Fog Cutter Cap Grp# (FCCG) SWOT Analysis / TOWS Matrix / MBA Resources
Restaurants
Strategy / MBA Resources
Introduction to SWOT Analysis
SWOT Analysis / TOWS Matrix for Fog Cutter Cap Grp# (United States)
Based on various researches at Oak Spring University , Fog Cutter Cap Grp# is operating in a macro-environment that has been destablized by – cloud computing is disrupting traditional business models, increasing household debt because of falling income levels, increasing commodity prices, banking and financial system is disrupted by Bitcoin and other crypto currencies, competitive advantages are harder to sustain because of technology dispersion, challanges to central banks by blockchain based private currencies, increasing energy prices,
there is backlash against globalization, there is increasing trade war between United States & China, etc
Introduction to SWOT Analysis of Fog Cutter Cap Grp#
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University, we believe that Fog Cutter Cap Grp# can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Fog Cutter Cap Grp#, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Fog Cutter Cap Grp# 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 Fog Cutter Cap Grp# can be done for the following purposes –
1. Strategic planning of Fog Cutter Cap Grp#
2. Improving business portfolio management of Fog Cutter Cap Grp#
3. Assessing feasibility of the new initiative in United States
4. Making a Restaurants sector specific business decision
5. Set goals for the organization
6. Organizational restructuring of Fog Cutter Cap Grp#
Strengths of Fog Cutter Cap Grp# | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Fog Cutter Cap Grp# are -
Effective Research and Development (R&D)
– Fog Cutter Cap Grp# has innovation driven culture where significant part of the revenues are spent on the research and development activities. This has resulted in – Fog Cutter Cap Grp# staying ahead in the Restaurants industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Ability to lead change in Restaurants
– Fog Cutter Cap Grp# is one of the leading players in the Restaurants industry in United States. Over the years it has not only transformed the business landscape in the Restaurants industry in United States but also across the existing markets. The ability to lead change has enabled Fog Cutter Cap Grp# in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Cross disciplinary teams
– Horizontal connected teams at the Fog Cutter Cap Grp# 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.
High brand equity
– Fog Cutter Cap Grp# has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Fog Cutter Cap Grp# to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Strong track record of project management in the Restaurants industry
– Fog Cutter Cap Grp# is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Organizational Resilience of Fog Cutter Cap Grp#
– The covid-19 pandemic has put organizational resilience at the centre of everthing Fog Cutter Cap Grp# does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Diverse revenue streams
– Fog Cutter Cap Grp# is present in almost all the verticals within the Restaurants industry. This has provided Fog Cutter Cap Grp# 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.
Sustainable margins compare to other players in Restaurants industry
– Fog Cutter Cap Grp# has clearly differentiated products in the market place. This has enabled Fog Cutter Cap Grp# to fetch slight price premium compare to the competitors in the Restaurants industry. The sustainable margins have also helped Fog Cutter Cap Grp# to invest into research and development (R&D) and innovation.
Superior customer experience
– The customer experience strategy of Fog Cutter Cap Grp# in Restaurants industry is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Ability to recruit top talent
– Fog Cutter Cap Grp# is one of the leading players in the Restaurants 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.
Low bargaining power of suppliers
– Suppliers of Fog Cutter Cap Grp# in the Services sector have low bargaining power. Fog Cutter Cap Grp# has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Fog Cutter Cap Grp# to manage not only supply disruptions but also source products at highly competitive prices.
Highly skilled collaborators
– Fog Cutter Cap Grp# has highly efficient outsourcing and offshoring strategy. It has resulted in greater operational flexibility and bringing down the costs in highly price sensitive Restaurants industry. Secondly the value chain collaborators of Fog Cutter Cap Grp# have helped the firm to develop new products and bring them quickly to the marketplace.
Weaknesses of Fog Cutter Cap Grp# | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Fog Cutter Cap Grp# are -
Ability to respond to the competition
– As the decision making is very deliberative at Fog Cutter Cap Grp#, in the dynamic environment of Restaurants industry it has struggled to respond to the nimble upstart competition. Fog Cutter Cap Grp# has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Low market penetration in new markets
– Outside its home market of United States, Fog Cutter Cap Grp# needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Skills based hiring in Restaurants industry
– The stress on hiring functional specialists at Fog Cutter Cap Grp# 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.
Capital Spending Reduction
– Even during the low interest decade, Fog Cutter Cap Grp# 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 Restaurants industry using digital technology.
Compensation and incentives
– The revenue per employee of Fog Cutter Cap Grp# is just above the Restaurants 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.
Aligning sales with marketing
– From the outside it seems that Fog Cutter Cap Grp# needs to have more collaboration between its sales team and marketing team. Sales professionals in the Restaurants industry have deep experience in developing customer relationships. Marketing department at Fog Cutter Cap Grp# can leverage the sales team experience to cultivate customer relationships as Fog Cutter Cap Grp# is planning to shift buying processes online.
Interest costs
– Compare to the competition, Fog Cutter Cap Grp# has borrowed money from the capital market at higher rates. It needs to restructure the interest payment and costs so that it can compete better and improve profitability.
Increasing silos among functional specialists
– The organizational structure of Fog Cutter Cap Grp# is dominated by functional specialists. It is not different from other players in the Restaurants industry, but Fog Cutter Cap Grp# needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Fog Cutter Cap Grp# to focus more on services in the Restaurants industry rather than just following the product oriented approach.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Fog Cutter Cap Grp# is slow explore the new channels of communication. These new channels of communication can help Fog Cutter Cap Grp# to provide better information regarding Restaurants products and services. It can also build an online community to further reach out to potential customers.
High dependence on Fog Cutter Cap Grp# ‘s star products
– The top 2 products and services of Fog Cutter Cap Grp# still accounts for major business revenue. This dependence on star products in Restaurants industry has resulted into insufficient focus on developing new products, even though Fog Cutter Cap Grp# has relatively successful track record of launching new products.
Slow decision making process
– As mentioned earlier in the report, Fog Cutter Cap Grp# has a very deliberative decision making approach. This approach has resulted in prudent decisions, but it has also resulted in missing opportunities in the Restaurants industry over the last five years. Fog Cutter Cap Grp# 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.
Fog Cutter Cap Grp# Opportunities | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities of Fog Cutter Cap Grp# are -
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Restaurants industry, but it has also influenced the consumer preferences. Fog Cutter Cap Grp# can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Better consumer reach
– The expansion of the 5G network will help Fog Cutter Cap Grp# to increase its market reach. Fog Cutter Cap Grp# 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.
Developing new processes and practices
– Fog Cutter Cap Grp# can develop new processes and procedures in Restaurants 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.
Learning at scale
– Online learning technologies has now opened space for Fog Cutter Cap Grp# 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.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Fog Cutter Cap Grp# can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Fog Cutter Cap Grp# 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 Fog Cutter Cap Grp# to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Creating value in data economy
– The success of analytics program of Fog Cutter Cap Grp# has opened avenues for new revenue streams for the organization in Restaurants industry. This can help Fog Cutter Cap Grp# to build a more holistic ecosystem for Fog Cutter Cap Grp# products in the Restaurants industry by providing – data insight services, data privacy related products, data based consulting services, etc.
Use of Bitcoin and other crypto currencies for transactions in Restaurants industry
– The popularity of Bitcoin and other crypto currencies as asset class and medium of transaction has opened new opportunities for Fog Cutter Cap Grp# in the Restaurants industry. Now Fog Cutter Cap Grp# can target international markets with far fewer capital restrictions requirements than the existing system.
Using analytics as competitive advantage
– Fog Cutter Cap Grp# has spent a significant amount of money and effort to integrate analytics and machine learning into its operations in Restaurants sector. This continuous investment in analytics has enabled Fog Cutter Cap Grp# to build a competitive advantage using analytics. The analytics driven competitive advantage can help Fog Cutter Cap Grp# to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Fog Cutter Cap Grp# is facing challenges because of the dominance of functional experts in the organization. Fog Cutter Cap Grp# can utilize new technology in the field of Restaurants industry to build more coordinated teams and streamline operations and communications using tools such as CAD, Zoom, etc.
Loyalty marketing
– Fog Cutter Cap Grp# 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.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Fog Cutter Cap Grp# in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Restaurants industry, and it will provide faster access to the consumers.
Buying journey improvements
– Fog Cutter Cap Grp# can improve the customer journey of consumers in the Restaurants 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.
Threats Fog Cutter Cap Grp# External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats of Fog Cutter Cap Grp# are -
Easy access to finance
– Easy access to finance in Restaurants industry will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Fog Cutter Cap Grp# can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Increasing wage structure of Fog Cutter Cap Grp#
– 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 Fog Cutter Cap Grp#.
Consumer confidence and its impact on Fog Cutter Cap Grp# 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 Restaurants industry and other sectors.
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.
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 Fog Cutter Cap Grp#.
Technology acceleration in Forth Industrial Revolution
– Fog Cutter Cap Grp# has witnessed rapid integration of technology during Covid-19 in the Restaurants industry. As one of the leading players in the industry, Fog Cutter Cap Grp# needs to keep up with the evolution of technology in the Restaurants 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.
Environmental challenges
– Fog Cutter Cap Grp# 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. Fog Cutter Cap Grp# can take advantage of this fund but it will also bring new competitors in the Restaurants industry.
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. Fog Cutter Cap Grp# needs to understand the core reasons impacting the Restaurants industry. This will help it in building a better workplace.
Stagnating economy with rate increase
– Fog Cutter Cap Grp# 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 Restaurants industry.
High dependence on third party suppliers
– Fog Cutter Cap Grp# 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.
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 Fog Cutter Cap Grp# in the Restaurants sector and impact the bottomline of the organization.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Fog Cutter Cap Grp# in Restaurants industry. The Restaurants 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.
Regulatory challenges
– Fog Cutter Cap Grp# 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 Restaurants industry regulations.
Weighted SWOT Analysis of Fog Cutter Cap Grp# Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers at Fog Cutter Cap Grp# 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 Fog Cutter Cap Grp# 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 Fog Cutter Cap Grp# 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 Fog Cutter Cap Grp# 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 Fog Cutter Cap Grp# needs to make to build a sustainable competitive advantage.