Tanishq: Positioning to Capture the Indian Woman's Heart SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Strategy & Execution
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Tanishq: Positioning to Capture the Indian Woman's Heart
This case is accompanied by a Video Short that can be shown in class or included in a digital coursepack. Instructors should consider the timing of making the video available to students, as it may reveal key case details.The firm has to choose between an established brand, Tanishq, and a new skunkworks brand, GoldPlus, to go after the Indian plain gold jewelry market: Tanishq, initially targeted at a western customer, has undergone strategic retooling and has currently been repositioned to serve the "traditional yet modern" Indian woman. The brand still carries some baggage from its past. GoldPlus, on the other hand, is a new brand that is positioned to serve the plain gold wedding jewelry market. A variety of strategic, economic, organizational and brand investment reasons make the decision an important one.
Swot Analysis of "Tanishq: Positioning to Capture the Indian Woman's Heart" written by Das Narayandas, Kerry Herman includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Tanishq Goldplus facing as an external strategic factors. Some of the topics covered in Tanishq: Positioning to Capture the Indian Woman's Heart case study are - Strategic Management Strategies, Strategy and Strategy & Execution.
Some of the macro environment factors that can be used to understand the Tanishq: Positioning to Capture the Indian Woman's Heart casestudy better are - – talent flight as more people leaving formal jobs, there is backlash against globalization, customer relationship management is fast transforming because of increasing concerns over data privacy, wage bills are increasing, competitive advantages are harder to sustain because of technology dispersion, increasing household debt because of falling income levels, increasing transportation and logistics costs,
digital marketing is dominated by two big players Facebook and Google, cloud computing is disrupting traditional business models, etc
Introduction to SWOT Analysis of Tanishq: Positioning to Capture the Indian Woman's Heart
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Tanishq: Positioning to Capture the Indian Woman's Heart case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Tanishq Goldplus, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Tanishq Goldplus 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 Tanishq: Positioning to Capture the Indian Woman's Heart can be done for the following purposes –
1. Strategic planning using facts provided in Tanishq: Positioning to Capture the Indian Woman's Heart case study
2. Improving business portfolio management of Tanishq Goldplus
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 Tanishq Goldplus
Strengths Tanishq: Positioning to Capture the Indian Woman's Heart | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Tanishq Goldplus in Tanishq: Positioning to Capture the Indian Woman's Heart Harvard Business Review case study are -
Training and development
– Tanishq Goldplus has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Tanishq: Positioning to Capture the Indian Woman's Heart 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.
Learning organization
- Tanishq Goldplus 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 Tanishq Goldplus is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Tanishq: Positioning to Capture the Indian Woman's Heart Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Ability to lead change in Strategy & Execution field
– Tanishq Goldplus 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 Tanishq Goldplus in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Sustainable margins compare to other players in Strategy & Execution industry
– Tanishq: Positioning to Capture the Indian Woman's Heart firm has clearly differentiated products in the market place. This has enabled Tanishq Goldplus to fetch slight price premium compare to the competitors in the Strategy & Execution industry. The sustainable margins have also helped Tanishq Goldplus to invest into research and development (R&D) and innovation.
Highly skilled collaborators
– Tanishq Goldplus 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 Tanishq: Positioning to Capture the Indian Woman's Heart HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
High switching costs
– The high switching costs that Tanishq Goldplus 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.
Diverse revenue streams
– Tanishq Goldplus is present in almost all the verticals within the industry. This has provided firm in Tanishq: Positioning to Capture the Indian Woman's Heart 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.
Superior customer experience
– The customer experience strategy of Tanishq Goldplus in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Successful track record of launching new products
– Tanishq Goldplus has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Tanishq Goldplus 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.
Innovation driven organization
– Tanishq Goldplus is one of the most innovative firm in sector. Manager in Tanishq: Positioning to Capture the Indian Woman's Heart Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Effective Research and Development (R&D)
– Tanishq Goldplus 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 Tanishq: Positioning to Capture the Indian Woman's Heart - 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 Tanishq Goldplus in the sector have low bargaining power. Tanishq: Positioning to Capture the Indian Woman's Heart has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Tanishq Goldplus to manage not only supply disruptions but also source products at highly competitive prices.
Weaknesses Tanishq: Positioning to Capture the Indian Woman's Heart | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Tanishq: Positioning to Capture the Indian Woman's Heart are -
No frontier risks strategy
– After analyzing the HBR case study Tanishq: Positioning to Capture the Indian Woman's Heart, it seems that company is thinking about the frontier risks that can impact Strategy & Execution strategy. But it has very little resources allocation to manage the risks emerging from events such as natural disasters, climate change, melting of permafrost, tacking the rise of artificial intelligence, opportunities and threats emerging from commercialization of space etc.
Capital Spending Reduction
– Even during the low interest decade, Tanishq Goldplus 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.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study Tanishq: Positioning to Capture the Indian Woman's Heart, is just above the industry average. Tanishq Goldplus 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.
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 Tanishq Goldplus supply chain. Even after few cautionary changes mentioned in the HBR case study - Tanishq: Positioning to Capture the Indian Woman's Heart, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Tanishq Goldplus vulnerable to further global disruptions in South East Asia.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study Tanishq: Positioning to Capture the Indian Woman's Heart, in the dynamic environment Tanishq Goldplus has struggled to respond to the nimble upstart competition. Tanishq Goldplus has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Tanishq Goldplus is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Tanishq: Positioning to Capture the Indian Woman's Heart can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Workers concerns about automation
– As automation is fast increasing in the segment, Tanishq Goldplus needs to come up with a strategy to reduce the workers concern regarding automation. Without a clear strategy, it could lead to disruption and uncertainty within the organization.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study Tanishq: Positioning to Capture the Indian Woman's Heart, it seems that the employees of Tanishq Goldplus 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.
Slow decision making process
– As mentioned earlier in the report, Tanishq Goldplus 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. Tanishq Goldplus 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.
Aligning sales with marketing
– It come across in the case study Tanishq: Positioning to Capture the Indian Woman's Heart 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 Tanishq: Positioning to Capture the Indian Woman's Heart can leverage the sales team experience to cultivate customer relationships as Tanishq Goldplus is planning to shift buying processes online.
Low market penetration in new markets
– Outside its home market of Tanishq Goldplus, firm in the HBR case study Tanishq: Positioning to Capture the Indian Woman's Heart needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Opportunities Tanishq: Positioning to Capture the Indian Woman's Heart | 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 Tanishq: Positioning to Capture the Indian Woman's Heart are -
Manufacturing automation
– Tanishq Goldplus can use the latest technology developments to improve its manufacturing and designing process in Strategy & Execution 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.
Learning at scale
– Online learning technologies has now opened space for Tanishq Goldplus 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
– Tanishq Goldplus 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 Tanishq: Positioning to Capture the Indian Woman's Heart - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Tanishq Goldplus to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Low interest rates
– Even though inflation is raising its head in most developed economies, Tanishq Goldplus 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Tanishq Goldplus can use these opportunities to build new business models that can help the communities that Tanishq Goldplus operates in. Secondly it can use opportunities from government spending in Strategy & Execution sector.
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. Tanishq Goldplus 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. Tanishq Goldplus 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.
Developing new processes and practices
– Tanishq Goldplus can develop new processes and procedures in Strategy & Execution 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.
Building a culture of innovation
– managers at Tanishq Goldplus 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
– Tanishq Goldplus can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Tanishq: Positioning to Capture the Indian Woman's Heart 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.
Loyalty marketing
– Tanishq Goldplus 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.
Better consumer reach
– The expansion of the 5G network will help Tanishq Goldplus to increase its market reach. Tanishq Goldplus 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.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Tanishq Goldplus is facing challenges because of the dominance of functional experts in the organization. Tanishq: Positioning to Capture the Indian Woman's Heart 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 Tanishq Goldplus has opened avenues for new revenue streams for the organization in the industry. This can help Tanishq Goldplus to build a more holistic ecosystem as suggested in the Tanishq: Positioning to Capture the Indian Woman's Heart case study. Tanishq Goldplus can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Threats Tanishq: Positioning to Capture the Indian Woman's Heart External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Tanishq: Positioning to Capture the Indian Woman's Heart are -
Technology acceleration in Forth Industrial Revolution
– Tanishq Goldplus has witnessed rapid integration of technology during Covid-19 in the Strategy & Execution industry. As one of the leading players in the industry, Tanishq Goldplus 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.
Environmental challenges
– Tanishq Goldplus 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. Tanishq Goldplus can take advantage of this fund but it will also bring new competitors in the Strategy & Execution industry.
Consumer confidence and its impact on Tanishq Goldplus demand
– There is a high probability of declining consumer confidence, given – high inflammation rate, rise of gig economy, lower job stability, increasing cost of living, higher interest rates, and aging demography. All the factors contribute to people saving higher rate of their income, resulting in lower consumer demand in the industry and other sectors.
Increasing wage structure of Tanishq Goldplus
– 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 Tanishq Goldplus.
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 Tanishq Goldplus business can come under increasing regulations regarding data privacy, data security, etc.
Stagnating economy with rate increase
– Tanishq Goldplus 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
– Tanishq Goldplus 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.
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.
Shortening product life cycle
– it is one of the major threat that Tanishq Goldplus is facing in Strategy & Execution sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Tanishq Goldplus with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Tanishq: Positioning to Capture the Indian Woman's Heart, Tanishq Goldplus may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Strategy & Execution .
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 Tanishq Goldplus.
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. Tanishq Goldplus 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 Tanishq: Positioning to Capture the Indian Woman's Heart 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 Tanishq: Positioning to Capture the Indian Woman's Heart 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 Tanishq: Positioning to Capture the Indian Woman's Heart 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 Tanishq: Positioning to Capture the Indian Woman's Heart 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 Tanishq: Positioning to Capture the Indian Woman's Heart 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 Tanishq Goldplus needs to make to build a sustainable competitive advantage.