External Environment And Competitive Position Essay
Industry Analysis and Competitiveness
Any business and its corresponding market position are affected by a change in the external macro environment factors such as the economy, government policies, the community it serves, market segment, and the corresponding industry. Target Corporation as part of its strategic planning, monitors the changes in the business segment, forecast the trend, understand the current environment, its competitor and their strengths and weaknesses, and any of their planned moves to establish long-term market needs and come up with the major trend on how fast retail industry grows or slows down compare to sustaining with an average performance (CEA, n, d). It needs to take advantage of its strength, such as high product differentiation, quality supply chain, the technology used for automation, quality product, clean and spacious, friendly stores develop its retail sales to the future consumer and market need that will give a competitive advantage.
Five forces model analysis
A company 's industry structure and its strategic process analyzed with the help of Porters five forces model of competition that shapes every industry and the market. The other factors that lead to rivalry are balanced competitors, high fixed costs, and lack of product differentiation, slow anticipated growth and high exit barriers (Jurevicius, 2013). Target Corporation compete a number of a non-traditional household creating a new…