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Str 581 Weke Two Essay

907 words - 4 pages

Environmental Scan and Summary

Julie Hull
University of Phoenix
Strategic Planning and Implementation
STR/581
Calvin Lathan
July 19, 2010
Environmental Scan and Summary
The success of Kudler Fine Foods will depend on its ability to adapt to changes in
its internal and external environment. The management team must understand and be able to make decisions as changes occur. To continuously update its strategy, Kudler Find Foods will need to perform environmental scans. Environmental scanning is a method that monitors a firm’s internal and external environments for detecting early signs of opportunities and threats that may influence its current and future plans (Business ...view middle of the document...

The company can leverage its reputation and high quality products to help the company expand outside of the areas it currently occupies and into new territory. The company will be able to use its high quality and fresh product mix to help it gain a foothold in other areas and compete with other already established companies. In comparison, one of the major threats that face Kudler Find Foods is its ability to compete with the more established and larger national food chains and other smaller local companies. Another threat the company will have to take into account is its ability to discover and meet the tastes and preferences of the regions the company is entering and making sure that the company can meet those tastes and preferences in a timely manner.
Internal scanning involves identification of the basic strengths of Kudler Fine Foods. These strengths are important in global operations because they tend to be the characteristics of the organization, in which host nations value. Within the internal scan, Kudler Fine Foods’ resource strengths and global capabilities will be analyzed. The resources that should be analyzed include technical and managerial skills, capital, labor, and raw materials. The global capabilities that
External scanning involves the examination of critical features of the global environment with the attention to the status of the host nations in areas of economic progress, political control, and nationalism. Expansion of industrial facilities, favorable balances of payments, and improvements in technological capabilities over the past decade are gauges of the host nation’s economic progress. Political status can be gauged by the host nations power in and impact on global affairs (Pearson and Robinson, 2009).
SWOT Analysis
A commonly used strategy tool is a SWOT analysis. This strategy will analyze Kudler Fine Foods internal environment by identifying its strengths and weaknesses. It will also analyze the external environment by identifying its opportunities and threats.
The table below illustrates what a SWOT analysis for Kudler Fine Foods might look like:
| | Internal...

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