Based on various researches at Oak Spring University , FII CYRELA THERA CORPORATE is operating in a macro-environment that has been destablized by – increasing government debt because of Covid-19 spendings, increasing transportation and logistics costs, increasing commodity prices, increasing inequality as vast percentage of new income is going to the top 1%, talent flight as more people leaving formal jobs, wage bills are increasing, challanges to central banks by blockchain based private currencies,
competitive advantages are harder to sustain because of technology dispersion, customer relationship management is fast transforming because of increasing concerns over data privacy, etc
Introduction to SWOT Analysis of FII CYRELA THERA CORPORATE
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University, we believe that FII CYRELA THERA CORPORATE can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the FII CYRELA THERA CORPORATE, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which FII CYRELA THERA CORPORATE 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 FII CYRELA THERA CORPORATE can be done for the following purposes –
1. Strategic planning of FII CYRELA THERA CORPORATE
2. Improving business portfolio management of FII CYRELA THERA CORPORATE
3. Assessing feasibility of the new initiative in Brazil
4. Making a NA sector specific business decision
5. Set goals for the organization
6. Organizational restructuring of FII CYRELA THERA CORPORATE
Strengths of FII CYRELA THERA CORPORATE | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of FII CYRELA THERA CORPORATE are -
High switching costs
– The high switching costs that FII CYRELA THERA CORPORATE 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.
High brand equity
– FII CYRELA THERA CORPORATE has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled FII CYRELA THERA CORPORATE to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Operational resilience
– The operational resilience strategy of FII CYRELA THERA CORPORATE comprises – understanding the underlying the factors in the NA 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.
Digital Transformation in NA industry
- digital transformation varies from industry to industry. For FII CYRELA THERA CORPORATE digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. FII CYRELA THERA CORPORATE 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.
Strong track record of project management in the NA industry
– FII CYRELA THERA CORPORATE is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Ability to recruit top talent
– FII CYRELA THERA CORPORATE is one of the leading players in the NA industry in Brazil. It is in a position to attract the best talent available in Brazil. The firm has a robust talent identification program that helps in identifying the brightest.
Effective Research and Development (R&D)
– FII CYRELA THERA CORPORATE has innovation driven culture where significant part of the revenues are spent on the research and development activities. This has resulted in – FII CYRELA THERA CORPORATE staying ahead in the NA 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
– FII CYRELA THERA CORPORATE has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. FII CYRELA THERA CORPORATE 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.
Analytics focus
– FII CYRELA THERA CORPORATE 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 NA industry. The technology infrastructure of Brazil 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.
Learning organization
- FII CYRELA THERA CORPORATE 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 FII CYRELA THERA CORPORATE is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders at FII CYRELA THERA CORPORATE emphasize – knowledge, initiative, and innovation.
Low bargaining power of suppliers
– Suppliers of FII CYRELA THERA CORPORATE in the NA sector have low bargaining power. FII CYRELA THERA CORPORATE has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps FII CYRELA THERA CORPORATE to manage not only supply disruptions but also source products at highly competitive prices.
Training and development
– FII CYRELA THERA CORPORATE has one of the best training and development program in NA 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 FII CYRELA THERA CORPORATE | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of FII CYRELA THERA CORPORATE are -
Skills based hiring in NA industry
– The stress on hiring functional specialists at FII CYRELA THERA CORPORATE 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.
Slow to strategic competitive environment developments
– As FII CYRELA THERA CORPORATE is one of the leading players in the NA industry, it takes time to assess the upcoming competitions. This has led to missing out on atleast 2-3 big opportunities in the NA industry in last five years.
Capital Spending Reduction
– Even during the low interest decade, FII CYRELA THERA CORPORATE 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 NA industry using digital technology.
Workers concerns about automation
– As automation is fast increasing in the NA industry, FII CYRELA THERA CORPORATE 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.
Lack of clear differentiation of FII CYRELA THERA CORPORATE products
– To increase the profitability and margins on the products, FII CYRELA THERA CORPORATE needs to provide more differentiated products than what it is currently offering in the marketplace.
Low market penetration in new markets
– Outside its home market of Brazil, FII CYRELA THERA CORPORATE needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Products dominated business model
– Even though FII CYRELA THERA CORPORATE has some of the most successful models in the NA industry, this business model has made each new product launch extremely critical for continuous financial growth of the organization. FII CYRELA THERA CORPORATE should strive to include more intangible value offerings along with its core products and services.
Aligning sales with marketing
– From the outside it seems that FII CYRELA THERA CORPORATE needs to have more collaboration between its sales team and marketing team. Sales professionals in the NA industry have deep experience in developing customer relationships. Marketing department at FII CYRELA THERA CORPORATE can leverage the sales team experience to cultivate customer relationships as FII CYRELA THERA CORPORATE is planning to shift buying processes online.
Employees’ less understanding of FII CYRELA THERA CORPORATE strategy
– From the outside it seems that the employees of FII CYRELA THERA CORPORATE 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 FII CYRELA THERA CORPORATE, in the dynamic environment of NA industry it has struggled to respond to the nimble upstart competition. FII CYRELA THERA CORPORATE has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
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 FII CYRELA THERA CORPORATE supply chain. Even after few cautionary changes, FII CYRELA THERA CORPORATE is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left FII CYRELA THERA CORPORATE vulnerable to further global disruptions in South East Asia.
FII CYRELA THERA CORPORATE Opportunities | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities of FII CYRELA THERA CORPORATE are -
Buying journey improvements
– FII CYRELA THERA CORPORATE can improve the customer journey of consumers in the NA industry by using analytics and artificial intelligence. It can provide automated chats to help consumers solve their own problems, provide online suggestions to get maximum out of the products and services, and help consumers to build a community where they can interact with each other to develop new features and uses.
Learning at scale
– Online learning technologies has now opened space for FII CYRELA THERA CORPORATE 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.
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. FII CYRELA THERA CORPORATE can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Developing new processes and practices
– FII CYRELA THERA CORPORATE can develop new processes and procedures in NA 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, FII CYRELA THERA CORPORATE can use these opportunities to build new business models that can help the communities that FII CYRELA THERA CORPORATE operates in. Secondly it can use opportunities from government spending in NA sector.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, FII CYRELA THERA CORPORATE 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 FII CYRELA THERA CORPORATE to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Leveraging digital technologies
– FII CYRELA THERA CORPORATE 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.
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 FII CYRELA THERA CORPORATE 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.
Changes in consumer behavior post Covid-19
– consumer behavior has changed in the NA industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. FII CYRELA THERA CORPORATE 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. FII CYRELA THERA CORPORATE 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.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for FII CYRELA THERA CORPORATE 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 FII CYRELA THERA CORPORATE to hire the very best people irrespective of their geographical location.
Lowering marketing communication costs
– 5G expansion will open new opportunities for FII CYRELA THERA CORPORATE in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the NA industry, and it will provide faster access to the consumers.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in NA industry, but it has also influenced the consumer preferences. FII CYRELA THERA CORPORATE can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Creating value in data economy
– The success of analytics program of FII CYRELA THERA CORPORATE has opened avenues for new revenue streams for the organization in NA industry. This can help FII CYRELA THERA CORPORATE to build a more holistic ecosystem for FII CYRELA THERA CORPORATE products in the NA industry by providing – data insight services, data privacy related products, data based consulting services, etc.
Threats FII CYRELA THERA CORPORATE External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats of FII CYRELA THERA CORPORATE are -
Consumer confidence and its impact on FII CYRELA THERA CORPORATE 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 NA industry and other sectors.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, FII CYRELA THERA CORPORATE 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 FII CYRELA THERA CORPORATE prominent markets.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry to NA industry are lowering. It can presents FII CYRELA THERA CORPORATE with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the NA sector.
Easy access to finance
– Easy access to finance in NA industry will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. FII CYRELA THERA CORPORATE can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
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 FII CYRELA THERA CORPORATE business can come under increasing regulations regarding data privacy, data security, etc.
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. FII CYRELA THERA CORPORATE 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 FII CYRELA THERA CORPORATE.
Technology acceleration in Forth Industrial Revolution
– FII CYRELA THERA CORPORATE has witnessed rapid integration of technology during Covid-19 in the NA industry. As one of the leading players in the industry, FII CYRELA THERA CORPORATE needs to keep up with the evolution of technology in the NA 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 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. FII CYRELA THERA CORPORATE needs to understand the core reasons impacting the NA industry. This will help it in building a better workplace.
Regulatory challenges
– FII CYRELA THERA CORPORATE 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 NA industry regulations.
High dependence on third party suppliers
– FII CYRELA THERA CORPORATE 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.
Increasing wage structure of FII CYRELA THERA CORPORATE
– 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 FII CYRELA THERA CORPORATE.
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.
Weighted SWOT Analysis of FII CYRELA THERA CORPORATE Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers at FII CYRELA THERA CORPORATE 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 FII CYRELA THERA CORPORATE 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 FII CYRELA THERA CORPORATE 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 FII CYRELA THERA CORPORATE 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 FII CYRELA THERA CORPORATE needs to make to build a sustainable competitive advantage.