PLDT Incorporation-SWOT-Analysis 2021 PDF

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PLDT Strength Weaknesses Oppurtunity Threats 2021...

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PLDT I nc.SWOT Anal ys i s St r engt hsofPLDT I nc. 1.Di s t r i but i onandRe ach:PLDTI nc .hasal ar genumberofout l e t si n al mos te v er ys t at e,suppor t edbyas t r ongdi s t r i but i onne t wor kt hat makess ur et hati t spr oduct sar eavai l abl eeasi l yt oal ar genumber ofc us t ome r si nat i me l ymanner . 2.Cos tSt r uc t ur e:PLDTI nc. ’ sl ow c os tst r uc t ur ehel psi tpr oduceata l ow c os tand se l li t spr oduc t satal ow pr i c e ,maki ngi taffor dabl e f ori t scus t omer s. 3.Deal erCommuni t y:PLDT I nc .has a s t r ong r e l at i onshi p wi t hi t s deal e r st hatnotonl ypr ovi det he m wi t hsuppl i e sbutal sof ocuson pr omot i ngt hecompany' spr oduct sandt r ai ni ng. 4.Fi nanc i alPos i t i on:PLDT I nc .hasa s t r ongfinanci alposi t i on wi t h c onsecut i v e pr ofit si nt he pas t5 ye ar s,al ong wi t h ac cumul at ed pr ofit r eser v es t hat can be us ed t o financ e f ut ur e capi t al e xpendi t ur es. 5.PLDT I nc .has a l ar ge as se tbase,whi c h pr ovi de si twi t h bet t er s ol v ency . 6.Ret ur n on Capi t alExpendi t ur e:PLDT I nc .has been s uc ces s f ul l y abl et ogener at eposi t i v er e t ur nson t hecapi t ale xpendi t ur ei thas i ncur r edonv ar i ouspr oj ec t si nt hepas t . 7.Aut omat i on:ofv ar i ousst agesofpr oduc t i on hasal l owed t hemor e e ffic i entus e ofr esour ces and r educ i ng c os t s.I tal so al l ows f or c onsi s t ency i n qual i t y ofi t spr oduc t sand pr ovi des t heabi l i t yt o s cal e up and s cal e down pr oduc t i on as pert he demand i nt he mar ke t . 8.Ski l l e d Labor f or c e:PLDT I nc .has i nv e s t ed e xt ensi v e l yi nt he t r ai ni ngofi t sempl oy eest hathasr esul t ed i ni te mpl oyi ngal ar ge numbe rofs ki l l e dandmot i vat edempl oyee s. 9.PLDT I nc . has a di v e r si fied wor kf or c e, wi t h pe opl e of many ge ogr aphi cal ,r aci al ,cul t ur aland educ at i onalbac kgr ounds t hat he l pt hec ompanybybr i ngi ngi n di v e r sei deasand met hodol ogi e s ofdoi ngt hi ng s. 10. PLDTI nc.hasqual i fiedandac cr edi t edpr of essi onal swor ki ng underi ni t st eam. 11. Ent er i ng new mar ket s:PLDT I nc . ’ si nnovat i v et e ams hav e al l owe di tt ocomeupwi t hne w pr oduc t sandent ernew mar ke t s.I t hasbeen suc c ess f uli n pas t ,i n mos toft hei ni t i at i v e si thast ake n i nne w mar ke t s . 12. Soc i alMedi a:PLDT I nc .has a s t r ong pr esenc e on soc i al medi a wi t h mor et han mi l l i ons off ol l owe r s on t he t hr ee mos t f amouss oc i alme di a pl at f or ms:Face book,Twi t t erand I ns t agr am.

I thashi gh l ev e l sofcus t ome re ngageme nton t he sepl at f or mswi t h l ow cus t omerr es ponset i me. 13. We bs i t e:PLDT I nc .has a we l l f unc t i oni ng and i nt er ac t i v e we bsi t et hatdr awsal ar genumbe rofi nt e r ne tt r afficandsal e s . 14. Pr oduc tPor t f ol i o:PLDT I nc.has a l ar ge pr oduc tpor t f ol i o wher ei tpr ovi despr oduct si n al ar ger ang eofc at egor i es .I thasa numbe r of uni que pr oduc t offer i ng st hat ar e not pr ovi ded by c ompe t i t or s . 15. The geogr aphy and l ocat i on ofPLDT I nc .pr ovi de i twi t ha c os tadv ant age i n ser vi ng i t s cust omer s ,when compar ed t ot hat wi t ht hecompe t i t i on. 16. PLDT I nc .has a we l l e s t abl i shed I Ts ys t em t hat ensur e s e ffic i encyi ni t si nt er nalande xt er naloper at i ons . 17. PLDTI nc.ownsanumberofi nt e l l e c t ualpr oper t yr i ght st hat i ncl udet r ade mar ksandpat e nt s .Theseal l ow i texc l usi vi t yov e ri t s pr oduc t sandcompe t i t or scannotc opyorr e v er see ngi neert hem. 18. PLDT I nc.i sabr and t hathasbeen i nt hemar ke tf ory ear s , andpe opl ear eawar eofi t .Thi smakesi t sbr andawar ene sshi gh. 19. I t spr oduc t shav emai nt ai ned qual i t yov ert heyear sandar e s t i l lv al ue dbycust ome r s ,whofindi tasgoodval uef ort heamount ofmoneyt hatt he ypay . 20. Par t ne r shi ps:St r at egi cpar t ner s hi psar ees t abl i s he dbyPLDT I nc.wi t hi t s suppl i er s ,deal e r s,r e t ai l e r s and ot hers t ake hol der s . Thi sal l owsi tt ol ever aget hem i fnee dbei nt hef ut ur e . WeaknessesofPLDT I nc. 1.Res ear c h and Deve l opment :Ev en t hough PLDT I nc .i ss pendi ng mor et han t he ave r age r esear c h and dev e l opme nt expendi t ur e wi t hi nt he i ndus t r y ,i ti s spendi ng way l es st han a f ew pl ay er s wi t hi nt he i ndus t r yt hathav e had a si gni ficantadv ant age as a r esul toft he i ri nnov at i v epr oduc t s. 2.Hi gh Day Sal e sI nv e nt or y:The t i me i tt ake sf orpr oduc t st o be pur c hasedandsol dar ehi ghert hant hei ndus t r yav er age,me ani ng t hatPLDTI nc .bui l dsuponi nv ent or yaddi ngunne ces sar yc os t st o t hebusi ne ss. 3.Rent edPr oper t y:As i gni ficantpr opor t i onoft hepr oper t yt hatPLDT I nc.owns i sr ent ed r at hert han pur c has ed.I thas t o pay l ar ge amount sofr entont heseaddi ngt oi t sc os t s . 4.Low c ur r entr at i o:The cur r entr at i ot hatshows t he c ompany’ s abi l i t yt omee ti t sshor tt e r m financ i alobl i g at i onsi sl owert hant he i ndus t r y av er age.Thi sc oul d me an t hatt hec ompany coul d hav e l i qui di t ypr obl e msi nt hef ut ur e. 5.Thecompanyhasl ow l e v e l sofc ur r entas se t scompar edt oc ur r ent l i abi l i t i es , and t hi s can cr eat e l i qui di t y pr obl ems f or i ti n oper at i ons .

6.Cashflow pr obl ems:The r ei sal ac kofpr operfinanci alpl anni ngat PLDT I nc .r e gar di ng cash flows,l e adi ng t oc er t ai n ci r c ums t anc es wher e t her e i sn’ t enough cash flow as r equi r ed l e adi ng t o unnec ess ar yunpl anne dbor r owi ng. 7.I nt egr at i on: PLDT I nc . ' s cur r e nt s t r uc t ur e and c ul t ur e hav e r esul t ed i n t he f ai l ur e of var i ous mer ger s ai me d at v e r t i cal i nt egr at i on. 8.Di v e r si ficat i on i nt he wor kf or ce:The wor kf or c e atPLDT I nc .i s c oncent r at ed wi t h mos t l yl ocal wor ker s, and l ow amount s of wor ke r sf r om ot her r aci albac kgr ounds .Lac k ofdi v e r si ficat i on makesi tdi ffic ul tf ore mpl oye esf r om di ffe r entr ac i albac kgr oundt o adj us tatt hewor kpl ace,l eadi ngt ol ossoft al ent . 9.Mar ke tResear c h:PLDT I nc .has notconduc t e d mar ke tr es ear c h wi t hi nt hemar ke tt hati ss erv e ssi nc et hepas t2year s.Asar e sul t , i ti smaki ngdeci s i onsbase d on 2 y e ar sol d dat a,whi l ec us t ome r ne edsmayhavee v ol v edov ert i me . 10. Hi gh empl oy ee t ur nov er r at e s: PLDT I nc. has a hi gher e mpl oy eet ur nov err at ecompar ed t ocompet i t or s.Thi smeanst hat i thasmor epeopl el eavi ngt hej ob,and asar esul t ,i ti ss pendi ng mor eon t r ai ni ngand deve l opmentase mpl oy eeskeep l eavi ngand j oi ni ng. 11. Qual i t yCont r ol :PLDTI nc .hasal owerbudge tf ori t squal i t y c ont r ol de par t me nt t han c ompe t i t or s . Thi sl e ads t o l ac k of c onsi s t ency and t he possi bi l i t y ofdamage t o qual i t y acr oss i t s v ar i ousout l e t s . 12. Lac kofl e galexper i e nc eandl eg aldepar t me nte mpl oy eesar e nothi ghl yqual i fied. 13. Af ew pr oduc t shaveahi gh mar ketshar e,whi l emos toft he pr oduc t shaveal ow mar ke tshar e .Thi sr e l i anceonaf e w pr oduc t s makes PLDT I nc . vul ner abl et o ext er nal t hr eat si ft hese f e w pr oduc t ssuffe rf oranyr eas on. 14. Thewor kl oadi sahi ghperwor ke rast he r ear ef e werwor ke r s t han t he ac t ual wor k r equi r ed. Thi s put s wor ker s under psyc hol ogi c alst r essandi sl i kel yt obel e sspr oduc t i v e . 15. Wor ke rmor al ei sl ow due t oc ompany c ul t ur e and pol i t i c s t hathavegr owni nr ec enty ear s . 16. Compe t i t i on and qual i fied empl oyee s hav ebee nl eavi ng t he or g ani z at i on i nr e centyear s ,whi c hcoul dmean as hor t ageofgood t al e ntf ort hecompanyi nt heupc omi ngy e ar s . 17. Thede ci s i on maki ngi shi ghl yc e nt r al i z ed,and deci s i onsby t e ams nee dt o be appr ov ed by cer t ai n offic i al s . Thi sr educe s e ffic i encyi n oper at i onsbymaki ngt he m mor et i mec onsumi ng .I t al s ol e adst or educedi nnovat i on. 18. The pe r f or manc e appr ai sali s noti n a sys t emat i c manne r . Pe opl ear eof t en notappr ai sedf ort hei rper f or mance .Thi sl e adst o

l ower wor k mor al e and l ac k of pr omot i on oppor t uni t i es f or e mpl oy ees.

Oppor t uni t i esofPLDT I nc. 1.I nt erne t :t he r e has been an i nc r ease i nt he numberofi nt e r ne t user sal lov ert hewor l d.Thi smeanst hatt her ei san oppor t uni t y f orPLDTI nc.t oe xpandt he i rpr ese nceonl i ne;byus i ngt hei nt er ne t t oi nt er ac twi t hi t sc us t omer s . 2.Ecommer ce:Ther ehasbee n ane wt r endandagr owt hi ns al esof t hee commer c ei ndus t r y .Thi smeanst hatal otofpeopl ear enow maki ngpur c hase sonl i ne .PLDT I nc .can ear nr ev enuebyope ni ng onl i nes t or e sandmaki ngsal est hr ought he se . 3.Soc i alMedi a:t he r ehasbeen an i ncr easei nt henumberofsoc i al medi a user s wor l dwi de . The t hr ee soc i al me di a pl at f or ms; Fac ebook,Twi t t erandI ns t agr am,hav eshownt hegr eat es tnumber ofi ncr easei nmont hl yac t i v euser s .PLDTI nc .canus esoc i almedi a t o pr omot ei t s pr oduc t s ,i nt er ac t wi t h c us t ome r s and col l ec t f e edbac kf r om t he m. 4.Tec hnol ogi c al dev e l opme nt s: t echnol ogy come s wi t h nume r ous benefit samongmanydepar t me nt s .Ope r at i onscan beaut omat ed t or educ ec os t s.Tec hnol ogyenabl e sbe t t erdat at obecol l e c t e d on c us t ome r sandi mpr ov esonmar ke t i nge ffor t s. 5.The r e has been an i nc r ease i n av er age house hol di nc ome al ong wi t h an i ncr ease i nc onsumers pendi ng f ol l owi ng t he r ec essi on. Thi swi l lr esul ti n gr owt hi n PLDT I nc . ’ st ar ge tmar ke twi t h ne w c us t ome r st hatcanbeat t r ac t edt owar dst hebusi ne ss. 6.Popul at i on:t he popul at i on has be en gr owi ng and i s expe c t e dt o gr ow ataposi t i v er at ef ort heupc omi ngy ear s.Thi si sbenefici alf or PLDT I nc .ast he r ewi l lbean i ncr eas ei nt henumberofpot ent i al c us t ome r st hati tc ant ar ge t . 7.I nflat i on:Thei nflat i onr at ehasbeenl ow andi sexpec t edt or emai n l ow i nt hene xtt woy ear s.Thi si san oppor t uni t yf orPLDT I nc .as i t scos tofi nput swoul dr emai nl ow f ort hene xtt woy ear s . 8.I nt er e s tr at e:Loweri nt er estr at est hancompar edt opr evi ousy ear s pr ovi de an oppor t uni t yf or PLDT I nc. t o unde r go e xpans i on pr oj ec t st hatar efinanc edwi t hl oansatacheape ri nt er es tr at e . 9.Gr een gov er nme ntdr i ve:t hi s pr ovi des an oppor t uni t yf orPLDT I nc.f or t he sal e ofPLDT I nc . ' s pr oduc t st of e de r aland s t at e gov er nmentc ont r ac t or s . 10. Tr ans por tI ndust r y: t he t r ans por ti ndus t r y has bee n flour i s hi ng i nt hepas tf e w year s,and shows gr owt h pot ent i ali n

t hef ut ur e .Thi shasr educ ed t hecos t soft r ans por t at i on,whi ch i s benefici alf orPLDTI ncasi twi l ll owe ri t sov er al lc os t s . 11. Tax pol i cy: t he gov er nme nt s’ r educ t i on i n t ax r at ei s benefici alf orPLDT I nc .asal oweramountwoul dbeexpensedout asat ax. 12. Thegov e r nmenthasal s oannounc edas ubsi dyont hes al eof e nvi r onment al l yf r i endl ygoodsi nt hi ssect or .PLDT I nc .can f ocus on t hes ee nvi r onment al l yf r i endl ypr oduc t sand makeuseoft hi s oppor t uni t y . 13. Tour i s m:gr owt hi nt our i sm i sbe nefic i alf orPLDT I nc .asi t wi l lpr ovi denew pot ent i alc us t ome r st hati tcan t ar ge ti n or de rt o g ai nmar ke ts har e. 14. Ski l l e d wor ke r s: i ncr ease i n educ at i on and t r ai ni ng by nume r ous i nst i t ut es has i ncr eased t he amountofs ki l l ed l abor av ai l abl ewi t hi nt hec ount ry .Thi smeanst hati fPLDT I nc .i sabl e t o hi r es ki l l ed l abor ,i twoul d hav et os pe nd l e sson t r ai ni ngand dev el opment ,t her e f or e,s avi ngc os t s . 15. Thegr owt hi nc onsume rs pendi ngi nt heec onomyi sl i ke l yt o i ncr easec onsumpt i onf orPLDTI nc. ' spr oduc t s . 16. A numberofne w ni c he mar ke t s hav e ope ned up t hatar e gr owi ng .PLDT I nc .can s e l lpr oduc t si nt hese mar ket s and t ake adv ant age . 17. Gl obal i z at i on:I nc r easedgl obal i z at i on doesnotr es t r i c tPLDT I nc.t oi t s own c ount r y .I t can ext end i t s oper at i ons t o ot he r c ount r i e s,ent e r i ng i nt ot hese mar ket s and maki ng us e oft he oppor t uni t i est hatl i ei nt hesemar ke t s. 18. Consumer s wi t hi n t he i ndus t r y ar e be comi ng mor e c onsci ousofheal t h,and t hi si sa segmentt hati sgr owi ng .PLDT I nc. can t ake advant age by manuf ac t ur i ng pr oduc t st hat ar e benefici alt oc us t ome r ' sheal t h. 19. Tr ade bar r i er s hav e be en r educed on t he i mpor tofgoods . Thi swi l lr educ et hecos t si nc ur r e doni nput sf orpr oduc t i on. 20. Regul at i onshav el oos ened i nr ec enty ear smaki ng i teasi e r f orbus i nes sest ocar r youtt he i roper at i ons.

Thr eat sofPLDT I nc. 1.Tec hnol ogi c al de v e l opment s by c ompe t i t or s; Ne w t ec hnol ogi c al dev el opment s by a f e w c ompe t i t or s wi t hi nt he i ndus t r y pose a t hr eatt o PLDT I nc .asc us t ome rat t r ac t ed t ot hi snew t ec hnol ogy can bel os tt oc ompe t i t or s ,dec r easi ng PLDT I nc . ’ s ov e r al lmar ke t s har e. 2.Suppl i e r s:The bar g ai ni ng powerofsuppl i e r s has i ncr eased over t he y ear s wi t ht he de cr ease i nt he numbe r ofsuppl i e r s.Thi s meanst hatt hec os t sofi nput sc oul di nc r easef orPLDTI nc .

3.New ent r ant s:t he r ehav ebeennume r ouspl aye r st hathav ee nt er e d t he mar ke t and ar eg ai ni ng mar ket s har e by gai ni ng exi s t i ng c ompani e s ’mar ke tshar e .Thi si sa t hr eatt o PLDT I nc .asi tcan l osei t sc us t omer st ot hesenew e nt r ant s . 4.I nc r easi ngc ompe t i t i on:t he r ehasbee n an i nc r easei n compet i t i on wi t hi nt he i ndus t r y put t i ng downwar d pr ess ur e on pr i c es.Thi s c oul dl e ad t or educ ed r ev enue f orPLDT I nc .i fi tadj us t st ot he pr i c ec hangesorl os sofmar ketshar ei fi tdoesn’ t . 5.Exc hange Rat e: t he e xc hang er at e keeps fluc t uat i ng and t hi s affec t sa c ompany l i ke PLDT I nc .t hathas sal es i nt er nat i onal l y , whi l ei t ss uppl i er sar el ocal . 6.Pol i t i c alunc er t ai nt i es i nt he count r y pr ove t o be a bar r i e ri n bus i ness; hi nde r i ng per f or mance at t i me s and maki ng t he bus i nessi nc urunnecessaryc os t s . 7.Thefluc t uat i ngi nt e r es tr at esi nt hec ount r ydonotpr ovi deas t abl e financ i alande c onomi cenvi r onme nt . 8.Consumer t as t es ar e c hangi ng , and t hi s put s pr ess ur e on c ompani e st oc onst ant l yc hanget hei rpr oduct st omee tt heneeds oft he secus t ome r s . 9.Regul at i ons on i nt er nat i onal t r ade keep c hangi ng, and t hi s r equi r esc ompl i anc ebycompani e si ft he yar et oope r at egl obal l y . 10. Subs t i t ut e pr oduc t s avai l abl e ar e al s oi nc r eas i ng,whi c hi s t hr eatc ol l ect i v e l yf ort hewhol ei ndus t r yasconsumpt i onofcur r ent pr oduc t sdecr ease . 11. Ther i sei n pr i cesoff ue lhasi nc r eas edi nt hei nputc os t sf or PLDTI nc .Thes ecos t shav eal s oi nc r easedasot heri ndus t r i e st hat pr ovi dei nput sf ort hi sc ompanyal sohav esuffe r edf r om i ncr eas i ng f uelpr i c es ,t he r e byc har gi ngmor e. 12. I nc r ease d pr omot i onsbyc ompe t i t or shav ebeen a t hr eatf or PLDT I nc .On mos tmedi a,t her ei s mor ec l ut t e rt han ev er ,and c us t ome r s ar e bombar ded wi t h mul t i pl e me ss ages .Thi sr educ e s t hee ffec t i v e nessofpr omot i onalme ss age sbyPLDTI nc. 13. Cons t antt ec hnol ogi calde v e l opme nt sr e qui r et he wor kf or ce t o be t r ai ne d ac cor di ngl y as t he i nabi l i t yt o keep up wi t ht hese c hangesc anl eadt ol ossofbusi ne ssf orPLDTI nc....