Yalla Momos: Targeting the Expatriate SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Sales & Marketing
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Yalla Momos: Targeting the Expatriate
Yalla Momos was a restaurant in Dubai, United Arab Emirates, that served momos, which were Nepal's answer to the Chinese dumpling. Yalla Momos' sales have grown exponentially since brothers Prashant and Ishan Goel founded the restaurant in 2012. Recently, in order to safeguard their share of the market, the Goels have been considering how to take their venture forward in the face of competition from both the organized (big retail outlets) and unorganized (individually managed) food sectors. The founders want to secure a position as market leaders in providing nutritious, affordable restaurant food to the expatriate (expat) community in Dubai. How could they communicate with the public and persuade a wider target audience of South Asian expats to adopt this healthy food choice? Should they diversify the menu to attract more customers, or would that cause the restaurant to lose its core competitive advantage of serving healthy, nutritious food? Would harnessing social media attract the expats? The authors Vimi Jham and Anupam Mehta are affiliated with Institute of Management Technology, Dubai.
Swot Analysis of "Yalla Momos: Targeting the Expatriate" written by Vimi Jham, Anupam Mehta includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Momos Yalla facing as an external strategic factors. Some of the topics covered in Yalla Momos: Targeting the Expatriate case study are - Strategic Management Strategies, Marketing and Sales & Marketing.
Some of the macro environment factors that can be used to understand the Yalla Momos: Targeting the Expatriate casestudy better are - – geopolitical disruptions, customer relationship management is fast transforming because of increasing concerns over data privacy, technology disruption, talent flight as more people leaving formal jobs, wage bills are increasing, increasing government debt because of Covid-19 spendings, competitive advantages are harder to sustain because of technology dispersion,
there is backlash against globalization, increasing transportation and logistics costs, etc
Introduction to SWOT Analysis of Yalla Momos: Targeting the Expatriate
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Yalla Momos: Targeting the Expatriate case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Momos Yalla, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Momos Yalla 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 Yalla Momos: Targeting the Expatriate can be done for the following purposes –
1. Strategic planning using facts provided in Yalla Momos: Targeting the Expatriate case study
2. Improving business portfolio management of Momos Yalla
3. Assessing feasibility of the new initiative in Sales & Marketing field.
4. Making a Sales & Marketing topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of Momos Yalla
Strengths Yalla Momos: Targeting the Expatriate | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Momos Yalla in Yalla Momos: Targeting the Expatriate Harvard Business Review case study are -
Effective Research and Development (R&D)
– Momos Yalla 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 Yalla Momos: Targeting the Expatriate - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Highly skilled collaborators
– Momos Yalla 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 Yalla Momos: Targeting the Expatriate HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Innovation driven organization
– Momos Yalla is one of the most innovative firm in sector. Manager in Yalla Momos: Targeting the Expatriate Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Low bargaining power of suppliers
– Suppliers of Momos Yalla in the sector have low bargaining power. Yalla Momos: Targeting the Expatriate has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Momos Yalla to manage not only supply disruptions but also source products at highly competitive prices.
Ability to recruit top talent
– Momos Yalla is one of the leading recruiters in the industry. Managers in the Yalla Momos: Targeting the Expatriate are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Strong track record of project management
– Momos Yalla is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Learning organization
- Momos Yalla 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 Momos Yalla is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Yalla Momos: Targeting the Expatriate Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Sustainable margins compare to other players in Sales & Marketing industry
– Yalla Momos: Targeting the Expatriate firm has clearly differentiated products in the market place. This has enabled Momos Yalla to fetch slight price premium compare to the competitors in the Sales & Marketing industry. The sustainable margins have also helped Momos Yalla to invest into research and development (R&D) and innovation.
Diverse revenue streams
– Momos Yalla is present in almost all the verticals within the industry. This has provided firm in Yalla Momos: Targeting the Expatriate 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.
Cross disciplinary teams
– Horizontal connected teams at the Momos Yalla are driving operational speed, building greater agility, and keeping the organization nimble to compete with new competitors. It helps are organization to ideate new ideas, and execute them swiftly in the marketplace.
High brand equity
– Momos Yalla has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Momos Yalla to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Organizational Resilience of Momos Yalla
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Momos Yalla does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Weaknesses Yalla Momos: Targeting the Expatriate | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Yalla Momos: Targeting the Expatriate are -
Aligning sales with marketing
– It come across in the case study Yalla Momos: Targeting the Expatriate 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 Yalla Momos: Targeting the Expatriate can leverage the sales team experience to cultivate customer relationships as Momos Yalla is planning to shift buying processes online.
Need for greater diversity
– Momos Yalla 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 Yalla Momos: Targeting the Expatriate, is just above the industry average. Momos Yalla 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 star products
– The top 2 products and services of the firm as mentioned in the Yalla Momos: Targeting the Expatriate 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 Momos Yalla has relatively successful track record of launching new products.
Slow to strategic competitive environment developments
– As Yalla Momos: Targeting the Expatriate HBR case study mentions - Momos Yalla 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 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 Momos Yalla supply chain. Even after few cautionary changes mentioned in the HBR case study - Yalla Momos: Targeting the Expatriate, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Momos Yalla vulnerable to further global disruptions in South East Asia.
Interest costs
– Compare to the competition, Momos Yalla 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, Momos Yalla 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.
High bargaining power of channel partners
– Because of the regulatory requirements, Vimi Jham, Anupam Mehta suggests that, Momos Yalla is facing high bargaining power of the channel partners. So far it has not able to streamline the operations to reduce the bargaining power of the value chain partners in the industry.
No frontier risks strategy
– After analyzing the HBR case study Yalla Momos: Targeting the Expatriate, it seems that company is thinking about the frontier risks that can impact Sales & Marketing 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.
High operating costs
– Compare to the competitors, firm in the HBR case study Yalla Momos: Targeting the Expatriate 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 Momos Yalla 's lucrative customers.
Opportunities Yalla Momos: Targeting the Expatriate | 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 Yalla Momos: Targeting the Expatriate are -
Creating value in data economy
– The success of analytics program of Momos Yalla has opened avenues for new revenue streams for the organization in the industry. This can help Momos Yalla to build a more holistic ecosystem as suggested in the Yalla Momos: Targeting the Expatriate case study. Momos Yalla can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Leveraging digital technologies
– Momos Yalla 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.
Loyalty marketing
– Momos Yalla 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.
Low interest rates
– Even though inflation is raising its head in most developed economies, Momos Yalla 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.
Learning at scale
– Online learning technologies has now opened space for Momos Yalla 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 Momos Yalla 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.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Momos Yalla is facing challenges because of the dominance of functional experts in the organization. Yalla Momos: Targeting the Expatriate 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.
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. Momos Yalla can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Momos Yalla can use these opportunities to build new business models that can help the communities that Momos Yalla operates in. Secondly it can use opportunities from government spending in Sales & Marketing sector.
Developing new processes and practices
– Momos Yalla can develop new processes and procedures in Sales & Marketing 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.
Changes in consumer behavior post Covid-19
– Consumer behavior has changed in the Sales & Marketing industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Momos Yalla 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. Momos Yalla 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.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Momos Yalla in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Sales & Marketing segment, and it will provide faster access to the consumers.
Manufacturing automation
– Momos Yalla can use the latest technology developments to improve its manufacturing and designing process in Sales & Marketing 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 Yalla Momos: Targeting the Expatriate External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Yalla Momos: Targeting the Expatriate are -
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. Momos Yalla 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.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Yalla Momos: Targeting the Expatriate, Momos Yalla may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Sales & Marketing .
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 Momos Yalla in the Sales & Marketing sector and impact the bottomline of the organization.
High dependence on third party suppliers
– Momos Yalla 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.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Momos Yalla with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Increasing wage structure of Momos Yalla
– 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 Momos Yalla.
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.
Consumer confidence and its impact on Momos Yalla 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.
Stagnating economy with rate increase
– Momos Yalla 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.
Environmental challenges
– Momos Yalla 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. Momos Yalla can take advantage of this fund but it will also bring new competitors in the Sales & Marketing industry.
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. Momos Yalla needs to understand the core reasons impacting the Sales & Marketing industry. This will help it in building a better workplace.
Shortening product life cycle
– it is one of the major threat that Momos Yalla is facing in Sales & Marketing sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Regulatory challenges
– Momos Yalla 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 Sales & Marketing industry regulations.
Weighted SWOT Analysis of Yalla Momos: Targeting the Expatriate 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 Yalla Momos: Targeting the Expatriate 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 Yalla Momos: Targeting the Expatriate 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 Yalla Momos: Targeting the Expatriate 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 Yalla Momos: Targeting the Expatriate 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 Momos Yalla needs to make to build a sustainable competitive advantage.
