SWOT Analysis / TOWS Matrix for YeaRimDang Publishing (South Korea)
Based on various researches at Oak Spring University , YeaRimDang Publishing is operating in a macro-environment that has been destablized by – central banks are concerned over increasing inflation, digital marketing is dominated by two big players Facebook and Google, increasing government debt because of Covid-19 spendings, increasing household debt because of falling income levels, supply chains are disrupted by pandemic , challanges to central banks by blockchain based private currencies, cloud computing is disrupting traditional business models,
increasing energy prices, wage bills are increasing, etc
Introduction to SWOT Analysis of YeaRimDang Publishing
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University, we believe that YeaRimDang Publishing can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the YeaRimDang Publishing, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which YeaRimDang Publishing 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 YeaRimDang Publishing can be done for the following purposes –
1. Strategic planning of YeaRimDang Publishing
2. Improving business portfolio management of YeaRimDang Publishing
3. Assessing feasibility of the new initiative in South Korea
4. Making a Printing & Publishing sector specific business decision
5. Set goals for the organization
6. Organizational restructuring of YeaRimDang Publishing
Strengths of YeaRimDang Publishing | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of YeaRimDang Publishing are -
Strong track record of project management in the Printing & Publishing industry
– YeaRimDang Publishing is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Effective Research and Development (R&D)
– YeaRimDang Publishing has innovation driven culture where significant part of the revenues are spent on the research and development activities. This has resulted in – YeaRimDang Publishing staying ahead in the Printing & Publishing industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Successful track record of launching new products
– YeaRimDang Publishing has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. YeaRimDang Publishing 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.
High brand equity
– YeaRimDang Publishing has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled YeaRimDang Publishing to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
High switching costs
– The high switching costs that YeaRimDang Publishing 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
– YeaRimDang Publishing 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 Printing & Publishing industry. The technology infrastructure of South Korea 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 YeaRimDang Publishing comprises – understanding the underlying the factors in the Printing & Publishing 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.
Highly skilled collaborators
– YeaRimDang Publishing has highly efficient outsourcing and offshoring strategy. It has resulted in greater operational flexibility and bringing down the costs in highly price sensitive Printing & Publishing industry. Secondly the value chain collaborators of YeaRimDang Publishing have helped the firm to develop new products and bring them quickly to the marketplace.
Cross disciplinary teams
– Horizontal connected teams at the YeaRimDang Publishing are driving operational speed, building greater agility, and keeping the organization nimble to compete with new competitors. It helps are organization to ideate new ideas, and execute them swiftly in the marketplace.
Diverse revenue streams
– YeaRimDang Publishing is present in almost all the verticals within the Printing & Publishing industry. This has provided YeaRimDang Publishing 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.
Low bargaining power of suppliers
– Suppliers of YeaRimDang Publishing in the Services sector have low bargaining power. YeaRimDang Publishing has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps YeaRimDang Publishing to manage not only supply disruptions but also source products at highly competitive prices.
Ability to lead change in Printing & Publishing
– YeaRimDang Publishing is one of the leading players in the Printing & Publishing industry in South Korea. Over the years it has not only transformed the business landscape in the Printing & Publishing industry in South Korea but also across the existing markets. The ability to lead change has enabled YeaRimDang Publishing in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Weaknesses of YeaRimDang Publishing | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of YeaRimDang Publishing are -
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 YeaRimDang Publishing supply chain. Even after few cautionary changes, YeaRimDang Publishing is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left YeaRimDang Publishing vulnerable to further global disruptions in South East Asia.
No frontier risks strategy
– From the 10K / annual statement of YeaRimDang Publishing, it seems that company is thinking out the frontier risks that can impact Printing & Publishing industry. 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.
Workers concerns about automation
– As automation is fast increasing in the Printing & Publishing industry, YeaRimDang Publishing needs to come up with a strategy to reduce the workers concern regarding automation. Without a clear strategy, it could lead to disruption and uncertainty within the organization.
Skills based hiring in Printing & Publishing industry
– The stress on hiring functional specialists at YeaRimDang Publishing 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.
High operating costs
– Compare to the competitors, YeaRimDang Publishing has high operating costs in the Printing & Publishing industry. This can be harder to sustain given the new emerging competition from nimble players who are using technology to attract YeaRimDang Publishing lucrative customers.
Slow to strategic competitive environment developments
– As YeaRimDang Publishing is one of the leading players in the Printing & Publishing industry, it takes time to assess the upcoming competitions. This has led to missing out on atleast 2-3 big opportunities in the Printing & Publishing industry in last five years.
Employees’ less understanding of YeaRimDang Publishing strategy
– From the outside it seems that the employees of YeaRimDang Publishing 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.
High dependence on YeaRimDang Publishing ‘s star products
– The top 2 products and services of YeaRimDang Publishing still accounts for major business revenue. This dependence on star products in Printing & Publishing industry has resulted into insufficient focus on developing new products, even though YeaRimDang Publishing has relatively successful track record of launching new products.
Aligning sales with marketing
– From the outside it seems that YeaRimDang Publishing needs to have more collaboration between its sales team and marketing team. Sales professionals in the Printing & Publishing industry have deep experience in developing customer relationships. Marketing department at YeaRimDang Publishing can leverage the sales team experience to cultivate customer relationships as YeaRimDang Publishing is planning to shift buying processes online.
Low market penetration in new markets
– Outside its home market of South Korea, YeaRimDang Publishing needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Increasing silos among functional specialists
– The organizational structure of YeaRimDang Publishing is dominated by functional specialists. It is not different from other players in the Printing & Publishing industry, but YeaRimDang Publishing needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help YeaRimDang Publishing to focus more on services in the Printing & Publishing industry rather than just following the product oriented approach.
YeaRimDang Publishing Opportunities | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities of YeaRimDang Publishing are -
Changes in consumer behavior post Covid-19
– consumer behavior has changed in the Printing & Publishing industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. YeaRimDang Publishing 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. YeaRimDang Publishing 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.
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 YeaRimDang Publishing 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.
Developing new processes and practices
– YeaRimDang Publishing can develop new processes and procedures in Printing & Publishing 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.
Lowering marketing communication costs
– 5G expansion will open new opportunities for YeaRimDang Publishing in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Printing & Publishing industry, and it will provide faster access to the consumers.
Manufacturing automation
– YeaRimDang Publishing can use the latest technology developments to improve its manufacturing and designing process in Printing & Publishing 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, YeaRimDang Publishing 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.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, YeaRimDang Publishing 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 YeaRimDang Publishing to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Printing & Publishing industry, but it has also influenced the consumer preferences. YeaRimDang Publishing can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
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. YeaRimDang Publishing can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Redefining models of collaboration and team work
– As explained in the weaknesses section, YeaRimDang Publishing is facing challenges because of the dominance of functional experts in the organization. YeaRimDang Publishing can utilize new technology in the field of Printing & Publishing industry to build more coordinated teams and streamline operations and communications using tools such as CAD, Zoom, etc.
Creating value in data economy
– The success of analytics program of YeaRimDang Publishing has opened avenues for new revenue streams for the organization in Printing & Publishing industry. This can help YeaRimDang Publishing to build a more holistic ecosystem for YeaRimDang Publishing products in the Printing & Publishing industry by providing – data insight services, data privacy related products, data based consulting services, etc.
Using analytics as competitive advantage
– YeaRimDang Publishing has spent a significant amount of money and effort to integrate analytics and machine learning into its operations in Printing & Publishing sector. This continuous investment in analytics has enabled YeaRimDang Publishing to build a competitive advantage using analytics. The analytics driven competitive advantage can help YeaRimDang Publishing to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Leveraging digital technologies
– YeaRimDang Publishing 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.
Threats YeaRimDang Publishing External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats of YeaRimDang Publishing 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 YeaRimDang Publishing business can come under increasing regulations regarding data privacy, data security, etc.
Easy access to finance
– Easy access to finance in Printing & Publishing industry will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. YeaRimDang Publishing can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Environmental challenges
– YeaRimDang Publishing 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. YeaRimDang Publishing can take advantage of this fund but it will also bring new competitors in the Printing & Publishing industry.
Shortening product life cycle
– it is one of the major threat that YeaRimDang Publishing is facing in Printing & Publishing sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, 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. YeaRimDang Publishing needs to understand the core reasons impacting the Printing & Publishing industry. This will help it in building a better workplace.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry to Printing & Publishing industry are lowering. It can presents YeaRimDang Publishing with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the Printing & Publishing sector.
Regulatory challenges
– YeaRimDang Publishing 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 Printing & Publishing industry regulations.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, YeaRimDang Publishing 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 YeaRimDang Publishing 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. YeaRimDang Publishing 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.
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 YeaRimDang Publishing.
Increasing wage structure of YeaRimDang Publishing
– 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 YeaRimDang Publishing.
Technology acceleration in Forth Industrial Revolution
– YeaRimDang Publishing has witnessed rapid integration of technology during Covid-19 in the Printing & Publishing industry. As one of the leading players in the industry, YeaRimDang Publishing needs to keep up with the evolution of technology in the Printing & Publishing 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.
Weighted SWOT Analysis of YeaRimDang Publishing Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers at YeaRimDang Publishing 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 YeaRimDang Publishing 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 YeaRimDang Publishing 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 YeaRimDang Publishing 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 YeaRimDang Publishing needs to make to build a sustainable competitive advantage.
