American Legacy: Beyond the Truth Campaign SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Sales & Marketing
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of American Legacy: Beyond the Truth Campaign
To maximize their effectiveness, color cases should be printed in color.The hard-hitting "Truth" campaign has been one of the most successful antismoking initiatives in history. The focus of the "Truth" campaign is to dissuade teenagers from smoking. The sponsor of the campaign, the American Legacy Foundation, is now trying to decide whether to readjust its priorities and focus on what it calls "the other side of the equation"--encouraging already-addicted adult smokers to quit smoking. However, the only way to do this is by diverting resources away from the "Truth" campaign, a campaign that they know is working. Includes color exhibits.
Swot Analysis of "American Legacy: Beyond the Truth Campaign" written by Youngme Moon includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Truth Campaign facing as an external strategic factors. Some of the topics covered in American Legacy: Beyond the Truth Campaign case study are - Strategic Management Strategies, Ethics, Marketing and Sales & Marketing.
Some of the macro environment factors that can be used to understand the American Legacy: Beyond the Truth Campaign casestudy better are - – technology disruption, cloud computing is disrupting traditional business models, increasing government debt because of Covid-19 spendings, challanges to central banks by blockchain based private currencies, there is backlash against globalization, increasing inequality as vast percentage of new income is going to the top 1%, talent flight as more people leaving formal jobs,
customer relationship management is fast transforming because of increasing concerns over data privacy, increasing commodity prices, etc
Introduction to SWOT Analysis of American Legacy: Beyond the Truth Campaign
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in American Legacy: Beyond the Truth Campaign case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Truth Campaign, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Truth Campaign 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 American Legacy: Beyond the Truth Campaign can be done for the following purposes –
1. Strategic planning using facts provided in American Legacy: Beyond the Truth Campaign case study
2. Improving business portfolio management of Truth Campaign
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 Truth Campaign
Strengths American Legacy: Beyond the Truth Campaign | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Truth Campaign in American Legacy: Beyond the Truth Campaign Harvard Business Review case study are -
Operational resilience
– The operational resilience strategy in the American Legacy: Beyond the Truth Campaign 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.
Training and development
– Truth Campaign has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in American Legacy: Beyond the Truth Campaign 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.
Superior customer experience
– The customer experience strategy of Truth Campaign in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Analytics focus
– Truth Campaign 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 Youngme Moon 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.
Innovation driven organization
– Truth Campaign is one of the most innovative firm in sector. Manager in American Legacy: Beyond the Truth Campaign Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Strong track record of project management
– Truth Campaign is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
High brand equity
– Truth Campaign has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Truth Campaign to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Ability to recruit top talent
– Truth Campaign is one of the leading recruiters in the industry. Managers in the American Legacy: Beyond the Truth Campaign are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Ability to lead change in Sales & Marketing field
– Truth Campaign 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 Truth Campaign in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Successful track record of launching new products
– Truth Campaign has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Truth Campaign 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.
Low bargaining power of suppliers
– Suppliers of Truth Campaign in the sector have low bargaining power. American Legacy: Beyond the Truth Campaign has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Truth Campaign to manage not only supply disruptions but also source products at highly competitive prices.
Learning organization
- Truth Campaign 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 Truth Campaign is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in American Legacy: Beyond the Truth Campaign Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Weaknesses American Legacy: Beyond the Truth Campaign | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of American Legacy: Beyond the Truth Campaign are -
Products dominated business model
– Even though Truth Campaign 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 - American Legacy: Beyond the Truth Campaign should strive to include more intangible value offerings along with its core products and services.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Truth Campaign is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study American Legacy: Beyond the Truth Campaign can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Increasing silos among functional specialists
– The organizational structure of Truth Campaign is dominated by functional specialists. It is not different from other players in the Sales & Marketing segment. Truth Campaign needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Truth Campaign to focus more on services rather than just following the product oriented approach.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the American Legacy: Beyond the Truth Campaign 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 Truth Campaign has relatively successful track record of launching new products.
Slow decision making process
– As mentioned earlier in the report, Truth Campaign has a very deliberative decision making approach. This approach has resulted in prudent decisions, but it has also resulted in missing opportunities in the industry over the last five years. Truth Campaign even though has strong showing on digital transformation primary two stages, it has struggled to capitalize the power of digital transformation in marketing efforts and new venture efforts.
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 Truth Campaign supply chain. Even after few cautionary changes mentioned in the HBR case study - American Legacy: Beyond the Truth Campaign, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Truth Campaign vulnerable to further global disruptions in South East Asia.
Need for greater diversity
– Truth Campaign 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.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study American Legacy: Beyond the Truth Campaign, is just above the industry average. Truth Campaign needs to redesign the compensation structure and incentives to increase the revenue per employees. Some of the steps that it can take are – hiring more specialists on project basis, etc.
Low market penetration in new markets
– Outside its home market of Truth Campaign, firm in the HBR case study American Legacy: Beyond the Truth Campaign needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
High bargaining power of channel partners
– Because of the regulatory requirements, Youngme Moon suggests that, Truth Campaign 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 operating costs
– Compare to the competitors, firm in the HBR case study American Legacy: Beyond the Truth Campaign 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 Truth Campaign 's lucrative customers.
Opportunities American Legacy: Beyond the Truth Campaign | 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 American Legacy: Beyond the Truth Campaign are -
Learning at scale
– Online learning technologies has now opened space for Truth Campaign 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.
Creating value in data economy
– The success of analytics program of Truth Campaign has opened avenues for new revenue streams for the organization in the industry. This can help Truth Campaign to build a more holistic ecosystem as suggested in the American Legacy: Beyond the Truth Campaign case study. Truth Campaign can build new products and services such as - data insight services, data privacy related products, data based consulting services, 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. Truth Campaign 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. Truth Campaign 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.
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 Truth Campaign 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.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Truth Campaign is facing challenges because of the dominance of functional experts in the organization. American Legacy: Beyond the Truth Campaign 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.
Manufacturing automation
– Truth Campaign 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.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Truth Campaign can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Low interest rates
– Even though inflation is raising its head in most developed economies, Truth Campaign 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.
Loyalty marketing
– Truth Campaign 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.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Truth Campaign 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, American Legacy: Beyond the Truth Campaign, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
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. Truth Campaign can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Truth Campaign 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.
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 Truth Campaign in the consumer business. Now Truth Campaign can target international markets with far fewer capital restrictions requirements than the existing system.
Threats American Legacy: Beyond the Truth Campaign External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study American Legacy: Beyond the Truth Campaign are -
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. Truth Campaign needs to understand the core reasons impacting the Sales & Marketing industry. This will help it in building a better workplace.
Consumer confidence and its impact on Truth Campaign 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.
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. Truth Campaign 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.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Truth Campaign with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
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 Truth Campaign in the Sales & Marketing sector and impact the bottomline of the organization.
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 Truth Campaign.
Environmental challenges
– Truth Campaign 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. Truth Campaign can take advantage of this fund but it will also bring new competitors in the Sales & Marketing industry.
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 Truth Campaign business can come under increasing regulations regarding data privacy, data security, etc.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Truth Campaign 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
– Truth Campaign 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.
Regulatory challenges
– Truth Campaign 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.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Truth Campaign 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 American Legacy: Beyond the Truth Campaign .
Shortening product life cycle
– it is one of the major threat that Truth Campaign is facing in Sales & Marketing sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Weighted SWOT Analysis of American Legacy: Beyond the Truth Campaign 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 American Legacy: Beyond the Truth Campaign 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 American Legacy: Beyond the Truth Campaign 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 American Legacy: Beyond the Truth Campaign 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 American Legacy: Beyond the Truth Campaign 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 Truth Campaign needs to make to build a sustainable competitive advantage.