ITECH 3103 IT Strategy and
Governance
Tutorial Week 4
Tutorial Questions
1. What is the meaning of “strategy”? Give two perspectives that you need before you
can develop an effective strategy. Why do companies need a strategy?
2. Name and describe the three areas included in a strategic segmentation analysis.
Answer: Three areas of strategic segmentation analysis are described below;

Products and technologies:
For any company to achieve their goal, first they need to know the products and
technologies they are going to be providing to the public. This is necessary for
company to manufacture current products and launch new ones. The company
should have clear understanding about patient which safeguards the industrial
knowledge of the company.

Markets and customers:
A company should know and identify their potential customers very well. The
company also should be aware of countries, market trends and market share for their
products and services.

Competitors/Environment:
If companies become aware of the market economy and competitors, it will give them
a competitive edge over them.
3. What is stakeholder theory? Describe what it seeks to achieve.
Answer: Stakeholder theory states that for a business to flourish, it must merit their
stakeholders like suppliers, customers, employees, and banks and the business should
make sure their stakeholders’ interests are aligned.
Stakeholder theory wants to achieve the same level of focus and profit to all the stakeholders
of a business as all of them are equally important for success of the business. They together
can achieve greater things.
4. List and describe Porter’s Five Forces.
5. Give the six main components of a good IT Strategy. Describe each one and give
reasons why it is important.
6. What is a data model? What does it contain?
7. Define application independence
8.