Prof. Elisante Ole Gabriel
– Strategic Mark., PhD – SERVQUAL, Mech. Eng, MSc-Intn Bus.
Deputy Permanent Secretary - MIYCS
Analysing a Business Environment (Micro &
Creating & Sustainable Competitive Advantage
Alternative Strategies for Market & Products
Strategic Thinking =
Dreaming the future
Tips for Emerging Leaders (Challenge = Oppt)
E. Ole Gabriel, 0784-455499 2
SWOT/SAOC, PEST & SLEEPTIN
This tool helps to identify the key internal factors (Strengths and Weaknesses) = S
The External factors are Opportunities and
Threats ( O
This is modified: Instead of Weaknesses =
Areas for Improvement and Threats =
S A O C
Create, Sustain a Competitive Advantage
By studying the external environment, firms identify what they
might choose to do
Opportunities and threats
However, these was found to be limited in expressing the real macro environment
From 4 components (PEST) to 8 (SLEEPTIN)
By studying the internal environment, firms identify what they
Unique resources, capabilities, and core competencies
(sustainable competitive advantage)
How do we effectively manage current core competencies while simultaneously developing new ones?
How do we assemble bundles of resources, capabilities and core competencies to create value for customers?
How do we learn to change rapidly?
HINT: Many leaders fail to properly analyse the internal environment
Four Criteria of Sustainable
• Costly to Imitate
There are two fundamental questions
WHAT MAKES AN
(PFFF, for Industry Analysis)
GIVES A FIRM
Porter discusses the
that determine the nature of competition in an industry :
Threat of new entrants,
Bargaining power of customers,
Bargaining power of suppliers,
Threat of substitute products or services,
Rivalry among industry competitors.
FIVE FORCES FRAMEWORK
INDUSTRY ANALYSIS (By Michael
Industry analysis is the starting point of any strategy.
Business Leaders have to understand the structure of the industries that they are competing in.
Hint: The impact of the Competitive
Forces varies from one market to another!
In pursuing competitive advantage, a company also has to choose its
Whether it will target a particular segment or go for a broad market (e.g National Vs EAC Market).
These choices define four basic approaches to competitive advantage.
Which set of choices a company makes determines which “generic strategy” as Porter calls it, a company is following.
Avoid being STUCK-IN-THE MIDDLE
(By M Porter)
Failure to make a choice means that a company is
stuck - in - the middle
, with no advantage.
The result is poor performance.
Each Manager ought to be strategic on choosing the strategies
A Strategy which is suitable for one market might not be suitable for another.
Strategy shift from one strategy to another ought to be done timely!
You need to THINK STRATEGICALLY to avoid being stuck
– in – Middle.
GREAT MINDED PEOPLE
(Make things happen)
AVERAGE MINDED PEOPLE
SIMPLE MINDED PEOPLE
Things are Happening?)
Where do you belong?
Your people with Helicopter?
E. Ole Gabriel, 0784-455499 18
Changes in Market Structure of the Film Industry
Limited Resources on sectoral needs
Cultural Dynamics which can effect the decisions of customers in the Market
Micro & Macro Factors
Impact of Technology
Changes in Behavior of customers in line with imports
Changes on the Political dynamics & Regulations
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(By Gabriel E, 2002)
1. Create superior performance
2. Sustain superior performance
3. Understand your core functions (Your Value?)
4. Know your Competitor as you know yourself
5. Cope with the speed of Technology. AND
6. Make use of Feedback from your Internal and external customers for Synergy (1 + 1 > 2)
HINT: Always be Visionary with a Dream like Dr.
Martin Luther King Jnr. (1963 for USA)
E. Ole Gabriel, 0784-455499 20
Martin Luther King Jnr. (At the Age of 29yrs)
We shall be judged not by the color of our skin but the content of our character!
I Have a Dream … Dr. Luther King Jnr
That one day, This Nation will raise up..,
Live out its true meaning of its freedom
We will all choose to be self evident, that all people are created EQUALLY…I have a dream..that
..All of us will be able to sit on a table of brotherhood…I have a dream…that
My four little children will one day live in a
Nation…where they will be judged not by the colour of their skin but by the content of their character…
HAVE A DREAM
I’ve been to the mountaintop..
A day before assassinated)
(By M. Luther King Jnr., At the Age of 39 Yrs in 1969)
We've got some difficult days ahead.
But it really doesn't matter with me now, because I've been to the mountaintop.
And I don't mind.
Like anybody, I would like to live a long life. Longtivity has its place.
But I'm not concerned about that now.
I just want to do God's will.
And He's allowed me to go up to the mountain.
And I've looked over.
And I've seen the Promised Land.
I may not get there with you.
But I want you to know tonight, that we, as a people, will get to the promised land!
And so I'm happy, tonight.
I'm not worried about anything.
I'm not fearing any man!
Mine eyes have seen the glory of the coming of the Lord!!
…. I have a dream that One day
Tanzania will be the richest
Country in the African Continent
…… Africa will also be the most powerful continent economically on the planet Earth
…. Africans need to develop the following for its Youth:
The Success of Business depends on
Manage Competition Strategically
There is no room for losers but winners in the competitive Business Environment
Entrepreneurship Spirit not just skills should be the driving force.
Convert Threats to Opportunities ( Successful life even without Limbs
(A Case of Nick, UK)
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It is the right strategy which can take you to the right Business position.
The Competitive Forces ought to be properly addressed. AND
Make sure you always offer Value to your Market and not just products!
E. Ole Gabriel, 0784-455499 26