SM REPORT
Table of Contents
1. Executive Summary 3
2. Background Information 4
3. Macro-environment Analysis 5
3.1 Political 5
3.2 Economics 5
3.3 Social 6
3.4 Technological 6
3.5 Relating Key drivers for change with Opportunities and Threats 7
4. Porter’s Five-Forces 8
4.1 Threat of new entry 8
4.2 Threat of Substitutes 9
4.3 Bargaining power of buyers 9
4.4 Bargaining power of suppliers 10
4.5 Competitive Rivalry 10
5. Resources and Competences 11
5.1 Financial Resource 12
5.2 Human Resource 12
5.3 Intangible Resource 13
5.4 VRIN Strategic Capabilities as a Basis of Competitive Advantage 13
5.4.1 V- value of Strategic Capabilities 14
5.4.2 R-rarity of Strategic Capabilities 14
6. Business Strategy 15
7. Suitability of OSIM’s Business Strategy 17
8. Conclusion 18
9. Appendix 20
9.1 Government Grant 20
9.2 OSIM’s Partnership 21
9.3 Brand OSIM 22
9.4 The Value Chain within an Organisation 23
9.5 Ansoff’s Matrix 24
9.6 Suitability: Strategic Position 25
9.7 Suitability: Directions for Growth 26
9.8 OSIM’s Group Structure 27
9.9 Financial Highlights (2007-2012) 28
10. References 30
1. Executive Summary
The following research report is to examine OSIM’s positive and negative attributes in the industry, with the use of the PESTLE framework and Porter’s Five-Forces Model to further illustrate how these factors have directly influenced OSIM decision making process.
This report will depict the analysis and understanding of the political, economic, social and technological factors to show how OSIM created various business strategies which are beneficial to their organisation. Furthermore, this permitted OSIM to assess the types of opportunities and threats that might arise from the industry environment.
This report will also examine both threats of new entries and substitutes, and both bargaining powers of buyers and suppliers that will affect the decision making process of OSIM. With the addition of competitive rivalry, this report will demonstrate how OSIM can use innovation
1. Executive Summary 3
2. Background Information 4
3. Macro-environment Analysis 5
3.1 Political 5
3.2 Economics 5
3.3 Social 6
3.4 Technological 6
3.5 Relating Key drivers for change with Opportunities and Threats 7
4. Porter’s Five-Forces 8
4.1 Threat of new entry 8
4.2 Threat of Substitutes 9
4.3 Bargaining power of buyers 9
4.4 Bargaining power of suppliers 10
4.5 Competitive Rivalry 10
5. Resources and Competences 11
5.1 Financial Resource 12
5.2 Human Resource 12
5.3 Intangible Resource 13
5.4 VRIN Strategic Capabilities as a Basis of Competitive Advantage 13
5.4.1 V- value of Strategic Capabilities 14
5.4.2 R-rarity of Strategic Capabilities 14
6. Business Strategy 15
7. Suitability of OSIM’s Business Strategy 17
8. Conclusion 18
9. Appendix 20
9.1 Government Grant 20
9.2 OSIM’s Partnership 21
9.3 Brand OSIM 22
9.4 The Value Chain within an Organisation 23
9.5 Ansoff’s Matrix 24
9.6 Suitability: Strategic Position 25
9.7 Suitability: Directions for Growth 26
9.8 OSIM’s Group Structure 27
9.9 Financial Highlights (2007-2012) 28
10. References 30
1. Executive Summary
The following research report is to examine OSIM’s positive and negative attributes in the industry, with the use of the PESTLE framework and Porter’s Five-Forces Model to further illustrate how these factors have directly influenced OSIM decision making process.
This report will depict the analysis and understanding of the political, economic, social and technological factors to show how OSIM created various business strategies which are beneficial to their organisation. Furthermore, this permitted OSIM to assess the types of opportunities and threats that might arise from the industry environment.
This report will also examine both threats of new entries and substitutes, and both bargaining powers of buyers and suppliers that will affect the decision making process of OSIM. With the addition of competitive rivalry, this report will demonstrate how OSIM can use innovation