Lang und Schwarz Wertpapierhandel (LUSGn) SWOT Analysis / TOWS Matrix / MBA Resources
Investment Services
Strategy / MBA Resources
Introduction to SWOT Analysis
SWOT Analysis / TOWS Matrix for Lang und Schwarz Wertpapierhandel (Germany)
Based on various researches at Oak Spring University , Lang und Schwarz Wertpapierhandel is operating in a macro-environment that has been destablized by – technology disruption, supply chains are disrupted by pandemic , customer relationship management is fast transforming because of increasing concerns over data privacy, central banks are concerned over increasing inflation, digital marketing is dominated by two big players Facebook and Google, increasing inequality as vast percentage of new income is going to the top 1%, wage bills are increasing,
increasing government debt because of Covid-19 spendings, challanges to central banks by blockchain based private currencies, etc
Introduction to SWOT Analysis of Lang und Schwarz Wertpapierhandel
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University, we believe that Lang und Schwarz Wertpapierhandel can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Lang und Schwarz Wertpapierhandel, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Lang und Schwarz Wertpapierhandel 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 Lang und Schwarz Wertpapierhandel can be done for the following purposes –
1. Strategic planning of Lang und Schwarz Wertpapierhandel
2. Improving business portfolio management of Lang und Schwarz Wertpapierhandel
3. Assessing feasibility of the new initiative in Germany
4. Making a Investment Services sector specific business decision
5. Set goals for the organization
6. Organizational restructuring of Lang und Schwarz Wertpapierhandel
Strengths of Lang und Schwarz Wertpapierhandel | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Lang und Schwarz Wertpapierhandel are -
Ability to lead change in Investment Services
– Lang und Schwarz Wertpapierhandel is one of the leading players in the Investment Services industry in Germany. Over the years it has not only transformed the business landscape in the Investment Services industry in Germany but also across the existing markets. The ability to lead change has enabled Lang und Schwarz Wertpapierhandel in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Strong track record of project management in the Investment Services industry
– Lang und Schwarz Wertpapierhandel is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Operational resilience
– The operational resilience strategy of Lang und Schwarz Wertpapierhandel comprises – understanding the underlying the factors in the Investment Services 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.
Cross disciplinary teams
– Horizontal connected teams at the Lang und Schwarz Wertpapierhandel 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.
Training and development
– Lang und Schwarz Wertpapierhandel has one of the best training and development program in Financial 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.
Highly skilled collaborators
– Lang und Schwarz Wertpapierhandel has highly efficient outsourcing and offshoring strategy. It has resulted in greater operational flexibility and bringing down the costs in highly price sensitive Investment Services industry. Secondly the value chain collaborators of Lang und Schwarz Wertpapierhandel have helped the firm to develop new products and bring them quickly to the marketplace.
Sustainable margins compare to other players in Investment Services industry
– Lang und Schwarz Wertpapierhandel has clearly differentiated products in the market place. This has enabled Lang und Schwarz Wertpapierhandel to fetch slight price premium compare to the competitors in the Investment Services industry. The sustainable margins have also helped Lang und Schwarz Wertpapierhandel to invest into research and development (R&D) and innovation.
Ability to recruit top talent
– Lang und Schwarz Wertpapierhandel is one of the leading players in the Investment Services industry in Germany. It is in a position to attract the best talent available in Germany. The firm has a robust talent identification program that helps in identifying the brightest.
Successful track record of launching new products
– Lang und Schwarz Wertpapierhandel has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Lang und Schwarz Wertpapierhandel 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.
Superior customer experience
– The customer experience strategy of Lang und Schwarz Wertpapierhandel in Investment Services industry is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Low bargaining power of suppliers
– Suppliers of Lang und Schwarz Wertpapierhandel in the Financial sector have low bargaining power. Lang und Schwarz Wertpapierhandel has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Lang und Schwarz Wertpapierhandel to manage not only supply disruptions but also source products at highly competitive prices.
Innovation driven organization
– Lang und Schwarz Wertpapierhandel is one of the most innovative firm in Investment Services sector.
Weaknesses of Lang und Schwarz Wertpapierhandel | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Lang und Schwarz Wertpapierhandel are -
Employees’ less understanding of Lang und Schwarz Wertpapierhandel strategy
– From the outside it seems that the employees of Lang und Schwarz Wertpapierhandel 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 Lang und Schwarz Wertpapierhandel needs to have more collaboration between its sales team and marketing team. Sales professionals in the Investment Services industry have deep experience in developing customer relationships. Marketing department at Lang und Schwarz Wertpapierhandel can leverage the sales team experience to cultivate customer relationships as Lang und Schwarz Wertpapierhandel is planning to shift buying processes online.
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 Lang und Schwarz Wertpapierhandel supply chain. Even after few cautionary changes, Lang und Schwarz Wertpapierhandel is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Lang und Schwarz Wertpapierhandel vulnerable to further global disruptions in South East Asia.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Lang und Schwarz Wertpapierhandel is slow explore the new channels of communication. These new channels of communication can help Lang und Schwarz Wertpapierhandel to provide better information regarding Investment Services products and services. It can also build an online community to further reach out to potential customers.
Slow to strategic competitive environment developments
– As Lang und Schwarz Wertpapierhandel is one of the leading players in the Investment Services industry, it takes time to assess the upcoming competitions. This has led to missing out on atleast 2-3 big opportunities in the Investment Services industry in last five years.
Low market penetration in new markets
– Outside its home market of Germany, Lang und Schwarz Wertpapierhandel needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
High dependence on Lang und Schwarz Wertpapierhandel ‘s star products
– The top 2 products and services of Lang und Schwarz Wertpapierhandel still accounts for major business revenue. This dependence on star products in Investment Services industry has resulted into insufficient focus on developing new products, even though Lang und Schwarz Wertpapierhandel has relatively successful track record of launching new products.
Workers concerns about automation
– As automation is fast increasing in the Investment Services industry, Lang und Schwarz Wertpapierhandel needs to come up with a strategy to reduce the workers concern regarding automation. Without a clear strategy, it could lead to disruption and uncertainty within the organization.
Increasing silos among functional specialists
– The organizational structure of Lang und Schwarz Wertpapierhandel is dominated by functional specialists. It is not different from other players in the Investment Services industry, but Lang und Schwarz Wertpapierhandel needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Lang und Schwarz Wertpapierhandel to focus more on services in the Investment Services industry rather than just following the product oriented approach.
Products dominated business model
– Even though Lang und Schwarz Wertpapierhandel has some of the most successful models in the Investment Services industry, this business model has made each new product launch extremely critical for continuous financial growth of the organization. Lang und Schwarz Wertpapierhandel should strive to include more intangible value offerings along with its core products and services.
Skills based hiring in Investment Services industry
– The stress on hiring functional specialists at Lang und Schwarz Wertpapierhandel 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.
Lang und Schwarz Wertpapierhandel Opportunities | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities of Lang und Schwarz Wertpapierhandel are -
Using analytics as competitive advantage
– Lang und Schwarz Wertpapierhandel has spent a significant amount of money and effort to integrate analytics and machine learning into its operations in Investment Services sector. This continuous investment in analytics has enabled Lang und Schwarz Wertpapierhandel to build a competitive advantage using analytics. The analytics driven competitive advantage can help Lang und Schwarz Wertpapierhandel to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Changes in consumer behavior post Covid-19
– consumer behavior has changed in the Investment Services industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Lang und Schwarz Wertpapierhandel 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. Lang und Schwarz Wertpapierhandel 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.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Lang und Schwarz Wertpapierhandel is facing challenges because of the dominance of functional experts in the organization. Lang und Schwarz Wertpapierhandel can utilize new technology in the field of Investment Services industry to build more coordinated teams and streamline operations and communications using tools such as CAD, Zoom, etc.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Lang und Schwarz Wertpapierhandel 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 Lang und Schwarz Wertpapierhandel to hire the very best people irrespective of their geographical location.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Lang und Schwarz Wertpapierhandel in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Investment Services industry, and it will provide faster access to the consumers.
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 Lang und Schwarz Wertpapierhandel 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.
Building a culture of innovation
– managers at Lang und Schwarz Wertpapierhandel 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 Investment Services industry.
Low interest rates
– Even though inflation is raising its head in most developed economies, Lang und Schwarz Wertpapierhandel 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.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Lang und Schwarz Wertpapierhandel can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Loyalty marketing
– Lang und Schwarz Wertpapierhandel 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.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Investment Services industry, but it has also influenced the consumer preferences. Lang und Schwarz Wertpapierhandel can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Manufacturing automation
– Lang und Schwarz Wertpapierhandel can use the latest technology developments to improve its manufacturing and designing process in Investment Services sector. It can use CAD and 3D printing to build a quick prototype and pilot testing products. It can leverage automation using machine learning and artificial intelligence to do faster production at lowers costs, and it can leverage the growth in satellite and tracking technologies to improve inventory management, transportation, and shipping.
Use of Bitcoin and other crypto currencies for transactions in Investment Services industry
– The popularity of Bitcoin and other crypto currencies as asset class and medium of transaction has opened new opportunities for Lang und Schwarz Wertpapierhandel in the Investment Services industry. Now Lang und Schwarz Wertpapierhandel can target international markets with far fewer capital restrictions requirements than the existing system.
Threats Lang und Schwarz Wertpapierhandel External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats of Lang und Schwarz Wertpapierhandel are -
Increasing wage structure of Lang und Schwarz Wertpapierhandel
– 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 Lang und Schwarz Wertpapierhandel.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry to Investment Services industry are lowering. It can presents Lang und Schwarz Wertpapierhandel with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the Investment Services sector.
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 Lang und Schwarz Wertpapierhandel business can come under increasing regulations regarding data privacy, data security, etc.
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.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, Lang und Schwarz Wertpapierhandel may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Investment Services sector.
High dependence on third party suppliers
– Lang und Schwarz Wertpapierhandel 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 Lang und Schwarz Wertpapierhandel in the Investment Services sector and impact the bottomline of the organization.
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 Lang und Schwarz Wertpapierhandel.
Shortening product life cycle
– it is one of the major threat that Lang und Schwarz Wertpapierhandel is facing in Investment Services sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Consumer confidence and its impact on Lang und Schwarz Wertpapierhandel 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 Investment Services industry and other sectors.
Technology acceleration in Forth Industrial Revolution
– Lang und Schwarz Wertpapierhandel has witnessed rapid integration of technology during Covid-19 in the Investment Services industry. As one of the leading players in the industry, Lang und Schwarz Wertpapierhandel needs to keep up with the evolution of technology in the Investment Services 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.
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.
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. Lang und Schwarz Wertpapierhandel needs to understand the core reasons impacting the Investment Services industry. This will help it in building a better workplace.
Weighted SWOT Analysis of Lang und Schwarz Wertpapierhandel Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers at Lang und Schwarz Wertpapierhandel 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 Lang und Schwarz Wertpapierhandel 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 Lang und Schwarz Wertpapierhandel 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 Lang und Schwarz Wertpapierhandel 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 Lang und Schwarz Wertpapierhandel needs to make to build a sustainable competitive advantage.
