Managing Co-Branding Strategies: Global Brands into Local Markets SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Sales & Marketing
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Managing Co-Branding Strategies: Global Brands into Local Markets
Co-branding is an important strategy for the transition of brands. For multinational companies with global brands, it raises the chances of success in local markets. For local firms with strong brands, it secures their future through foreign investment and access to technology while maintaining consumer franchise and loyalty. In this review of co-branding and its relationship to consumer choice behavior, two case studies in the food industry lead to a set of guidelines for managers who want to use a co-branding strategy in brand transitions.
Swot Analysis of "Managing Co-Branding Strategies: Global Brands into Local Markets" written by Russell Abratt, Patience Motlana includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Branding Brands facing as an external strategic factors. Some of the topics covered in Managing Co-Branding Strategies: Global Brands into Local Markets case study are - Strategic Management Strategies, Cross-cultural management and Sales & Marketing.
Some of the macro environment factors that can be used to understand the Managing Co-Branding Strategies: Global Brands into Local Markets casestudy better are - – customer relationship management is fast transforming because of increasing concerns over data privacy, increasing inequality as vast percentage of new income is going to the top 1%, banking and financial system is disrupted by Bitcoin and other crypto currencies, increasing transportation and logistics costs, increasing household debt because of falling income levels, talent flight as more people leaving formal jobs, challanges to central banks by blockchain based private currencies,
increasing government debt because of Covid-19 spendings, central banks are concerned over increasing inflation, etc
Introduction to SWOT Analysis of Managing Co-Branding Strategies: Global Brands into Local Markets
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Managing Co-Branding Strategies: Global Brands into Local Markets case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Branding Brands, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Branding Brands 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 Managing Co-Branding Strategies: Global Brands into Local Markets can be done for the following purposes –
1. Strategic planning using facts provided in Managing Co-Branding Strategies: Global Brands into Local Markets case study
2. Improving business portfolio management of Branding Brands
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 Branding Brands
Strengths Managing Co-Branding Strategies: Global Brands into Local Markets | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Branding Brands in Managing Co-Branding Strategies: Global Brands into Local Markets Harvard Business Review case study are -
High brand equity
– Branding Brands has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Branding Brands to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Diverse revenue streams
– Branding Brands is present in almost all the verticals within the industry. This has provided firm in Managing Co-Branding Strategies: Global Brands into Local Markets 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.
Successful track record of launching new products
– Branding Brands has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Branding Brands 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.
Organizational Resilience of Branding Brands
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Branding Brands does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Operational resilience
– The operational resilience strategy in the Managing Co-Branding Strategies: Global Brands into Local Markets 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.
Effective Research and Development (R&D)
– Branding Brands 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 Managing Co-Branding Strategies: Global Brands into Local Markets - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Low bargaining power of suppliers
– Suppliers of Branding Brands in the sector have low bargaining power. Managing Co-Branding Strategies: Global Brands into Local Markets has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Branding Brands to manage not only supply disruptions but also source products at highly competitive prices.
Sustainable margins compare to other players in Sales & Marketing industry
– Managing Co-Branding Strategies: Global Brands into Local Markets firm has clearly differentiated products in the market place. This has enabled Branding Brands to fetch slight price premium compare to the competitors in the Sales & Marketing industry. The sustainable margins have also helped Branding Brands to invest into research and development (R&D) and innovation.
Analytics focus
– Branding Brands 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 Russell Abratt, Patience Motlana 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.
Digital Transformation in Sales & Marketing segment
- digital transformation varies from industry to industry. For Branding Brands digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Branding Brands 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.
Highly skilled collaborators
– Branding Brands has highly efficient outsourcing and offshoring strategy. It has resulted in greater operational flexibility and bringing down the costs in highly price sensitive segment. Secondly the value chain collaborators of the firm in Managing Co-Branding Strategies: Global Brands into Local Markets HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Learning organization
- Branding Brands 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 Branding Brands is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Managing Co-Branding Strategies: Global Brands into Local Markets Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Weaknesses Managing Co-Branding Strategies: Global Brands into Local Markets | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Managing Co-Branding Strategies: Global Brands into Local Markets are -
Products dominated business model
– Even though Branding Brands 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 - Managing Co-Branding Strategies: Global Brands into Local Markets should strive to include more intangible value offerings along with its core products and services.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study Managing Co-Branding Strategies: Global Brands into Local Markets, in the dynamic environment Branding Brands has struggled to respond to the nimble upstart competition. Branding Brands has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Low market penetration in new markets
– Outside its home market of Branding Brands, firm in the HBR case study Managing Co-Branding Strategies: Global Brands into Local Markets needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
High bargaining power of channel partners
– Because of the regulatory requirements, Russell Abratt, Patience Motlana suggests that, Branding Brands 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.
Aligning sales with marketing
– It come across in the case study Managing Co-Branding Strategies: Global Brands into Local Markets 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 Managing Co-Branding Strategies: Global Brands into Local Markets can leverage the sales team experience to cultivate customer relationships as Branding Brands is planning to shift buying processes online.
High cash cycle compare to competitors
Branding Brands 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.
Slow to strategic competitive environment developments
– As Managing Co-Branding Strategies: Global Brands into Local Markets HBR case study mentions - Branding Brands 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.
Lack of clear differentiation of Branding Brands products
– To increase the profitability and margins on the products, Branding Brands needs to provide more differentiated products than what it is currently offering in the marketplace.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the Managing Co-Branding Strategies: Global Brands into Local Markets 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 Branding Brands has relatively successful track record of launching new products.
Need for greater diversity
– Branding Brands has taken concrete steps on diversity, equity, and inclusion. But the efforts so far has resulted in limited success. It needs to expand the recruitment and selection process to hire more people from the minorities and underprivileged background.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Branding Brands is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Managing Co-Branding Strategies: Global Brands into Local Markets can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Opportunities Managing Co-Branding Strategies: Global Brands into Local Markets | 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 Managing Co-Branding Strategies: Global Brands into Local Markets are -
Buying journey improvements
– Branding Brands can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Managing Co-Branding Strategies: Global Brands into Local Markets suggest that firm can provide automated chats to help consumers solve their own problems, provide online suggestions to get maximum out of the products and services, and help consumers to build a community where they can interact with each other to develop new features and uses.
Developing new processes and practices
– Branding Brands can develop new processes and procedures in Sales & Marketing industry using technology such as automation using artificial intelligence, real time transportation and products tracking, 3D modeling for concept development and new products pilot testing etc.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Branding Brands 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, Managing Co-Branding Strategies: Global Brands into Local Markets, 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 Branding Brands has opened avenues for new revenue streams for the organization in the industry. This can help Branding Brands to build a more holistic ecosystem as suggested in the Managing Co-Branding Strategies: Global Brands into Local Markets case study. Branding Brands can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Building a culture of innovation
– managers at Branding Brands 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.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Branding Brands can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Learning at scale
– Online learning technologies has now opened space for Branding Brands to conduct training and development for its employees across the world. This will result in not only reducing the cost of training but also help employees in different part of the world to integrate with the headquarter work culture, ethos, and standards.
Identify volunteer opportunities
– Covid-19 has impacted working population in two ways – it has led to people soul searching about their professional choices, resulting in mass resignation. Secondly it has encouraged people to do things that they are passionate about. This has opened opportunities for businesses to build volunteer oriented socially driven projects. Branding Brands can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Better consumer reach
– The expansion of the 5G network will help Branding Brands to increase its market reach. Branding Brands 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.
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. Branding Brands can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Branding Brands is facing challenges because of the dominance of functional experts in the organization. Managing Co-Branding Strategies: Global Brands into Local Markets 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.
Leveraging digital technologies
– Branding Brands can leverage digital technologies such as artificial intelligence and machine learning to automate the production process, customer analytics to get better insights into consumer behavior, realtime digital dashboards to get better sales tracking, logistics and transportation, product tracking, 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, Branding Brands can use these opportunities to build new business models that can help the communities that Branding Brands operates in. Secondly it can use opportunities from government spending in Sales & Marketing sector.
Threats Managing Co-Branding Strategies: Global Brands into Local Markets External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Managing Co-Branding Strategies: Global Brands into Local Markets are -
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 Branding Brands business can come under increasing regulations regarding data privacy, data security, 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 Managing Co-Branding Strategies: Global Brands into Local Markets, Branding Brands 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 .
Shortening product life cycle
– it is one of the major threat that Branding Brands is facing in Sales & Marketing sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
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.
Stagnating economy with rate increase
– Branding Brands 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.
High dependence on third party suppliers
– Branding Brands 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.
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. Branding Brands needs to understand the core reasons impacting the Sales & Marketing industry. This will help it in building a better workplace.
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 Branding Brands in the Sales & Marketing sector and impact the bottomline of the organization.
Technology disruption because of hacks, piracy etc
– The colonial pipeline illustrated, how vulnerable modern organization are to international hackers, miscreants, and disruptors. The cyber security interruption, data leaks, etc can seriously jeopardize the future growth of the organization.
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. Branding Brands can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Branding Brands with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Environmental challenges
– Branding Brands 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. Branding Brands can take advantage of this fund but it will also bring new competitors in the Sales & Marketing industry.
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. Branding Brands 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.
Weighted SWOT Analysis of Managing Co-Branding Strategies: Global Brands into Local Markets 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 Managing Co-Branding Strategies: Global Brands into Local Markets 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 Managing Co-Branding Strategies: Global Brands into Local Markets 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 Managing Co-Branding Strategies: Global Brands into Local Markets 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 Managing Co-Branding Strategies: Global Brands into Local Markets 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 Branding Brands needs to make to build a sustainable competitive advantage.