Eaton Vance Short Duration Diversif (EVG) SWOT Analysis / TOWS Matrix / MBA Resources
Strategy / MBA Resources
Introduction to SWOT Analysis
SWOT Analysis / TOWS Matrix for Eaton Vance Short Duration Diversif (United States)
Based on various researches at Oak Spring University , Eaton Vance Short Duration Diversif is operating in a macro-environment that has been destablized by – there is backlash against globalization, customer relationship management is fast transforming because of increasing concerns over data privacy, increasing inequality as vast percentage of new income is going to the top 1%, increasing commodity prices, increasing energy prices, increasing household debt because of falling income levels, supply chains are disrupted by pandemic ,
increasing government debt because of Covid-19 spendings, wage bills are increasing, etc
Introduction to SWOT Analysis of Eaton Vance Short Duration Diversif
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University, we believe that Eaton Vance Short Duration Diversif can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Eaton Vance Short Duration Diversif, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Eaton Vance Short Duration Diversif 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 Eaton Vance Short Duration Diversif can be done for the following purposes –
1. Strategic planning of Eaton Vance Short Duration Diversif
2. Improving business portfolio management of Eaton Vance Short Duration Diversif
3. Assessing feasibility of the new initiative in United States
4. Making a sector specific business decision
5. Set goals for the organization
6. Organizational restructuring of Eaton Vance Short Duration Diversif
Strengths of Eaton Vance Short Duration Diversif | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Eaton Vance Short Duration Diversif are -
Innovation driven organization
– Eaton Vance Short Duration Diversif is one of the most innovative firm in sector.
Cross disciplinary teams
– Horizontal connected teams at the Eaton Vance Short Duration Diversif 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.
Successful track record of launching new products
– Eaton Vance Short Duration Diversif has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Eaton Vance Short Duration Diversif 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)
– Eaton Vance Short Duration Diversif has innovation driven culture where significant part of the revenues are spent on the research and development activities. This has resulted in – Eaton Vance Short Duration Diversif staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Ability to recruit top talent
– Eaton Vance Short Duration Diversif is one of the leading players in the industry in United States. It is in a position to attract the best talent available in United States. The firm has a robust talent identification program that helps in identifying the brightest.
Highly skilled collaborators
– Eaton Vance Short Duration Diversif has highly efficient outsourcing and offshoring strategy. It has resulted in greater operational flexibility and bringing down the costs in highly price sensitive industry. Secondly the value chain collaborators of Eaton Vance Short Duration Diversif have helped the firm to develop new products and bring them quickly to the marketplace.
Strong track record of project management in the industry
– Eaton Vance Short Duration Diversif is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Sustainable margins compare to other players in industry
– Eaton Vance Short Duration Diversif has clearly differentiated products in the market place. This has enabled Eaton Vance Short Duration Diversif to fetch slight price premium compare to the competitors in the industry. The sustainable margins have also helped Eaton Vance Short Duration Diversif to invest into research and development (R&D) and innovation.
Low bargaining power of suppliers
– Suppliers of Eaton Vance Short Duration Diversif in the sector have low bargaining power. Eaton Vance Short Duration Diversif has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Eaton Vance Short Duration Diversif to manage not only supply disruptions but also source products at highly competitive prices.
Digital Transformation in industry
- digital transformation varies from industry to industry. For Eaton Vance Short Duration Diversif digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Eaton Vance Short Duration Diversif 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.
Analytics focus
– Eaton Vance Short Duration Diversif 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 industry. The technology infrastructure of United States 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 Eaton Vance Short Duration Diversif comprises – understanding the underlying the factors in the 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.
Weaknesses of Eaton Vance Short Duration Diversif | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Eaton Vance Short Duration Diversif are -
Skills based hiring in industry
– The stress on hiring functional specialists at Eaton Vance Short Duration Diversif 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 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 Eaton Vance Short Duration Diversif supply chain. Even after few cautionary changes, Eaton Vance Short Duration Diversif is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Eaton Vance Short Duration Diversif vulnerable to further global disruptions in South East Asia.
High cash cycle compare to competitors
Eaton Vance Short Duration Diversif has a high cash cycle compare to other players in the industry. It needs to shorten the cash cycle by 12% to be more competitive in the marketplace, reduce inventory costs, and be more profitable.
Slow decision making process
– As mentioned earlier in the report, Eaton Vance Short Duration Diversif has a very deliberative decision making approach. This approach has resulted in prudent decisions, but it has also resulted in missing opportunities in the industry over the last five years. Eaton Vance Short Duration Diversif even though has strong showing on digital transformation primary two stages, it has struggled to capitalize the power of digital transformation in marketing efforts and new venture efforts.
Products dominated business model
– Even though Eaton Vance Short Duration Diversif has some of the most successful models in the industry, this business model has made each new product launch extremely critical for continuous financial growth of the organization. Eaton Vance Short Duration Diversif should strive to include more intangible value offerings along with its core products and services.
Lack of clear differentiation of Eaton Vance Short Duration Diversif products
– To increase the profitability and margins on the products, Eaton Vance Short Duration Diversif needs to provide more differentiated products than what it is currently offering in the marketplace.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Eaton Vance Short Duration Diversif is slow explore the new channels of communication. These new channels of communication can help Eaton Vance Short Duration Diversif to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Slow to strategic competitive environment developments
– As Eaton Vance Short Duration Diversif is one of the leading players in the industry, it takes time to assess the upcoming competitions. This has led to missing out on atleast 2-3 big opportunities in the industry in last five years.
Capital Spending Reduction
– Even during the low interest decade, Eaton Vance Short Duration Diversif 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 industry using digital technology.
High bargaining power of channel partners in industry
– because of the regulatory requirements in United States, Eaton Vance Short Duration Diversif 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 industry.
Ability to respond to the competition
– As the decision making is very deliberative at Eaton Vance Short Duration Diversif, in the dynamic environment of industry it has struggled to respond to the nimble upstart competition. Eaton Vance Short Duration Diversif has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Eaton Vance Short Duration Diversif Opportunities | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities of Eaton Vance Short Duration Diversif are -
Creating value in data economy
– The success of analytics program of Eaton Vance Short Duration Diversif has opened avenues for new revenue streams for the organization in industry. This can help Eaton Vance Short Duration Diversif to build a more holistic ecosystem for Eaton Vance Short Duration Diversif products in the industry by providing – data insight services, data privacy related products, data based consulting services, etc.
Loyalty marketing
– Eaton Vance Short Duration Diversif 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.
Better consumer reach
– The expansion of the 5G network will help Eaton Vance Short Duration Diversif to increase its market reach. Eaton Vance Short Duration Diversif 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.
Buying journey improvements
– Eaton Vance Short Duration Diversif can improve the customer journey of consumers in the 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.
Changes in consumer behavior post Covid-19
– consumer behavior has changed in the industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Eaton Vance Short Duration Diversif 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. Eaton Vance Short Duration Diversif 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Eaton Vance Short Duration Diversif can use these opportunities to build new business models that can help the communities that Eaton Vance Short Duration Diversif operates in. Secondly it can use opportunities from government spending in sector.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Eaton Vance Short Duration Diversif 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 Eaton Vance Short Duration Diversif to hire the very best people irrespective of their geographical location.
Use of Bitcoin and other crypto currencies for transactions in industry
– The popularity of Bitcoin and other crypto currencies as asset class and medium of transaction has opened new opportunities for Eaton Vance Short Duration Diversif in the industry. Now Eaton Vance Short Duration Diversif can target international markets with far fewer capital restrictions requirements than the existing system.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Eaton Vance Short Duration Diversif can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Leveraging digital technologies
– Eaton Vance Short Duration Diversif 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.
Building a culture of innovation
– managers at Eaton Vance Short Duration Diversif 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 industry.
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. Eaton Vance Short Duration Diversif can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Low interest rates
– Even though inflation is raising its head in most developed economies, Eaton Vance Short Duration Diversif 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.
Threats Eaton Vance Short Duration Diversif External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats of Eaton Vance Short Duration Diversif are -
Stagnating economy with rate increase
– Eaton Vance Short Duration Diversif 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 industry.
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 Eaton Vance Short Duration Diversif business can come under increasing regulations regarding data privacy, data security, etc.
High dependence on third party suppliers
– Eaton Vance Short Duration Diversif 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.
Regulatory challenges
– Eaton Vance Short Duration Diversif 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 industry regulations.
Capital market disruption
– During the Covid-19, Dow Jones has touched record high. The valuations of a number of companies are way beyond their existing business model potential. This can lead to capital market correction which can put a number of suppliers, collaborators, value chain partners in great financial difficulty. It will directly impact the business of Eaton Vance Short Duration Diversif.
Increasing wage structure of Eaton Vance Short Duration Diversif
– 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 Eaton Vance Short Duration Diversif.
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.
Technology acceleration in Forth Industrial Revolution
– Eaton Vance Short Duration Diversif has witnessed rapid integration of technology during Covid-19 in the industry. As one of the leading players in the industry, Eaton Vance Short Duration Diversif needs to keep up with the evolution of technology in the sector. According to Mckinsey study top managers believe that the adoption of technology in operations, communications is 20-25 times faster than what they planned in the beginning of 2019.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Eaton Vance Short Duration Diversif in industry. The 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 Eaton Vance Short Duration Diversif 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 industry and other sectors.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry to industry are lowering. It can presents Eaton Vance Short Duration Diversif with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Eaton Vance Short Duration Diversif 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 Eaton Vance Short Duration Diversif prominent markets.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, Eaton Vance Short Duration Diversif may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of sector.
Weighted SWOT Analysis of Eaton Vance Short Duration Diversif Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers at Eaton Vance Short Duration Diversif 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 Eaton Vance Short Duration Diversif 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 Eaton Vance Short Duration Diversif 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 Eaton Vance Short Duration Diversif 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 Eaton Vance Short Duration Diversif needs to make to build a sustainable competitive advantage.