Integrative and Analytical Tools Research 2022

Running Head: Integrative and Analytical Tools
Integrative and Analytical Tools
Name of the Student:
Name of the University:
Author’s Note

1
INTEGRATIVE AND ANALYTICAL TOOL
With the context of company’s revenue system it has been noted that the organization is
facing a deficit. The company is aiming to formularizing a new strategy that will help them to
generate those profits by moving into the foreign market. It should be the aim of the company to
set its strategies, which would facilitate the moving of the business into a foreign market, which
will generate revenue, will not strain the company financially by entering into the foreign
market, and will not make the company face deficit from the starting point. There are few tools
that is required to do the research analysis for the industry and for the rival competitive market
present in the economy. The tools will enhance the knowledge for the company when it enters
the foreign market (Song, Sun & Jin, 2017).
What is the best tool used in this situation? Identify and analyze the tools.
There are two types of tools that have been implemented for this company that is, Porters
Five-Force Analysis and PESTLE analysis (Indiatsy et al., 2014). The first factor that is used is
Porters Five-Force Analysis which helps in understanding the internal competitive environment.
It helps to identify the steps in the competition that is prevalent within the organization. It
formularizes the strength and weakness of the company. It consists of five forces including
supplier’s power, customer’s power, the threat of new entrants, the threat of identical products
and competition prevailing in the industry. A risk factor is associated with the business that is the
threat of new entry in the market (Aithal, 2016). The rival competitors create a barrier for the
entry in the market. The cause of threat in the market is because of the identical products, which
is available in the market. On the other hand the other tool that is used is PESTLE Analysis. This
tool is a strategic tool which helps to analyze the macro environment of the new venture.
PESTLE is an abbreviation that stands for Political, Economic factors determine the financial
performance of the country. The factors that are included are GDP rate, unemployment level and