Real Blue? Viagra and Intellectual Property Rights Law in China SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
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Case Study Description of Real Blue? Viagra and Intellectual Property Rights Law in China
On July 5, 2004, Pfizer's China team received disappointing news. China's patent review board just invalidated the company's existing patent on one of its most successful drugs, Viagra. Making matters worse, a Guangdong-based pharmaceutical company laid claim to Viagra's street name "Wei Ge" (Great Brother), arguing that the term was not a well-known trademark in China. With two lawsuits related to intellectual property rights now pending in China, Pfizer wondered whether trade politics or the rule of law would prevail.
Swot Analysis of "Real Blue? Viagra and Intellectual Property Rights Law in China" written by Regina Abrami, Tracy Yuen Manty includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Viagra China facing as an external strategic factors. Some of the topics covered in Real Blue? Viagra and Intellectual Property Rights Law in China case study are - Strategic Management Strategies, International business, Regulation and Global Business.
Some of the macro environment factors that can be used to understand the Real Blue? Viagra and Intellectual Property Rights Law in China casestudy better are - – increasing energy prices, wage bills are increasing, banking and financial system is disrupted by Bitcoin and other crypto currencies, increasing household debt because of falling income levels, geopolitical disruptions, increasing government debt because of Covid-19 spendings, there is backlash against globalization,
increasing inequality as vast percentage of new income is going to the top 1%, technology disruption, etc
Introduction to SWOT Analysis of Real Blue? Viagra and Intellectual Property Rights Law in China
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Real Blue? Viagra and Intellectual Property Rights Law in China case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Viagra China, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Viagra China 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 Real Blue? Viagra and Intellectual Property Rights Law in China can be done for the following purposes –
1. Strategic planning using facts provided in Real Blue? Viagra and Intellectual Property Rights Law in China case study
2. Improving business portfolio management of Viagra China
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 Viagra China
Strengths Real Blue? Viagra and Intellectual Property Rights Law in China | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Viagra China in Real Blue? Viagra and Intellectual Property Rights Law in China Harvard Business Review case study are -
Diverse revenue streams
– Viagra China is present in almost all the verticals within the industry. This has provided firm in Real Blue? Viagra and Intellectual Property Rights Law in China 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.
Highly skilled collaborators
– Viagra China 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 Real Blue? Viagra and Intellectual Property Rights Law in China HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Training and development
– Viagra China has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Real Blue? Viagra and Intellectual Property Rights Law in China 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.
Organizational Resilience of Viagra China
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Viagra China does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Effective Research and Development (R&D)
– Viagra China 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 Real Blue? Viagra and Intellectual Property Rights Law in China - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Learning organization
- Viagra China 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 Viagra China is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Real Blue? Viagra and Intellectual Property Rights Law in China Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Low bargaining power of suppliers
– Suppliers of Viagra China in the sector have low bargaining power. Real Blue? Viagra and Intellectual Property Rights Law in China has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Viagra China to manage not only supply disruptions but also source products at highly competitive prices.
Superior customer experience
– The customer experience strategy of Viagra China in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Ability to recruit top talent
– Viagra China is one of the leading recruiters in the industry. Managers in the Real Blue? Viagra and Intellectual Property Rights Law in China are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Cross disciplinary teams
– Horizontal connected teams at the Viagra China 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
– Viagra China has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Viagra China to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Successful track record of launching new products
– Viagra China has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Viagra China 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.
Weaknesses Real Blue? Viagra and Intellectual Property Rights Law in China | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Real Blue? Viagra and Intellectual Property Rights Law in China are -
Workers concerns about automation
– As automation is fast increasing in the segment, Viagra China 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.
Lack of clear differentiation of Viagra China products
– To increase the profitability and margins on the products, Viagra China needs to provide more differentiated products than what it is currently offering in the marketplace.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study Real Blue? Viagra and Intellectual Property Rights Law in China, it seems that the employees of Viagra China 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.
High cash cycle compare to competitors
Viagra China 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.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study Real Blue? Viagra and Intellectual Property Rights Law in China, is just above the industry average. Viagra China 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.
No frontier risks strategy
– After analyzing the HBR case study Real Blue? Viagra and Intellectual Property Rights Law in China, 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 to strategic competitive environment developments
– As Real Blue? Viagra and Intellectual Property Rights Law in China HBR case study mentions - Viagra China 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.
Skills based hiring
– The stress on hiring functional specialists at Viagra China 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.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Viagra China is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Real Blue? Viagra and Intellectual Property Rights Law in China can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Products dominated business model
– Even though Viagra China 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 - Real Blue? Viagra and Intellectual Property Rights Law in China should strive to include more intangible value offerings along with its core products and services.
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 Viagra China supply chain. Even after few cautionary changes mentioned in the HBR case study - Real Blue? Viagra and Intellectual Property Rights Law in China, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Viagra China vulnerable to further global disruptions in South East Asia.
Opportunities Real Blue? Viagra and Intellectual Property Rights Law in China | 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 Real Blue? Viagra and Intellectual Property Rights Law in China are -
Leveraging digital technologies
– Viagra China 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
– Viagra China 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.
Creating value in data economy
– The success of analytics program of Viagra China has opened avenues for new revenue streams for the organization in the industry. This can help Viagra China to build a more holistic ecosystem as suggested in the Real Blue? Viagra and Intellectual Property Rights Law in China case study. Viagra China can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Buying journey improvements
– Viagra China can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Real Blue? Viagra and Intellectual Property Rights Law in China 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Viagra China can use these opportunities to build new business models that can help the communities that Viagra China operates in. Secondly it can use opportunities from government spending in Global Business sector.
Building a culture of innovation
– managers at Viagra China can make experimentation a productive activity and build a culture of innovation using approaches such as – mining transaction data, A/B testing of websites and selling platforms, engaging potential customers over various needs, and building on small ideas in the Global Business segment.
Manufacturing automation
– Viagra China 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.
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. Viagra China can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Changes in consumer behavior post Covid-19
– Consumer behavior has changed in the Global Business industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Viagra China 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. Viagra China 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.
Low interest rates
– Even though inflation is raising its head in most developed economies, Viagra China 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.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Viagra China 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 Viagra China to hire the very best people irrespective of their geographical location.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Viagra China can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
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. Viagra China can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Threats Real Blue? Viagra and Intellectual Property Rights Law in China External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Real Blue? Viagra and Intellectual Property Rights Law in China are -
Technology acceleration in Forth Industrial Revolution
– Viagra China has witnessed rapid integration of technology during Covid-19 in the Global Business industry. As one of the leading players in the industry, Viagra China 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.
Environmental challenges
– Viagra China 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. Viagra China can take advantage of this fund but it will also bring new competitors in the Global Business industry.
Stagnating economy with rate increase
– Viagra China 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.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Viagra China 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 Real Blue? Viagra and Intellectual Property Rights Law in China .
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 Viagra China business can come under increasing regulations regarding data privacy, data security, etc.
Shortening product life cycle
– it is one of the major threat that Viagra China is facing in Global Business sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
New competition
– After the dotcom bust of 2001, financial crisis of 2008-09, the business formation in US economy had declined. But in 2020 alone, there are more than 1.5 million new business applications in United States. This can lead to greater competition for Viagra China in the Global Business sector and impact the bottomline of the organization.
Easy access to finance
– Easy access to finance in Global Business field will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Viagra China can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Consumer confidence and its impact on Viagra China 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.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Viagra China in the Global Business industry. The Global Business industry is already at various protected from local competition in China, with the rise of trade war the protection levels may go up. This presents a clear threat of current business model in Chinese market.
Technology 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.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Real Blue? Viagra and Intellectual Property Rights Law in China, Viagra China 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 .
Regulatory challenges
– Viagra China needs to prepare for regulatory challenges as consumer protection groups and other pressure groups are vigorously advocating for more regulations on big business - to reduce inequality, to create a level playing field, to product data privacy and consumer privacy, to reduce the influence of big money on democratic institutions, etc. This can lead to significant changes in the Global Business industry regulations.
Weighted SWOT Analysis of Real Blue? Viagra and Intellectual Property Rights Law in China 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 Real Blue? Viagra and Intellectual Property Rights Law in China 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 Real Blue? Viagra and Intellectual Property Rights Law in China 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 Real Blue? Viagra and Intellectual Property Rights Law in China 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 Real Blue? Viagra and Intellectual Property Rights Law in China 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 Viagra China needs to make to build a sustainable competitive advantage.
