Indian Premier League: Bollywood and Entrepreneurship Transform a Sport SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Innovation & Entrepreneurship
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Indian Premier League: Bollywood and Entrepreneurship Transform a Sport
The sport of cricket is an obsession in India, the country that is the most important economic force in the cricket world. In 2007, top-level cricket was played primarily by national teams. Domestic leagues were controlled by national governing bodies, using domestic players, the best of whom also played on the national team. In September 2007, the Board of Control for Cricket in India (BCCI) announced that it was forming the Indian Premier League (IPL). It would consist of city-based franchises, and play its first season beginning in mid-April 2008. The six-week season would have 59 games, including a playoff to determine the overall champion. Teams would include the best international players. Much was required to make this happen. Eight team franchises were auctioned in January 2008, for a total of $718 million. Television rights for ten years were sold for $1 billion. The top 75 international players were selected by the team in an auction that paid them over $45 million. This turned the global cricket salary structure upside, with players getting more in six weeks than they could expect for a year or more from their national governing bodies. The league drew from India's other passion, Bollywood to increase the entertainment value of games. The league and teams faced many challenges, which are discussed in the case. The league's first season captivated India, as well as much of the rest of the cricket world, and was a tremendous success. Following its first year, the IPL faced the challenge of maintaining its momentum into the future, and building on the success of its inaugural season. Both international and national cricket covering bodies pondered how to adapt to the changes caused by the IPL's success. Finally, the economic recession and major terrorist attacks in India (November 20008) and Pakistan (March 2009) threatened the ability of the league to proceed with its second season, which was scheduled to start in mid-April 2009.
Swot Analysis of "Indian Premier League: Bollywood and Entrepreneurship Transform a Sport" written by George Foster, David W. Hoyt includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Cricket League facing as an external strategic factors. Some of the topics covered in Indian Premier League: Bollywood and Entrepreneurship Transform a Sport case study are - Strategic Management Strategies, International business and Innovation & Entrepreneurship.
Some of the macro environment factors that can be used to understand the Indian Premier League: Bollywood and Entrepreneurship Transform a Sport casestudy better are - – technology disruption, increasing inequality as vast percentage of new income is going to the top 1%, customer relationship management is fast transforming because of increasing concerns over data privacy, supply chains are disrupted by pandemic , competitive advantages are harder to sustain because of technology dispersion, central banks are concerned over increasing inflation, increasing energy prices,
increasing household debt because of falling income levels, talent flight as more people leaving formal jobs, etc
Introduction to SWOT Analysis of Indian Premier League: Bollywood and Entrepreneurship Transform a Sport
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Indian Premier League: Bollywood and Entrepreneurship Transform a Sport case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Cricket League, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Cricket League 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 Indian Premier League: Bollywood and Entrepreneurship Transform a Sport can be done for the following purposes –
1. Strategic planning using facts provided in Indian Premier League: Bollywood and Entrepreneurship Transform a Sport case study
2. Improving business portfolio management of Cricket League
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 Cricket League
Strengths Indian Premier League: Bollywood and Entrepreneurship Transform a Sport | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Cricket League in Indian Premier League: Bollywood and Entrepreneurship Transform a Sport Harvard Business Review case study are -
Learning organization
- Cricket League 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 Cricket League is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Indian Premier League: Bollywood and Entrepreneurship Transform a Sport Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Superior customer experience
– The customer experience strategy of Cricket League in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Ability to recruit top talent
– Cricket League is one of the leading recruiters in the industry. Managers in the Indian Premier League: Bollywood and Entrepreneurship Transform a Sport 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
– Cricket League 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 George Foster, David W. Hoyt 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.
Low bargaining power of suppliers
– Suppliers of Cricket League in the sector have low bargaining power. Indian Premier League: Bollywood and Entrepreneurship Transform a Sport has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Cricket League to manage not only supply disruptions but also source products at highly competitive prices.
Diverse revenue streams
– Cricket League is present in almost all the verticals within the industry. This has provided firm in Indian Premier League: Bollywood and Entrepreneurship Transform a Sport 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.
Organizational Resilience of Cricket League
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Cricket League does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Ability to lead change in Innovation & Entrepreneurship field
– Cricket League 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 Cricket League in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Training and development
– Cricket League has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Indian Premier League: Bollywood and Entrepreneurship Transform a Sport Harvard Business Review case study by analyzing – employees retention, in-house promotion, loyalty, new venture initiation, lack of conflict, and high level of both employees and customer engagement.
Sustainable margins compare to other players in Innovation & Entrepreneurship industry
– Indian Premier League: Bollywood and Entrepreneurship Transform a Sport firm has clearly differentiated products in the market place. This has enabled Cricket League to fetch slight price premium compare to the competitors in the Innovation & Entrepreneurship industry. The sustainable margins have also helped Cricket League to invest into research and development (R&D) and innovation.
Innovation driven organization
– Cricket League is one of the most innovative firm in sector. Manager in Indian Premier League: Bollywood and Entrepreneurship Transform a Sport Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Strong track record of project management
– Cricket League is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Weaknesses Indian Premier League: Bollywood and Entrepreneurship Transform a Sport | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Indian Premier League: Bollywood and Entrepreneurship Transform a Sport are -
Skills based hiring
– The stress on hiring functional specialists at Cricket League 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.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study Indian Premier League: Bollywood and Entrepreneurship Transform a Sport, it seems that the employees of Cricket League 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.
Low market penetration in new markets
– Outside its home market of Cricket League, firm in the HBR case study Indian Premier League: Bollywood and Entrepreneurship Transform a Sport needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study Indian Premier League: Bollywood and Entrepreneurship Transform a Sport, is just above the industry average. Cricket League 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.
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 Cricket League supply chain. Even after few cautionary changes mentioned in the HBR case study - Indian Premier League: Bollywood and Entrepreneurship Transform a Sport, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Cricket League vulnerable to further global disruptions in South East Asia.
No frontier risks strategy
– After analyzing the HBR case study Indian Premier League: Bollywood and Entrepreneurship Transform a Sport, it seems that company is thinking about the frontier risks that can impact Innovation & Entrepreneurship strategy. But it has very little resources allocation to manage the risks emerging from events such as natural disasters, climate change, melting of permafrost, tacking the rise of artificial intelligence, opportunities and threats emerging from commercialization of space etc.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study Indian Premier League: Bollywood and Entrepreneurship Transform a Sport, in the dynamic environment Cricket League has struggled to respond to the nimble upstart competition. Cricket League has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Slow decision making process
– As mentioned earlier in the report, Cricket League 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. Cricket League 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.
Need for greater diversity
– Cricket League 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.
Aligning sales with marketing
– It come across in the case study Indian Premier League: Bollywood and Entrepreneurship Transform a Sport 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 Indian Premier League: Bollywood and Entrepreneurship Transform a Sport can leverage the sales team experience to cultivate customer relationships as Cricket League is planning to shift buying processes online.
Lack of clear differentiation of Cricket League products
– To increase the profitability and margins on the products, Cricket League needs to provide more differentiated products than what it is currently offering in the marketplace.
Opportunities Indian Premier League: Bollywood and Entrepreneurship Transform a Sport | 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 Indian Premier League: Bollywood and Entrepreneurship Transform a Sport are -
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Cricket League 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 Cricket League to hire the very best people irrespective of their geographical location.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Cricket League in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Innovation & Entrepreneurship segment, and it will provide faster access to the consumers.
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. Cricket League can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Leveraging digital technologies
– Cricket League 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.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Cricket League can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
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. Cricket League 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. Cricket League 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.
Manufacturing automation
– Cricket League 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.
Developing new processes and practices
– Cricket League can develop new processes and procedures in Innovation & Entrepreneurship industry using technology such as automation using artificial intelligence, real time transportation and products tracking, 3D modeling for concept development and new products pilot testing etc.
Learning at scale
– Online learning technologies has now opened space for Cricket League 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.
Loyalty marketing
– Cricket League 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.
Better consumer reach
– The expansion of the 5G network will help Cricket League to increase its market reach. Cricket League 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.
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 Cricket League in the consumer business. Now Cricket League can target international markets with far fewer capital restrictions requirements than the existing system.
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. Cricket League can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Threats Indian Premier League: Bollywood and Entrepreneurship Transform a Sport External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Indian Premier League: Bollywood and Entrepreneurship Transform a Sport are -
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 Cricket League business can come under increasing regulations regarding data privacy, data security, etc.
Technology acceleration in Forth Industrial Revolution
– Cricket League has witnessed rapid integration of technology during Covid-19 in the Innovation & Entrepreneurship industry. As one of the leading players in the industry, Cricket League needs to keep up with the evolution of technology in the Innovation & Entrepreneurship 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.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Indian Premier League: Bollywood and Entrepreneurship Transform a Sport, Cricket League 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 .
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Cricket League 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 Indian Premier League: Bollywood and Entrepreneurship Transform a Sport .
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Cricket League in the Innovation & Entrepreneurship industry. The Innovation & Entrepreneurship 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
– Cricket League needs to prepare for regulatory challenges as consumer protection groups and other pressure groups are vigorously advocating for more regulations on big business - to reduce inequality, to create a level playing field, to product data privacy and consumer privacy, to reduce the influence of big money on democratic institutions, etc. This can lead to significant changes in the Innovation & Entrepreneurship industry regulations.
High dependence on third party suppliers
– Cricket League 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.
Stagnating economy with rate increase
– Cricket League 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.
Environmental challenges
– Cricket League 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. Cricket League can take advantage of this fund but it will also bring new competitors in the Innovation & Entrepreneurship industry.
Shortening product life cycle
– it is one of the major threat that Cricket League is facing in Innovation & Entrepreneurship sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Consumer confidence and its impact on Cricket League demand
– There is a high probability of declining consumer confidence, given – high inflammation rate, rise of gig economy, lower job stability, increasing cost of living, higher interest rates, and aging demography. All the factors contribute to people saving higher rate of their income, resulting in lower consumer demand in the industry and other sectors.
Easy access to finance
– Easy access to finance in Innovation & Entrepreneurship field will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Cricket League can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
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 Cricket League.
Weighted SWOT Analysis of Indian Premier League: Bollywood and Entrepreneurship Transform a Sport 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 Indian Premier League: Bollywood and Entrepreneurship Transform a Sport 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 Indian Premier League: Bollywood and Entrepreneurship Transform a Sport 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 Indian Premier League: Bollywood and Entrepreneurship Transform a Sport 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 Indian Premier League: Bollywood and Entrepreneurship Transform a Sport 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 Cricket League needs to make to build a sustainable competitive advantage.
