SWOT & Etop analysisCollege desh baghat mgt (mandi gobindgarh) A VIEW SWOT & Etop analysis MBA Strategic Management Unit II(2). Environment Threat and Opportunity Profile (ETOP.) Meaning of Environmental Scanning: Environmental scanning can be defined as the process by which. Etop in strategic management pdf. Need for greater strategic thinking felt. Trends Probability of Occurrences Impact on strategies S1 S2 S3 T1 T2. Etop analysis.

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The main business of the company is in Motor Bike manufacturing for the domestic and exports markets. Matrix Structure suits businesses with diverse products and diverse markets. This would enable managers to violate strategies when it is necessary. Unlike the external environment of a business, the internal environment can be controlled.

When organizations can think far ahead, they can create some opportunities. Some external elements can be manipulated by company marketing, while others require the organization to make adjustments. Environmental scanning is the monitoring, evaluating, and disseminating of information from the external and internal environment to key people within the corporation or organization.

Some opportunities can be foreseen, such as being anaylsis to expand a franchise into a new city. Some of the impotent issues may be those related to market share, competitive pricing, customer preferences, technological changes, economic policies, competitive trends, etc.

Although the technique of dividing various environmental factors into specific sectors and evaluating them as opportunities and threats is suggested by some authors, it must be carefully noted that each sector is not exclusive of the other. Oil and gas majors like Cairn, ONGC and Reliance have lined up plans for huge investments in-order to increase oil and gas production in the country, which has fuelled the growth. Wishing you good luck and best wishes to your sincere endeavours.

The Environmental factors are quite complex and it may be difficult for strategy managers to classify them into neat categories to interpret them as opportunities and threats. GE specializes in growth areas such as drilling equipment and compressors. Import of machinery under OGL list possible. This example relates to a hypothetical company but the illustration is realistic based n the current Indian business environment.


Ironically, stronger organizations can be exposed to a greater level of threats than weaker organizations, because success raises envy and competition which a successful organization needs to fight to get ahead. While it plans to set up thermal power plants in states like Andhra Pradesh, Chhattisgarh, West Bengal, Jharkhand and Bihar which produce coal, this is indeed good news. However, managing the strengths of internal operations is the key to business success.

However, they are facing tough competition in oil exploration and production from private players like Reliance, Essar, Adani, etc. It is considering setting up gas based power generation projects in states like- Madhya Pradesh, Odisha and Uttar Pradesh. A comprehensive ETOP requires subdividing each environmental sector into sub factors and then the impact of each sub factor on the organization is described in the form of a statement. It can also take advantage of the high exports potential that already exists.

Business environment analysis is a regular business feature. Leave a Reply Click here to cancel reply. Strategies are means of operationally signing a policy for goals and objective.

It results in a quantity of information related to forces in the environment. Since the company is an established manufacturer of motorbike, it has a favorable supplier as well as technological environment. The external environment consists of customers, government, economy and competition. Narendra Modi government is planning to set up several power plants. Regards Vinay Kumar Sharma. There are number of uncertainties exist in a business situation and so a company can be greatly benefited buy devising proactive and flexible strategies in their plans, structures, strategy etc.

The relevance, importance, manageability, variability and low cost of data are some of the important factors, Which must be kept in focus. The Champa flower November 7, Industry Analysis is a strategic tool April 20, Global Competitiveness Index for igniting economic growth. For company to function very well and to be productive to its maximum standard effective strategy should not be impeded. Growing affluence among urban consumers; Exports potential high.


In a competitive business climate, many businesses actively work to create and communicate a positive image to their customers, shareholders, the financial community, and the general public. This is achieved by brainstorming. The field force analysis goes hand in glove with ETOP, as here also the contribution with regard to opportunities and threats posed by the environment is also a necessary part of study.

India is weak in it.

ETOP Analysis

Methods, Techniques and other Details. The company-can capitalize on the burgeoning demand by taking advantage of the various government policies and concessions.

Though the market environment would still be favorable, much would depend on the extent to which the company is able to ensure the supply of raw materials and components, and have access to the latest technology and have the facilities to use it.

Sometimes very micro and neglected issues mar the strategy. Industry growth rate is 10 to 12 percent per year, For motorbike growth rate is 40 percent, largely Unsaturated demand.

Environmental Threat and Opportunity Profile (ЕТОР)

The optimum level of flexibility should be maintained. But contrast the implications of this ETOP managekent a new manufacturer who is planning to enter this industry. Impact studies should be conducted focusing on the various opportunities and threats and the critical issues selected. What is a business integration strategy? Once an organization gets into reputation problems, it goes on growing like weeds in a garden.

Data should be collected from good sources otherwise the entire process of environmental scanning may go waste. When organizations are alert and have enough resource they can turn a threat into an opportunity, such as a new technology that may displace one of the key products but also provides an opportunity for new product development.