Pebblebrook Hotel Trust Pc Pref (PEB_pc) SWOT Analysis / TOWS Matrix / MBA Resources
Strategy / MBA Resources
Introduction to SWOT Analysis
SWOT Analysis / TOWS Matrix for Pebblebrook Hotel Trust Pc Pref (United States)
Based on various researches at Oak Spring University , Pebblebrook Hotel Trust Pc Pref is operating in a macro-environment that has been destablized by – cloud computing is disrupting traditional business models, customer relationship management is fast transforming because of increasing concerns over data privacy, there is backlash against globalization, technology disruption, wage bills are increasing, increasing transportation and logistics costs, increasing energy prices,
challanges to central banks by blockchain based private currencies, banking and financial system is disrupted by Bitcoin and other crypto currencies, etc
Introduction to SWOT Analysis of Pebblebrook Hotel Trust Pc Pref
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University, we believe that Pebblebrook Hotel Trust Pc Pref can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Pebblebrook Hotel Trust Pc Pref, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Pebblebrook Hotel Trust Pc Pref 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 Pebblebrook Hotel Trust Pc Pref can be done for the following purposes –
1. Strategic planning of Pebblebrook Hotel Trust Pc Pref
2. Improving business portfolio management of Pebblebrook Hotel Trust Pc Pref
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 Pebblebrook Hotel Trust Pc Pref
Strengths of Pebblebrook Hotel Trust Pc Pref | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Pebblebrook Hotel Trust Pc Pref are -
Diverse revenue streams
– Pebblebrook Hotel Trust Pc Pref is present in almost all the verticals within the industry. This has provided Pebblebrook Hotel Trust Pc Pref 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.
Superior customer experience
– The customer experience strategy of Pebblebrook Hotel Trust Pc Pref in industry is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Low bargaining power of suppliers
– Suppliers of Pebblebrook Hotel Trust Pc Pref in the sector have low bargaining power. Pebblebrook Hotel Trust Pc Pref has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Pebblebrook Hotel Trust Pc Pref to manage not only supply disruptions but also source products at highly competitive prices.
Cross disciplinary teams
– Horizontal connected teams at the Pebblebrook Hotel Trust Pc Pref 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.
Highly skilled collaborators
– Pebblebrook Hotel Trust Pc Pref 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 Pebblebrook Hotel Trust Pc Pref have helped the firm to develop new products and bring them quickly to the marketplace.
Learning organization
- Pebblebrook Hotel Trust Pc Pref 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 Pebblebrook Hotel Trust Pc Pref is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders at Pebblebrook Hotel Trust Pc Pref emphasize – knowledge, initiative, and innovation.
Ability to recruit top talent
– Pebblebrook Hotel Trust Pc Pref 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
– Pebblebrook Hotel Trust Pc Pref is one of the most innovative firm in sector.
High switching costs
– The high switching costs that Pebblebrook Hotel Trust Pc Pref 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
– Pebblebrook Hotel Trust Pc Pref has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Pebblebrook Hotel Trust Pc Pref to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Digital Transformation in industry
- digital transformation varies from industry to industry. For Pebblebrook Hotel Trust Pc Pref digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Pebblebrook Hotel Trust Pc Pref 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.
Training and development
– Pebblebrook Hotel Trust Pc Pref has one of the best training and development program in 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 Pebblebrook Hotel Trust Pc Pref | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Pebblebrook Hotel Trust Pc Pref are -
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Pebblebrook Hotel Trust Pc Pref is slow explore the new channels of communication. These new channels of communication can help Pebblebrook Hotel Trust Pc Pref to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Increasing silos among functional specialists
– The organizational structure of Pebblebrook Hotel Trust Pc Pref is dominated by functional specialists. It is not different from other players in the industry, but Pebblebrook Hotel Trust Pc Pref needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Pebblebrook Hotel Trust Pc Pref to focus more on services in the industry rather than just following the product oriented approach.
Lack of clear differentiation of Pebblebrook Hotel Trust Pc Pref products
– To increase the profitability and margins on the products, Pebblebrook Hotel Trust Pc Pref needs to provide more differentiated products than what it is currently offering in the marketplace.
Slow to strategic competitive environment developments
– As Pebblebrook Hotel Trust Pc Pref 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.
Compensation and incentives
– The revenue per employee of Pebblebrook Hotel Trust Pc Pref is just above the 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.
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 Pebblebrook Hotel Trust Pc Pref supply chain. Even after few cautionary changes, Pebblebrook Hotel Trust Pc Pref is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Pebblebrook Hotel Trust Pc Pref vulnerable to further global disruptions in South East Asia.
Interest costs
– Compare to the competition, Pebblebrook Hotel Trust Pc Pref 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 cash cycle compare to competitors
Pebblebrook Hotel Trust Pc Pref 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.
No frontier risks strategy
– From the 10K / annual statement of Pebblebrook Hotel Trust Pc Pref, it seems that company is thinking out the frontier risks that can impact industry. But it has very little resources allocation to manage the risks emerging from events such as natural disasters, climate change, melting of permafrost, tacking the rise of artificial intelligence, opportunities and threats emerging from commercialization of space etc.
Ability to respond to the competition
– As the decision making is very deliberative at Pebblebrook Hotel Trust Pc Pref, in the dynamic environment of industry it has struggled to respond to the nimble upstart competition. Pebblebrook Hotel Trust Pc Pref has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Employees’ less understanding of Pebblebrook Hotel Trust Pc Pref strategy
– From the outside it seems that the employees of Pebblebrook Hotel Trust Pc Pref 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.
Pebblebrook Hotel Trust Pc Pref Opportunities | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities of Pebblebrook Hotel Trust Pc Pref are -
Loyalty marketing
– Pebblebrook Hotel Trust Pc Pref 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.
Buying journey improvements
– Pebblebrook Hotel Trust Pc Pref 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.
Developing new processes and practices
– Pebblebrook Hotel Trust Pc Pref 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.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Pebblebrook Hotel Trust Pc Pref 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.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Pebblebrook Hotel Trust Pc Pref 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 Pebblebrook Hotel Trust Pc Pref to hire the very best people irrespective of their geographical location.
Creating value in data economy
– The success of analytics program of Pebblebrook Hotel Trust Pc Pref has opened avenues for new revenue streams for the organization in industry. This can help Pebblebrook Hotel Trust Pc Pref to build a more holistic ecosystem for Pebblebrook Hotel Trust Pc Pref products in the industry by providing – data insight services, data privacy related products, data based consulting services, etc.
Learning at scale
– Online learning technologies has now opened space for Pebblebrook Hotel Trust Pc Pref 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Pebblebrook Hotel Trust Pc Pref can use these opportunities to build new business models that can help the communities that Pebblebrook Hotel Trust Pc Pref 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 Pebblebrook Hotel Trust Pc Pref can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Pebblebrook Hotel Trust Pc Pref is facing challenges because of the dominance of functional experts in the organization. Pebblebrook Hotel Trust Pc Pref can utilize new technology in the field of industry to build more coordinated teams and streamline operations and communications using tools such as CAD, Zoom, etc.
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. Pebblebrook Hotel Trust Pc Pref 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. Pebblebrook Hotel Trust Pc Pref can further use this consumer data to build better customer loyalty, provide better products and service collection, and improve the value proposition in inflationary times.
Reconfiguring business model
– The expansion of digital payment system, the bringing down of international transactions costs using Bitcoin and other blockchain based currencies, etc can help Pebblebrook Hotel Trust Pc Pref 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.
Using analytics as competitive advantage
– Pebblebrook Hotel Trust Pc Pref 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 Pebblebrook Hotel Trust Pc Pref to build a competitive advantage using analytics. The analytics driven competitive advantage can help Pebblebrook Hotel Trust Pc Pref to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Threats Pebblebrook Hotel Trust Pc Pref External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats of Pebblebrook Hotel Trust Pc Pref are -
Technology acceleration in Forth Industrial Revolution
– Pebblebrook Hotel Trust Pc Pref has witnessed rapid integration of technology during Covid-19 in the industry. As one of the leading players in the industry, Pebblebrook Hotel Trust Pc Pref 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.
Consumer confidence and its impact on Pebblebrook Hotel Trust Pc Pref 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.
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.
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.
High dependence on third party suppliers
– Pebblebrook Hotel Trust Pc Pref 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.
Stagnating economy with rate increase
– Pebblebrook Hotel Trust Pc Pref 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.
Increasing wage structure of Pebblebrook Hotel Trust Pc Pref
– 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 Pebblebrook Hotel Trust Pc Pref.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Pebblebrook Hotel Trust Pc Pref 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 Pebblebrook Hotel Trust Pc Pref prominent markets.
Shortening product life cycle
– it is one of the major threat that Pebblebrook Hotel Trust Pc Pref is facing in sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, Pebblebrook Hotel Trust Pc Pref 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.
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 Pebblebrook Hotel Trust Pc Pref.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry to industry are lowering. It can presents Pebblebrook Hotel Trust Pc Pref with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Environmental challenges
– Pebblebrook Hotel Trust Pc Pref 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. Pebblebrook Hotel Trust Pc Pref can take advantage of this fund but it will also bring new competitors in the industry.
Weighted SWOT Analysis of Pebblebrook Hotel Trust Pc Pref Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers at Pebblebrook Hotel Trust Pc Pref 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 Pebblebrook Hotel Trust Pc Pref 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 Pebblebrook Hotel Trust Pc Pref 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 Pebblebrook Hotel Trust Pc Pref 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 Pebblebrook Hotel Trust Pc Pref needs to make to build a sustainable competitive advantage.
