Business Analysis

ACCA PAPER P3

2

Chapter 1: The Nature of Strategic Business Analysis

3

Chapter 1: The Nature of Strategic Business Analysis

4

The Strategic Planning Process

5

Levels of Strategic Planning

Corporate

Business

Functional

6

Johnson, Scholes and Whittington

Strategic Analysis

Strategic Choice Strategy into action

7

Johnson and Scholes Lenses

Strategy as design

Strategy as ideas

Strategy as

experience

8

Chapter 2: The Environment and Competitive

Forces

9

PESTEL Analysis

This model examines the growth prospects for the industry

as a whole. This is achieved by examining 6 factors that

are outside the control of the companies in the industry:

• Political factors

• Economic factors

• Social factors

• Technological factors

• Environmental factors

• Legal factors

10

Porter’s Diamond

11

Porter’s 5 Forces Model

12

Forecasting

• Linear regression – assumes variables change at a

constant rate

• Time series analysis – identifies seasonality over time

Both:

• Based on historical data

• Poor at predicting the future if the environment changes