Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
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Case Study SWOT Analysis Solution
Case Study Description of Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc.
Swot Analysis of "Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc." written by James Costantini includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Ins901 Kirana facing as an external strategic factors. Some of the topics covered in Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. case study are - Strategic Management Strategies, Innovation, Marketing, Supply chain and Strategy & Execution.
Some of the macro environment factors that can be used to understand the Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. casestudy better are - – increasing commodity prices, increasing household debt because of falling income levels, technology disruption, wage bills are increasing, cloud computing is disrupting traditional business models, increasing energy prices, there is increasing trade war between United States & China,
digital marketing is dominated by two big players Facebook and Google, talent flight as more people leaving formal jobs, etc
Introduction to SWOT Analysis of Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc.
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Ins901 Kirana, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Ins901 Kirana 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 Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. can be done for the following purposes –
1. Strategic planning using facts provided in Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. case study
2. Improving business portfolio management of Ins901 Kirana
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 Ins901 Kirana
Strengths Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Ins901 Kirana in Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. Harvard Business Review case study are -
Superior customer experience
– The customer experience strategy of Ins901 Kirana in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Diverse revenue streams
– Ins901 Kirana is present in almost all the verticals within the industry. This has provided firm in Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. 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.
Low bargaining power of suppliers
– Suppliers of Ins901 Kirana in the sector have low bargaining power. Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Ins901 Kirana to manage not only supply disruptions but also source products at highly competitive prices.
Operational resilience
– The operational resilience strategy in the Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. Harvard Business Review case study comprises – understanding the underlying the factors in the industry, building diversified operations across different geographies so that disruption in one part of the world doesn’t impact the overall performance of the firm, and integrating the various business operations and processes through its digital transformation drive.
Ability to recruit top talent
– Ins901 Kirana is one of the leading recruiters in the industry. Managers in the Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Training and development
– Ins901 Kirana has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. 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.
Organizational Resilience of Ins901 Kirana
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Ins901 Kirana does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Learning organization
- Ins901 Kirana 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 Ins901 Kirana is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Analytics focus
– Ins901 Kirana 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 James Costantini 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.
High switching costs
– The high switching costs that Ins901 Kirana 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.
Highly skilled collaborators
– Ins901 Kirana 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 Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Strong track record of project management
– Ins901 Kirana is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Weaknesses Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. are -
Capital Spending Reduction
– Even during the low interest decade, Ins901 Kirana 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 Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc., is just above the industry average. Ins901 Kirana 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.
Skills based hiring
– The stress on hiring functional specialists at Ins901 Kirana 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.
Low market penetration in new markets
– Outside its home market of Ins901 Kirana, firm in the HBR case study Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Aligning sales with marketing
– It come across in the case study Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. 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 Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. can leverage the sales team experience to cultivate customer relationships as Ins901 Kirana is planning to shift buying processes online.
Slow decision making process
– As mentioned earlier in the report, Ins901 Kirana 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. Ins901 Kirana 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.
No frontier risks strategy
– After analyzing the HBR case study Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc., 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.
Interest costs
– Compare to the competition, Ins901 Kirana has borrowed money from the capital market at higher rates. It needs to restructure the interest payment and costs so that it can compete better and improve profitability.
Lack of clear differentiation of Ins901 Kirana products
– To increase the profitability and margins on the products, Ins901 Kirana needs to provide more differentiated products than what it is currently offering in the marketplace.
High operating costs
– Compare to the competitors, firm in the HBR case study Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. 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 Ins901 Kirana 's lucrative customers.
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 Ins901 Kirana supply chain. Even after few cautionary changes mentioned in the HBR case study - Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc., it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Ins901 Kirana vulnerable to further global disruptions in South East Asia.
Opportunities Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. | 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 Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. are -
Developing new processes and practices
– Ins901 Kirana 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Ins901 Kirana can use these opportunities to build new business models that can help the communities that Ins901 Kirana operates in. Secondly it can use opportunities from government spending in Strategy & Execution sector.
Loyalty marketing
– Ins901 Kirana 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.
Buying journey improvements
– Ins901 Kirana can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. 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.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Ins901 Kirana 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, Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc., to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Learning at scale
– Online learning technologies has now opened space for Ins901 Kirana 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.
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 Ins901 Kirana 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.
Leveraging digital technologies
– Ins901 Kirana 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.
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. Ins901 Kirana can explore opportunities that can attract volunteers and are consistent with its mission and vision.
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 Ins901 Kirana in the consumer business. Now Ins901 Kirana can target international markets with far fewer capital restrictions requirements than the existing system.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Ins901 Kirana 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, Ins901 Kirana 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.
Manufacturing automation
– Ins901 Kirana 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.
Threats Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. are -
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Ins901 Kirana with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Environmental challenges
– Ins901 Kirana 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. Ins901 Kirana can take advantage of this fund but it will also bring new competitors in the Strategy & Execution industry.
Shortening product life cycle
– it is one of the major threat that Ins901 Kirana is facing in Strategy & Execution sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
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.
Technology acceleration in Forth Industrial Revolution
– Ins901 Kirana has witnessed rapid integration of technology during Covid-19 in the Strategy & Execution industry. As one of the leading players in the industry, Ins901 Kirana 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.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Ins901 Kirana 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.
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 Ins901 Kirana in the Strategy & Execution sector and impact the bottomline of the organization.
Easy access to finance
– Easy access to finance in Strategy & Execution field will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Ins901 Kirana can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
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. Ins901 Kirana needs to understand the core reasons impacting the Strategy & Execution industry. This will help it in building a better workplace.
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 Ins901 Kirana.
High dependence on third party suppliers
– Ins901 Kirana 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.
Aging population
– As the populations of most advanced economies are aging, it will lead to high social security costs, higher savings among population, and lower demand for goods and services in the economy. The household savings in US, France, UK, Germany, and Japan are growing faster than predicted because of uncertainty caused by pandemic.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Ins901 Kirana 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 Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. .
Weighted SWOT Analysis of Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. 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 Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. 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 Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. 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 Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. 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 Development of Food Retailing in India (B): Consumer's Choice of Food Retailer: Hypermarkets, Supermarkets, Kirana, Markets, etc. 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 Ins901 Kirana needs to make to build a sustainable competitive advantage.
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