Case Study Description of Philippines: A Concise Profile, 2017
This concise country profile provides an up-to-date introduction to the history, politics, foreign relations, society, and economy of the Philippines, supplemented by the latest available key statistics. The notes in this series are updated annually.
Swot Analysis of "Philippines: A Concise Profile, 2017" written by Michael A. Witt includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Concise Philippines facing as an external strategic factors. Some of the topics covered in Philippines: A Concise Profile, 2017 case study are - Strategic Management Strategies, Economics, Economy, Government, International business and Global Business.
Some of the macro environment factors that can be used to understand the Philippines: A Concise Profile, 2017 casestudy better are - – increasing government debt because of Covid-19 spendings, increasing energy prices, competitive advantages are harder to sustain because of technology dispersion, challanges to central banks by blockchain based private currencies, supply chains are disrupted by pandemic , increasing transportation and logistics costs, increasing household debt because of falling income levels,
increasing commodity prices, there is backlash against globalization, etc
Introduction to SWOT Analysis of Philippines: A Concise Profile, 2017
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Philippines: A Concise Profile, 2017 case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Concise Philippines, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Concise Philippines 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 Philippines: A Concise Profile, 2017 can be done for the following purposes –
1. Strategic planning using facts provided in Philippines: A Concise Profile, 2017 case study
2. Improving business portfolio management of Concise Philippines
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 Concise Philippines
Strengths Philippines: A Concise Profile, 2017 | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Concise Philippines in Philippines: A Concise Profile, 2017 Harvard Business Review case study are -
Innovation driven organization
– Concise Philippines is one of the most innovative firm in sector. Manager in Philippines: A Concise Profile, 2017 Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Digital Transformation in Global Business segment
- digital transformation varies from industry to industry. For Concise Philippines digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Concise Philippines 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.
Sustainable margins compare to other players in Global Business industry
– Philippines: A Concise Profile, 2017 firm has clearly differentiated products in the market place. This has enabled Concise Philippines to fetch slight price premium compare to the competitors in the Global Business industry. The sustainable margins have also helped Concise Philippines to invest into research and development (R&D) and innovation.
Training and development
– Concise Philippines has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Philippines: A Concise Profile, 2017 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.
Superior customer experience
– The customer experience strategy of Concise Philippines in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Low bargaining power of suppliers
– Suppliers of Concise Philippines in the sector have low bargaining power. Philippines: A Concise Profile, 2017 has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Concise Philippines to manage not only supply disruptions but also source products at highly competitive prices.
High brand equity
– Concise Philippines has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Concise Philippines to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Ability to recruit top talent
– Concise Philippines is one of the leading recruiters in the industry. Managers in the Philippines: A Concise Profile, 2017 are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Successful track record of launching new products
– Concise Philippines has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Concise Philippines 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.
High switching costs
– The high switching costs that Concise Philippines 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.
Effective Research and Development (R&D)
– Concise Philippines 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 Philippines: A Concise Profile, 2017 - 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
- Concise Philippines 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 Concise Philippines is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Philippines: A Concise Profile, 2017 Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Weaknesses Philippines: A Concise Profile, 2017 | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Philippines: A Concise Profile, 2017 are -
Lack of clear differentiation of Concise Philippines products
– To increase the profitability and margins on the products, Concise Philippines needs to provide more differentiated products than what it is currently offering in the marketplace.
High bargaining power of channel partners
– Because of the regulatory requirements, Michael A. Witt suggests that, Concise Philippines 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.
Capital Spending Reduction
– Even during the low interest decade, Concise Philippines 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.
Increasing silos among functional specialists
– The organizational structure of Concise Philippines is dominated by functional specialists. It is not different from other players in the Global Business segment. Concise Philippines needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Concise Philippines to focus more on services rather than just following the product oriented approach.
Aligning sales with marketing
– It come across in the case study Philippines: A Concise Profile, 2017 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 Philippines: A Concise Profile, 2017 can leverage the sales team experience to cultivate customer relationships as Concise Philippines is planning to shift buying processes online.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study Philippines: A Concise Profile, 2017, it seems that the employees of Concise Philippines 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
– Concise Philippines 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.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study Philippines: A Concise Profile, 2017, in the dynamic environment Concise Philippines has struggled to respond to the nimble upstart competition. Concise Philippines has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
High operating costs
– Compare to the competitors, firm in the HBR case study Philippines: A Concise Profile, 2017 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 Concise Philippines 's lucrative customers.
No frontier risks strategy
– After analyzing the HBR case study Philippines: A Concise Profile, 2017, 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, Concise Philippines 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. Concise Philippines 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.
Opportunities Philippines: A Concise Profile, 2017 | 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 Philippines: A Concise Profile, 2017 are -
Manufacturing automation
– Concise Philippines 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.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Concise Philippines 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, Philippines: A Concise Profile, 2017, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Concise Philippines is facing challenges because of the dominance of functional experts in the organization. Philippines: A Concise Profile, 2017 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.
Loyalty marketing
– Concise Philippines 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.
Learning at scale
– Online learning technologies has now opened space for Concise Philippines 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.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Concise Philippines 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 Concise Philippines to hire the very best people irrespective of their geographical location.
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. Concise Philippines 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. Concise Philippines 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.
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. Concise Philippines 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
– Concise Philippines 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Concise Philippines can use these opportunities to build new business models that can help the communities that Concise Philippines operates in. Secondly it can use opportunities from government spending in Global Business sector.
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. Concise Philippines can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Buying journey improvements
– Concise Philippines can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Philippines: A Concise Profile, 2017 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.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Concise Philippines 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.
Threats Philippines: A Concise Profile, 2017 External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Philippines: A Concise Profile, 2017 are -
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Concise Philippines 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 Philippines: A Concise Profile, 2017 .
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 Concise Philippines business can come under increasing regulations regarding data privacy, data security, etc.
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.
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. Concise Philippines needs to understand the core reasons impacting the Global Business industry. This will help it in building a better workplace.
High dependence on third party suppliers
– Concise Philippines 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.
Technology acceleration in Forth Industrial Revolution
– Concise Philippines has witnessed rapid integration of technology during Covid-19 in the Global Business industry. As one of the leading players in the industry, Concise Philippines 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.
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 Concise Philippines in the Global Business sector and impact the bottomline of the organization.
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. Concise Philippines 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.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Concise Philippines 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.
Regulatory challenges
– Concise Philippines 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.
Shortening product life cycle
– it is one of the major threat that Concise Philippines is facing in Global Business sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
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 Concise Philippines.
Stagnating economy with rate increase
– Concise Philippines 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.
Weighted SWOT Analysis of Philippines: A Concise Profile, 2017 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 Philippines: A Concise Profile, 2017 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 Philippines: A Concise Profile, 2017 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 Philippines: A Concise Profile, 2017 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 Philippines: A Concise Profile, 2017 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 Concise Philippines needs to make to build a sustainable competitive advantage.
