Impact of External Business Forces on Strategic Capabilities: A Case Study of Smart in Philippines

Running head: RESEARCH REPORT
RESEARCH REPORT
Name of the Student
Name of the University
Author Note

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Executive Summary
This report is based on the research which is collected in regard to the analysis of the numerous
external forces which tend to have a very solid influence on the business situation. The business
situation can be taken to be very complex and various factors influence the performance of the
firm. Hence, the firm which has been selected for the purpose of the analysis is the Smart
Communications in Philippines. The report provides an Introduction, Review of Literature, and
Research Methodology, Findings and analysis and the Conclusion. Certain suggestions have also
been given.

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Table of Contents
Research Topic................................................................................................................................4
Introduction......................................................................................................................................4
Overview......................................................................................................................................4
About the Firm.............................................................................................................................4
Research aim................................................................................................................................5
Research Questions......................................................................................................................5
Research Objectives.....................................................................................................................5
Research Rationale.......................................................................................................................6
Review of Literature........................................................................................................................7
Strategic Capabilities...................................................................................................................7
Thriving in the International Market............................................................................................7
Identification of Critical Competencies.......................................................................................7
Strategic Value Analysis..............................................................................................................8
Aspects of the Strategic Capability..............................................................................................8
External forces.............................................................................................................................8
Economic Influences....................................................................................................................9
Political and Legal Influences....................................................................................................10
Demographic Factors.................................................................................................................10
Social Factors.............................................................................................................................10
Technology.................................................................................................................................11
Research Methodology..................................................................................................................12
Research Outline........................................................................................................................12
Research Philosophy..................................................................................................................12
Research Design.........................................................................................................................12
Research Approach....................................................................................................................13
Research Strategy.......................................................................................................................13
Data collection...........................................................................................................................13
Data analysis..............................................................................................................................13

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Ethical considerations................................................................................................................14
Findings and Analysis....................................................................................................................15
Findings from the Literature Review.........................................................................................15
Findings from the Primary data collection.................................................................................15
Implications for the firm............................................................................................................17
Conclusions and Recommendations..............................................................................................18
Recommendations:.....................................................................................................................18
References......................................................................................................................................19
Appendix........................................................................................................................................21
Interview Script..........................................................................................................................21

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Research Topic: The Impact of External Business forces on the strategic capabilities of the
business: A case study of Smart in Philippines
Introduction
Overview
The external business environment is considerably dynamic in nature and in relation to
this, there are various external forces which have an influence on the performance of the firm
and affect the overall strategic capabilities of the business. These forces may comprise of the
Political forces, the Economic forces, the Social forces, the Technological forces, the Legal
forces and the Environmental forces. These forces although performing externally, can have a
sound impact on the internal capabilities of the organization. The primary reason why these
aspects are being considered is because they tend to affect the operations of the business and
sometimes either limit or support the overall capability of the business.
About the Firm
The SMART Communications can be ideally defined as the wholly owned wireless
communications and digital service subsidiary of the PLDT which is a telecommunications as
well as digital service provider which is based in Philippines. The company has a total of 58.3
million mobile subscribers and has a total of 3.8 million users under the Smart Bro and the Sun
wireless broadband. Additionally, the firm tends to offer a large collection of the wireless
services with the help of which, it is successfully able to deploy its services in various key areas
of Philippines. The company has also undertaken a research phase for the development and

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research of the 5G services (Morden 2016). The company is being supported by the satellite
communication which as the tendency to serve the global maritime industry.
Research aim
The primary aim of the research is to be to find the impact of the various External
business forces on the strategic capabilities of the Smart Communications in Philippines.
Research Questions
The research questions have been selected as follows:
1. What is the concept of External business forces in the context of Philippines?
2. What are the strategic capabilities of Smart Communications in Philippines?
3. What is the impact of the external business forces on the strategic capabilities of the
firm?
4. What is the relationship between the external business forces and the internal capabilities
of the firm?
5. What recommendations can be provided to the organization which would assist them in
understanding the manner in which the firm can perform well in the long run?
Research Objectives
The research objectives have been stated to be as follows:
 To understand the concept of External business forces in the context of Philippines.
 To examine the strategic capabilities of Smart Communications in Philippines
 To analyze the impact of the external business forces on the strategic capabilities of the
firm.