain amount of data is needed to familiarise yourself with the environment, but how much should you collect?
Focus on data that answer a few basic questions ...
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