For Practice Only:

Match each strategy framework with the type of analysis for which you are most likely to use it. Assess the potential of a firm's resources and capabilities to give the firma sustained competitive advantage SWOT framework Carefully identify both the external and internal influences on a firm and then PEST analysis analyze their implications Conduct macro-level environmental scanning to keep a firm aware of what's 3. Porter's Five Forces happening in the world Game theory Consider the key sources of competitive pressure within an industry to 4. understand how they impact overall industry structure and profitability Strategic groups Predict the equilibrium outcomes of competitive interaction and the 5. VRIO framework consequences of certain strategic moves Recognize patterns of competition in an industry and understand a firm's 6. strategic positioning relative to its competitors