UBS AG London Branch ELKS 3 (LBDC) SWOT Analysis / TOWS Matrix / MBA Resources
Strategy / MBA Resources
Introduction to SWOT Analysis
SWOT Analysis / TOWS Matrix for UBS AG London Branch ELKS 3 (United States)
Based on various researches at Oak Spring University , UBS AG London Branch ELKS 3 is operating in a macro-environment that has been destablized by – challanges to central banks by blockchain based private currencies, increasing household debt because of falling income levels, supply chains are disrupted by pandemic , increasing inequality as vast percentage of new income is going to the top 1%, technology disruption, geopolitical disruptions, wage bills are increasing,
digital marketing is dominated by two big players Facebook and Google, there is increasing trade war between United States & China, etc
Introduction to SWOT Analysis of UBS AG London Branch ELKS 3
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University, we believe that UBS AG London Branch ELKS 3 can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the UBS AG London Branch ELKS 3, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which UBS AG London Branch ELKS 3 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 UBS AG London Branch ELKS 3 can be done for the following purposes –
1. Strategic planning of UBS AG London Branch ELKS 3
2. Improving business portfolio management of UBS AG London Branch ELKS 3
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 UBS AG London Branch ELKS 3
Strengths of UBS AG London Branch ELKS 3 | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of UBS AG London Branch ELKS 3 are -
Low bargaining power of suppliers
– Suppliers of UBS AG London Branch ELKS 3 in the sector have low bargaining power. UBS AG London Branch ELKS 3 has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps UBS AG London Branch ELKS 3 to manage not only supply disruptions but also source products at highly competitive prices.
Ability to recruit top talent
– UBS AG London Branch ELKS 3 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.
Innovation driven organization
– UBS AG London Branch ELKS 3 is one of the most innovative firm in sector.
Successful track record of launching new products
– UBS AG London Branch ELKS 3 has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. UBS AG London Branch ELKS 3 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.
Operational resilience
– The operational resilience strategy of UBS AG London Branch ELKS 3 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.
High switching costs
– The high switching costs that UBS AG London Branch ELKS 3 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.
Strong track record of project management in the industry
– UBS AG London Branch ELKS 3 is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
High brand equity
– UBS AG London Branch ELKS 3 has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled UBS AG London Branch ELKS 3 to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Superior customer experience
– The customer experience strategy of UBS AG London Branch ELKS 3 in industry is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Analytics focus
– UBS AG London Branch ELKS 3 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.
Digital Transformation in industry
- digital transformation varies from industry to industry. For UBS AG London Branch ELKS 3 digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. UBS AG London Branch ELKS 3 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.
Sustainable margins compare to other players in industry
– UBS AG London Branch ELKS 3 has clearly differentiated products in the market place. This has enabled UBS AG London Branch ELKS 3 to fetch slight price premium compare to the competitors in the industry. The sustainable margins have also helped UBS AG London Branch ELKS 3 to invest into research and development (R&D) and innovation.
Weaknesses of UBS AG London Branch ELKS 3 | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of UBS AG London Branch ELKS 3 are -
Skills based hiring in industry
– The stress on hiring functional specialists at UBS AG London Branch ELKS 3 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.
Products dominated business model
– Even though UBS AG London Branch ELKS 3 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. UBS AG London Branch ELKS 3 should strive to include more intangible value offerings along with its core products and services.
Interest costs
– Compare to the competition, UBS AG London Branch ELKS 3 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.
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 UBS AG London Branch ELKS 3 supply chain. Even after few cautionary changes, UBS AG London Branch ELKS 3 is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left UBS AG London Branch ELKS 3 vulnerable to further global disruptions in South East Asia.
High dependence on UBS AG London Branch ELKS 3 ‘s star products
– The top 2 products and services of UBS AG London Branch ELKS 3 still accounts for major business revenue. This dependence on star products in industry has resulted into insufficient focus on developing new products, even though UBS AG London Branch ELKS 3 has relatively successful track record of launching new products.
High operating costs
– Compare to the competitors, UBS AG London Branch ELKS 3 has high operating costs in the industry. This can be harder to sustain given the new emerging competition from nimble players who are using technology to attract UBS AG London Branch ELKS 3 lucrative customers.
Slow to strategic competitive environment developments
– As UBS AG London Branch ELKS 3 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.
Increasing silos among functional specialists
– The organizational structure of UBS AG London Branch ELKS 3 is dominated by functional specialists. It is not different from other players in the industry, but UBS AG London Branch ELKS 3 needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help UBS AG London Branch ELKS 3 to focus more on services in the industry rather than just following the product oriented approach.
Employees’ less understanding of UBS AG London Branch ELKS 3 strategy
– From the outside it seems that the employees of UBS AG London Branch ELKS 3 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.
Aligning sales with marketing
– From the outside it seems that UBS AG London Branch ELKS 3 needs to have more collaboration between its sales team and marketing team. Sales professionals in the industry have deep experience in developing customer relationships. Marketing department at UBS AG London Branch ELKS 3 can leverage the sales team experience to cultivate customer relationships as UBS AG London Branch ELKS 3 is planning to shift buying processes online.
Capital Spending Reduction
– Even during the low interest decade, UBS AG London Branch ELKS 3 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.
UBS AG London Branch ELKS 3 Opportunities | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities of UBS AG London Branch ELKS 3 are -
Creating value in data economy
– The success of analytics program of UBS AG London Branch ELKS 3 has opened avenues for new revenue streams for the organization in industry. This can help UBS AG London Branch ELKS 3 to build a more holistic ecosystem for UBS AG London Branch ELKS 3 products in the industry by providing – data insight services, data privacy related products, data based consulting services, etc.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for UBS AG London Branch ELKS 3 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 UBS AG London Branch ELKS 3 to hire the very best people irrespective of their geographical location.
Low interest rates
– Even though inflation is raising its head in most developed economies, UBS AG London Branch ELKS 3 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, UBS AG London Branch ELKS 3 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 UBS AG London Branch ELKS 3 to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, UBS AG London Branch ELKS 3 can use these opportunities to build new business models that can help the communities that UBS AG London Branch ELKS 3 operates in. Secondly it can use opportunities from government spending in sector.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects UBS AG London Branch ELKS 3 can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Using analytics as competitive advantage
– UBS AG London Branch ELKS 3 has spent a significant amount of money and effort to integrate analytics and machine learning into its operations in sector. This continuous investment in analytics has enabled UBS AG London Branch ELKS 3 to build a competitive advantage using analytics. The analytics driven competitive advantage can help UBS AG London Branch ELKS 3 to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Lowering marketing communication costs
– 5G expansion will open new opportunities for UBS AG London Branch ELKS 3 in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the industry, and it will provide faster access to the consumers.
Leveraging digital technologies
– UBS AG London Branch ELKS 3 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 UBS AG London Branch ELKS 3 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.
Buying journey improvements
– UBS AG London Branch ELKS 3 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.
Better consumer reach
– The expansion of the 5G network will help UBS AG London Branch ELKS 3 to increase its market reach. UBS AG London Branch ELKS 3 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
– UBS AG London Branch ELKS 3 can develop new processes and procedures in 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.
Threats UBS AG London Branch ELKS 3 External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats of UBS AG London Branch ELKS 3 are -
Easy access to finance
– Easy access to finance in industry will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. UBS AG London Branch ELKS 3 can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, UBS AG London Branch ELKS 3 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 UBS AG London Branch ELKS 3 prominent markets.
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. UBS AG London Branch ELKS 3 needs to understand the core reasons impacting the industry. This will help it in building a better workplace.
Technology disruption because of hacks, piracy etc
– The colonial pipeline illustrated, how vulnerable modern organization are to international hackers, miscreants, and disruptors. The cyber security interruption, data leaks, etc can seriously jeopardize the future growth of the organization.
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. UBS AG London Branch ELKS 3 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.
Regulatory challenges
– UBS AG London Branch ELKS 3 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.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for UBS AG London Branch ELKS 3 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 UBS AG London Branch ELKS 3 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.
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 UBS AG London Branch ELKS 3.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, UBS AG London Branch ELKS 3 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.
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 UBS AG London Branch ELKS 3 in the sector and impact the bottomline of the organization.
Stagnating economy with rate increase
– UBS AG London Branch ELKS 3 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.
Weighted SWOT Analysis of UBS AG London Branch ELKS 3 Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers at UBS AG London Branch ELKS 3 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 UBS AG London Branch ELKS 3 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 UBS AG London Branch ELKS 3 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 UBS AG London Branch ELKS 3 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 UBS AG London Branch ELKS 3 needs to make to build a sustainable competitive advantage.
