SKY Perfect JSAT Holdings Inc. (9412) SWOT Analysis / TOWS Matrix / MBA Resources
Broadcasting & Cable TV
Strategy / MBA Resources
Introduction to SWOT Analysis
SWOT Analysis / TOWS Matrix for SKY Perfect JSAT Holdings Inc. (Japan)
Based on various researches at Oak Spring University , SKY Perfect JSAT Holdings Inc. is operating in a macro-environment that has been destablized by – increasing energy prices, wage bills are increasing, challanges to central banks by blockchain based private currencies, increasing government debt because of Covid-19 spendings, there is increasing trade war between United States & China, cloud computing is disrupting traditional business models, competitive advantages are harder to sustain because of technology dispersion,
increasing commodity prices, technology disruption, etc
Introduction to SWOT Analysis of SKY Perfect JSAT Holdings Inc.
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University, we believe that SKY Perfect JSAT Holdings Inc. can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the SKY Perfect JSAT Holdings Inc., and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which SKY Perfect JSAT Holdings Inc. 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 SKY Perfect JSAT Holdings Inc. can be done for the following purposes –
1. Strategic planning of SKY Perfect JSAT Holdings Inc.
2. Improving business portfolio management of SKY Perfect JSAT Holdings Inc.
3. Assessing feasibility of the new initiative in Japan
4. Making a Broadcasting & Cable TV sector specific business decision
5. Set goals for the organization
6. Organizational restructuring of SKY Perfect JSAT Holdings Inc.
Strengths of SKY Perfect JSAT Holdings Inc. | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of SKY Perfect JSAT Holdings Inc. are -
Ability to recruit top talent
– SKY Perfect JSAT Holdings Inc. is one of the leading players in the Broadcasting & Cable TV industry in Japan. It is in a position to attract the best talent available in Japan. The firm has a robust talent identification program that helps in identifying the brightest.
Learning organization
- SKY Perfect JSAT Holdings Inc. 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 SKY Perfect JSAT Holdings Inc. is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders at SKY Perfect JSAT Holdings Inc. emphasize – knowledge, initiative, and innovation.
Low bargaining power of suppliers
– Suppliers of SKY Perfect JSAT Holdings Inc. in the Services sector have low bargaining power. SKY Perfect JSAT Holdings Inc. has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps SKY Perfect JSAT Holdings Inc. to manage not only supply disruptions but also source products at highly competitive prices.
Organizational Resilience of SKY Perfect JSAT Holdings Inc.
– The covid-19 pandemic has put organizational resilience at the centre of everthing SKY Perfect JSAT Holdings Inc. does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Sustainable margins compare to other players in Broadcasting & Cable TV industry
– SKY Perfect JSAT Holdings Inc. has clearly differentiated products in the market place. This has enabled SKY Perfect JSAT Holdings Inc. to fetch slight price premium compare to the competitors in the Broadcasting & Cable TV industry. The sustainable margins have also helped SKY Perfect JSAT Holdings Inc. to invest into research and development (R&D) and innovation.
High brand equity
– SKY Perfect JSAT Holdings Inc. has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled SKY Perfect JSAT Holdings Inc. to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Innovation driven organization
– SKY Perfect JSAT Holdings Inc. is one of the most innovative firm in Broadcasting & Cable TV sector.
Digital Transformation in Broadcasting & Cable TV industry
- digital transformation varies from industry to industry. For SKY Perfect JSAT Holdings Inc. digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. SKY Perfect JSAT Holdings Inc. has successfully integrated the four key components of digital transformation – digital integration in processes, digital integration in marketing and customer relationship management, digital integration into the value chain, and using technology to explore new products and market opportunities.
Superior customer experience
– The customer experience strategy of SKY Perfect JSAT Holdings Inc. in Broadcasting & Cable TV industry is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Analytics focus
– SKY Perfect JSAT Holdings Inc. 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 Broadcasting & Cable TV industry. The technology infrastructure of Japan is also helping it to harness the power of analytics for – marketing optimization, demand forecasting, customer relationship management, inventory management, information sharing across the value chain etc.
Ability to lead change in Broadcasting & Cable TV
– SKY Perfect JSAT Holdings Inc. is one of the leading players in the Broadcasting & Cable TV industry in Japan. Over the years it has not only transformed the business landscape in the Broadcasting & Cable TV industry in Japan but also across the existing markets. The ability to lead change has enabled SKY Perfect JSAT Holdings Inc. in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Training and development
– SKY Perfect JSAT Holdings Inc. has one of the best training and development program in Services industry. The effectiveness of the training programs can be measured in – employees retention, in-house promotion, loyalty, new venture initiation, lack of conflict, and high level of both employees and customer engagement.
Weaknesses of SKY Perfect JSAT Holdings Inc. | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of SKY Perfect JSAT Holdings Inc. are -
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, SKY Perfect JSAT Holdings Inc. is slow explore the new channels of communication. These new channels of communication can help SKY Perfect JSAT Holdings Inc. to provide better information regarding Broadcasting & Cable TV products and services. It can also build an online community to further reach out to potential customers.
Skills based hiring in Broadcasting & Cable TV industry
– The stress on hiring functional specialists at SKY Perfect JSAT Holdings Inc. 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.
Aligning sales with marketing
– From the outside it seems that SKY Perfect JSAT Holdings Inc. needs to have more collaboration between its sales team and marketing team. Sales professionals in the Broadcasting & Cable TV industry have deep experience in developing customer relationships. Marketing department at SKY Perfect JSAT Holdings Inc. can leverage the sales team experience to cultivate customer relationships as SKY Perfect JSAT Holdings Inc. is planning to shift buying processes online.
Slow decision making process
– As mentioned earlier in the report, SKY Perfect JSAT Holdings Inc. has a very deliberative decision making approach. This approach has resulted in prudent decisions, but it has also resulted in missing opportunities in the Broadcasting & Cable TV industry over the last five years. SKY Perfect JSAT Holdings Inc. 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.
Slow to strategic competitive environment developments
– As SKY Perfect JSAT Holdings Inc. is one of the leading players in the Broadcasting & Cable TV industry, it takes time to assess the upcoming competitions. This has led to missing out on atleast 2-3 big opportunities in the Broadcasting & Cable TV industry in last five years.
Compensation and incentives
– The revenue per employee of SKY Perfect JSAT Holdings Inc. is just above the Broadcasting & Cable TV industry average. It 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.
Employees’ less understanding of SKY Perfect JSAT Holdings Inc. strategy
– From the outside it seems that the employees of SKY Perfect JSAT Holdings Inc. 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 at SKY Perfect JSAT Holdings Inc., in the dynamic environment of Broadcasting & Cable TV industry it has struggled to respond to the nimble upstart competition. SKY Perfect JSAT Holdings Inc. 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, SKY Perfect JSAT Holdings Inc. has high operating costs in the Broadcasting & Cable TV industry. This can be harder to sustain given the new emerging competition from nimble players who are using technology to attract SKY Perfect JSAT Holdings Inc. lucrative customers.
High dependence on SKY Perfect JSAT Holdings Inc. ‘s star products
– The top 2 products and services of SKY Perfect JSAT Holdings Inc. still accounts for major business revenue. This dependence on star products in Broadcasting & Cable TV industry has resulted into insufficient focus on developing new products, even though SKY Perfect JSAT Holdings Inc. has relatively successful track record of launching new products.
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 SKY Perfect JSAT Holdings Inc. supply chain. Even after few cautionary changes, SKY Perfect JSAT Holdings Inc. is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left SKY Perfect JSAT Holdings Inc. vulnerable to further global disruptions in South East Asia.
SKY Perfect JSAT Holdings Inc. Opportunities | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities of SKY Perfect JSAT Holdings Inc. are -
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects SKY Perfect JSAT Holdings Inc. can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Leveraging digital technologies
– SKY Perfect JSAT Holdings Inc. 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
– SKY Perfect JSAT Holdings Inc. 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.
Using analytics as competitive advantage
– SKY Perfect JSAT Holdings Inc. has spent a significant amount of money and effort to integrate analytics and machine learning into its operations in Broadcasting & Cable TV sector. This continuous investment in analytics has enabled SKY Perfect JSAT Holdings Inc. to build a competitive advantage using analytics. The analytics driven competitive advantage can help SKY Perfect JSAT Holdings Inc. to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for SKY Perfect JSAT Holdings Inc. 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 SKY Perfect JSAT Holdings Inc. to hire the very best people irrespective of their geographical location.
Redefining models of collaboration and team work
– As explained in the weaknesses section, SKY Perfect JSAT Holdings Inc. is facing challenges because of the dominance of functional experts in the organization. SKY Perfect JSAT Holdings Inc. can utilize new technology in the field of Broadcasting & Cable TV industry to build more coordinated teams and streamline operations and communications using tools such as CAD, Zoom, etc.
Lowering marketing communication costs
– 5G expansion will open new opportunities for SKY Perfect JSAT Holdings Inc. in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Broadcasting & Cable TV industry, and it will provide faster access to the consumers.
Manufacturing automation
– SKY Perfect JSAT Holdings Inc. can use the latest technology developments to improve its manufacturing and designing process in Broadcasting & Cable TV sector. 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.
Low interest rates
– Even though inflation is raising its head in most developed economies, SKY Perfect JSAT Holdings Inc. 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.
Use of Bitcoin and other crypto currencies for transactions in Broadcasting & Cable TV industry
– The popularity of Bitcoin and other crypto currencies as asset class and medium of transaction has opened new opportunities for SKY Perfect JSAT Holdings Inc. in the Broadcasting & Cable TV industry. Now SKY Perfect JSAT Holdings Inc. can target international markets with far fewer capital restrictions requirements than the existing system.
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. SKY Perfect JSAT Holdings Inc. can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Broadcasting & Cable TV industry, but it has also influenced the consumer preferences. SKY Perfect JSAT Holdings Inc. 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
– SKY Perfect JSAT Holdings Inc. can develop new processes and procedures in Broadcasting & Cable TV industry using technology such as automation using artificial intelligence, real time transportation and products tracking, 3D modeling for concept development and new products pilot testing etc.
Threats SKY Perfect JSAT Holdings Inc. External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats of SKY Perfect JSAT Holdings Inc. are -
Increasing wage structure of SKY Perfect JSAT Holdings Inc.
– Post Covid-19 there is a sharp increase in the wages especially in the jobs that require interaction with people. The increasing wages can put downward pressure on the margins of SKY Perfect JSAT Holdings Inc..
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, SKY Perfect JSAT Holdings Inc. may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Broadcasting & Cable TV sector.
Technology acceleration in Forth Industrial Revolution
– SKY Perfect JSAT Holdings Inc. has witnessed rapid integration of technology during Covid-19 in the Broadcasting & Cable TV industry. As one of the leading players in the industry, SKY Perfect JSAT Holdings Inc. needs to keep up with the evolution of technology in the Broadcasting & Cable TV 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.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for SKY Perfect JSAT Holdings Inc. in Broadcasting & Cable TV industry. The Broadcasting & Cable TV 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.
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 SKY Perfect JSAT Holdings Inc. in the Broadcasting & Cable TV sector and impact the bottomline of the organization.
Technology disruption because of hacks, piracy etc
– The colonial pipeline illustrated, how vulnerable modern organization are to international hackers, miscreants, and disruptors. The cyber security interruption, data leaks, etc can seriously jeopardize the future growth of the organization.
Backlash against dominant players
– US Congress and other legislative arms of the government are getting tough on big business especially technology companies. The digital arm of SKY Perfect JSAT Holdings Inc. business can come under increasing regulations regarding data privacy, data security, etc.
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. SKY Perfect JSAT Holdings Inc. needs to understand the core reasons impacting the Broadcasting & Cable TV industry. This will help it in building a better workplace.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, SKY Perfect JSAT Holdings Inc. 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 SKY Perfect JSAT Holdings Inc. prominent markets.
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. SKY Perfect JSAT Holdings Inc. 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.
Regulatory challenges
– SKY Perfect JSAT Holdings Inc. 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 Broadcasting & Cable TV industry regulations.
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 SKY Perfect JSAT Holdings Inc..
Environmental challenges
– SKY Perfect JSAT Holdings Inc. 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. SKY Perfect JSAT Holdings Inc. can take advantage of this fund but it will also bring new competitors in the Broadcasting & Cable TV industry.
Weighted SWOT Analysis of SKY Perfect JSAT Holdings Inc. Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers at SKY Perfect JSAT Holdings Inc. 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 SKY Perfect JSAT Holdings Inc. 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 SKY Perfect JSAT Holdings Inc. 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 SKY Perfect JSAT Holdings Inc. 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 SKY Perfect JSAT Holdings Inc. needs to make to build a sustainable competitive advantage.