Blackrock Income and Growth Investm (BRIGB) SWOT Analysis / TOWS Matrix / MBA Resources
Misc. Financial Services
Strategy / MBA Resources
Introduction to SWOT Analysis
SWOT Analysis / TOWS Matrix for Blackrock Income and Growth Investm (United Kingdom)
Based on various researches at Oak Spring University , Blackrock Income and Growth Investm is operating in a macro-environment that has been destablized by – technology disruption, geopolitical disruptions, increasing inequality as vast percentage of new income is going to the top 1%, banking and financial system is disrupted by Bitcoin and other crypto currencies, increasing government debt because of Covid-19 spendings, supply chains are disrupted by pandemic , digital marketing is dominated by two big players Facebook and Google,
there is increasing trade war between United States & China, increasing commodity prices, etc
Introduction to SWOT Analysis of Blackrock Income and Growth Investm
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University, we believe that Blackrock Income and Growth Investm can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Blackrock Income and Growth Investm, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Blackrock Income and Growth Investm 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 Blackrock Income and Growth Investm can be done for the following purposes –
1. Strategic planning of Blackrock Income and Growth Investm
2. Improving business portfolio management of Blackrock Income and Growth Investm
3. Assessing feasibility of the new initiative in United Kingdom
4. Making a Misc. Financial Services sector specific business decision
5. Set goals for the organization
6. Organizational restructuring of Blackrock Income and Growth Investm
Strengths of Blackrock Income and Growth Investm | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Blackrock Income and Growth Investm are -
Strong track record of project management in the Misc. Financial Services industry
– Blackrock Income and Growth Investm is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Analytics focus
– Blackrock Income and Growth Investm 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 Misc. Financial Services industry. The technology infrastructure of United Kingdom 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.
Operational resilience
– The operational resilience strategy of Blackrock Income and Growth Investm comprises – understanding the underlying the factors in the Misc. Financial 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.
Sustainable margins compare to other players in Misc. Financial Services industry
– Blackrock Income and Growth Investm has clearly differentiated products in the market place. This has enabled Blackrock Income and Growth Investm to fetch slight price premium compare to the competitors in the Misc. Financial Services industry. The sustainable margins have also helped Blackrock Income and Growth Investm to invest into research and development (R&D) and innovation.
Low bargaining power of suppliers
– Suppliers of Blackrock Income and Growth Investm in the Financial sector have low bargaining power. Blackrock Income and Growth Investm has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Blackrock Income and Growth Investm to manage not only supply disruptions but also source products at highly competitive prices.
Successful track record of launching new products
– Blackrock Income and Growth Investm has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Blackrock Income and Growth Investm 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.
Effective Research and Development (R&D)
– Blackrock Income and Growth Investm has innovation driven culture where significant part of the revenues are spent on the research and development activities. This has resulted in – Blackrock Income and Growth Investm staying ahead in the Misc. Financial Services industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Innovation driven organization
– Blackrock Income and Growth Investm is one of the most innovative firm in Misc. Financial Services sector.
Organizational Resilience of Blackrock Income and Growth Investm
– The covid-19 pandemic has put organizational resilience at the centre of everthing Blackrock Income and Growth Investm does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Ability to lead change in Misc. Financial Services
– Blackrock Income and Growth Investm is one of the leading players in the Misc. Financial Services industry in United Kingdom. Over the years it has not only transformed the business landscape in the Misc. Financial Services industry in United Kingdom but also across the existing markets. The ability to lead change has enabled Blackrock Income and Growth Investm in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Diverse revenue streams
– Blackrock Income and Growth Investm is present in almost all the verticals within the Misc. Financial Services industry. This has provided Blackrock Income and Growth Investm 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.
Learning organization
- Blackrock Income and Growth Investm 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 Blackrock Income and Growth Investm is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders at Blackrock Income and Growth Investm emphasize – knowledge, initiative, and innovation.
Weaknesses of Blackrock Income and Growth Investm | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Blackrock Income and Growth Investm are -
Capital Spending Reduction
– Even during the low interest decade, Blackrock Income and Growth Investm 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 Misc. Financial Services industry using digital technology.
High dependence on Blackrock Income and Growth Investm ‘s star products
– The top 2 products and services of Blackrock Income and Growth Investm still accounts for major business revenue. This dependence on star products in Misc. Financial Services industry has resulted into insufficient focus on developing new products, even though Blackrock Income and Growth Investm has relatively successful track record of launching new products.
High bargaining power of channel partners in Misc. Financial Services industry
– because of the regulatory requirements in United Kingdom, Blackrock Income and Growth Investm 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 Misc. Financial Services industry.
Compensation and incentives
– The revenue per employee of Blackrock Income and Growth Investm is just above the Misc. Financial 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.
Lack of clear differentiation of Blackrock Income and Growth Investm products
– To increase the profitability and margins on the products, Blackrock Income and Growth Investm needs to provide more differentiated products than what it is currently offering in the marketplace.
Aligning sales with marketing
– From the outside it seems that Blackrock Income and Growth Investm needs to have more collaboration between its sales team and marketing team. Sales professionals in the Misc. Financial Services industry have deep experience in developing customer relationships. Marketing department at Blackrock Income and Growth Investm can leverage the sales team experience to cultivate customer relationships as Blackrock Income and Growth Investm is planning to shift buying processes online.
Low market penetration in new markets
– Outside its home market of United Kingdom, Blackrock Income and Growth Investm needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
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 Blackrock Income and Growth Investm supply chain. Even after few cautionary changes, Blackrock Income and Growth Investm is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Blackrock Income and Growth Investm vulnerable to further global disruptions in South East Asia.
High operating costs
– Compare to the competitors, Blackrock Income and Growth Investm has high operating costs in the Misc. Financial Services industry. This can be harder to sustain given the new emerging competition from nimble players who are using technology to attract Blackrock Income and Growth Investm lucrative customers.
Ability to respond to the competition
– As the decision making is very deliberative at Blackrock Income and Growth Investm, in the dynamic environment of Misc. Financial Services industry it has struggled to respond to the nimble upstart competition. Blackrock Income and Growth Investm has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Employees’ less understanding of Blackrock Income and Growth Investm strategy
– From the outside it seems that the employees of Blackrock Income and Growth Investm 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.
Blackrock Income and Growth Investm Opportunities | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities of Blackrock Income and Growth Investm are -
Loyalty marketing
– Blackrock Income and Growth Investm 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.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Blackrock Income and Growth Investm is facing challenges because of the dominance of functional experts in the organization. Blackrock Income and Growth Investm can utilize new technology in the field of Misc. Financial Services industry to build more coordinated teams and streamline operations and communications using tools such as CAD, Zoom, etc.
Use of Bitcoin and other crypto currencies for transactions in Misc. Financial Services industry
– The popularity of Bitcoin and other crypto currencies as asset class and medium of transaction has opened new opportunities for Blackrock Income and Growth Investm in the Misc. Financial Services industry. Now Blackrock Income and Growth Investm 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. Blackrock Income and Growth Investm can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Leveraging digital technologies
– Blackrock Income and Growth Investm 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.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Misc. Financial Services industry, but it has also influenced the consumer preferences. Blackrock Income and Growth Investm 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
– Blackrock Income and Growth Investm can develop new processes and procedures in Misc. Financial Services 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.
Reconfiguring business model
– The expansion of digital payment system, the bringing down of international transactions costs using Bitcoin and other blockchain based currencies, etc can help Blackrock Income and Growth Investm to reconfigure its entire business model. For example it can used blockchain based technologies to reduce piracy of its products in the big markets such as China. Secondly it can use the popularity of e-commerce in various developing markets to build a Direct to Customer business model rather than the current Channel Heavy distribution network.
Better consumer reach
– The expansion of the 5G network will help Blackrock Income and Growth Investm to increase its market reach. Blackrock Income and Growth Investm 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.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Blackrock Income and Growth Investm 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 Blackrock Income and Growth Investm to hire the very best people irrespective of their geographical location.
Creating value in data economy
– The success of analytics program of Blackrock Income and Growth Investm has opened avenues for new revenue streams for the organization in Misc. Financial Services industry. This can help Blackrock Income and Growth Investm to build a more holistic ecosystem for Blackrock Income and Growth Investm products in the Misc. Financial Services industry by providing – data insight services, data privacy related products, data based consulting services, etc.
Low interest rates
– Even though inflation is raising its head in most developed economies, Blackrock Income and Growth Investm 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.
Using analytics as competitive advantage
– Blackrock Income and Growth Investm has spent a significant amount of money and effort to integrate analytics and machine learning into its operations in Misc. Financial Services sector. This continuous investment in analytics has enabled Blackrock Income and Growth Investm to build a competitive advantage using analytics. The analytics driven competitive advantage can help Blackrock Income and Growth Investm to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Threats Blackrock Income and Growth Investm External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats of Blackrock Income and Growth Investm are -
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.
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 Blackrock Income and Growth Investm business can come under increasing regulations regarding data privacy, data security, etc.
Increasing wage structure of Blackrock Income and Growth Investm
– 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 Blackrock Income and Growth Investm.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Blackrock Income and Growth Investm in Misc. Financial Services industry. The Misc. Financial 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.
Consumer confidence and its impact on Blackrock Income and Growth Investm 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 Misc. Financial Services industry and other sectors.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Blackrock Income and Growth Investm 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 Blackrock Income and Growth Investm prominent markets.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, Blackrock Income and Growth Investm may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Misc. Financial Services sector.
Technology acceleration in Forth Industrial Revolution
– Blackrock Income and Growth Investm has witnessed rapid integration of technology during Covid-19 in the Misc. Financial Services industry. As one of the leading players in the industry, Blackrock Income and Growth Investm needs to keep up with the evolution of technology in the Misc. Financial 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.
Stagnating economy with rate increase
– Blackrock Income and Growth Investm 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 Misc. Financial Services industry.
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 Blackrock Income and Growth Investm.
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 Blackrock Income and Growth Investm in the Misc. Financial Services sector and impact the bottomline of the organization.
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. Blackrock Income and Growth Investm needs to understand the core reasons impacting the Misc. Financial Services industry. This will help it in building a better workplace.
Shortening product life cycle
– it is one of the major threat that Blackrock Income and Growth Investm is facing in Misc. Financial Services sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Weighted SWOT Analysis of Blackrock Income and Growth Investm Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers at Blackrock Income and Growth Investm 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 Blackrock Income and Growth Investm 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 Blackrock Income and Growth Investm 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 Blackrock Income and Growth Investm 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 Blackrock Income and Growth Investm needs to make to build a sustainable competitive advantage.