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Examples of strength, weakness, opportunities and threats

A. Potential Resource Strengths and Competitive Capabilities


  • Skills and experience in key areas
  • Skills in improving product processes
  • Superior skills in supply chain management
  • Saving in Cost or cost advantages
  • Strong Financial condition
  • Strong advertising and promotion
  • Strong Market base and an attractive customer base
  • Strong Alliances/joint ventures with other firms that provide access to valuable technology,           competencies, and/or attractive geographic markets
  • Technology/superior technological skills/important patents
  • Reputation for good customer service
  • Relatively better quality products against rivals
  • Economies of scale and or experience curve effects
  • Ecommerce technologies and processes
  • Name of company as strong brand image
  • Global distribution capability. Vast geographical coverage
  • Trendy with Innovation skills
  • Human capital better than rivals


B. Potential Resource Weaknesses and Competitive Deficiencies


  • Weak balance sheet, burdened with too much debt
  • Weak on financial resources to fund promising strategic initiatives
  • Weaker dealer network than key rivals and/or lack of adequate global distribution capability
  • Weak and Obsolete facilities
  • Weak product line that is too narrow in comparison to that of rivals
  • Weak brand image or reputation
  • E-commerce systems and capabilities relative to rivals
  • Absolutely failing in putting e-commerce capabilities and strategies in place
  • Key competitors are producing at lower cost
  • Key skills are missing or competencies/lack of management depth/a deficiency of intellectual
  • No clear strategic direction
  • Not able to attract new customers as rapidly arrivals
  • No solution to internal operating problems
  • Estimated capital not available
  • Sub-par profitability; no cost control measures or cost accounting practices
  • Sub-Lots of underutilized plant capacity
  • Substandard product quality and/or R&D and/or technological know-how


C. Potential Company Opportunities

  • Openings to take market share away from rivals
  •  Possibility of Alliances or joint ventures that expand the firm’s market coverage or boost its competitive capability
  • Potential market opening to extend the company’s brand name or reputation to new geographic areas
  • Openings to exploit emerging new technologies
  • Research work on future possibilities
  • Takeover or Acquisition of rival firms or companies with attractive technological expertise
  • Using the internet and e-commerce technologies to dramatically cut costs and/or to pursue new sales growth opportunities
  • Not limited to present market, product or services. Utilizing existing company skills or technological know-how to enter new product lines or new businesses
  • Integrating forward or backward
  • Trade barriers elimination in attractive foreign markets
  • Intense growth because of sharply rising demand in one or more market segments
  •  Expanding the company’s product line to meet broader range of customer needs
  • Serving additional customer groups or expanding into new geographic markets or products segments


D. Potential External Threats to Company’s Well-being

  • Threats from increasing intensity of competition among industry’s rivals–may cause squeeze on profit margins.
  •  High competition from new Internet start-up companies, pursuing commerce strategies
  • Regulatory requirements are becoming costly
  • Entry of potent new competitors
  • Adverse shift in foreign exchange rates and trade policies of foreign governments
  • Shift in buyer needs and tastes away from the industry’s product adverse demographic changes that threaten to curtail the firm’s product
  • Technological changes or product innovations that undermine demand for the firm’s product
  • Substitute products substituting the company products Supplier and customers bargaining power increasing Slowdowns in market growth

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