BUSN460 SWOT
SWOT is an acronym that stands for strengths, weaknesses, opportunities, and threats. The SWOT analysis will help CanGo understand the opportunities that are available and what threats may affect its operations. Before moving forward CanGo needs to assess the position they currently have in the market place. The use of a SWOT analysis technique will be beneficial at this point and will serve as the baseline to elaborate on a strategic plan for the organization. IMC has been observing CanGo’s operations for a couple of months, and have developed the following preliminary SWOT Analysis from these observations:
Strength
* Purchase an automated storage and retrieval system (ASRS) to help improve the warehouse. An automated storage and retrieval system (ASRS) is a great solution for CanGo’s inventory handling. * CanGo has experienced exponential growth in their first two years of operation. CanGo has been recognized as one of the fastest growing small business in the Hudson Valley. * Constant interest in research and improving company. As we can see that CanGo is always looking for something new, they are always trying to beat their competitors, they are constantly trying to improve company, and find another way to be successful and gain profit. Weaknesses
* CanGo, Inc. has no vision or mission statement. Growth opportunities are imminent and the possibility to go public requires a clear vision and mission statement in order to understand their direction on the market * CanGo is lacking in management by objectives (MBO). The aim of MBO is to increase organizational performance by aligning goal and subordinate objectives throughout the organization. * CanGo is missing a strategic management plan. A strategic approach will help CanGo build teamwork by developing commitment and trust; will strengthen the leadership team by aligning their goals with those of the CEO; and will move the organization from the current status quo to an organized environment with clear goal setting for the short and long term. to develop and maintain a viable fit between their objectives, resources, and opportunities * Need for systems analysis and programmer. The marketing department must focus and apply their expertise and support in the areas of market intelligence and strategic business planning.
Opportunities
* Developing an in-house database that is incorporates into an automated storage and retrieval system ASRS. An automated storage and retrieval system (ASRS) is a great resolution for CanGo’s inventory usage. * Opportunities also exist in the Asia Pacific region for online sales. Company has to keep an eye on the future opportunities and possible consumers. The region could be their next step ahead to become a continental corporation. * Updating the website to incorporate some of the marketing ideas found to be relevant in the recent research analysis project.
Threats
* CanGo needs to expand its operating capacity to continue its’ growth. If they stay the same there won’t be growth, so in order to become more profitable, beneficial, and successful company they need to increase their productivity. * Management must develop a strategic management plan. The purpose of the strategic marketing plan is to fit between the organization’s objectives and resources and its changing market opportunities so it is beneficial for the company. * CanGo could potentially have employee retention problems. It is the responsibility of the CEO to ensure equal opportunity for all employees, adequate compensation packages, fair performance evaluation processes and career development programs for employees. * Lack of capital for necessary growth needs. Lack of money and cost of ASRS system. Company needs to have funds to change or improve warehouse. When expanding into a new market CanGo needs to understand and take into account trends that are in the industry and account for them when doing any sort of planning. Market analysis is a detailed overview of the industry and the market business one is intending to enter. Conducting an effective market research will help determine if there is a need or interest to actively implementing the launch of a new venture. Knowing the market's needs and how it is currently serviced provides you with key information that is essential in developing your product/service and marketing plan. The online gaming market is worth more than $15 billion with a total of 40 million users. In 2007, there were a total of 217 million online gamers worldwide. Surprisingly, online gaming is somewhat equally divided between genders, at 58% male players and 42% female players (Grabstats, 2008). With progresses in technology and internet, online gaming is becoming more popular across all boards.
References
GrabStats.com. (2008). Online Gaming Statisics. Retrieved October 3, 2014, from GrabStats.com: http://www.grabstats.com/statcategorymain.asp?StatCatID=14. NetMBA. (2010). Market Analysis. Retrieved October 3, 2014