...Advantages and disadvantages of using SWOT analysis to develop corporate strategy. Discuss using examples related to at least two companies. Introduction SWOT analysis SWOT analysis can also be called as SLOT analysis which is a strategic planning or direction for making decision based on available resources to determine valuate the Strength, Weaknesses/limitations, Opportunities, and Threats involved in a project or in a small business (business venture). It mentions the objective of business or a collaborative enterprise project and recognizes the internal, external factors which come in the achieving of objective. This method of analysis is prepared by an American businessman and a management consultant named Albert S Humphrey (Stanford University in the 1960s and 1970s). An objective of a project or a business venture should be only started after the SWOT analysis has been carried out. It would be easy for the organization to achieve its targets/objective. With the help of SWOT analysis decision makers are able to ascertain after a calculation that whether the objective they are planning is capable of been done or not. If not they must choose the distinct objective and the process is done over again. (Source : http://www.google.co.uk/imgres?imgurl=http://swotanalysistemplate.com/wp-content/uploads/2010/04/Slide5.jpg&imgrefurl=http://swotanalysistemplate.com/&h=302&w=604&sz=36&tbnid=ntJM-sR_xbjS7M:&tbnh=61&tbnw=121&prev=/sea...
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...SWOT analysis of Ford and Toyota SWOT ANALYSIS “Opposition is an inevitable part of change and one that can significantly impact your community organizing. However, if you know how to take stock of the opposition inside and outside of your effort or group, you are more likely to plan and act effectively.” That's where SWOT analysis comes in. SWOT can help you handle both ordinary and unusual situations in your community health or development initiative, by giving you a tool to explore both internal and external factors that may influence your work. SWOT analysis, founded by Albert Humphrey, is a compacted planning method used to determine the strengths, weaknesses, opportunities and threats involved in a business or in a project. SWOT analysis can be used for product, place, industry or person. It involves specifying the objective of the business venture or project and identifying the internal and external factors that are favorable and unfavorable to achieving that objective. There are lots of advantages of using SWOT analysis. When a single person is considered, it is a useful technique for understanding his Strengths and Weaknesses, and for identifying both the Opportunities open to him and the Threats he faces. When SWOT analysis is used in business context, it helps you carve a sustainable niche in your market. it can helps to uncover opportunities for the business. And by understanding the weaknesses of the business, threats can be managed and eliminated that would...
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...Minister: Navin Ramgoolam XECUTIVE SUMMARY NIRDOSH’s idea came to Mr. Natvarlal Bhavsar owner of Maans products – India Company a family possessed business holding headquartered at Ahmadabad which originally runs a biri manufacturing unit and a marketing enterprise from 2 decades. NIRDOSH is a unique non tobacco smoking stick which is used as substitute for normal cigarette but having no harmful characteristics of smoking rather providing additional health benefits. The production was carried out with 30-40 labour workforces manually by hands. NIRDOSH got health certification from medical bodies claiming numerous health benefits. The brand tag line was to curb the habit of smoking by simply smoking a different cigarette. NIRDOSH was sold in one main outlet in Ahmadabad and through VPP. Free samples of product were distributed and door to door selling was done to make awareness about NIRDOSH. The annual average sales were 1.4 lakhs per annum. A packet consisting 10 sticks was Rs2.5 subsequently increased to Rs5 per packet. The major constraints were the financial sources for the company which were tried to generate by contacting friends, government and local leaders. The attempts were made to get orders from outside countries to boost the sales of NIRDOSH. SITUATION ANALYSIS The business scenario for NIRDOSH can be analyzed by using the SWOT analysis tool in this case. Strength – It is an innovative product with proven health benefits, so at present there is no competitor...
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...This paper described the methods of SWOT analysis and Value Chain Analysis. SWOT analysis was presented as a technique for assessing the fit of a business within its operational environment by looking at the strengths, weaknesses, opportunities and threats. Comparing a competitor’s SWOT analysis with one’s own can reveal insight into where competitors are stronger and weaker and guide strategic decisions. The Value Chain Analysis was presented as a technique to identify which activities can create or improve economic advantage for a company. Using the value chain analysis within a competitive intelligence framework, a company can get insight into competitors’ cost structure and differentiation strategy as well as changes to these strategies. One can then compare the competitor’s value chain analysis with its own to discover opportunities for acquisition or where improvements within the value chain can be completed. Finally, both methods were used within an intelligence project to analyze RIM and provide recommendations to Alpha. Add real value Dedication, determination and attention to detail are hallmarks of RIM Global Manufacturing. It is comprised of a number of teams, ultimately responsible for the effective and timely manufacture, assembly, repair and delivery of the company’s products, supporting our customers around the world. Using cutting-edge technology and equipment, our state-of-the-art manufacturing facility is located in Waterloo, Canada, and is fully carpeted and...
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...SWOT analysis and it’s importance in market segmentation. SWOT (Strength, Weakness, Opportunity and Treat) Analysis is one of the management tools which provides management an overview on the Strengthen, Weakness, Opportunities and Treat that points out the core issues about the company’s position on it’s operation. It “serves as a catalyst to facilitate and guide the creation of marketing strategies that will produce desired result” O.C. Ferrell, Michael D.,George h and David l (1999) using the SWOT analysis organizations can examine the various factors both internally (Strength and Weakness) and Externally (opportunities and treats) to improve business performance. The analysis will be used to “quickly overview the business strategy” Jobber and Ellis-Chadwick, (2013). Swot Analysis provides a core information on the business organization not only the marketing aspect but also other components that contribute and affects the success of it’s business operation, Management can prepare itself for taking proper course of action in identifying marketing objectives and designing core strategies and gain competitive advantage in breaking the market. Marketing Audit Organizations develop a plan of action through which they proceed with their business operation, in order to assess their past performance, current position in the market as well as where they want to be in future operations. One of the tool that can answear these issues are to have an internal and external audit...
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...SWOT Analysis of Tesla Motors Strength – In the first part of SWOT analysis of Tesla Motors, Strength are discussed. * Energy efficiency: the most energy efficient car as it uses renewable energy such as solar power. * Supplier to other manufacturer: Tesla is a major supplier of car parts for Toyota. * Ability to manufacture environmental friendly cars: Tesla has pure and complete advantages over other companies in manufacturing environmental friendly cars. * Cost reduction advantages: they outsource secondary components to other companies which gave them acquiring cost reduction advantages. * Existing strong investors and partners: Tesla acquired strong investor’s partners in recent years such as Google, Daimler, Panasonic, and Toyota motors. Weakness – In second part of SWOT analysis of Tesla Motors, weakness are discussed. * Bad impact from Model X: Tesla recently launched high-tech car Model-X which price is expensive it compared with that of other cars. * Time consuming to make a delivery: Tesla says if you order a car, you will have it delivered after one year which cannot be a strong distribution process. The manufacturing capacity is so limited. * Bigger Debt Portion: Tesla has large portion of debt (and a negative $455 million cash flow) in its financial statement which makes it vulnerable. * Short story of experience: As Tesla has established in the year 2003, it does not have sufficient experience comparing to other car manufacturers...
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...'micro-environment' and the 'internal environment'. [pic][pic][pic][pic][pic] The micro-environment This environment influences the organization directly. It includes suppliers that deal directly or indirectly, consumers and customers, and other local stakeholders. Micro tends to suggest small, but this can be misleading. In this context, micro describes the relationship between firms and the driving forces that control this relationship. It is a more local relationship, and the firm may exercise a degree of influence. The macro-environment This includes all factors that can influence and organization, but that are out of their direct control. A company does not generally influence any laws (although it is accepted that they could lobby or be part of a trade organization). It is continuously changing, and the company needs to be flexible to adapt. There may be aggressive competition and rivalry in a market. Globalization means that there is always the threat of substitute products and new entrants. The wider environment is also ever changing, and the marketer needs to compensate for changes in culture, politics, economics and technology. [pic][pic][pic] The internal environment. All factors that are internal to the organization are known as the 'internal environment'. They are generally audited by applying the 'Five Ms' which are Men, Money,...
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...one of the largest packaging food and beverage companies in Northern America. In 2006 Kraft acquired the European business of Biscuits and the rights to Nabisco, trademarks in Europe, Middle East and Africa to include Oreo, Ritz and Chips Ahoy. Kraft is also one of the largest worldwide known with net revenues of $18.3 billion, and $2.5 billion from operations prior to taxes for last year. Kraft employs approximately 90,000 employees throughout the world. The competition in the food and beverage industry is very intense and competitive. Producing many well-known brands has enabled Kraft Foods to sustain quality growth and profitability. Kraft Foods is wide spread across 72 countries and their products have reached more than 155 countries. This SWOT analysis will determine if the company is strong or has serious weaknesses. . SWOT Analysis for Kraft Foods Strengths: a. The extensive and wide geographical presence of the company throughout the world creates a diversified portfolio of the investment and reduces the overall risk of the company. b. The Company has a strong market position due to its strong market presence in the food industry. The presence at the global level makes it easier for the company to market an international brand. The history of quality service provider makes the company one of the most wanted brands among food lovers. c. The financial data shows the performance of the company sales for the last 5 years has shown positive outlook...
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...consumer market. They already make the base and distribute it so it is a great idea to get into that market. After using the evolutionary method I would recommend using the computer-assisted discovery as a method of crowdsourcing that can give ideas that the customer need/wants. These products are being developed by the technical departments as bar goods, such as one ounce or larger molded slabs of chocolate in dark, milk, inclusion-containing (nuts, fruit, etc.) products. 3. Who might be selected to perform the ideation, and why? Why might you not select certain groups to perform the ideation? To perform the ideation all group should be together to brainstorm and concept screening. In the Chocoberry Company, the new product development team and the manufacturing team must be together. They can brainstorm and get a concept, then present the ideas to the CEO. In this case, both teams know that the target group is adults who wish to...
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...analytical tool, of a PEST analysis 5 3.1 Arguments for PEST analysis 5 3.2 Argument against PEST analysis: 6 3.3 Potential alternatives of PEST analysis 7 4 Prepare a business report based on your PEST analysis that this should explain the main findings of your PEST analysis 8 4.1 PEST analysis 8 4.1.1 Political 8 4.1.2 Economic environment: 9 4.1.3 Social environment; 10 4.1.4 Technological environment: 10 4.2 SWOT analysis: 11 5 Conclusion: 12 6 References 13 Introduction: Tuffstuff is a cement manufacturing company and now it wants to enter into African market. International market is more challenging because the foreign companies are not enough aware of the host country that may sometimes causes to failure in foreign market. The Tuffstuff’s proposed market Rwanda has more attractive for the investment. It is a growing economy country with great potential. In this report, a suitable organizational structure for the Tuffstuff in Rwanda will be discussed. To obtain its goals and objectives the functional structure is considered more suitable for the Tuffstuff company. In foreign market, there are several environmental factors that should need to analyze that would be done by the PEST analysis before entering into Rwanda’s market Blair and Hitchcock, 2011).. The PEST analysis will collect and determine the factors affecting in business environment. In this report, all elements of the PEST will describe. On the other hand, SWOT analysis will also explain. Organizational...
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...Outsourcing Problem Ford Motor Company is an automobile Multinational Enterprise established in Detroit in 1903. Ford has been sustaining heavy profit losses in its European operations due to the economic downturn affecting most of Europe. The “company now expects Ford Europe’s pre-tax loss for full year 2012 to exceed $1.5 billion” (http://media.ford.com/images/10031/3Q2012_Financials.pdf, 2012). “Business refers to any type of economic activity in which goods or services are supplied in exchange for some payment” (J. Morrison 2010) and in this case Fords European vehicle sales market has been saturated through less demand for its products. Ford said European car sales across the industry were the lowest in 20 years (BBC News, 2012). The main losses are being sustained within Europe in which Ford operates in 51 different European markets. Ford`s strategy is likely to be offshoring manufacturing of the Transit Van, meaning the closure of its South Hampton Factory with immediate redundancies of 500 employees with closing parts of the Dagenham Plant which will push redundancies to 1400. Although is this likely to be the answer? What will be the effect upon the microeconomic factors? Especially the level of job losses of stakeholders, including suppliers and employees, further down the chain. Is it ethnical of Ford to simply offshore production to a cheaper labour area such as Turkey or is this just a simple case of how Britain’s Manufacturing industry is further declining? Will...
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...Marketing Audit and Analysis of Hindustan hydraulics EXECUTIVE SUMMARY This report has been produced to analyze the current marketing challenges faced by Hindustan Hydraulics with regard to their marketing strategy. Although Hindustan Hydraulics has invested time and money in improving their infrastructure, we feel that with tougher competition in the present market, this company is not taking full advantage of its cash reserve and good presence in the Indian market which could be used to develop their old machine with state of the art new technology which could result in higher profit and lower cost in maintaining machine. Faced with a consistent loss of market share due to new competition it is our analysis that, to enhance further growth and profit, Hindustan Hydraulics must improve their sales service, better turnaround time to decrease down time of machines so that customers do not fall behind their production schedule and more money should be pumped into the R&D department to develop advanced systems. Other recommendations has been discussed in detail in this report. Table of Contents Executive Summary 2 Introduction 5 Positioning 6 Current environment and operation 7 PEST Analysis 8 a) Political forces b) Economic forces c) Socio-cultural forces d) Technological forces SWOT Analysis 10 a) Internal factor 10 1. Strengths 2. Weaknesses b) External Factors...
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...2.0 THE COMPANY OVERVIEW……………………………………………………………….................4 3.0 SECTION A. ENVIRONMENTAL FORCES AND IMPACTS………………………………………5 4.0 3.1 Political Forces………………………………………………………………………………...............5 3.2 Economic Forces…………..…….….………………………………………………………........….….6 3.3 Social Forces……………………….…………….…………………………………………………..…7 3.4 Technological Forces…………………………………………………….…………………………….8 3.5 Legal Forces……………………………….………………………………………….……………..….9 3.6 Ecological Forces………………………….………………………….………………………………...9 4.0 SECTION B. MANAGEMENT STRATEGIES…………………………………….……………………….10 4.1 SWOT analysis of GM Uzbekistan………………………………………………………………..……...10 4.2 Management Strategies………………………………………………………………….…………….12 5.0 CONCLUSION……………………………………………………………………………………………14 6.0 REFERENCES……………………………………………………………………………………………15 1.0 INTRODUCTION Due to the today’s fast development and the process of globalization practically all large companies and organizations face different extends of strategic failure. There are many external factors that are beyond managers’ control and affect the effective and efficient existence of large enterprises, for instance the continual changes in product demand. However, concentrating on factors that can be harmful for running business it is necessary to take into consideration the internal forces also, that is the internal management structure, including HR management. In other words initially companies have to...
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...Assignment. 10 marks CLOs S1, S2, S3 1. Analyze and develop internal and external factors by using SWOT and PESTEL Analysis for competitive business strategies. 5 marks 2. Demonstrate the business models and corporate value chain analysis. 5 marks Analyze and develop internal and external factors by using SWOT and PESTEL Analysis for competitive business strategies. 5 marks When planning a project it is important to learn about the internal and external factors that can affect the project. There are some excellent strategic planning methods that you can use analyze all these factors. SWOT analysis and PEST analysis are two of the most frequently used planning methods. Below is a brief introduction to both methods and a comparison of SWOT analysis vs PEST analysis. What is SWOT Analysis ? SWOT when broken down simply means analyzing the: * Strengths – The advantages you have over the competition concerning this project. * Weaknesses – The disadvantages you have internally compared with your competitors. * Opportunities – Current external trends which are waiting to be taken advantage of. * Threats – External movements which may cause a problem and have a negative impact on your business. Sometimes SWOT is referred to as SLOT, where weaknesses are names as liabilities. By working through each of these points it is possible to identify any internal disadvantages or advantages which could benefit or hinder the outcome of a planned project...
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...Executive Summary Toyota is arguably one of if not the most success automobile manufacturing companies in the world. With annual revenue of over $200 billion and over 300,000 employees across 27 countries, even the smallest decisions could have huge repercussions. It is the purpose of this audit to offer a in depth review and examination of Toyota’s marketing environment, objectives, strategies and activities to determine what are the key elements of their success, potential issues the need to avoid or improve on and any new opportunities to further maintain their position as industry leaders. Toyota has positioned itself as one of the automotive industry leaders with the highest market share when based on sales volumes. Toyota also maintains this strong market position across many countries. Toyota has developed a wide range of vehicles catering for all types of customers, from low to very high income, with easy access to their products thanks to a global distribution system. The company makes a strong effort to be well rounded and remains strong in innovation, brand reputation, good prices and international relationships. This strong market position is largely attributed to Toyota’s value proposition to provide customers with the best range of models, at affordable prices, all whilst maintaining our long-standing reputation for manufacturing excellence and for producing high quality vehicles that are safe and reliable. The efficiency and capacity of the Toyota production...
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