Spring 16 HB 337 Hospitality Information Systems Instructor Lu Zhang Ph D Wed 0406 2016 Last class POS Current topic II mobile apps robots This class Strategy Technology Profitability Profitability External environment Internal resources Assessment of the broad environment Sociocultural influences Technological influences Global economic influences Political influences Assessment of the broad environment Focus Social Demographics lifestyles social values Economic Nature and direction of the economy in which business operates Political Processes for passing of laws and election of officials Interactions between firms politics and government Changes in technological advancements Technological taking place in society The technological context 1 Industry structure alters the rules of competition 2 Creates competitive advantage 3 Spawns new businesses Broad environmental analysis A continuous process which includes Scanning for early signals of potential changes and trends in the general environment Monitoring changes to see if a trend emerges from among those spotted by scanning Projecting projections of outcomes based on monitored changes and trends Adapting determine what requires change EFE The external factor evaluation matrix Internal factors Internal factors External factors Variance Variance Internal factors 36 External factors 21 cont Internal factors resources and capabilities cont IFE Internal Factor Evaluation Matrix SWOT Matrix Four types of strategies Strengths Opportunities SO Weaknesses Opportunities WO Strengths Threats ST Weaknesses Threats WT SWOT Matrix Strengths S Weaknesses W Leave Blank List Strengths List Weaknesses Opportunities O SO Strategies WO Strategies List Opportunities Use strengths to take advantage of opportunities Overcoming weaknesses by taking advantage of opportunities Threats T ST Strategies WT Strategies List Threats Use strengths to avoid threats Minimize weaknesses and avoid threats Q A