<P> Strategic management is often described as involving two major processes: formulation and implementation of strategy . While described sequentially below, in practice the two processes are iterative and each provides input for the other . </P> <P> Formulation of strategy involves analyzing the environment in which the organization operates, then making a series of strategic decisions about how the organization will compete . Formulation ends with a series of goals or objectives and measures for the organization to pursue . Environmental analysis includes the: </P> <Ul> <Li> Remote external environment, including the political, economic, social, technological, legal and environmental landscape (PESTLE); </Li> <Li> Industry environment, such as the competitive behavior of rival organizations, the bargaining power of buyers / customers and suppliers, threats from new entrants to the industry, and the ability of buyers to substitute products (Porter's 5 forces); and </Li> <Li> Internal environment, regarding the strengths and weaknesses of the organization's resources (i.e., its people, processes and IT systems). </Li> </Ul> <Li> Remote external environment, including the political, economic, social, technological, legal and environmental landscape (PESTLE); </Li>

Various environments which should be considered in strategic management