TWB: Alternative Paths to Creating Social Impact SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Global Business
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of TWB: Alternative Paths to Creating Social Impact
Founder of Trade Without Borders (TWB), Joseph Fernandez, set up the organization purely for charitable purposes. TWB's mission is to extend trading services to non-government organizations (NGOs) in developing regions of the world. To execute the mission in a financially viable and sustainable manner, Joseph was thinking to establish a base of operations in Hong Kong, which was close to Chinese manufacturers of the products that were traded. A lot of questions came to Joseph's mind: what type of organization would TWB incorporate? And prior to this, what would be the strategy and daily operations of the proposed Hong Kong entity? How could TWB ensure the proposed operations would contribute to instead of hindering the primary social mission of the organization?
Swot Analysis of "TWB: Alternative Paths to Creating Social Impact" written by Ronald Lau, Joseph Santana Fernandez includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Twb Joseph facing as an external strategic factors. Some of the topics covered in TWB: Alternative Paths to Creating Social Impact case study are - Strategic Management Strategies, Growth strategy, Marketing, Operations management, Product development, Social enterprise, Social responsibility, Sustainability and Global Business.
Some of the macro environment factors that can be used to understand the TWB: Alternative Paths to Creating Social Impact casestudy better are - – supply chains are disrupted by pandemic , wage bills are increasing, cloud computing is disrupting traditional business models, increasing inequality as vast percentage of new income is going to the top 1%, challanges to central banks by blockchain based private currencies, there is backlash against globalization, competitive advantages are harder to sustain because of technology dispersion,
increasing transportation and logistics costs, customer relationship management is fast transforming because of increasing concerns over data privacy, etc
Introduction to SWOT Analysis of TWB: Alternative Paths to Creating Social Impact
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in TWB: Alternative Paths to Creating Social Impact case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Twb Joseph, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Twb Joseph 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 TWB: Alternative Paths to Creating Social Impact can be done for the following purposes –
1. Strategic planning using facts provided in TWB: Alternative Paths to Creating Social Impact case study
2. Improving business portfolio management of Twb Joseph
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 Twb Joseph
Strengths TWB: Alternative Paths to Creating Social Impact | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Twb Joseph in TWB: Alternative Paths to Creating Social Impact Harvard Business Review case study are -
Strong track record of project management
– Twb Joseph is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Ability to lead change in Global Business field
– Twb Joseph 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 Twb Joseph 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 Twb Joseph digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Twb Joseph 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.
Superior customer experience
– The customer experience strategy of Twb Joseph in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Cross disciplinary teams
– Horizontal connected teams at the Twb Joseph 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.
Sustainable margins compare to other players in Global Business industry
– TWB: Alternative Paths to Creating Social Impact firm has clearly differentiated products in the market place. This has enabled Twb Joseph to fetch slight price premium compare to the competitors in the Global Business industry. The sustainable margins have also helped Twb Joseph to invest into research and development (R&D) and innovation.
Diverse revenue streams
– Twb Joseph is present in almost all the verticals within the industry. This has provided firm in TWB: Alternative Paths to Creating Social Impact 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 Twb Joseph in the sector have low bargaining power. TWB: Alternative Paths to Creating Social Impact has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Twb Joseph to manage not only supply disruptions but also source products at highly competitive prices.
Organizational Resilience of Twb Joseph
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Twb Joseph does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Learning organization
- Twb Joseph 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 Twb Joseph is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in TWB: Alternative Paths to Creating Social Impact Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Analytics focus
– Twb Joseph 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 Ronald Lau, Joseph Santana Fernandez 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.
Effective Research and Development (R&D)
– Twb Joseph 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 TWB: Alternative Paths to Creating Social Impact - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Weaknesses TWB: Alternative Paths to Creating Social Impact | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of TWB: Alternative Paths to Creating Social Impact are -
Products dominated business model
– Even though Twb Joseph has some of the most successful products in the industry, this business model has made each new product launch extremely critical for continuous financial growth of the organization. firm in the HBR case study - TWB: Alternative Paths to Creating Social Impact should strive to include more intangible value offerings along with its core products and services.
Skills based hiring
– The stress on hiring functional specialists at Twb Joseph has created an environment where the organization is dominated by functional specialists rather than management generalist. This has resulted into product oriented approach rather than marketing oriented approach or consumers oriented approach.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the TWB: Alternative Paths to Creating Social Impact 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 Twb Joseph has relatively successful track record of launching new products.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study TWB: Alternative Paths to Creating Social Impact, in the dynamic environment Twb Joseph has struggled to respond to the nimble upstart competition. Twb Joseph has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Increasing silos among functional specialists
– The organizational structure of Twb Joseph is dominated by functional specialists. It is not different from other players in the Global Business segment. Twb Joseph needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Twb Joseph to focus more on services rather than just following the product oriented approach.
No frontier risks strategy
– After analyzing the HBR case study TWB: Alternative Paths to Creating Social Impact, 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.
Slow decision making process
– As mentioned earlier in the report, Twb Joseph 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. Twb Joseph even though has strong showing on digital transformation primary two stages, it has struggled to capitalize the power of digital transformation in marketing efforts and new venture efforts.
High bargaining power of channel partners
– Because of the regulatory requirements, Ronald Lau, Joseph Santana Fernandez suggests that, Twb Joseph 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.
Low market penetration in new markets
– Outside its home market of Twb Joseph, firm in the HBR case study TWB: Alternative Paths to Creating Social Impact needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Aligning sales with marketing
– It come across in the case study TWB: Alternative Paths to Creating Social Impact 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 TWB: Alternative Paths to Creating Social Impact can leverage the sales team experience to cultivate customer relationships as Twb Joseph is planning to shift buying processes online.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Twb Joseph is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study TWB: Alternative Paths to Creating Social Impact can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Opportunities TWB: Alternative Paths to Creating Social Impact | 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 TWB: Alternative Paths to Creating Social Impact are -
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Twb Joseph 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, TWB: Alternative Paths to Creating Social Impact, 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 Twb Joseph 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.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Twb Joseph 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 Twb Joseph to hire the very best people irrespective of their geographical location.
Learning at scale
– Online learning technologies has now opened space for Twb Joseph 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.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Twb Joseph in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Global Business segment, and it will provide faster access to the consumers.
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. Twb Joseph can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Manufacturing automation
– Twb Joseph 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.
Loyalty marketing
– Twb Joseph 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.
Buying journey improvements
– Twb Joseph can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. TWB: Alternative Paths to Creating Social Impact 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.
Creating value in data economy
– The success of analytics program of Twb Joseph has opened avenues for new revenue streams for the organization in the industry. This can help Twb Joseph to build a more holistic ecosystem as suggested in the TWB: Alternative Paths to Creating Social Impact case study. Twb Joseph can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Better consumer reach
– The expansion of the 5G network will help Twb Joseph to increase its market reach. Twb Joseph will be able to reach out to new customers. Secondly 5G will also provide technology framework to build new tools and products that can help more immersive consumer experience and faster consumer journey.
Low interest rates
– Even though inflation is raising its head in most developed economies, Twb Joseph 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.
Developing new processes and practices
– Twb Joseph 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.
Threats TWB: Alternative Paths to Creating Social Impact External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study TWB: Alternative Paths to Creating Social Impact are -
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study TWB: Alternative Paths to Creating Social Impact, Twb Joseph may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Global Business .
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, Twb Joseph 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 TWB: Alternative Paths to Creating Social Impact .
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. Twb Joseph 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.
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 Twb Joseph.
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. Twb Joseph needs to understand the core reasons impacting the Global Business industry. This will help it in building a better workplace.
Technology acceleration in Forth Industrial Revolution
– Twb Joseph has witnessed rapid integration of technology during Covid-19 in the Global Business industry. As one of the leading players in the industry, Twb Joseph 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.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Twb Joseph 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 Twb Joseph
– 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 Twb Joseph.
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 Twb Joseph business can come under increasing regulations regarding data privacy, data security, etc.
Stagnating economy with rate increase
– Twb Joseph 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.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Twb Joseph 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.
Weighted SWOT Analysis of TWB: Alternative Paths to Creating Social Impact 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 TWB: Alternative Paths to Creating Social Impact 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 TWB: Alternative Paths to Creating Social Impact 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 TWB: Alternative Paths to Creating Social Impact 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 TWB: Alternative Paths to Creating Social Impact 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 Twb Joseph needs to make to build a sustainable competitive advantage.