WinnersTrend Pvt. Ltd.: The Dilemma of Growth SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Innovation & Entrepreneurship
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of WinnersTrend Pvt. Ltd.: The Dilemma of Growth
In early 2016, WinnersTrend Pvt. Ltd. (WinnersTrend), which provided customized executive education and consulting services to senior business leaders in India, needed to decide whether or not to expand its operations to address a different market segment. It had been delivering value to its target market through its team of highly qualified and experienced facilitators, using a rigorous program design methodology; however, increasing competition and falling revenues compelled the founders to rethink their strategy. WinnersTrend received a large offer to provide programs for frontline executives. This market was estimated to have 50 to 100 times the end-users in the senior leadership sector, which could generate 15 to 30 times the revenue. Should the company pursue this offer? What would be the benefits and disadvantages of doing so? Could WinnersTrend use its current model to deliver programs to the frontline executive market? If not, what changes would be needed? The authors Saleha Ahmad and Madhushree Agarwal are affiliated with Management Development Institute.
Swot Analysis of "WinnersTrend Pvt. Ltd.: The Dilemma of Growth" written by Saleha Ahmad, Madhushree Agarwal includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Winnerstrend Frontline facing as an external strategic factors. Some of the topics covered in WinnersTrend Pvt. Ltd.: The Dilemma of Growth case study are - Strategic Management Strategies, Financial analysis, Strategy and Innovation & Entrepreneurship.
Some of the macro environment factors that can be used to understand the WinnersTrend Pvt. Ltd.: The Dilemma of Growth casestudy better are - – supply chains are disrupted by pandemic , increasing energy prices, digital marketing is dominated by two big players Facebook and Google, banking and financial system is disrupted by Bitcoin and other crypto currencies, increasing government debt because of Covid-19 spendings, geopolitical disruptions, increasing inequality as vast percentage of new income is going to the top 1%,
technology disruption, customer relationship management is fast transforming because of increasing concerns over data privacy, etc
Introduction to SWOT Analysis of WinnersTrend Pvt. Ltd.: The Dilemma of Growth
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in WinnersTrend Pvt. Ltd.: The Dilemma of Growth case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Winnerstrend Frontline, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Winnerstrend Frontline 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 WinnersTrend Pvt. Ltd.: The Dilemma of Growth can be done for the following purposes –
1. Strategic planning using facts provided in WinnersTrend Pvt. Ltd.: The Dilemma of Growth case study
2. Improving business portfolio management of Winnerstrend Frontline
3. Assessing feasibility of the new initiative in Innovation & Entrepreneurship field.
4. Making a Innovation & Entrepreneurship topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of Winnerstrend Frontline
Strengths WinnersTrend Pvt. Ltd.: The Dilemma of Growth | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Winnerstrend Frontline in WinnersTrend Pvt. Ltd.: The Dilemma of Growth Harvard Business Review case study are -
Innovation driven organization
– Winnerstrend Frontline is one of the most innovative firm in sector. Manager in WinnersTrend Pvt. Ltd.: The Dilemma of Growth Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Superior customer experience
– The customer experience strategy of Winnerstrend Frontline in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Effective Research and Development (R&D)
– Winnerstrend Frontline 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 WinnersTrend Pvt. Ltd.: The Dilemma of Growth - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Analytics focus
– Winnerstrend Frontline 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 Saleha Ahmad, Madhushree Agarwal 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.
Learning organization
- Winnerstrend Frontline 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 Winnerstrend Frontline is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in WinnersTrend Pvt. Ltd.: The Dilemma of Growth Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Organizational Resilience of Winnerstrend Frontline
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Winnerstrend Frontline does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Training and development
– Winnerstrend Frontline has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in WinnersTrend Pvt. Ltd.: The Dilemma of Growth 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.
Digital Transformation in Innovation & Entrepreneurship segment
- digital transformation varies from industry to industry. For Winnerstrend Frontline digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Winnerstrend Frontline 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.
Strong track record of project management
– Winnerstrend Frontline is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Highly skilled collaborators
– Winnerstrend Frontline 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 WinnersTrend Pvt. Ltd.: The Dilemma of Growth HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
High brand equity
– Winnerstrend Frontline has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Winnerstrend Frontline to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Ability to recruit top talent
– Winnerstrend Frontline is one of the leading recruiters in the industry. Managers in the WinnersTrend Pvt. Ltd.: The Dilemma of Growth are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Weaknesses WinnersTrend Pvt. Ltd.: The Dilemma of Growth | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of WinnersTrend Pvt. Ltd.: The Dilemma of Growth are -
Increasing silos among functional specialists
– The organizational structure of Winnerstrend Frontline is dominated by functional specialists. It is not different from other players in the Innovation & Entrepreneurship segment. Winnerstrend Frontline needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Winnerstrend Frontline to focus more on services rather than just following the product oriented approach.
High operating costs
– Compare to the competitors, firm in the HBR case study WinnersTrend Pvt. Ltd.: The Dilemma of Growth 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 Winnerstrend Frontline 's lucrative customers.
Capital Spending Reduction
– Even during the low interest decade, Winnerstrend Frontline 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.
Slow decision making process
– As mentioned earlier in the report, Winnerstrend Frontline 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. Winnerstrend Frontline 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.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study WinnersTrend Pvt. Ltd.: The Dilemma of Growth, it seems that the employees of Winnerstrend Frontline don’t have comprehensive understanding of the firm’s strategy. This is reflected in number of promotional campaigns over the last few years that had mixed messaging and competing priorities. Some of the strategic activities and services promoted in the promotional campaigns were not consistent with the organization’s strategy.
Need for greater diversity
– Winnerstrend Frontline 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.
Interest costs
– Compare to the competition, Winnerstrend Frontline 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, Winnerstrend Frontline 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 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 Winnerstrend Frontline supply chain. Even after few cautionary changes mentioned in the HBR case study - WinnersTrend Pvt. Ltd.: The Dilemma of Growth, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Winnerstrend Frontline vulnerable to further global disruptions in South East Asia.
Low market penetration in new markets
– Outside its home market of Winnerstrend Frontline, firm in the HBR case study WinnersTrend Pvt. Ltd.: The Dilemma of Growth needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study WinnersTrend Pvt. Ltd.: The Dilemma of Growth, is just above the industry average. Winnerstrend Frontline 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.
Opportunities WinnersTrend Pvt. Ltd.: The Dilemma of Growth | 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 WinnersTrend Pvt. Ltd.: The Dilemma of Growth are -
Low interest rates
– Even though inflation is raising its head in most developed economies, Winnerstrend Frontline 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.
Using analytics as competitive advantage
– Winnerstrend Frontline 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 WinnersTrend Pvt. Ltd.: The Dilemma of Growth - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Winnerstrend Frontline to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Winnerstrend Frontline can use these opportunities to build new business models that can help the communities that Winnerstrend Frontline operates in. Secondly it can use opportunities from government spending in Innovation & Entrepreneurship sector.
Manufacturing automation
– Winnerstrend Frontline can use the latest technology developments to improve its manufacturing and designing process in Innovation & Entrepreneurship 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.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Winnerstrend Frontline is facing challenges because of the dominance of functional experts in the organization. WinnersTrend Pvt. Ltd.: The Dilemma of Growth 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.
Leveraging digital technologies
– Winnerstrend Frontline 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.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Winnerstrend Frontline in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Innovation & Entrepreneurship segment, and it will provide faster access to the consumers.
Buying journey improvements
– Winnerstrend Frontline can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. WinnersTrend Pvt. Ltd.: The Dilemma of Growth 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.
Developing new processes and practices
– Winnerstrend Frontline can develop new processes and procedures in Innovation & Entrepreneurship 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.
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. Winnerstrend Frontline can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Changes in consumer behavior post Covid-19
– Consumer behavior has changed in the Innovation & Entrepreneurship industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Winnerstrend Frontline 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. Winnerstrend Frontline 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.
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 Winnerstrend Frontline in the consumer business. Now Winnerstrend Frontline can target international markets with far fewer capital restrictions requirements than the existing system.
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 Winnerstrend Frontline 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.
Threats WinnersTrend Pvt. Ltd.: The Dilemma of Growth External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study WinnersTrend Pvt. Ltd.: The Dilemma of Growth are -
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 Winnerstrend Frontline.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Winnerstrend Frontline in the Innovation & Entrepreneurship industry. The Innovation & Entrepreneurship 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.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study WinnersTrend Pvt. Ltd.: The Dilemma of Growth, Winnerstrend Frontline may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Innovation & Entrepreneurship .
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Winnerstrend Frontline with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
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. Winnerstrend Frontline needs to understand the core reasons impacting the Innovation & Entrepreneurship industry. This will help it in building a better workplace.
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.
Shortening product life cycle
– it is one of the major threat that Winnerstrend Frontline is facing in Innovation & Entrepreneurship sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
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 Winnerstrend Frontline business can come under increasing regulations regarding data privacy, data security, etc.
Increasing wage structure of Winnerstrend Frontline
– 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 Winnerstrend Frontline.
Environmental challenges
– Winnerstrend Frontline 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. Winnerstrend Frontline can take advantage of this fund but it will also bring new competitors in the Innovation & Entrepreneurship industry.
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 Winnerstrend Frontline in the Innovation & Entrepreneurship sector and impact the bottomline of the organization.
Technology acceleration in Forth Industrial Revolution
– Winnerstrend Frontline has witnessed rapid integration of technology during Covid-19 in the Innovation & Entrepreneurship industry. As one of the leading players in the industry, Winnerstrend Frontline needs to keep up with the evolution of technology in the Innovation & Entrepreneurship 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.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Winnerstrend Frontline 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 WinnersTrend Pvt. Ltd.: The Dilemma of Growth .
Weighted SWOT Analysis of WinnersTrend Pvt. Ltd.: The Dilemma of Growth 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 WinnersTrend Pvt. Ltd.: The Dilemma of Growth 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 WinnersTrend Pvt. Ltd.: The Dilemma of Growth 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 WinnersTrend Pvt. Ltd.: The Dilemma of Growth 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 WinnersTrend Pvt. Ltd.: The Dilemma of Growth 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 Winnerstrend Frontline needs to make to build a sustainable competitive advantage.
