SWOT - A SWOT analysis assesses the existing strengths and vulnerabilities of a company PDF

Preview

Summary

A SWOT analysis assesses the existing strengths and vulnerabilities of a company and its potential prospects and risks...

Description

SWOT / TOWS Analysis Literature Review A SWOT analysis assesses the existing strengths and vulnerabilities of a company and its potential prospects and risks. The organizational review used to determine the organization's finances, strengths, expertise, and strategic advantages. The outside analysis identifies market opportunities and threats by examining the resources of competitors, the industry environment, and the environment. Tanya Sammut-Bonnici (2015). SWOT analysis aims to leverage and articulate an approach based on the awareness of a company in the internal and external environments. This article provides a toolkit for SWOT analyses that offer concrete guidance into how business decisions developed for the Weetabix case.

Analysis of Internal Strengths and Weaknesses In identifying the source of competitive advantage, the internal investigation of the organization is crucial. That leads us to explain the foundation of the company. Bennison Osbourne and Malcolm Mac Farlane, the British and African Cereal Co Ltd., was founded in August 1932 by a UK breakfast cereal specialist. Your first deed? To start production of a revolutionary new grain – Weetabix, it acquired a disused flour mill at Burton Latimer. A couple of years later, in 1936, Weetabix limited changed its name. Frank George joined the board as director and started a 70-year partnership with the George family. Then, in 2013, Weetabix On The Go introduced breakfast drinks with all the sugar, fiber, and protein of a traditional Weetabix with milk *,

to people with great exercise. Since then, Weetabix On the Go Protein drinks had extended, weetabixfoodcompany.co.uk (2020). Moreover, considered a global business that operates in over 80 countries, according to BBC (2017), and Vitale (2016) reports that Weetabix produced revenue of GBP 410 million which, as Reuters (2017) claimed, was not as much above 2015. That explains the company's growing income and market share in sold steps. Vitale said that the multiple was higher than its previous agreements but that the market share of Weetabix, potential prospects for growth, the willingness of Post to finance them in cash, and the favorable tax situation in the country were explaining this fact.

EXTERNAL ANALYSIS The global effects on businesses and the implications of future changes on the overall financial forecast. The terms of the deal include economic conditions, economy, revenue, income, wages, minimum wage, interest. Post Acquisitions following the purchase of Weetabix. Brexit Effect (2019). While the economy of the United States grew by 2.7%, and the UK economy grew by 0.4%, as mentioned above. Furthermore, owing to the global nature of firms and their trade ties between countries, they will have unique external economic consequences as taxation. Across Asia, East Africa, and North America, for example, Weetabix is distributing to eighty different nations and their factories. Addressing firms in their overseas trading are other global considerations, such as interest rates and currency fluctuation.

The international forces that affect corporations strongly. In the United Kingdom, for example, a minimum wage increase was used to acquire Weetabix. That increases the production costs of the company and reduces productivity. gov.uk (2020). The sterling declines sharply in value following the Brexit referendum. Holidays and imported products have been exceedingly expensive since June 2016, but UK exportations remain cheaper, BBC.com (2019). And Weetabix's manufacturing costs would rise due to the diverse nature of activities in various countries. However, this is a complicated image. Exporters are importers themselves, such as cereal makers, who buy the raw materials themselves. Giles Turrell Weetabix 's CEO reported that Weetabix had plans to handle the falling pound, while rates can escalate. Grocer.co.uk (2017). These include the legislation and regulations enacted by political authorities, such as health and safety law, employment law, and the data protection law. Post Holdings must comply with local and international laws and legislation for the industries, such as the United Kingdom Jobs Law as amended to raise the minimum wage for the varying ages of the workers.

SWOT analysis The Post Holding's internal and external monitoring is outlining in the SWOT matrix in addition to the TOWS report, which outlines potential approaches to be pursued by an organization to deal with the perceived risks and opportunities [Figure ?]

External Origin

Internal Origin

Figure ?: shows SWOT analysis for Weetabix company.

Helpful: at achieving objective

Harmful: at achieving objective

Strengths (S): 1 Predominantly variable cost structure. 2 Supplying materials available 3 Quality recognition (loyal customers) 4 Premium design and packaging

Weaknesses (W): (1) High price of Acquisition (2) Lack of patent for fruit bars whose quality is recognized (3) High-calories product compared with fresh fruit or vegetables.

Opportunities (O): (1) Breakfast cereals growing popularity (2) Recognition of Weetabix brand abroad (3) Trend for protein and fiber snacks (4) Steady interest in more premium-positioned snacks in general

Threats (T): (1) Fruit and natural snacks products may undermine profits (2) Growing competition in the cereals market (3) Potential entry of wellestablished international cereal breakfast manufacturer competitors with a significant competitive advantage

Source: plan to bear fruit: Frutaformas’ internationalization to the United Kingdom. "Master degree paper".

To take advantage of international markets, such as the UK market, post holders may exploit the Weetabix brand origin stamp. In addition to the protein and fibrous content of Weetbix goods, we also benefit from the increasing success of cereal breakfast. Post Holding will also consider increasing production volume through Weetabix manufacturing systems to cope with existing and future competition to minimize unit cost and to secure a patent on its cereals and on-the-go products.

Refrences:      

Geller, M., Jourdan, A. and Hirsch, L., 2017. U.S. Post Holdings Tucks Into British Breakfast Cereal Weetabix. [online] U.S. Available at: [Accessed 7 August 2020]. Weetabix Corporate. 2020. Weetabix Corporate - Nourishing The Nation Since 1932. [online] Available at: [Accessed 7 August 2020]. Lloyd, L., 2019. The Brexit Effect. Institute for Government. GOV.UK. 2020. National Minimum Wage And National Living Wage Rates. [online] Available at: [Accessed 8 August 2020]. BBC News. 2020. How Does Brexit Affect The Pound?. [online] Available at: [Accessed 8 August 2020]. Perkins, C., 2017. The Brexit Effect: 10 Foods We're Already Paying More For. [online] www.thegrocer.co.uk. Available at: [Accessed 8 August 2020]....