Swot Analysis of "Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed)" written by Robert J. Dolan includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Simulations Conjoint facing as an external strategic factors. Some of the topics covered in Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) case study are - Strategic Management Strategies, Market research, Pricing and Sales & Marketing.
Some of the macro environment factors that can be used to understand the Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) casestudy better are - – increasing commodity prices, talent flight as more people leaving formal jobs, central banks are concerned over increasing inflation, increasing government debt because of Covid-19 spendings, technology disruption, geopolitical disruptions, increasing household debt because of falling income levels,
digital marketing is dominated by two big players Facebook and Google, banking and financial system is disrupted by Bitcoin and other crypto currencies, etc
Introduction to SWOT Analysis of Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed)
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Simulations Conjoint, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Simulations Conjoint 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 Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) can be done for the following purposes –
1. Strategic planning using facts provided in Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) case study
2. Improving business portfolio management of Simulations Conjoint
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 Simulations Conjoint
Strengths Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Simulations Conjoint in Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) Harvard Business Review case study are -
Cross disciplinary teams
– Horizontal connected teams at the Simulations Conjoint are driving operational speed, building greater agility, and keeping the organization nimble to compete with new competitors. It helps are organization to ideate new ideas, and execute them swiftly in the marketplace.
Digital Transformation in Sales & Marketing segment
- digital transformation varies from industry to industry. For Simulations Conjoint digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Simulations Conjoint 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.
Innovation driven organization
– Simulations Conjoint is one of the most innovative firm in sector. Manager in Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Training and development
– Simulations Conjoint has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) 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.
Effective Research and Development (R&D)
– Simulations Conjoint has innovation driven culture where significant part of the revenues are spent on the research and development activities. This has resulted in, as mentioned in case study Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Superior customer experience
– The customer experience strategy of Simulations Conjoint in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Operational resilience
– The operational resilience strategy in the Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) Harvard Business Review case study comprises – understanding the underlying the factors in the industry, building diversified operations across different geographies so that disruption in one part of the world doesn’t impact the overall performance of the firm, and integrating the various business operations and processes through its digital transformation drive.
Ability to lead change in Sales & Marketing field
– Simulations Conjoint is one of the leading players in its industry. Over the years it has not only transformed the business landscape in its segment but also across the whole industry. The ability to lead change has enabled Simulations Conjoint in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
High switching costs
– The high switching costs that Simulations Conjoint 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.
Sustainable margins compare to other players in Sales & Marketing industry
– Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) firm has clearly differentiated products in the market place. This has enabled Simulations Conjoint to fetch slight price premium compare to the competitors in the Sales & Marketing industry. The sustainable margins have also helped Simulations Conjoint to invest into research and development (R&D) and innovation.
Learning organization
- Simulations Conjoint 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 Simulations Conjoint is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Successful track record of launching new products
– Simulations Conjoint has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Simulations Conjoint 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.
Weaknesses Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) are -
Products dominated business model
– Even though Simulations Conjoint 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 - Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) should strive to include more intangible value offerings along with its core products and services.
Interest costs
– Compare to the competition, Simulations Conjoint 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.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed), in the dynamic environment Simulations Conjoint has struggled to respond to the nimble upstart competition. Simulations Conjoint has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Aligning sales with marketing
– It come across in the case study Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) that the firm needs to have more collaboration between its sales team and marketing team. Sales professionals in the industry have deep experience in developing customer relationships. Marketing department in the case Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) can leverage the sales team experience to cultivate customer relationships as Simulations Conjoint is planning to shift buying processes online.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) 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 Simulations Conjoint has relatively successful track record of launching new products.
High operating costs
– Compare to the competitors, firm in the HBR case study Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) 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 Simulations Conjoint 's lucrative customers.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed), it seems that the employees of Simulations Conjoint don’t have comprehensive understanding of the firm’s strategy. This is reflected in number of promotional campaigns over the last few years that had mixed messaging and competing priorities. Some of the strategic activities and services promoted in the promotional campaigns were not consistent with the organization’s strategy.
Increasing silos among functional specialists
– The organizational structure of Simulations Conjoint is dominated by functional specialists. It is not different from other players in the Sales & Marketing segment. Simulations Conjoint needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Simulations Conjoint to focus more on services rather than just following the product oriented approach.
Capital Spending Reduction
– Even during the low interest decade, Simulations Conjoint 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.
Slow to strategic competitive environment developments
– As Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) HBR case study mentions - Simulations Conjoint 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.
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 Simulations Conjoint supply chain. Even after few cautionary changes mentioned in the HBR case study - Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed), it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Simulations Conjoint vulnerable to further global disruptions in South East Asia.
Opportunities Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) | 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 Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) are -
Redefining models of collaboration and team work
– As explained in the weaknesses section, Simulations Conjoint is facing challenges because of the dominance of functional experts in the organization. Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) 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.
Creating value in data economy
– The success of analytics program of Simulations Conjoint has opened avenues for new revenue streams for the organization in the industry. This can help Simulations Conjoint to build a more holistic ecosystem as suggested in the Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) case study. Simulations Conjoint can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Manufacturing automation
– Simulations Conjoint 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.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Simulations Conjoint to expand its talent hiring zone. According to McKinsey Global Institute, 20% of the high end workforce in fields such as finance, information technology, can continously work from remote local post Covid-19. This presents a really great opportunity for Simulations Conjoint to hire the very best people irrespective of their geographical location.
Building a culture of innovation
– managers at Simulations Conjoint 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.
Better consumer reach
– The expansion of the 5G network will help Simulations Conjoint to increase its market reach. Simulations Conjoint will be able to reach out to new customers. Secondly 5G will also provide technology framework to build new tools and products that can help more immersive consumer experience and faster consumer journey.
Using analytics as competitive advantage
– Simulations Conjoint 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 Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Simulations Conjoint to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Simulations Conjoint 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, Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed), to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Simulations Conjoint 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.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Sales & Marketing industry, but it has also influenced the consumer preferences. Simulations Conjoint can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Reconfiguring business model
– The expansion of digital payment system, the bringing down of international transactions costs using Bitcoin and other blockchain based currencies, etc can help Simulations Conjoint to reconfigure its entire business model. For example it can used blockchain based technologies to reduce piracy of its products in the big markets such as China. Secondly it can use the popularity of e-commerce in various developing markets to build a Direct to Customer business model rather than the current Channel Heavy distribution network.
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. Simulations Conjoint 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. Simulations Conjoint 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Simulations Conjoint can use these opportunities to build new business models that can help the communities that Simulations Conjoint operates in. Secondly it can use opportunities from government spending in Sales & Marketing sector.
Threats Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) are -
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.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Simulations Conjoint 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 Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) .
Regulatory challenges
– Simulations Conjoint 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.
Instability in the European markets
– European Union markets are facing three big challenges post Covid – expanded balance sheets, Brexit related business disruption, and aggressive Russia looking to distract the existing security mechanism. Simulations Conjoint will face different problems in different parts of Europe. For example it will face inflationary pressures in UK, France, and Germany, balance sheet expansion and demand challenges in Southern European countries, and geopolitical instability in the Eastern Europe.
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 Simulations Conjoint in the Sales & Marketing sector and impact the bottomline of the organization.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Simulations Conjoint with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Easy access to finance
– Easy access to finance in Sales & Marketing field will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Simulations Conjoint can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Shortening product life cycle
– it is one of the major threat that Simulations Conjoint is facing in Sales & Marketing sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed), Simulations Conjoint may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Sales & Marketing .
Technology acceleration in Forth Industrial Revolution
– Simulations Conjoint has witnessed rapid integration of technology during Covid-19 in the Sales & Marketing industry. As one of the leading players in the industry, Simulations Conjoint needs to keep up with the evolution of technology in the Sales & Marketing sector. According to Mckinsey study top managers believe that the adoption of technology in operations, communications is 20-25 times faster than what they planned in the beginning of 2019.
Capital market disruption
– During the Covid-19, Dow Jones has touched record high. The valuations of a number of companies are way beyond their existing business model potential. This can lead to capital market correction which can put a number of suppliers, collaborators, value chain partners in great financial difficulty. It will directly impact the business of Simulations Conjoint.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Simulations Conjoint in the Sales & Marketing industry. The Sales & Marketing industry is already at various protected from local competition in China, with the rise of trade war the protection levels may go up. This presents a clear threat of current business model in Chinese market.
High dependence on third party suppliers
– Simulations Conjoint 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.
Weighted SWOT Analysis of Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) 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 Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) 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 Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) 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 Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) 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 Clark Material Handling Group-Overseas: Brazilian Product Strategy (A&B) (Condensed) 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 Simulations Conjoint needs to make to build a sustainable competitive advantage.
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