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Industry
Environment: What
industry is The
Woolworths Group
in and how
attractive is that
industry?
Consider Porter’s 5
forces: Potential
new entrants,
Bargaining power
of buyers,
Bargaining power
of suppliers, Threat
of substitute
products, Intensity
of rivalry among
competitors
Competitor
Environment:
Who are The
Woolworths Group
direct competitors?
What is each
competitor’s
objectives,
strategies,
assumptions and
capabilities
1
INTERNAL ORGANISATION ANALYSIS:
1. VRIN ANALYSIS: What core competencies and potential sources of competitive advantage does The Woolworths
Group have?
Description of Capability Is it Valuable? Is it Rare? Costly to imitate? Non-
(What resources and (Will the capability (Is the capability (Is capability the substitutable/
capabilities does The help neutralise possessed by only a result of unique Organised to
Woolworths Group have? threats or exploit small number of historical capture value?
Test The Woolworths opportunities?) other firms?) conditions? AND/OR (Is The Woolworths
Group’s capabilities by Does it have an Group organised in
evaluating them against the ambiguous cause? a way to fully realise
VRIN criteria to assess AND/OR Is the the potential of its
whether they are core capability the valuable, rare and
competencies and potential outcome of social costly to imitate
sources of competitive complexity?) resources and
advantage). capabilities).
The Woolworths Group
Capability =
2. VALUE CHAIN ANALYSIS: How does The Woolworths Group use its primary and support activities to create value