Assignment 2: External Environmental Scan

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Assignment 2: External Environmental Scan

In order to develop effective strategies, it is critical to understand the marketplace environment. In this assignment you will explore the relationship between marketplace positioning based on environmental factors.

Throughout this capstone course, you will work on a strategy audit for a selected organization. In Module 1, you selected an organization for your course project activities. So far you have completed a market position analysis for your organization.

In this module you will conduct a comprehensive external environmental scan of your business unit, including a Five Forces analysis, to identify the relevant trends that pose opportunities or threats to your business. These will serve as inputs into a final SWOT analysis that will be due in Module 4: Assignment 2.

There are many elements that can go into an environmental scan, and your analysis will depend on the nature of your business unit, product portfolio, target market, and other factors related to the scope of your business.

Your environmental scan should include some or all of the following elements:

· Economic factors and trends

· Political factors and trends

· Regulatory and legal factors and trends

· Societal factors and trends

· Technological factors and trends

· Geographic factors and trends

· Porter’s Five Forces that consists of the following aspects:

· Threat of new competition

· Threat of substitute products or services

· Bargaining power of customers (buyers)

· Bargaining power of suppliers

· Intensity of competitive/industry rivalry

Although your analysis will be tailored to your specific business, be sure to cover the following:

1. A thorough Five Forces analysis of your industry

2. The key factors and trends in any other areas affecting your industry

3. A preliminary classification of the external factors and trends as either opportunities or threats which will be the inputs for the final SWOT analysis

Write a 3-page report in Word format. Apply APA standards to citation of sources. Use the following file naming convention: LastnameFirstInitial_M3_A2 .

By Wednesday, September 1




13, deliver your assignment to the M3: Assignment 2 Dropbox.

Assignment Component


Maximum Points

Conduct a Five Forces analysis of your industry.

The Five Forces analysis is complete and clear.


Summarize the key factors and trends in any other areas affecting your industry.

Key factors and trends in other areas affecting the industry are clearly identified and concisely summarized. How they affect the industry is briefly explained.


Create a preliminary classification of the external factors and trends as either opportunities or threats (inputs into a SWOT) analysis.

Classification of external factors and trends is clear and accurate. It specifically identifies and labels the factors and trends as opportunities or threats.


Write using ethical scholarship and proper grammar and mechanics.

Writing is clear, concise, and in an organized manner; demonstrates ethical scholarship in accurate representation and attribution of sources; and displays accurate spelling, grammar, and punctuation.




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