External Analysis

External Analysis

Introduction

This paper intends to identify the advantages and disadvantages of conducting an external analysis. For the purpose of analysis the chosen organization is “the James J. Peters Veteran Hospital” which is situated in New York. This paper is expected to include the different perspectives of the analysis which contains the items such as political, regulatory, technological, economic, social and competitive. After the analysis this paper will further highlight the opportunities and threats that are associated with the James J. Peters Veteran Hospital.

Discussion

Advantages and Disadvantages of an External Analysis

The advantages of an external analysis is that there is not an internal evaluation carrying out at the same time while the external factors are examined thoroughly, so this makes the analysis simple and cost is also dragged down. It provides an overall assessment of the external factors which are involved in the extensive environment of business. It also provides the framework for the strategic thinking. Many of the threats and opportunities associated with the organization are being identified in the process of external analysis. This identification can help the organization to predict the future complications and how they can be avoided.

The organization on other hand can also recognize the opportunities and exploit it. On the contrary, the disadvantages can be the fast variation in the society makes it very tough to predict the future development of the organization. The external analysis only outlines the external factors whereas the outcome should be based on both the external as well as internal factors such as the competitors, the industry and the organization itself. The data which is utilized in the external analysis may be assumed that proves to be baseless (Michael, 2004).

The James J. Peters VA hospital is chosen for the purpose of analysis. It is a tertiary care facility, accouterment ...