Case Study

Sustain or expand?

Andy Weeger

Neu-Ulm University of Applied Sciences

November 13, 2023

Learning outcomes

After this session, you should have solidified your understanding of

• how to conduct an internal analysis to identify core competencies from a firm’s resources and capabilities;
• how external factors affect the company, and how industry structure affects competitive rivalry as well as the implications for strategy formation;
• how changes in external environment shape the competition dynamics a company faces; and
• the opportunities and challenges associated with global expansion.

Group work

• Form small groups to work on the following assignments.
• After each assignment, we discuss the findings in the plenum.
• Be prepared to present your insights.

Internal audit

Apply the resource-based view to identify the bundle of critical resources (tangible and intangible) and capabilities that Sea Limited relies on.

Take 15 minutes to work on this task.

External audit

Identify macro-environmental factors that impacted and might impact the profitability of Sea Limited.

Use following categories: political/legal, economic/ecological, and sociocultural/technological

Take 15 minutes to work on this task.

Core competences

Core competencies are unique strengths that allow the company to differentiate its products and services from competitors.

Identify Sea Limited’s core competencies.

• Examine the resources and capabilities, macro-environmental factors, and the dynamics of their interplay.
• Apply the VRIO framework to analyze whether these factors can deliver a sustained competitive advantage.

Take 15 minutes to work on this task.

Strategic options

Sea Limited is under pressure from shareholders to generate profit and deliver growth.

Use the SWOT framework to develop strategic options for Sea Limited.

Take 20 minutes to work on this task.

Q&A