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 - – increasing commodity prices, wage bills are increasing, there is backlash against globalization, customer relationship management is fast transforming because of increasing concerns over data privacy, cloud computing is disrupting traditional business models, there is increasing trade war between United States & China, digital marketing is dominated by two big players Facebook and Google,
geopolitical disruptions, talent flight as more people leaving formal jobs, 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 -
Successful track record of launching new products
– Winnerstrend Frontline has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Winnerstrend Frontline 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.
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.
Operational resilience
– The operational resilience strategy in the WinnersTrend Pvt. Ltd.: The Dilemma of Growth Harvard Business Review case study comprises – understanding the underlying the factors in the industry, building diversified operations across different geographies so that disruption in one part of the world doesn’t impact the overall performance of the firm, and integrating the various business operations and processes through its digital transformation drive.
Ability to lead change in Innovation & Entrepreneurship field
– Winnerstrend Frontline 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 Winnerstrend Frontline in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
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.
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.
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.
High switching costs
– The high switching costs that Winnerstrend Frontline has built up over years in its products and services combo offer has resulted in high retention of customers, lower marketing costs, and greater ability of the firm to focus on its customers.
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.
Sustainable margins compare to other players in Innovation & Entrepreneurship industry
– WinnersTrend Pvt. Ltd.: The Dilemma of Growth firm has clearly differentiated products in the market place. This has enabled Winnerstrend Frontline to fetch slight price premium compare to the competitors in the Innovation & Entrepreneurship industry. The sustainable margins have also helped Winnerstrend Frontline to invest into research and development (R&D) and innovation.
Diverse revenue streams
– Winnerstrend Frontline is present in almost all the verticals within the industry. This has provided firm in WinnersTrend Pvt. Ltd.: The Dilemma of Growth case study a diverse revenue stream that has helped it to survive disruptions such as global pandemic in Covid-19, financial disruption of 2008, and supply chain disruption of 2021.
Low bargaining power of suppliers
– Suppliers of Winnerstrend Frontline in the sector have low bargaining power. WinnersTrend Pvt. Ltd.: The Dilemma of Growth has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Winnerstrend Frontline to manage not only supply disruptions but also source products at highly competitive prices.
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 -
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study WinnersTrend Pvt. Ltd.: The Dilemma of Growth, in the dynamic environment Winnerstrend Frontline has struggled to respond to the nimble upstart competition. Winnerstrend Frontline has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Winnerstrend Frontline is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study WinnersTrend Pvt. Ltd.: The Dilemma of Growth can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
High cash cycle compare to competitors
Winnerstrend Frontline 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.
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.
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.
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.
Aligning sales with marketing
– It come across in the case study WinnersTrend Pvt. Ltd.: The Dilemma of Growth 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 WinnersTrend Pvt. Ltd.: The Dilemma of Growth can leverage the sales team experience to cultivate customer relationships as Winnerstrend Frontline is planning to shift buying processes online.
No frontier risks strategy
– After analyzing the HBR case study WinnersTrend Pvt. Ltd.: The Dilemma of Growth, it seems that company is thinking about the frontier risks that can impact Innovation & Entrepreneurship 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 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.
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.
Lack of clear differentiation of Winnerstrend Frontline products
– To increase the profitability and margins on the products, Winnerstrend Frontline needs to provide more differentiated products than what it is currently offering in the marketplace.
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 -
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Winnerstrend Frontline to expand its talent hiring zone. According to McKinsey Global Institute, 20% of the high end workforce in fields such as finance, information technology, can continously work from remote local post Covid-19. This presents a really great opportunity for Winnerstrend Frontline to hire the very best people irrespective of their geographical location.
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.
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.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Innovation & Entrepreneurship industry, but it has also influenced the consumer preferences. Winnerstrend Frontline can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
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.
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.
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.
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.
Learning at scale
– Online learning technologies has now opened space for Winnerstrend Frontline 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.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Winnerstrend Frontline 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, WinnersTrend Pvt. Ltd.: The Dilemma of Growth, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
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.
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.
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 -
High dependence on third party suppliers
– Winnerstrend Frontline 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.
Consumer confidence and its impact on Winnerstrend Frontline 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.
Easy access to finance
– Easy access to finance in Innovation & Entrepreneurship field will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Winnerstrend Frontline can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
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.
Regulatory challenges
– Winnerstrend Frontline 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 Innovation & Entrepreneurship industry regulations.
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.
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.
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 .
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.
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 .
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.
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.
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.
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.