Swot Analysis of "L'eggs Products, Inc. (Condensed), Spanish Version" written by Stephen H. Star includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that L'eggs Condensed facing as an external strategic factors. Some of the topics covered in L'eggs Products, Inc. (Condensed), Spanish Version case study are - Strategic Management Strategies, and Sales & Marketing.
Some of the macro environment factors that can be used to understand the L'eggs Products, Inc. (Condensed), Spanish Version casestudy better are - – customer relationship management is fast transforming because of increasing concerns over data privacy, supply chains are disrupted by pandemic , geopolitical disruptions, increasing household debt because of falling income levels, increasing transportation and logistics costs, digital marketing is dominated by two big players Facebook and Google, there is backlash against globalization,
there is increasing trade war between United States & China, increasing inequality as vast percentage of new income is going to the top 1%, etc
Introduction to SWOT Analysis of L'eggs Products, Inc. (Condensed), Spanish Version
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in L'eggs Products, Inc. (Condensed), Spanish Version case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the L'eggs Condensed, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which L'eggs Condensed operates in.
According to Harvard Business Review, 75% of the managers use SWOT analysis for various purposes such as – evaluating current scenario, strategic planning, new venture feasibility, personal growth goals, new market entry, Go To market strategies, portfolio management and strategic trade-off assessment, organizational restructuring, etc.
SWOT Objectives / Importance of SWOT Analysis and SWOT Matrix
SWOT analysis of L'eggs Products, Inc. (Condensed), Spanish Version can be done for the following purposes –
1. Strategic planning using facts provided in L'eggs Products, Inc. (Condensed), Spanish Version case study
2. Improving business portfolio management of L'eggs Condensed
3. Assessing feasibility of the new initiative in Sales & Marketing field.
4. Making a Sales & Marketing topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of L'eggs Condensed
Strengths L'eggs Products, Inc. (Condensed), Spanish Version | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of L'eggs Condensed in L'eggs Products, Inc. (Condensed), Spanish Version Harvard Business Review case study are -
Training and development
– L'eggs Condensed has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in L'eggs Products, Inc. (Condensed), Spanish Version Harvard Business Review case study by analyzing – employees retention, in-house promotion, loyalty, new venture initiation, lack of conflict, and high level of both employees and customer engagement.
Analytics focus
– L'eggs Condensed is putting a lot of focus on utilizing the power of analytics in business decision making. This has put it among the leading players in the industry. The technology infrastructure suggested by Stephen H. Star can also help it to harness the power of analytics for – marketing optimization, demand forecasting, customer relationship management, inventory management, information sharing across the value chain etc.
Ability to recruit top talent
– L'eggs Condensed is one of the leading recruiters in the industry. Managers in the L'eggs Products, Inc. (Condensed), Spanish Version are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
High brand equity
– L'eggs Condensed has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled L'eggs Condensed to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Organizational Resilience of L'eggs Condensed
– The covid-19 pandemic has put organizational resilience at the centre of everthing that L'eggs Condensed does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Successful track record of launching new products
– L'eggs Condensed has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. L'eggs Condensed has effective processes in place that helps in exploring new product needs, doing quick pilot testing, and then launching the products quickly using its extensive distribution network.
Diverse revenue streams
– L'eggs Condensed is present in almost all the verticals within the industry. This has provided firm in L'eggs Products, Inc. (Condensed), Spanish Version case study a diverse revenue stream that has helped it to survive disruptions such as global pandemic in Covid-19, financial disruption of 2008, and supply chain disruption of 2021.
Learning organization
- L'eggs Condensed is a learning organization. It has inculcated three key characters of learning organization in its processes and operations – exploration, creativity, and expansiveness. The work place at L'eggs Condensed is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in L'eggs Products, Inc. (Condensed), Spanish Version Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Digital Transformation in Sales & Marketing segment
- digital transformation varies from industry to industry. For L'eggs Condensed digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. L'eggs Condensed has successfully integrated the four key components of digital transformation – digital integration in processes, digital integration in marketing and customer relationship management, digital integration into the value chain, and using technology to explore new products and market opportunities.
Sustainable margins compare to other players in Sales & Marketing industry
– L'eggs Products, Inc. (Condensed), Spanish Version firm has clearly differentiated products in the market place. This has enabled L'eggs Condensed to fetch slight price premium compare to the competitors in the Sales & Marketing industry. The sustainable margins have also helped L'eggs Condensed to invest into research and development (R&D) and innovation.
Innovation driven organization
– L'eggs Condensed is one of the most innovative firm in sector. Manager in L'eggs Products, Inc. (Condensed), Spanish Version Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
High switching costs
– The high switching costs that L'eggs Condensed has built up over years in its products and services combo offer has resulted in high retention of customers, lower marketing costs, and greater ability of the firm to focus on its customers.
Weaknesses L'eggs Products, Inc. (Condensed), Spanish Version | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of L'eggs Products, Inc. (Condensed), Spanish Version are -
High operating costs
– Compare to the competitors, firm in the HBR case study L'eggs Products, Inc. (Condensed), Spanish Version has high operating costs in the. This can be harder to sustain given the new emerging competition from nimble players who are using technology to attract L'eggs Condensed 's lucrative customers.
High bargaining power of channel partners
– Because of the regulatory requirements, Stephen H. Star suggests that, L'eggs Condensed is facing high bargaining power of the channel partners. So far it has not able to streamline the operations to reduce the bargaining power of the value chain partners in the industry.
High dependence on existing supply chain
– The disruption in the global supply chains because of the Covid-19 pandemic and blockage of the Suez Canal illustrated the fragile nature of L'eggs Condensed supply chain. Even after few cautionary changes mentioned in the HBR case study - L'eggs Products, Inc. (Condensed), Spanish Version, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left L'eggs Condensed vulnerable to further global disruptions in South East Asia.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, L'eggs Condensed is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study L'eggs Products, Inc. (Condensed), Spanish Version can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
No frontier risks strategy
– After analyzing the HBR case study L'eggs Products, Inc. (Condensed), Spanish Version, it seems that company is thinking about the frontier risks that can impact Sales & Marketing strategy. But it has very little resources allocation to manage the risks emerging from events such as natural disasters, climate change, melting of permafrost, tacking the rise of artificial intelligence, opportunities and threats emerging from commercialization of space etc.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the L'eggs Products, Inc. (Condensed), Spanish Version HBR case study still accounts for major business revenue. This dependence on star products in has resulted into insufficient focus on developing new products, even though L'eggs Condensed has relatively successful track record of launching new products.
Slow to strategic competitive environment developments
– As L'eggs Products, Inc. (Condensed), Spanish Version HBR case study mentions - L'eggs Condensed takes time to assess the upcoming competitions. This has led to missing out on atleast 2-3 big opportunities in the industry in last five years.
Capital Spending Reduction
– Even during the low interest decade, L'eggs Condensed has not been able to do capital spending to the tune of the competition. This has resulted into fewer innovations and company facing stiff competition from both existing competitors and new entrants who are disrupting the industry using digital technology.
Products dominated business model
– Even though L'eggs Condensed has some of the most successful products in the industry, this business model has made each new product launch extremely critical for continuous financial growth of the organization. firm in the HBR case study - L'eggs Products, Inc. (Condensed), Spanish Version should strive to include more intangible value offerings along with its core products and services.
Interest costs
– Compare to the competition, L'eggs Condensed has borrowed money from the capital market at higher rates. It needs to restructure the interest payment and costs so that it can compete better and improve profitability.
High cash cycle compare to competitors
L'eggs Condensed has a high cash cycle compare to other players in the industry. It needs to shorten the cash cycle by 12% to be more competitive in the marketplace, reduce inventory costs, and be more profitable.
Opportunities L'eggs Products, Inc. (Condensed), Spanish Version | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities highlighted in the Harvard Business Review case study L'eggs Products, Inc. (Condensed), Spanish Version are -
Loyalty marketing
– L'eggs Condensed has focused on building a highly responsive customer relationship management platform. This platform is built on in-house data and driven by analytics and artificial intelligence. The customer analytics can help the organization to fine tune its loyalty marketing efforts, increase the wallet share of the organization, reduce wastage on mainstream advertising spending, build better pricing strategies using personalization, etc.
Changes in consumer behavior post Covid-19
– Consumer behavior has changed in the Sales & Marketing industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. L'eggs Condensed can take advantage of these changes in consumer behavior to build a far more efficient business model. For example consumer regular ordering of products can reduce both last mile delivery costs and market penetration costs. L'eggs Condensed can further use this consumer data to build better customer loyalty, provide better products and service collection, and improve the value proposition in inflationary times.
Manufacturing automation
– L'eggs Condensed can use the latest technology developments to improve its manufacturing and designing process in Sales & Marketing segment. It can use CAD and 3D printing to build a quick prototype and pilot testing products. It can leverage automation using machine learning and artificial intelligence to do faster production at lowers costs, and it can leverage the growth in satellite and tracking technologies to improve inventory management, transportation, and shipping.
Redefining models of collaboration and team work
– As explained in the weaknesses section, L'eggs Condensed is facing challenges because of the dominance of functional experts in the organization. L'eggs Products, Inc. (Condensed), Spanish Version case study suggests that firm can utilize new technology to build more coordinated teams and streamline operations and communications using tools such as CAD, Zoom, etc.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, L'eggs Condensed can use these opportunities to build new business models that can help the communities that L'eggs Condensed operates in. Secondly it can use opportunities from government spending in Sales & Marketing sector.
Building a culture of innovation
– managers at L'eggs Condensed can make experimentation a productive activity and build a culture of innovation using approaches such as – mining transaction data, A/B testing of websites and selling platforms, engaging potential customers over various needs, and building on small ideas in the Sales & Marketing segment.
Use of Bitcoin and other crypto currencies for transactions
– The popularity of Bitcoin and other crypto currencies as asset class and medium of transaction has opened new opportunities for L'eggs Condensed in the consumer business. Now L'eggs Condensed can target international markets with far fewer capital restrictions requirements than the existing system.
Lowering marketing communication costs
– 5G expansion will open new opportunities for L'eggs Condensed in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Sales & Marketing segment, and it will provide faster access to the consumers.
Using analytics as competitive advantage
– L'eggs Condensed has spent a significant amount of money and effort to integrate analytics and machine learning into its operations in the sector. This continuous investment in analytics has enabled, as illustrated in the Harvard case study L'eggs Products, Inc. (Condensed), Spanish Version - to build a competitive advantage using analytics. The analytics driven competitive advantage can help L'eggs Condensed to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Low interest rates
– Even though inflation is raising its head in most developed economies, L'eggs Condensed can still utilize the low interest rates to borrow money for capital investment. Secondly it can also use the increase of government spending in infrastructure projects to get new business.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects L'eggs Condensed can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, L'eggs Condensed can build a diversified supply chain model across various countries in - South East Asia, India, and other parts of the world. This reconfiguration of global supply chain can help, as suggested in case study, L'eggs Products, Inc. (Condensed), Spanish Version, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Creating value in data economy
– The success of analytics program of L'eggs Condensed has opened avenues for new revenue streams for the organization in the industry. This can help L'eggs Condensed to build a more holistic ecosystem as suggested in the L'eggs Products, Inc. (Condensed), Spanish Version case study. L'eggs Condensed can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Threats L'eggs Products, Inc. (Condensed), Spanish Version External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study L'eggs Products, Inc. (Condensed), Spanish Version are -
Shortening product life cycle
– it is one of the major threat that L'eggs Condensed is facing in Sales & Marketing sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Stagnating economy with rate increase
– L'eggs Condensed can face lack of demand in the market place because of Fed actions to reduce inflation. This can lead to sluggish growth in the economy, lower demands, lower investments, higher borrowing costs, and consolidation in the field.
Environmental challenges
– L'eggs Condensed needs to have a robust strategy against the disruptions arising from climate change and energy requirements. EU has identified it as key priority area and spending 30% of its 880 billion Euros European post Covid-19 recovery funds on green technology. L'eggs Condensed can take advantage of this fund but it will also bring new competitors in the Sales & Marketing industry.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents L'eggs Condensed with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Aging population
– As the populations of most advanced economies are aging, it will lead to high social security costs, higher savings among population, and lower demand for goods and services in the economy. The household savings in US, France, UK, Germany, and Japan are growing faster than predicted because of uncertainty caused by pandemic.
High level of anxiety and lack of motivation
– the Great Resignation in United States is the sign of broader dissatisfaction among the workforce in United States. L'eggs Condensed needs to understand the core reasons impacting the Sales & Marketing industry. This will help it in building a better workplace.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, L'eggs Condensed can face downward pressure on margins from increasing competition from international players. The international players have stable revenue in their home market and can use those resources to penetrate prominent markets illustrated in HBR case study L'eggs Products, Inc. (Condensed), Spanish Version .
Backlash against dominant players
– US Congress and other legislative arms of the government are getting tough on big business especially technology companies. The digital arm of L'eggs Condensed business can come under increasing regulations regarding data privacy, data security, etc.
High dependence on third party suppliers
– L'eggs Condensed high dependence on third party suppliers can disrupt its processes and delivery mechanism. For example -the current troubles of car makers because of chip shortage is because the chip companies started producing chips for electronic companies rather than car manufacturers.
Consumer confidence and its impact on L'eggs Condensed demand
– There is a high probability of declining consumer confidence, given – high inflammation rate, rise of gig economy, lower job stability, increasing cost of living, higher interest rates, and aging demography. All the factors contribute to people saving higher rate of their income, resulting in lower consumer demand in the industry and other sectors.
Increasing wage structure of L'eggs Condensed
– Post Covid-19 there is a sharp increase in the wages especially in the jobs that require interaction with people. The increasing wages can put downward pressure on the margins of L'eggs Condensed.
Regulatory challenges
– L'eggs Condensed needs to prepare for regulatory challenges as consumer protection groups and other pressure groups are vigorously advocating for more regulations on big business - to reduce inequality, to create a level playing field, to product data privacy and consumer privacy, to reduce the influence of big money on democratic institutions, etc. This can lead to significant changes in the Sales & Marketing industry regulations.
New competition
– After the dotcom bust of 2001, financial crisis of 2008-09, the business formation in US economy had declined. But in 2020 alone, there are more than 1.5 million new business applications in United States. This can lead to greater competition for L'eggs Condensed in the Sales & Marketing sector and impact the bottomline of the organization.
Weighted SWOT Analysis of L'eggs Products, Inc. (Condensed), Spanish Version Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers in the HBR case study L'eggs Products, Inc. (Condensed), Spanish Version needs to zero down on the relative importance of each factor mentioned in the Strengths, Weakness, Opportunities, and Threats quadrants.
We can provide the relative importance to each factor by assigning relative weights. Weighted SWOT analysis process is a three stage process –
First stage for doing weighted SWOT analysis of the case study L'eggs Products, Inc. (Condensed), Spanish Version is to rank the strengths and weaknesses of the organization. This will help you to assess the most important strengths and weaknesses of the firm and which one of the strengths and weaknesses mentioned in the initial lists are marginal and can be left out.
Second stage for conducting weighted SWOT analysis of the Harvard case study L'eggs Products, Inc. (Condensed), Spanish Version is to give probabilities to the external strategic factors thus better understanding the opportunities and threats arising out of macro environment changes and developments.
Third stage of constructing weighted SWOT analysis of L'eggs Products, Inc. (Condensed), Spanish Version is to provide strategic recommendations includes – joining likelihood of external strategic factors such as opportunities and threats to the internal strategic factors – strengths and weaknesses. You should start with external factors as they will provide the direction of the overall industry. Secondly by joining probabilities with internal strategic factors can help the company not only strategic fit but also the most probably strategic trade-off that L'eggs Condensed needs to make to build a sustainable competitive advantage.
