Keep in mind whenever you see someone applying one of these analytical tools, whether it’s the five forces framework or net present value analysis or whatever, that they are just tools. It’s the skills, interests, and motives of the person using the tool that determine whether the outcome of the analysis is reasonable.
When managers present a point of view, assume their point of view reflects some combination of how things actually are and how they want things to be.
Many managers do an analysis to reaffirm what they already believe.
