External Factor Analysis Summary | weight | Rating | Weight Score | Opportunities | | | | 1. Plus-sized segment | 0.20 | 5 | 1.00 | 2. Trade segment | 0.15 | 5 | 0.75 | 3. CSR | 0.05 | 3 | 0.15 | 4. Buying power of Generation Z | 0.10 | 4 | 0.40 | 5. Stance on ethics | 0.03 | 3 | 0.09 | | | | | Threats | | | | 1. Economic downturn(Inflation) | 0.10 | 4 | 0.40 | 2. Emergence of companies that are low cost and high fashion | 0.03 | 2 | 0.06 | 3. Low Switching Costs | 0.02 | 2 | 0.04 | 4. Petroleum Prices | 0.05 | 3 | 0.15 | | | | | External position | | | | | | | | | 1.00 | | 3.95 |
OPPORTUNITIES: * Plus-sized segment: Pakistan has approx 70% of its population in rural areas which remains untapped as far as Shoe Polish industry is concerned at large. Kiwi has the opportunity to increase its market share through the rural areas. * Trade segment: Improve trade marketing and inject strategies like tying up with schools, fashion houses & schools. * CSR: With earth hour & other CSR’s becoming a huge success, Kiwi should focus on CSR’s in order to achieve an edge over its competitors. * Buying power of Generation Z: Generation Z is the first generation to be brought up completely with social media and technology. Knowing how to use social media to effectively attract Generation Z buyers, as well as other consumers is vital to the survival of companies.
THREATS: * Economic downturn(Inflation): The economic downturn has made people more price-conscious and has resulted in less spending on branded polish. * Emergence of companies that are low cost and high fashion: The entrance of foreign companies with unique names have relatively easy to use products, also are appealing to younger consumers especially through the selling tactics in buses &