Evaluate the usefulness of strategic analysis techniques, other than SWOT analysis, to BSJ's directors as they consider Option A and Option B.

Mark scheme

Marking points from the official mark scheme (May/June 2019). The mark or mark type is shown in brackets.

1. [Knowledge] Strategic analysis is the process that provides information to enable strategic choices to be made
2. [Knowledge] Strategic analysis uses 5 techniques – SWOT, PEST, Boston Matrix, Porter's Five Forces, Core Competencies and a consideration of vision/mission statements
3. [Application] Core competency – quality and design?
4. [Application] Threat of market entry Option B is low
5. [Application] Apply Porters Five Forces to Option A and B
6. [Application] Apply PEST to Option A and B
7. [Application] Technological change. E commerce and impact on retailers
8. [Application] operating own stores. E commerce sales rising from 8% to 15% by 2022
9. [Application] Demand for luxury jewellery depends on higher incomes
10. [Application] Two strategic options – new international stores, e-commerce
11. [Application] Reasons for considering options – to maintain margins, increased competition, increased use of internet, smaller companies expanding, department store sales falling
12. [Application] Possibility of further takeover offers
13. [Analysis] Application of techniques to the two options and a comparison made e.g. Porters very similar, Boston Option A lower market growth,
14. [Analysis] Place of strategic analysis in strategic management
15. [Analysis] Comment on any difference the options have in relation to core competency
16. [Evaluation] Analysis relies on accurate data
17. [Evaluation] All techniques are more qualitative than quantitative – further information required
18. [Evaluation] Little financial information in techniques
19. [Evaluation] Results may depend on the attitude of the person preparing them
20. [Evaluation] Strategic choice techniques important to the final decision