IntroductionCompanies always operate in a certain environment; the formulation and implementation of the corporate strategy are also limited by particular environmental factors. (Osborn & Hunt 1974) In other words, the environment decides the strategy, decision making, organizational structure and management styles of firms. Environmental awareness has become the starting point of environmental analysis. (Sethi 1979) Generally, business strategy has two environmental factors to consider, the internal and external environment. Furthermore, since the degrees of influence are different, external environments are divided into macro environment and industrial environment. The productivity and functioning of modern businesses have been increasingly impacted by the external environment. (Osborn & Hunt 1974) Strategic management for organizational needs involves an overall and objective analysis of the changing external environment, based on research findings to set organizational objectives and strategic plans. The enterprise and its external operating conditions are in interaction and interconnected relationship. (Osborn & Hunt 1974) The purpose of the study on the peripheral environment is to support the possibility for organizations to identify possible development opportunities and potential threats, use them to be the conditions and constraints to develop corporate strategy. (Sethi 1979) There is a close contact between business and the environment. On the one hand, the environment is the basis for the survival of the enterprise, the elements that the enterprise needs are all obtained from the external environment, such as human resources, materials, energy, capital, technology, information, etc. Meanwhile, the company's products must be but......middle of paper......Competitive Forces Shaping Strategy, Harvard Business Review, Vol. 86, n. 1, pp. 78-93.Sethi, S 1979, A conceptual framework for the environmental analysis of social issues and the evaluation of business response models, Academy of Management Review, vol. 4, no. 1, pp. 63-74.Seven Network Limited, 2004, DCITA Multi-channelling Review, accessed 18 August 2011. From http://www.dbcde.gov.au/__data/assets/pdf_file/0015/13191/Seven_Network_Ltd .pdfThe Gale Group , 2011, Cable and other pay television services, accessed 18 August 2011. From http://business.highbeam.com/industry-reports/transportation/cable-other-pay-television-servicesWilliams, K 2002, Television in subscription in Australia, retrieved 18 August 2011. From http://www.accc.gov.au/content/item.phtml?itemId=259730&nodeId=7714aec46569de9f04fe41d5787ac203&fn=Session+5+-+Mr+Kim+Williams.pdf
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