ITPEC IP April 2025 Question 81

Customers, competitors and the company — the three perspectives of 3C analysis.

3C analysis examines the business environment from three sides: Customer (the market, its needs, size and growth), Competitor (who competes, with what strengths and strategies) and Company (one's own resources, strengths and weaknesses). A sound strategy meets customer needs in a way competitors cannot easily match, using the company's own strengths.

Answer (a)

Why not others:

• •(b) — last purchase date, purchase frequency and purchase amount are the recency, frequency and monetary value of RFM analysis, which ranks customers
• •(c) — decomposing a trend into era (period), age and generation (cohort) effects is cohort analysis, applied to consumer or survey data
• •(d) — ranking items in descending order of sales and dividing them into three groups is ABC analysis, drawn from a Pareto chart

Key rule: RFM and ABC analysis also have three parts, but they classify customers or items; only 3C analysis looks at the environment through customer, competitor and company.

Business Strategy Management · AI-written, may contain errors