Inniskillin and the Globalization of Icewine SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

Case Study SWOT Analysis Solution

Case Study Description of Inniskillin and the Globalization of Icewine

Deals with the growth of the icewine industry and follows Vincor International as it creates an international market for its Inniskillin Icewine--a luxury alcoholic beverage consumed as a dessert wine. Gives the history of the alcoholic beverage industry in Canada and details trends in the current global wine industry. Follows Roger Provost (HBS MBA 1980), chief marketing officer for Canadian-based Vincor, as he develops Inniskillin's initial marketing strategy within Canada. Goes on to detail Inniskillin's challenges as it enters other markets, initially through the travel retail distribution channel. Deals with issues in brand management, product development, and international marketing. Explores the opportunities and challenges facing luxury niche products in the global economy.

Authors :: Geoffrey G. Jones, Jillian Hirasawa

Topics :: Innovation & Entrepreneurship

Tags :: Business history, Entrepreneurship, International business, Product development, SWOT Analysis, SWOT Matrix, TOWS, Weighted SWOT Analysis

Swot Analysis of "Inniskillin and the Globalization of Icewine" written by Geoffrey G. Jones, Jillian Hirasawa includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Icewine Inniskillin facing as an external strategic factors. Some of the topics covered in Inniskillin and the Globalization of Icewine case study are - Strategic Management Strategies, Business history, Entrepreneurship, International business, Product development and Innovation & Entrepreneurship.

Some of the macro environment factors that can be used to understand the Inniskillin and the Globalization of Icewine casestudy better are - – there is backlash against globalization, cloud computing is disrupting traditional business models, increasing government debt because of Covid-19 spendings, technology disruption, increasing commodity prices, central banks are concerned over increasing inflation, wage bills are increasing, digital marketing is dominated by two big players Facebook and Google, there is increasing trade war between United States & China, etc

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Introduction to SWOT Analysis of Inniskillin and the Globalization of Icewine

SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Inniskillin and the Globalization of Icewine case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Icewine Inniskillin, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Icewine Inniskillin 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.

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SWOT Objectives / Importance of SWOT Analysis and SWOT Matrix

SWOT analysis of Inniskillin and the Globalization of Icewine can be done for the following purposes –
1. Strategic planning using facts provided in Inniskillin and the Globalization of Icewine case study
2. Improving business portfolio management of Icewine Inniskillin
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 Icewine Inniskillin

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Strengths Inniskillin and the Globalization of Icewine | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

The strengths of Icewine Inniskillin in Inniskillin and the Globalization of Icewine Harvard Business Review case study are -

Ability to recruit top talent

– Icewine Inniskillin is one of the leading recruiters in the industry. Managers in the Inniskillin and the Globalization of Icewine are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.

Analytics focus

– Icewine Inniskillin 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 Geoffrey G. Jones, Jillian Hirasawa 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.

Successful track record of launching new products

– Icewine Inniskillin has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Icewine Inniskillin 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.

Diverse revenue streams

– Icewine Inniskillin is present in almost all the verticals within the industry. This has provided firm in Inniskillin and the Globalization of Icewine 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.

Digital Transformation in Innovation & Entrepreneurship segment

- digital transformation varies from industry to industry. For Icewine Inniskillin digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Icewine Inniskillin 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 Innovation & Entrepreneurship industry

– Inniskillin and the Globalization of Icewine firm has clearly differentiated products in the market place. This has enabled Icewine Inniskillin to fetch slight price premium compare to the competitors in the Innovation & Entrepreneurship industry. The sustainable margins have also helped Icewine Inniskillin to invest into research and development (R&D) and innovation.

Innovation driven organization

– Icewine Inniskillin is one of the most innovative firm in sector. Manager in Inniskillin and the Globalization of Icewine Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.

Organizational Resilience of Icewine Inniskillin

– The covid-19 pandemic has put organizational resilience at the centre of everthing that Icewine Inniskillin does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.

Training and development

– Icewine Inniskillin has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Inniskillin and the Globalization of Icewine 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.

Strong track record of project management

– Icewine Inniskillin is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.

Cross disciplinary teams

– Horizontal connected teams at the Icewine Inniskillin 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.

Learning organization

- Icewine Inniskillin 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 Icewine Inniskillin is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Inniskillin and the Globalization of Icewine Harvard Business Review case study emphasize – knowledge, initiative, and innovation.

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Weaknesses Inniskillin and the Globalization of Icewine | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

The weaknesses of Inniskillin and the Globalization of Icewine are -

High bargaining power of channel partners

– Because of the regulatory requirements, Geoffrey G. Jones, Jillian Hirasawa suggests that, Icewine Inniskillin 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.

Compensation and incentives

– The revenue per employee as mentioned in the HBR case study Inniskillin and the Globalization of Icewine, is just above the industry average. Icewine Inniskillin 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.

Lack of clear differentiation of Icewine Inniskillin products

– To increase the profitability and margins on the products, Icewine Inniskillin needs to provide more differentiated products than what it is currently offering in the marketplace.

High operating costs

– Compare to the competitors, firm in the HBR case study Inniskillin and the Globalization of Icewine 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 Icewine Inniskillin 's lucrative customers.

Products dominated business model

– Even though Icewine Inniskillin 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 - Inniskillin and the Globalization of Icewine should strive to include more intangible value offerings along with its core products and services.

Interest costs

– Compare to the competition, Icewine Inniskillin has borrowed money from the capital market at higher rates. It needs to restructure the interest payment and costs so that it can compete better and improve profitability.

Employees’ incomplete understanding of strategy

– From the instances in the HBR case study Inniskillin and the Globalization of Icewine, it seems that the employees of Icewine Inniskillin 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.

Ability to respond to the competition

– As the decision making is very deliberative, highlighted in the case study Inniskillin and the Globalization of Icewine, in the dynamic environment Icewine Inniskillin has struggled to respond to the nimble upstart competition. Icewine Inniskillin 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, Icewine Inniskillin is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Inniskillin and the Globalization of Icewine 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

Icewine Inniskillin 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.

Need for greater diversity

– Icewine Inniskillin 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.

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Opportunities Inniskillin and the Globalization of Icewine | 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 Inniskillin and the Globalization of Icewine are -

Loyalty marketing

– Icewine Inniskillin 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 Icewine Inniskillin 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.

Increase in government spending

– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Icewine Inniskillin can use these opportunities to build new business models that can help the communities that Icewine Inniskillin operates in. Secondly it can use opportunities from government spending in Innovation & Entrepreneurship sector.

Manufacturing automation

– Icewine Inniskillin 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.

Better consumer reach

– The expansion of the 5G network will help Icewine Inniskillin to increase its market reach. Icewine Inniskillin 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.

Buying journey improvements

– Icewine Inniskillin can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Inniskillin and the Globalization of Icewine 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.

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. Icewine Inniskillin 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 Innovation & Entrepreneurship industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Icewine Inniskillin 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. Icewine Inniskillin 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.

Redefining models of collaboration and team work

– As explained in the weaknesses section, Icewine Inniskillin is facing challenges because of the dominance of functional experts in the organization. Inniskillin and the Globalization of Icewine case study suggests that firm can utilize new technology to build more coordinated teams and streamline operations and communications using tools such as CAD, Zoom, etc.

Leveraging digital technologies

– Icewine Inniskillin 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. Icewine Inniskillin can explore opportunities that can attract volunteers and are consistent with its mission and vision.

Use of Bitcoin and other crypto currencies for transactions

– The popularity of Bitcoin and other crypto currencies as asset class and medium of transaction has opened new opportunities for Icewine Inniskillin in the consumer business. Now Icewine Inniskillin can target international markets with far fewer capital restrictions requirements than the existing system.

Creating value in data economy

– The success of analytics program of Icewine Inniskillin has opened avenues for new revenue streams for the organization in the industry. This can help Icewine Inniskillin to build a more holistic ecosystem as suggested in the Inniskillin and the Globalization of Icewine case study. Icewine Inniskillin can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.

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Threats Inniskillin and the Globalization of Icewine External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

The threats mentioned in the HBR case study Inniskillin and the Globalization of Icewine are -

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. Icewine Inniskillin needs to understand the core reasons impacting the Innovation & Entrepreneurship industry. This will help it in building a better workplace.

High dependence on third party suppliers

– Icewine Inniskillin 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.

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 Icewine Inniskillin in the Innovation & Entrepreneurship sector and impact the bottomline 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 Inniskillin and the Globalization of Icewine, Icewine Inniskillin 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 .

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.

Barriers of entry lowering

– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Icewine Inniskillin with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.

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. Icewine Inniskillin can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.

Shortening product life cycle

– it is one of the major threat that Icewine Inniskillin is facing in Innovation & Entrepreneurship sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.

Backlash against dominant players

– US Congress and other legislative arms of the government are getting tough on big business especially technology companies. The digital arm of Icewine Inniskillin 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.

Stagnating economy with rate increase

– Icewine Inniskillin 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.

Consumer confidence and its impact on Icewine Inniskillin 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.

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. Icewine Inniskillin 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.

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Weighted SWOT Analysis of Inniskillin and the Globalization of Icewine 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 Inniskillin and the Globalization of Icewine 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 Inniskillin and the Globalization of Icewine 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 Inniskillin and the Globalization of Icewine 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 Inniskillin and the Globalization of Icewine 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 Icewine Inniskillin needs to make to build a sustainable competitive advantage.

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