Strategic planning is about determining our Strategy Choice (see Exhibit 2-1). our external environments have a series of factors that determine to a great extent how we as managers must act in order to provide the right combination of people in the organization to do the necessary work so that we can reach our strategic goals. In addition, internal capabilities and oper- ations dictate some of our options. Analysis of the environment and internal operations should lead to a choice of a particular strategy type. organizational goals, because without the right HRM is a critical component of meeting people with the right types of education and the right mind-set,we cannot ever expect to be able to accomplish the objectives that weset for ourselves. Again, people are one of the most difficult resources to imitate, and because this is true, they give us the potential for apower- advantage over our rival firms. In this chapter, we focus primarily on the environment. The environment has two ful competitive environment.Then parts: internal and external. In the first section, we discuss the external we take three separate sections to describe the internal environment: strategy, structure, and culture.