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Terms in this set (79)

The 5 Is strategic analysis stages include:
1.Issue identification. The business identifies issues of stakeholders who want the firm to take some action to meet their special interest. The business identifies which stage of the life cycle the issue is in to determine the strategic focus.
2.Interested strategic stakeholders. The firm determines which specific strategic stakeholders will be for and against its stance on the issue.
3.Incentive of stakeholders. The business determines stakeholder: (a) legitimacy (What responsibility does the firm have to the stakeholder?), (b) power (Can the stakeholder help or hurt firm performance?); (c) urgency (Is quick action needed?); and predicts the (d) likelihood (costs vs. benefits) of their taking action, and (e) what action they will take to help or oppose the business on the issue.
4.Information—objectives. The firm states the end result it wants to achieve in trying to create value for the stakeholders of the issue. Information is classified as fact (can be proven), assumption (not factual), or sentiment (feelings about the issue). The firm presents its side of the issue, using information facts and figures to meet its objective through information-gaining strategies—outside sources conducting research, expert testimony, and using information of supportive stakeholders.
5.Interaction strategies. Developing interaction strategies involves: (a) generating alternative strategies to meet the objective; (b) forecasting the market and nonmarket reactions and the consequences of each alternative; (c) selecting strategies; and (d) implementing and evaluating strategies.