Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Global Business
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup
On June 15, 2015, the Chicago Blackhawks defeated the Tampa Bay Lightning to win the National Hockey League (NHL) Stanley Cup. It was the Blackhawks' third league title in six seasons. In previous years, the off-seasons immediately following Stanley Cup victories had been challenging. The general manager was typically forced by the NHL's salary cap to change key components of the championship rosters. In late June 2015, the situation differed from in the past. Two superstar forwards were locked into identical eight-year contracts worth US$10.5 million per year beginning July 1, 2015. However, significant macroeconomic events around the world had unfolded rapidly, specifically in Canada and the United States, where the NHL operated. How would these macroeconomic forces shape the future of the NHL and the Blackhawks?
Swot Analysis of "Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup" written by Davin Raiha includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Blackhawks Nhl facing as an external strategic factors. Some of the topics covered in Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup case study are - Strategic Management Strategies, and Global Business.
Some of the macro environment factors that can be used to understand the Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup casestudy better are - – talent flight as more people leaving formal jobs, cloud computing is disrupting traditional business models, increasing commodity prices, supply chains are disrupted by pandemic , geopolitical disruptions, banking and financial system is disrupted by Bitcoin and other crypto currencies, central banks are concerned over increasing inflation,
increasing household debt because of falling income levels, challanges to central banks by blockchain based private currencies, etc
Introduction to SWOT Analysis of Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Blackhawks Nhl, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Blackhawks Nhl 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 Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup can be done for the following purposes –
1. Strategic planning using facts provided in Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup case study
2. Improving business portfolio management of Blackhawks Nhl
3. Assessing feasibility of the new initiative in Global Business field.
4. Making a Global Business topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of Blackhawks Nhl
Strengths Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Blackhawks Nhl in Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup Harvard Business Review case study are -
Diverse revenue streams
– Blackhawks Nhl is present in almost all the verticals within the industry. This has provided firm in Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup 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.
Effective Research and Development (R&D)
– Blackhawks Nhl 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 Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Superior customer experience
– The customer experience strategy of Blackhawks Nhl in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Ability to lead change in Global Business field
– Blackhawks Nhl 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 Blackhawks Nhl in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Digital Transformation in Global Business segment
- digital transformation varies from industry to industry. For Blackhawks Nhl digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Blackhawks Nhl 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.
Operational resilience
– The operational resilience strategy in the Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup 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.
High brand equity
– Blackhawks Nhl has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Blackhawks Nhl to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Low bargaining power of suppliers
– Suppliers of Blackhawks Nhl in the sector have low bargaining power. Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Blackhawks Nhl to manage not only supply disruptions but also source products at highly competitive prices.
Successful track record of launching new products
– Blackhawks Nhl has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Blackhawks Nhl 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.
Highly skilled collaborators
– Blackhawks Nhl 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 Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Organizational Resilience of Blackhawks Nhl
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Blackhawks Nhl does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Learning organization
- Blackhawks Nhl 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 Blackhawks Nhl is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Weaknesses Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup are -
No frontier risks strategy
– After analyzing the HBR case study Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup, it seems that company is thinking about the frontier risks that can impact Global Business 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.
Low market penetration in new markets
– Outside its home market of Blackhawks Nhl, firm in the HBR case study Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Lack of clear differentiation of Blackhawks Nhl products
– To increase the profitability and margins on the products, Blackhawks Nhl needs to provide more differentiated products than what it is currently offering in the marketplace.
High cash cycle compare to competitors
Blackhawks Nhl has a high cash cycle compare to other players in the industry. It needs to shorten the cash cycle by 12% to be more competitive in the marketplace, reduce inventory costs, and be more profitable.
Increasing silos among functional specialists
– The organizational structure of Blackhawks Nhl is dominated by functional specialists. It is not different from other players in the Global Business segment. Blackhawks Nhl needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Blackhawks Nhl to focus more on services rather than just following the product oriented approach.
Slow to strategic competitive environment developments
– As Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup HBR case study mentions - Blackhawks Nhl 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.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup 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 Blackhawks Nhl has relatively successful track record of launching new products.
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 Blackhawks Nhl supply chain. Even after few cautionary changes mentioned in the HBR case study - Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Blackhawks Nhl vulnerable to further global disruptions in South East Asia.
Need for greater diversity
– Blackhawks Nhl has taken concrete steps on diversity, equity, and inclusion. But the efforts so far has resulted in limited success. It needs to expand the recruitment and selection process to hire more people from the minorities and underprivileged background.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup, is just above the industry average. Blackhawks Nhl 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.
Aligning sales with marketing
– It come across in the case study Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup 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 Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup can leverage the sales team experience to cultivate customer relationships as Blackhawks Nhl is planning to shift buying processes online.
Opportunities Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup | 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 Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup are -
Redefining models of collaboration and team work
– As explained in the weaknesses section, Blackhawks Nhl is facing challenges because of the dominance of functional experts in the organization. Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup 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.
Developing new processes and practices
– Blackhawks Nhl can develop new processes and procedures in Global Business 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.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Blackhawks Nhl 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, Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Using analytics as competitive advantage
– Blackhawks Nhl 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 Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Blackhawks Nhl to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Creating value in data economy
– The success of analytics program of Blackhawks Nhl has opened avenues for new revenue streams for the organization in the industry. This can help Blackhawks Nhl to build a more holistic ecosystem as suggested in the Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup case study. Blackhawks Nhl can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Global Business industry, but it has also influenced the consumer preferences. Blackhawks Nhl can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Buying journey improvements
– Blackhawks Nhl can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup 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.
Leveraging digital technologies
– Blackhawks Nhl 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.
Low interest rates
– Even though inflation is raising its head in most developed economies, Blackhawks Nhl 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
– Blackhawks Nhl can use the latest technology developments to improve its manufacturing and designing process in Global Business 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.
Changes in consumer behavior post Covid-19
– Consumer behavior has changed in the Global Business industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Blackhawks Nhl 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. Blackhawks Nhl 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 Blackhawks Nhl 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.
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. Blackhawks Nhl can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Threats Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup are -
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Blackhawks Nhl in the Global Business industry. The Global Business 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
– Blackhawks Nhl has witnessed rapid integration of technology during Covid-19 in the Global Business industry. As one of the leading players in the industry, Blackhawks Nhl needs to keep up with the evolution of technology in the Global Business 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.
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, Blackhawks Nhl 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 Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup .
Environmental challenges
– Blackhawks Nhl 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. Blackhawks Nhl can take advantage of this fund but it will also bring new competitors in the Global Business industry.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Blackhawks Nhl with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
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 Blackhawks Nhl business can come under increasing regulations regarding data privacy, data security, etc.
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 Blackhawks Nhl in the Global Business sector and impact the bottomline of the organization.
Increasing wage structure of Blackhawks Nhl
– 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 Blackhawks Nhl.
Regulatory challenges
– Blackhawks Nhl 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 Global Business industry regulations.
Consumer confidence and its impact on Blackhawks Nhl 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.
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.
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 Blackhawks Nhl.
Weighted SWOT Analysis of Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup 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 Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup 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 Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup 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 Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup 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 Macroeconomic Forces, the National Hockey League, and Winning the Stanley Cup 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 Blackhawks Nhl needs to make to build a sustainable competitive advantage.
