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Internal-external (IE) matrix
It is one of the important strategic management tool used to analyze strategic position and working condition of a business. The internal-external matrix is based on the analysis of internal and external factors of business which are then combined into one suggestive model for the betterment of the company.
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Characteristics of internal-external (IE) matrix
1) The position of various divisions of a company is categorized in a nine cell display.
2) Internal-external matrix is similar to Boston consulting group matrix but requires more information about the divisions.
3) Two dimensions are included in this matrix.
a) Total weighted score of internal factor evaluation matrix is specified on x-axis.
b) Total weighted score of external factor evaluation is specified on y-axis.
The three main regions of the IE matrix are
1) Grow and build region which covers the first, second or forth cell.
2) Hold and maintain region which covers the third, fifth or seventh cell.
3) Harvest or Divest region which covers sixth, eighth or ninth cell.
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