Lesson 4: Industry and Environmental
Analysis: BusinessOpportunities Identification
• Industry – is an aggregation
of the different businesses
engaged in the same kind of
undertaking,
• Business- is an undertaking by
a person or a group of
persons who are partners, or
of stockholders who own a
juridical entity known as a
corporation whose main
objective is to earn profit for
the owners.
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BUSINESS ORGANIZATION
1. Sole Proprietorship
2. Partnership
3. Corporation
4. Cooperative
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Tools in Evaluating a
Business
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The key factors that must be considered in analyzing the industry are the
following
• 1. The geographic area which your business will cater to. Is it limited to local areas? Or will it cover a
• region, the entire country or even international market?
• 2. The size and outlook of the industry. What trends can be identified?
• 3. Description of the product.
• 4. The buyers have to be identified. Who ae your target customers?
• 5. The regulatory environment. Are the local, national news will restrict your business? One needs to
• identify government regulations specific to the chosen industry.
• 6. The need to identify the leading businesses in the industry and to provide company information on the
• most successful businesses that you will be up against .
• 7. Factors that will affect the growth of the business.
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THE SWOT
ANALYSIS
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PORTER’S FIVE FORCES OF COMPETITIVE
POSITION ANALYSIS
1.Supplier power
2.Buyer power
3.Number of competitors
4.Possibility of substitution
5.Possibility of new entrants
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ThankYou
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