Impulsesoft - Music in the Air SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Strategy & Execution
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Impulsesoft - Music in the Air
"Impulsesoft Private Ltd (IS) is a Bangalore-based information technology company that was founded in 1999 by three software engineers. IS was engaged in developing Bluetooth (BT) middleware. The founding engineers had been working with Texas Instruments in Bangalore since 1995. After establishing their own company, the founders began looking for a chief executive officer (CEO) to run their business while they concentrated on technology and product development. At that time, the founders of IS were merely a set of aspiring entrepreneurs who were short on ideas, funds and clients but rich in aspirations; they quit their jobs in 1999 and set about undertaking contract software development projects in order to learn about building and selling IT products and to generate cash for their venture as well. The founders wanted to build a software product out of India targeting a global market. This desire was verbalized as an idea "to build a Sony or HP (Hewlett-Packard) out of India" and "to build a world-class products company." In its infancy, IS undertook different kinds of development projects for third parties and considered several other options until it discovered BT middleware as an area to focus on for various reasons. By 2004, IS had turned profitable; with 52 employees by 2005 and a branch office in Silicon Valley, Impulsesoft's BT software was in 50 per cent of all BT stereo headphones that were being shipped at the time. The market for BT-embedded accessories exploded but chip manufacturers began to incorporate BT features in their chips and gave the technology away for free, and the long-term outlook for IS deteriorated. There were also doubts about how scalable a technology licensing business model could be. At this juncture, the president and CEO of Impulsesoft received a proposal from John Lin, CEO of TEN Technology, a customer of IS and a US$20 million company, suggesting a merger of the two companies."
Swot Analysis of "Impulsesoft - Music in the Air" written by K. Balakrishnan includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Bt Impulsesoft facing as an external strategic factors. Some of the topics covered in Impulsesoft - Music in the Air case study are - Strategic Management Strategies, International business, Strategy, Technology and Strategy & Execution.
Some of the macro environment factors that can be used to understand the Impulsesoft - Music in the Air casestudy better are - – competitive advantages are harder to sustain because of technology dispersion, increasing inequality as vast percentage of new income is going to the top 1%, supply chains are disrupted by pandemic , increasing household debt because of falling income levels, there is backlash against globalization, increasing commodity prices, customer relationship management is fast transforming because of increasing concerns over data privacy,
geopolitical disruptions, wage bills are increasing, etc
Introduction to SWOT Analysis of Impulsesoft - Music in the Air
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Impulsesoft - Music in the Air case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Bt Impulsesoft, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Bt Impulsesoft 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 Impulsesoft - Music in the Air can be done for the following purposes –
1. Strategic planning using facts provided in Impulsesoft - Music in the Air case study
2. Improving business portfolio management of Bt Impulsesoft
3. Assessing feasibility of the new initiative in Strategy & Execution field.
4. Making a Strategy & Execution topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of Bt Impulsesoft
Strengths Impulsesoft - Music in the Air | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Bt Impulsesoft in Impulsesoft - Music in the Air Harvard Business Review case study are -
Training and development
– Bt Impulsesoft has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Impulsesoft - Music in the Air 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.
Diverse revenue streams
– Bt Impulsesoft is present in almost all the verticals within the industry. This has provided firm in Impulsesoft - Music in the Air 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.
Analytics focus
– Bt Impulsesoft 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 K. Balakrishnan 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.
Successful track record of launching new products
– Bt Impulsesoft has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Bt Impulsesoft 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.
High switching costs
– The high switching costs that Bt Impulsesoft 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.
Cross disciplinary teams
– Horizontal connected teams at the Bt Impulsesoft 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.
Operational resilience
– The operational resilience strategy in the Impulsesoft - Music in the Air 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.
Digital Transformation in Strategy & Execution segment
- digital transformation varies from industry to industry. For Bt Impulsesoft digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Bt Impulsesoft 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.
Strong track record of project management
– Bt Impulsesoft 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
– Bt Impulsesoft has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Bt Impulsesoft to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Innovation driven organization
– Bt Impulsesoft is one of the most innovative firm in sector. Manager in Impulsesoft - Music in the Air Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Sustainable margins compare to other players in Strategy & Execution industry
– Impulsesoft - Music in the Air firm has clearly differentiated products in the market place. This has enabled Bt Impulsesoft to fetch slight price premium compare to the competitors in the Strategy & Execution industry. The sustainable margins have also helped Bt Impulsesoft to invest into research and development (R&D) and innovation.
Weaknesses Impulsesoft - Music in the Air | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Impulsesoft - Music in the Air are -
Slow to strategic competitive environment developments
– As Impulsesoft - Music in the Air HBR case study mentions - Bt Impulsesoft 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.
Slow decision making process
– As mentioned earlier in the report, Bt Impulsesoft 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. Bt Impulsesoft 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.
Need for greater diversity
– Bt Impulsesoft 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.
Skills based hiring
– The stress on hiring functional specialists at Bt Impulsesoft has created an environment where the organization is dominated by functional specialists rather than management generalist. This has resulted into product oriented approach rather than marketing oriented approach or consumers oriented approach.
High bargaining power of channel partners
– Because of the regulatory requirements, K. Balakrishnan suggests that, Bt Impulsesoft 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.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study Impulsesoft - Music in the Air, it seems that the employees of Bt Impulsesoft 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.
Products dominated business model
– Even though Bt Impulsesoft 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 - Impulsesoft - Music in the Air should strive to include more intangible value offerings along with its core products and services.
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 Bt Impulsesoft supply chain. Even after few cautionary changes mentioned in the HBR case study - Impulsesoft - Music in the Air, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Bt Impulsesoft vulnerable to further global disruptions in South East Asia.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the Impulsesoft - Music in the Air 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 Bt Impulsesoft has relatively successful track record of launching new products.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Bt Impulsesoft is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Impulsesoft - Music in the Air can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Capital Spending Reduction
– Even during the low interest decade, Bt Impulsesoft 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.
Opportunities Impulsesoft - Music in the Air | 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 Impulsesoft - Music in the Air are -
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Bt Impulsesoft 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, Impulsesoft - Music in the Air, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Changes in consumer behavior post Covid-19
– Consumer behavior has changed in the Strategy & Execution industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Bt Impulsesoft 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. Bt Impulsesoft 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.
Learning at scale
– Online learning technologies has now opened space for Bt Impulsesoft 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.
Using analytics as competitive advantage
– Bt Impulsesoft 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 Impulsesoft - Music in the Air - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Bt Impulsesoft to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Bt Impulsesoft can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Bt Impulsesoft can use these opportunities to build new business models that can help the communities that Bt Impulsesoft operates in. Secondly it can use opportunities from government spending in Strategy & Execution sector.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Bt Impulsesoft is facing challenges because of the dominance of functional experts in the organization. Impulsesoft - Music in the Air 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.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Bt Impulsesoft 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 Bt Impulsesoft to hire the very best people irrespective of their geographical location.
Building a culture of innovation
– managers at Bt Impulsesoft 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 Strategy & Execution segment.
Buying journey improvements
– Bt Impulsesoft can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Impulsesoft - Music in the Air 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.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Strategy & Execution industry, but it has also influenced the consumer preferences. Bt Impulsesoft can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
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 Bt Impulsesoft in the consumer business. Now Bt Impulsesoft can target international markets with far fewer capital restrictions requirements than the existing system.
Loyalty marketing
– Bt Impulsesoft 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.
Threats Impulsesoft - Music in the Air External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Impulsesoft - Music in the Air 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. Bt Impulsesoft needs to understand the core reasons impacting the Strategy & Execution industry. This will help it in building a better workplace.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Bt Impulsesoft with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Bt Impulsesoft 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 Impulsesoft - Music in the Air .
Stagnating economy with rate increase
– Bt Impulsesoft 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.
Regulatory challenges
– Bt Impulsesoft 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 Strategy & Execution industry regulations.
Consumer confidence and its impact on Bt Impulsesoft 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.
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 Bt Impulsesoft in the Strategy & Execution sector and impact the bottomline of the organization.
Shortening product life cycle
– it is one of the major threat that Bt Impulsesoft is facing in Strategy & Execution sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Environmental challenges
– Bt Impulsesoft 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. Bt Impulsesoft can take advantage of this fund but it will also bring new competitors in the Strategy & Execution industry.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Bt Impulsesoft in the Strategy & Execution industry. The Strategy & Execution 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.
Technology acceleration in Forth Industrial Revolution
– Bt Impulsesoft has witnessed rapid integration of technology during Covid-19 in the Strategy & Execution industry. As one of the leading players in the industry, Bt Impulsesoft needs to keep up with the evolution of technology in the Strategy & Execution 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.
Increasing wage structure of Bt Impulsesoft
– 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 Bt Impulsesoft.
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.
Weighted SWOT Analysis of Impulsesoft - Music in the Air 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 Impulsesoft - Music in the Air 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 Impulsesoft - Music in the Air 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 Impulsesoft - Music in the Air 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 Impulsesoft - Music in the Air 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 Bt Impulsesoft needs to make to build a sustainable competitive advantage.
