[Management Strategy] (1) 3C is not 'analysis'. It is a structure for deciding 'where to fight' - What are 3C, SWOT, and PEST each for?
*This series consists of 6 parts in total.
I have compiled them into a magazine.
Why does 'analysis' not lead to strategy?
I did 3C.
I wrote a SWOT.
I also organized PEST.
But nothing changes.
I think almost everyone has had this experience.
Why?
Because they do not understand the 'role of analysis'.
In many workplaces,
Gathering information = analysis
has become the norm.
However, originally, analysis is
'structural organization' for decision-making.
If you get this wrong,
Analysis -> Satisfied and finished
Strategy -> Not decided
The overall structure of analysis
Analysis has roles.
(1) PEST: Look at the external environment
Understand the unchangeable premises
(2) 3C: Decide the battlefield
Carve out where to fight
(3) SWOT: Decide how to fight
Decide how to compete
External (PEST)
-> Battlefield (3C)
-> How to fight (SWOT)
Only after doing this much does it become a strategy
--
1. Why doing 3C is meaningless
The market is growing
The competition is strong
Our company is weak
So, what do you do about it?
Many 3C analyses
end with just listing information
However,
Strategy is 'deciding where to win'
The essence of 3C is
not analysis, but
'carving out where to fight'
--
2. Customer: Customers 'do not exist'
Customers do not exist from the start
Customers are born the moment you carve out the conditions
To whom
What
At what price
Customer is 'something you choose'
--
3. Competitor: Competitors 'change'
Competitors are not fixed
High price range → Competitor A
Low price range → Competitor B
It changes depending on where you fight
Competitors are not "determined," they are "decided"
--
4. Company: Your company is a "constraint"
Your company is not about strengths, but
constraints
Capital
Human resources
Technology
You can only fight within these limits
--
5. The essence of 3C: Finding the overlapping area
Customer × Competitor × Company
Instead of just listing them, find the overlapping area
Where customers exist
Where competitors are weak
Where your company can win
This is the battlefield
--
6. How to use it in practice
(1) Narrow down the customers
Decide who you will not sell to
(2) Narrow down competitors
Decide who not to fight
(3) See your company realistically
Keep only what you can do
Finally,
keep only the overlapping areas
--
Analysis exists "to make decisions"
Analysis is not for knowing
It is for deciding
Subtraction, not addition
The more you expand, the more you lose;
the more you narrow down, the more you win
Strategy is deciding where not to fight
Management Strategy Series
In this series,
we will discard "vague strategies" and
organize the mindset for fighting with structure.
(1) 3C: Decide where to fight ← This time
Extract customers, competitors, and your company to decide "where to win"
(2) SWOT: Decide how to fight
Combine strengths with the external environment to design "how to win"
(3) PEST: Understand the prerequisites
Grasp the "unchangeable constraints" from the external environment (Politics, Economy, Society, Technology)
(4) Marketing: Design how to deliver value. Decide not on the product, but on "how it is perceived by the customer"
5. Narrowing down the target: Deciding who not to sell to
Trim segments and focus on "customers you can win over"
6. Sales strategy: Creating a repeatable way to win
Turning sales from "coincidence" into "structure"
"Next time is SWOT. I will explain how to use your 'strengths'."