The Case for 'Benevolent' Mobile Apps SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Technology & Operations
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of The Case for 'Benevolent' Mobile Apps
Smartphones make up an increasing share of mobile devices, and mobile apps are among smartphones' most popular features. The all-time cumulative total of mobile app downloads stood at 37 billion at the end of 2011, and showed dramatic growth in 2012. Mobile app downloads more than doubled that year, resulting in a new cumulative total of 83 billion mobile app downloads. For companies, apps provide ample revenue opportunities. Mobile advertising has seen triple-digit percentage growth each year since PricewaterhouseCoopers began capturing this data in 2010. Yet some people have doubts about the effectiveness and viability of mobile advertising and believe that apps are a better medium. Authors Glen L. Urban and Fareena Sultan think one of the most effective uses of mobile media will be apps that are designed to build trust. These are "benevolent"apps because the apps' value is directly tied not to selling products but rather to advancing consumers' interests and helping them solve problems or make decisions. One example is the Sea Tow app, offered by Sea Tow Service International, headquartered in Southold, New York, which provides emergency towing and rescue services for boaters in the United States, the Caribbean and Europe. The free app supports boaters' navigation needs by providing information about local tide tables, detailed marine weather forecasts, GPS coordinates and bearing, and speed. Urban and Sultan observe that a growing number of organizations, including well-known companies, have come forth with their own benevolent apps in which selling products takes a backseat to providing information and gaining trust. The authors present findings from two studies (one at Liberty Mutual Insurance and the other at Suruga Bank in Japan) showing that benevolent mobile apps that try to help consumers in decision making can positively impact consumers' perception of a brand, as well as their willingness to consider the brand and their preference for it. This is an MIT Sloan Management Review article.
Swot Analysis of "The Case for 'Benevolent' Mobile Apps" written by Glen L. Urban, Fareena Sultan includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Apps Mobile facing as an external strategic factors. Some of the topics covered in The Case for 'Benevolent' Mobile Apps case study are - Strategic Management Strategies, and Technology & Operations.
Some of the macro environment factors that can be used to understand the The Case for 'Benevolent' Mobile Apps casestudy better are - – increasing energy prices, increasing transportation and logistics costs, there is increasing trade war between United States & China, banking and financial system is disrupted by Bitcoin and other crypto currencies, wage bills are increasing, increasing government debt because of Covid-19 spendings, supply chains are disrupted by pandemic ,
customer relationship management is fast transforming because of increasing concerns over data privacy, cloud computing is disrupting traditional business models, etc
Introduction to SWOT Analysis of The Case for 'Benevolent' Mobile Apps
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in The Case for 'Benevolent' Mobile Apps case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Apps Mobile, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Apps Mobile 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 The Case for 'Benevolent' Mobile Apps can be done for the following purposes –
1. Strategic planning using facts provided in The Case for 'Benevolent' Mobile Apps case study
2. Improving business portfolio management of Apps Mobile
3. Assessing feasibility of the new initiative in Technology & Operations field.
4. Making a Technology & Operations topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of Apps Mobile
Strengths The Case for 'Benevolent' Mobile Apps | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Apps Mobile in The Case for 'Benevolent' Mobile Apps Harvard Business Review case study are -
Training and development
– Apps Mobile has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in The Case for 'Benevolent' Mobile Apps 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.
Ability to recruit top talent
– Apps Mobile is one of the leading recruiters in the industry. Managers in the The Case for 'Benevolent' Mobile Apps are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
High brand equity
– Apps Mobile has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Apps Mobile to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Diverse revenue streams
– Apps Mobile is present in almost all the verticals within the industry. This has provided firm in The Case for 'Benevolent' Mobile Apps 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.
Digital Transformation in Technology & Operations segment
- digital transformation varies from industry to industry. For Apps Mobile digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Apps Mobile 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.
Sustainable margins compare to other players in Technology & Operations industry
– The Case for 'Benevolent' Mobile Apps firm has clearly differentiated products in the market place. This has enabled Apps Mobile to fetch slight price premium compare to the competitors in the Technology & Operations industry. The sustainable margins have also helped Apps Mobile to invest into research and development (R&D) and innovation.
Strong track record of project management
– Apps Mobile is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Superior customer experience
– The customer experience strategy of Apps Mobile in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Operational resilience
– The operational resilience strategy in the The Case for 'Benevolent' Mobile Apps 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.
Innovation driven organization
– Apps Mobile is one of the most innovative firm in sector. Manager in The Case for 'Benevolent' Mobile Apps Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Organizational Resilience of Apps Mobile
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Apps Mobile does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Ability to lead change in Technology & Operations field
– Apps Mobile 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 Apps Mobile in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Weaknesses The Case for 'Benevolent' Mobile Apps | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of The Case for 'Benevolent' Mobile Apps are -
Skills based hiring
– The stress on hiring functional specialists at Apps Mobile 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 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 Apps Mobile supply chain. Even after few cautionary changes mentioned in the HBR case study - The Case for 'Benevolent' Mobile Apps, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Apps Mobile vulnerable to further global disruptions in South East Asia.
Increasing silos among functional specialists
– The organizational structure of Apps Mobile is dominated by functional specialists. It is not different from other players in the Technology & Operations segment. Apps Mobile needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Apps Mobile to focus more on services rather than just following the product oriented approach.
Slow decision making process
– As mentioned earlier in the report, Apps Mobile 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. Apps Mobile 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 operating costs
– Compare to the competitors, firm in the HBR case study The Case for 'Benevolent' Mobile Apps 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 Apps Mobile 's lucrative customers.
Aligning sales with marketing
– It come across in the case study The Case for 'Benevolent' Mobile Apps 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 The Case for 'Benevolent' Mobile Apps can leverage the sales team experience to cultivate customer relationships as Apps Mobile is planning to shift buying processes online.
Need for greater diversity
– Apps Mobile has taken concrete steps on diversity, equity, and inclusion. But the efforts so far has resulted in limited success. It needs to expand the recruitment and selection process to hire more people from the minorities and underprivileged background.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Apps Mobile is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study The Case for 'Benevolent' Mobile Apps can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study The Case for 'Benevolent' Mobile Apps, in the dynamic environment Apps Mobile has struggled to respond to the nimble upstart competition. Apps Mobile has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Interest costs
– Compare to the competition, Apps Mobile 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.
Workers concerns about automation
– As automation is fast increasing in the segment, Apps Mobile 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.
Opportunities The Case for 'Benevolent' Mobile Apps | 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 The Case for 'Benevolent' Mobile Apps are -
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. Apps Mobile can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Using analytics as competitive advantage
– Apps Mobile 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 The Case for 'Benevolent' Mobile Apps - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Apps Mobile to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Leveraging digital technologies
– Apps Mobile 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.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Apps Mobile 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, The Case for 'Benevolent' Mobile Apps, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Building a culture of innovation
– managers at Apps Mobile 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 Technology & Operations segment.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Apps Mobile can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Better consumer reach
– The expansion of the 5G network will help Apps Mobile to increase its market reach. Apps Mobile 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.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Apps Mobile in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Technology & Operations 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 Apps Mobile in the consumer business. Now Apps Mobile can target international markets with far fewer capital restrictions requirements than the existing system.
Low interest rates
– Even though inflation is raising its head in most developed economies, Apps Mobile 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.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Apps Mobile is facing challenges because of the dominance of functional experts in the organization. The Case for 'Benevolent' Mobile Apps 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.
Loyalty marketing
– Apps Mobile 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.
Creating value in data economy
– The success of analytics program of Apps Mobile has opened avenues for new revenue streams for the organization in the industry. This can help Apps Mobile to build a more holistic ecosystem as suggested in the The Case for 'Benevolent' Mobile Apps case study. Apps Mobile can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Threats The Case for 'Benevolent' Mobile Apps External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study The Case for 'Benevolent' Mobile Apps are -
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 Apps Mobile in the Technology & Operations sector and impact the bottomline of the organization.
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. Apps Mobile needs to understand the core reasons impacting the Technology & Operations industry. This will help it in building a better workplace.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Apps Mobile 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 The Case for 'Benevolent' Mobile Apps .
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Apps Mobile with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
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. Apps Mobile 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.
Easy access to finance
– Easy access to finance in Technology & Operations field will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Apps Mobile can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
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 Apps Mobile business can come under increasing regulations regarding data privacy, data security, etc.
Shortening product life cycle
– it is one of the major threat that Apps Mobile is facing in Technology & Operations sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study The Case for 'Benevolent' Mobile Apps, Apps Mobile may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Technology & Operations .
Technology acceleration in Forth Industrial Revolution
– Apps Mobile has witnessed rapid integration of technology during Covid-19 in the Technology & Operations industry. As one of the leading players in the industry, Apps Mobile needs to keep up with the evolution of technology in the Technology & Operations 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
– Apps Mobile 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. Apps Mobile can take advantage of this fund but it will also bring new competitors in the Technology & Operations industry.
Regulatory challenges
– Apps Mobile 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 Technology & Operations industry regulations.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Apps Mobile in the Technology & Operations industry. The Technology & Operations 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.
Weighted SWOT Analysis of The Case for 'Benevolent' Mobile Apps 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 The Case for 'Benevolent' Mobile Apps 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 The Case for 'Benevolent' Mobile Apps 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 The Case for 'Benevolent' Mobile Apps 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 The Case for 'Benevolent' Mobile Apps 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 Apps Mobile needs to make to build a sustainable competitive advantage.