Xinjiang Xinxin Mining Industry Co (3833) SWOT Analysis / TOWS Matrix / MBA Resources
Metal Mining
Strategy / MBA Resources
Introduction to SWOT Analysis
SWOT Analysis / TOWS Matrix for Xinjiang Xinxin Mining Industry Co (Hong Kong)
Based on various researches at Oak Spring University , Xinjiang Xinxin Mining Industry Co is operating in a macro-environment that has been destablized by – banking and financial system is disrupted by Bitcoin and other crypto currencies, central banks are concerned over increasing inflation, increasing commodity prices, there is increasing trade war between United States & China, wage bills are increasing, increasing government debt because of Covid-19 spendings, digital marketing is dominated by two big players Facebook and Google,
increasing energy prices, increasing household debt because of falling income levels, etc
Introduction to SWOT Analysis of Xinjiang Xinxin Mining Industry Co
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University, we believe that Xinjiang Xinxin Mining Industry Co can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Xinjiang Xinxin Mining Industry Co, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Xinjiang Xinxin Mining Industry Co 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 Xinjiang Xinxin Mining Industry Co can be done for the following purposes –
1. Strategic planning of Xinjiang Xinxin Mining Industry Co
2. Improving business portfolio management of Xinjiang Xinxin Mining Industry Co
3. Assessing feasibility of the new initiative in Hong Kong
4. Making a Metal Mining sector specific business decision
5. Set goals for the organization
6. Organizational restructuring of Xinjiang Xinxin Mining Industry Co
Strengths of Xinjiang Xinxin Mining Industry Co | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Xinjiang Xinxin Mining Industry Co are -
Analytics focus
– Xinjiang Xinxin Mining Industry Co 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 Metal Mining industry. The technology infrastructure of Hong Kong 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 Metal Mining industry
- digital transformation varies from industry to industry. For Xinjiang Xinxin Mining Industry Co digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Xinjiang Xinxin Mining Industry Co 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.
Successful track record of launching new products
– Xinjiang Xinxin Mining Industry Co has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Xinjiang Xinxin Mining Industry Co 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.
Highly skilled collaborators
– Xinjiang Xinxin Mining Industry Co has highly efficient outsourcing and offshoring strategy. It has resulted in greater operational flexibility and bringing down the costs in highly price sensitive Metal Mining industry. Secondly the value chain collaborators of Xinjiang Xinxin Mining Industry Co have helped the firm to develop new products and bring them quickly to the marketplace.
Ability to lead change in Metal Mining
– Xinjiang Xinxin Mining Industry Co is one of the leading players in the Metal Mining industry in Hong Kong. Over the years it has not only transformed the business landscape in the Metal Mining industry in Hong Kong but also across the existing markets. The ability to lead change has enabled Xinjiang Xinxin Mining Industry Co in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Effective Research and Development (R&D)
– Xinjiang Xinxin Mining Industry Co has innovation driven culture where significant part of the revenues are spent on the research and development activities. This has resulted in – Xinjiang Xinxin Mining Industry Co staying ahead in the Metal Mining industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Training and development
– Xinjiang Xinxin Mining Industry Co has one of the best training and development program in Basic Materials 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.
Learning organization
- Xinjiang Xinxin Mining Industry Co 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 Xinjiang Xinxin Mining Industry Co is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders at Xinjiang Xinxin Mining Industry Co emphasize – knowledge, initiative, and innovation.
Operational resilience
– The operational resilience strategy of Xinjiang Xinxin Mining Industry Co comprises – understanding the underlying the factors in the Metal Mining 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.
Ability to recruit top talent
– Xinjiang Xinxin Mining Industry Co is one of the leading players in the Metal Mining industry in Hong Kong. It is in a position to attract the best talent available in Hong Kong. The firm has a robust talent identification program that helps in identifying the brightest.
Sustainable margins compare to other players in Metal Mining industry
– Xinjiang Xinxin Mining Industry Co has clearly differentiated products in the market place. This has enabled Xinjiang Xinxin Mining Industry Co to fetch slight price premium compare to the competitors in the Metal Mining industry. The sustainable margins have also helped Xinjiang Xinxin Mining Industry Co to invest into research and development (R&D) and innovation.
Organizational Resilience of Xinjiang Xinxin Mining Industry Co
– The covid-19 pandemic has put organizational resilience at the centre of everthing Xinjiang Xinxin Mining Industry Co does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Weaknesses of Xinjiang Xinxin Mining Industry Co | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Xinjiang Xinxin Mining Industry Co are -
Increasing silos among functional specialists
– The organizational structure of Xinjiang Xinxin Mining Industry Co is dominated by functional specialists. It is not different from other players in the Metal Mining industry, but Xinjiang Xinxin Mining Industry Co needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Xinjiang Xinxin Mining Industry Co to focus more on services in the Metal Mining industry rather than just following the product oriented approach.
Ability to respond to the competition
– As the decision making is very deliberative at Xinjiang Xinxin Mining Industry Co, in the dynamic environment of Metal Mining industry it has struggled to respond to the nimble upstart competition. Xinjiang Xinxin Mining Industry Co has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
High cash cycle compare to competitors
Xinjiang Xinxin Mining Industry Co has a high cash cycle compare to other players in the Metal Mining 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 Xinjiang Xinxin Mining Industry Co, it seems that company is thinking out the frontier risks that can impact Metal Mining 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.
High dependence on Xinjiang Xinxin Mining Industry Co ‘s star products
– The top 2 products and services of Xinjiang Xinxin Mining Industry Co still accounts for major business revenue. This dependence on star products in Metal Mining industry has resulted into insufficient focus on developing new products, even though Xinjiang Xinxin Mining Industry Co has relatively successful track record of launching new products.
Lack of clear differentiation of Xinjiang Xinxin Mining Industry Co products
– To increase the profitability and margins on the products, Xinjiang Xinxin Mining Industry Co needs to provide more differentiated products than what it is currently offering in the marketplace.
High bargaining power of channel partners in Metal Mining industry
– because of the regulatory requirements in Hong Kong, Xinjiang Xinxin Mining Industry Co is facing high bargaining power of the channel partners. So far it has not able to streamline the operations to reduce the bargaining power of the value chain partners in the Metal Mining industry.
Slow decision making process
– As mentioned earlier in the report, Xinjiang Xinxin Mining Industry Co has a very deliberative decision making approach. This approach has resulted in prudent decisions, but it has also resulted in missing opportunities in the Metal Mining industry over the last five years. Xinjiang Xinxin Mining Industry Co 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.
Low market penetration in new markets
– Outside its home market of Hong Kong, Xinjiang Xinxin Mining Industry Co needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Aligning sales with marketing
– From the outside it seems that Xinjiang Xinxin Mining Industry Co needs to have more collaboration between its sales team and marketing team. Sales professionals in the Metal Mining industry have deep experience in developing customer relationships. Marketing department at Xinjiang Xinxin Mining Industry Co can leverage the sales team experience to cultivate customer relationships as Xinjiang Xinxin Mining Industry Co is planning to shift buying processes online.
Products dominated business model
– Even though Xinjiang Xinxin Mining Industry Co has some of the most successful models in the Metal Mining industry, this business model has made each new product launch extremely critical for continuous financial growth of the organization. Xinjiang Xinxin Mining Industry Co should strive to include more intangible value offerings along with its core products and services.
Xinjiang Xinxin Mining Industry Co Opportunities | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities of Xinjiang Xinxin Mining Industry Co are -
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 Xinjiang Xinxin Mining Industry Co 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.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Metal Mining industry, but it has also influenced the consumer preferences. Xinjiang Xinxin Mining Industry Co can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Xinjiang Xinxin Mining Industry Co 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 Xinjiang Xinxin Mining Industry Co to hire the very best people irrespective of their geographical location.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Xinjiang Xinxin Mining Industry Co is facing challenges because of the dominance of functional experts in the organization. Xinjiang Xinxin Mining Industry Co can utilize new technology in the field of Metal Mining industry to build more coordinated teams and streamline operations and communications using tools such as CAD, Zoom, etc.
Using analytics as competitive advantage
– Xinjiang Xinxin Mining Industry Co has spent a significant amount of money and effort to integrate analytics and machine learning into its operations in Metal Mining sector. This continuous investment in analytics has enabled Xinjiang Xinxin Mining Industry Co to build a competitive advantage using analytics. The analytics driven competitive advantage can help Xinjiang Xinxin Mining Industry Co to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Xinjiang Xinxin Mining Industry Co can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Use of Bitcoin and other crypto currencies for transactions in Metal Mining industry
– The popularity of Bitcoin and other crypto currencies as asset class and medium of transaction has opened new opportunities for Xinjiang Xinxin Mining Industry Co in the Metal Mining industry. Now Xinjiang Xinxin Mining Industry Co can target international markets with far fewer capital restrictions requirements than the existing system.
Manufacturing automation
– Xinjiang Xinxin Mining Industry Co can use the latest technology developments to improve its manufacturing and designing process in Metal Mining 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.
Low interest rates
– Even though inflation is raising its head in most developed economies, Xinjiang Xinxin Mining Industry Co 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.
Loyalty marketing
– Xinjiang Xinxin Mining Industry Co 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.
Changes in consumer behavior post Covid-19
– consumer behavior has changed in the Metal Mining industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Xinjiang Xinxin Mining Industry Co 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. Xinjiang Xinxin Mining Industry Co 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.
Leveraging digital technologies
– Xinjiang Xinxin Mining Industry Co 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Xinjiang Xinxin Mining Industry Co can use these opportunities to build new business models that can help the communities that Xinjiang Xinxin Mining Industry Co operates in. Secondly it can use opportunities from government spending in Metal Mining sector.
Threats Xinjiang Xinxin Mining Industry Co External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats of Xinjiang Xinxin Mining Industry Co are -
Shortening product life cycle
– it is one of the major threat that Xinjiang Xinxin Mining Industry Co is facing in Metal Mining sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Easy access to finance
– Easy access to finance in Metal Mining industry will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Xinjiang Xinxin Mining Industry Co can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
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 Xinjiang Xinxin Mining Industry Co in the Metal Mining sector and impact the bottomline 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. Xinjiang Xinxin Mining Industry Co needs to understand the core reasons impacting the Metal Mining industry. This will help it in building a better workplace.
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 Xinjiang Xinxin Mining Industry Co.
Regulatory challenges
– Xinjiang Xinxin Mining Industry Co 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 Metal Mining industry regulations.
Consumer confidence and its impact on Xinjiang Xinxin Mining Industry Co 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 Metal Mining industry and other sectors.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Xinjiang Xinxin Mining Industry Co 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 Xinjiang Xinxin Mining Industry Co prominent markets.
Increasing wage structure of Xinjiang Xinxin Mining Industry Co
– 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 Xinjiang Xinxin Mining Industry Co.
Stagnating economy with rate increase
– Xinjiang Xinxin Mining Industry Co 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 Metal Mining industry.
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. Xinjiang Xinxin Mining Industry Co 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.
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.
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 Xinjiang Xinxin Mining Industry Co business can come under increasing regulations regarding data privacy, data security, etc.
Weighted SWOT Analysis of Xinjiang Xinxin Mining Industry Co Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers at Xinjiang Xinxin Mining Industry Co 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 Xinjiang Xinxin Mining Industry Co 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 Xinjiang Xinxin Mining Industry Co 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 Xinjiang Xinxin Mining Industry Co 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 Xinjiang Xinxin Mining Industry Co needs to make to build a sustainable competitive advantage.