CONSULTANT’S ANALYSIS CHEAT-SHEET

What price Cost-based pricing? Price-based costing? Value of market demand? Consider the competitors’ products’ costs. Can you
should this provide a ratio that is similar to other products? What is the market segmentation? Who will buy the product? When?
product be? Will you offer discounts? Why? How? Price elasticity? Should you use loss leaders or traffic builders? Is price
completely created though supply / demand? What other factors make a difference?
How can we What are the cost and income benchmarks? How can costs (fixed and variable) be reduced? Can functions be
reduce costs? outsourced? Can processes be removed? Too much inventory? Are you making the best use of your assets? Are you
focusing on key competencies and adding value with everything you do? Can some activities be centralised / automated?
Should we enter What is the size of the market (buyers, sales, turnover)? How is the market structured (trends, geography, segmentation,
a new market? niche vs. mass)? Who are the competitors? What are the market gaps? What are the barriers to entry? How will you
differentiate? Will you steal market share or grow the market? How loyal are customers? How will you enter (acquire,
build, partner)?
What should our What is the industry structure? What determines success in the market (e.g. growth, size, brands, technology etc.)? What
strategy be? are the company’s unique advantages? What trends are there in the market? Why are the competition successful? What
are the opportunities for vertical (supply-chain) and horizontal (similar products / businesses) integration?
How can we Is competition rational or based on other things? How many competitors are there? What is their market share? How
better our would they react to another competitor? What are the competitions’ strengths? What are your strategic advantages? Can
competitors? you build a monopoly? What are your unique advantages? How can you build on them?
How can we Can you bundle products or encourage loyalty or repeat purchases? Can new customers be attracted? Advertising? Is the
increase sales? brand effective? Improve channels to market? Position products better? Improve / increase sales outlets? Incentives for
sales staff? Can existing products be modified for other markets? What drives a purchase? Acquire a synergistic firm?
How can we How can sales or prices be increased? Are there cost opportunities for economies of scale, amalgamating suppliers,
increase income? cutting labour or automating, using e-business? Re: pricing, are there opportunities for producing specialist
(differentiated) products, targeting market segments better? What alternative methods of pricing are there?
Is this a good What are the potential costs? Upfront costs? Cash-flow required? What are the potential returns? What are the
investment? opportunity costs? Cost of capital? Net Present Value of investment? Risk involved? Can risks be mitigated? What are
the benefits? Does it fit with company strategy? Will it impact other business areas (e.g. cannibalisation?).

© Joe O’Mahoney 2010

 CONSULTANT’S ANALYSIS CHEAT-SHEET
Porter’s 5 Forces

The 4 Cs: Strategy

Fishbone
Diagram

© Joe O’Mahoney 2010