Generic guideline for strategic case analysis

1. Introduction: problem statement (often stated in the case’s introduction)

2.   External analysis:
   Any relevant information about the general environment segments.
   Industry analysis: Porter’s five forces model. State what industry you are looking at. Analyze the industry and/or product markets so that you can properly evaluate alternatives and recommendations later.
Conclude industry analysis with a brief summary about the attractiveness of the industry and the position of the firm regarding the five forces.
   Competitor analysis:
a)   Who are our competitors?
b)   What are their capabilities?
A brief summary about the position of the firm relative to its competitors.
   What are the industry success factors?
   Conclude external analysis with a general summary that outlines the opportunities and threats in the external environment.

3.   Internal analysis:
   Resources (you can use financial ratios to support your argument)
   Capabilities
   Core competencies
   Value chain analysis: what are the activities that should be improved? Should be outsourced?
   What are the firm’s business-level and corporate-level strategies?
   Conclude the internal analysis with a brief summary of the firm’s strengths and weaknesses.

4. Alternatives:
Generate (preferably mutually exclusive) alternatives that address the problem facing the firm. Integrate the findings from the external and internal analysis to suggest strategic alternatives. Here are a few examples at different strategic levels:

   Business-level strategies: staying in the same business and grow by internal growth, alliances, or mergers & acquisitions. The changes will be for the business-level strategies.
   Corporate-level strategies: diversification into different industries (related: upstream or downstream; or unrelated to totally different businesses); diversification can also be achieved by internal growth, alliances, or mergers & acquisitions.
   International strategies: international expansion can be achieved by internal growth, alliances, or mergers & acquisitions.

These three levels CAN be used. However, you do NOT always need to use the three levels. Just use what your analysis points to as potential solutions to the problem in the case. The number of alternatives can be up to 3-4. Evaluate and present the pros and cons of each alternative.

5.   Recommendation
   Thoroughly explain why your chosen alternative is the most appropriate. Connect your recommendation to the external and internal analysis.
   Briefly explain how the firm should implement the recommendation. Examples can include the “who, what, when, where and how” of the implementation plan.
   State any relevant tactics that may help applying the recommended strategy.

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