Do a brief external analysis of your shoe company within the simulation as if it were a live company. Identify two areas to focus on (i.e. employment, or consumer options for competitors) and discuss the following:

-Potential impact of the external environment

-Necessary strategy changes

-Potential outcome of strategy changes

Pewee Baysah

From the beginning, my team struggled with the completion of the environmental analysis of current strategies. Therefore, the factors and forces in a company’s external environment having the biggest strategy-shaping impact typically pertain to the company’s own industry and competitive environment, these include industry growth, competitive pressures, anticipated actions of rivals, forces driving industry change, the key factors for future competitive success, and the industry’s outlook.

Clear insightful diagnosis of a company’s external environment is an essential first step in crafting strategies that are well matched to industry and competitive conditions and, therefore, have a good chance to produce the best possible business results. To engage in cutting-edge strategic thinking about the external environment, managers must know what questions to pose and what analytical tools to use in answering these questions.

Therefore, the goal of our company was to create the highest profit margin with the highest profit margins over the 8 weeks of decisions. My team held the idea that creating the best shoe on the market while maintaining overall low costs would ultimately create the most revenue for the company. For each decision, my team maintained the maximum amount of Product Development before diminishing returns began to go into effect. In our Marketing strategy, we began the decisions by keeping overall low marketing costs; my team found this to be not as effective as spending more on marketing. We entered the foreign market as soon as it was available to us.