Sample Essay
The SPACE matrix is used from the analysis of the porters five forces model and the analysis of the external factors which has been depicted already. The following SPACE matrix presents that the Estee Lauder should pursue an aggressive strategy.
|
Internal Strategic Position |
External Strategic Position |
|||
| Axis X |
Competitive (CA) |
Industry (IS) |
||
|
-2 |
Brand & Image |
4 |
Barriers to Entry | |
|
-1 |
Product Quality |
6 |
Growth Potential | |
|
-3 |
Market Share |
6 |
Access to Financing | |
|
-1 |
Customer Loyalty |
3 |
Consolidation | |
| Av. | Av. | |||
|
-1.75 |
4.75 |
|||
|
Total X axis score: 3 |
||||
|
Axis Y |
Financial (FS) |
Environmental (ES) |
||
|
5 |
ROA |
-2 |
Customer Demand | |
|
6 |
Leverage |
-3 |
Technology – R&D | |
|
6 |
Liquidity |
-3 |
Inflation | |
|
3 |
Cash Flow |
-1 |
CSR Issues | |
| Av. | Av. | |||
|
5 |
-2.25 |
|||
|
Total Y axis score: 2.75 |
||||
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Essay: SPACE matrix for Estee Lauder