6.2.1A: Strategic Analysis Frameworks
The Strategist's Toolkit: SWOT, PEST, Porter, Core Competence
AO1: KNOWLEDGE
Define SWOT, PEST, Porter's Forces, Core Competence
AO2: APPLICATION
Apply frameworks to real industries
AO3: ANALYSIS
Build strategic conclusions from framework outputs
The Boardroom Brief: Why Analysis Frameworks Matter
Scenario: You're the newly appointed CEO of GlobalTech Industries, a mid-sized electronics manufacturer. The Board wants a strategic review before deciding whether to:
- Expand into emerging markets (India, Brazil)
- Invest $50m in AI-powered manufacturing
- Defend current position against Chinese competitors
The Problem Without Frameworks
- Gut-feel decisions ("I think this will work")
- Missing critical external threats (PEST blind spots)
- Ignoring competitive forces (Porter's gaps)
- Chasing trends instead of leveraging strengths
The Power of Structured Analysis
- SWOT: Matches internal capabilities to external realities
- PEST: Scans macro-environment for opportunities/threats
- Porter: Reveals industry profitability drivers
- Core Competence: Identifies unique competitive advantages
⚡ EXAMINER INSIGHT
In 20-mark evaluation questions, high-performing students don't just list SWOT factors. They link internal strengths to external opportunities ("Our R&D capability [S] positions us to exploit the AI trend [O]") and assess whether the firm has the resources to execute the strategy.
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