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Yume No Machi Souzou Iinkai (2484) SWOT Analysis / TOWS Matrix / MBA Resources

Introduction to SWOT Analysis

SWOT Analysis / TOWS Matrix for Yume No Machi Souzou Iinkai (Japan)


Based on various researches at Oak Spring University , Yume No Machi Souzou Iinkai is operating in a macro-environment that has been destablized by – customer relationship management is fast transforming because of increasing concerns over data privacy, challanges to central banks by blockchain based private currencies, technology disruption, there is backlash against globalization, there is increasing trade war between United States & China, increasing energy prices, increasing inequality as vast percentage of new income is going to the top 1%, geopolitical disruptions, increasing commodity prices, etc



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Introduction to SWOT Analysis of Yume No Machi Souzou Iinkai


SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University, we believe that Yume No Machi Souzou Iinkai can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Yume No Machi Souzou Iinkai, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Yume No Machi Souzou Iinkai 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 Yume No Machi Souzou Iinkai can be done for the following purposes –
1. Strategic planning of Yume No Machi Souzou Iinkai
2. Improving business portfolio management of Yume No Machi Souzou Iinkai
3. Assessing feasibility of the new initiative in Japan
4. Making a Computer Services sector specific business decision
5. Set goals for the organization
6. Organizational restructuring of Yume No Machi Souzou Iinkai




Strengths of Yume No Machi Souzou Iinkai | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

The strengths of Yume No Machi Souzou Iinkai are -

Innovation driven organization

– Yume No Machi Souzou Iinkai is one of the most innovative firm in Computer Services sector.

Low bargaining power of suppliers

– Suppliers of Yume No Machi Souzou Iinkai in the Technology sector have low bargaining power. Yume No Machi Souzou Iinkai has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Yume No Machi Souzou Iinkai to manage not only supply disruptions but also source products at highly competitive prices.

Learning organization

- Yume No Machi Souzou Iinkai 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 Yume No Machi Souzou Iinkai is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders at Yume No Machi Souzou Iinkai emphasize – knowledge, initiative, and innovation.

Ability to lead change in Computer Services

– Yume No Machi Souzou Iinkai is one of the leading players in the Computer Services industry in Japan. Over the years it has not only transformed the business landscape in the Computer Services industry in Japan but also across the existing markets. The ability to lead change has enabled Yume No Machi Souzou Iinkai in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.

Ability to recruit top talent

– Yume No Machi Souzou Iinkai is one of the leading players in the Computer Services 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.

Operational resilience

– The operational resilience strategy of Yume No Machi Souzou Iinkai comprises – understanding the underlying the factors in the Computer Services industry, building diversified operations across different geographies so that disruption in one part of the world doesn’t impact the overall performance of the firm, and integrating the various business operations and processes through its digital transformation drive.

Effective Research and Development (R&D)

– Yume No Machi Souzou Iinkai has innovation driven culture where significant part of the revenues are spent on the research and development activities. This has resulted in – Yume No Machi Souzou Iinkai staying ahead in the Computer Services industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.

Diverse revenue streams

– Yume No Machi Souzou Iinkai is present in almost all the verticals within the Computer Services industry. This has provided Yume No Machi Souzou Iinkai 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.

Strong track record of project management in the Computer Services industry

– Yume No Machi Souzou Iinkai is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.

High switching costs

– The high switching costs that Yume No Machi Souzou Iinkai 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.

Analytics focus

– Yume No Machi Souzou Iinkai 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 Computer Services 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.

Digital Transformation in Computer Services industry

- digital transformation varies from industry to industry. For Yume No Machi Souzou Iinkai digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Yume No Machi Souzou Iinkai 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.






Weaknesses of Yume No Machi Souzou Iinkai | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

The weaknesses of Yume No Machi Souzou Iinkai are -

Increasing silos among functional specialists

– The organizational structure of Yume No Machi Souzou Iinkai is dominated by functional specialists. It is not different from other players in the Computer Services industry, but Yume No Machi Souzou Iinkai needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Yume No Machi Souzou Iinkai to focus more on services in the Computer Services industry rather than just following the product oriented approach.

High operating costs

– Compare to the competitors, Yume No Machi Souzou Iinkai has high operating costs in the Computer Services industry. This can be harder to sustain given the new emerging competition from nimble players who are using technology to attract Yume No Machi Souzou Iinkai lucrative customers.

Low market penetration in new markets

– Outside its home market of Japan, Yume No Machi Souzou Iinkai needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.

Ability to respond to the competition

– As the decision making is very deliberative at Yume No Machi Souzou Iinkai, in the dynamic environment of Computer Services industry it has struggled to respond to the nimble upstart competition. Yume No Machi Souzou Iinkai has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.

Slow to strategic competitive environment developments

– As Yume No Machi Souzou Iinkai is one of the leading players in the Computer Services industry, it takes time to assess the upcoming competitions. This has led to missing out on atleast 2-3 big opportunities in the Computer Services industry in last five years.

Products dominated business model

– Even though Yume No Machi Souzou Iinkai has some of the most successful models in the Computer Services industry, this business model has made each new product launch extremely critical for continuous financial growth of the organization. Yume No Machi Souzou Iinkai should strive to include more intangible value offerings along with its core products and services.

High bargaining power of channel partners in Computer Services industry

– because of the regulatory requirements in Japan, Yume No Machi Souzou Iinkai 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 Computer Services industry.

Compensation and incentives

– The revenue per employee of Yume No Machi Souzou Iinkai is just above the Computer Services 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.

Need for greater diversity

– Yume No Machi Souzou Iinkai 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.

Slow to harness new channels of communication

– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Yume No Machi Souzou Iinkai is slow explore the new channels of communication. These new channels of communication can help Yume No Machi Souzou Iinkai to provide better information regarding Computer Services products and services. It can also build an online community to further reach out to potential customers.

Capital Spending Reduction

– Even during the low interest decade, Yume No Machi Souzou Iinkai 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 Computer Services industry using digital technology.




Yume No Machi Souzou Iinkai Opportunities | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis


The opportunities of Yume No Machi Souzou Iinkai are -

Lowering marketing communication costs

– 5G expansion will open new opportunities for Yume No Machi Souzou Iinkai in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Computer Services industry, and it will provide faster access to the consumers.

Better consumer reach

– The expansion of the 5G network will help Yume No Machi Souzou Iinkai to increase its market reach. Yume No Machi Souzou Iinkai 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.

Loyalty marketing

– Yume No Machi Souzou Iinkai 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.

Building a culture of innovation

– managers at Yume No Machi Souzou Iinkai can make experimentation a productive activity and build a culture of innovation using approaches such as – mining transaction data, A/B testing of websites and selling platforms, engaging potential customers over various needs, and building on small ideas in the Computer Services industry.

Harnessing reconfiguration of the global supply chains

– As the trade war between US and China heats up in the coming years, Yume No Machi Souzou Iinkai 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 Yume No Machi Souzou Iinkai to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.

Reforming the budgeting process

- By establishing new metrics that will be used to evaluate both existing and potential projects Yume No Machi Souzou Iinkai can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.

Learning at scale

– Online learning technologies has now opened space for Yume No Machi Souzou Iinkai 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 Yume No Machi Souzou Iinkai 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 Yume No Machi Souzou Iinkai to hire the very best people irrespective of their geographical location.

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. Yume No Machi Souzou Iinkai can explore opportunities that can attract volunteers and are consistent with its mission and vision.

Using analytics as competitive advantage

– Yume No Machi Souzou Iinkai has spent a significant amount of money and effort to integrate analytics and machine learning into its operations in Computer Services sector. This continuous investment in analytics has enabled Yume No Machi Souzou Iinkai to build a competitive advantage using analytics. The analytics driven competitive advantage can help Yume No Machi Souzou Iinkai to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.

Creating value in data economy

– The success of analytics program of Yume No Machi Souzou Iinkai has opened avenues for new revenue streams for the organization in Computer Services industry. This can help Yume No Machi Souzou Iinkai to build a more holistic ecosystem for Yume No Machi Souzou Iinkai products in the Computer Services industry by providing – data insight services, data privacy related products, data based consulting services, etc.

Leveraging digital technologies

– Yume No Machi Souzou Iinkai 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.

Use of Bitcoin and other crypto currencies for transactions in Computer Services industry

– The popularity of Bitcoin and other crypto currencies as asset class and medium of transaction has opened new opportunities for Yume No Machi Souzou Iinkai in the Computer Services industry. Now Yume No Machi Souzou Iinkai can target international markets with far fewer capital restrictions requirements than the existing system.




Threats Yume No Machi Souzou Iinkai External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis


The threats of Yume No Machi Souzou Iinkai are -

Stagnating economy with rate increase

– Yume No Machi Souzou Iinkai 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 Computer Services industry.

Trade war between China and United States

– The trade war between two of the biggest economies can hugely impact the opportunities for Yume No Machi Souzou Iinkai in Computer Services industry. The Computer Services 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.

Environmental challenges

– Yume No Machi Souzou Iinkai 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. Yume No Machi Souzou Iinkai can take advantage of this fund but it will also bring new competitors in the Computer Services industry.

Barriers of entry lowering

– As technology is more democratized, the barriers to entry to Computer Services industry are lowering. It can presents Yume No Machi Souzou Iinkai with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the Computer Services sector.

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 Yume No Machi Souzou Iinkai business can come under increasing regulations regarding data privacy, data security, etc.

New competition

– After the dotcom bust of 2001, financial crisis of 2008-09, the business formation in US economy had declined. But in 2020 alone, there are more than 1.5 million new business applications in United States. This can lead to greater competition for Yume No Machi Souzou Iinkai in the Computer Services 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.

Consumer confidence and its impact on Yume No Machi Souzou Iinkai 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 Computer Services industry and other sectors.

Increasing wage structure of Yume No Machi Souzou Iinkai

– 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 Yume No Machi Souzou Iinkai.

Technology acceleration in Forth Industrial Revolution

– Yume No Machi Souzou Iinkai has witnessed rapid integration of technology during Covid-19 in the Computer Services industry. As one of the leading players in the industry, Yume No Machi Souzou Iinkai needs to keep up with the evolution of technology in the Computer Services 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.

High dependence on third party suppliers

– Yume No Machi Souzou Iinkai 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.

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. Yume No Machi Souzou Iinkai 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.

Increasing international competition and downward pressure on margins

– Apart from technology driven competitive advantage dilution, Yume No Machi Souzou Iinkai 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 Yume No Machi Souzou Iinkai prominent markets.




Weighted SWOT Analysis of Yume No Machi Souzou Iinkai Template, Example


Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers at Yume No Machi Souzou Iinkai 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 Yume No Machi Souzou Iinkai 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 Yume No Machi Souzou Iinkai 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 Yume No Machi Souzou Iinkai 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 Yume No Machi Souzou Iinkai needs to make to build a sustainable competitive advantage.



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