SWOT Analyses
SWOT is an acronym for strengths, weaknesses, opportunities and threats related to organizations. Strengths and weaknesses are considered as internal to the business and companies can change them. Opportunities and threats, on the other hand, are external in a way that companies cannot influence them. The following table illustrates Square SWOT analysis: Strengths 1. Strong leadership by Jack Dorsey 2. Strong brand value 3. Effective ecosystems 4. Impressive growth rate of the business Weaknesses 1. Lack of global presence 2. High employee turnover 3. Dependence on payment cards networks 4. 4. High costs of operations Opportunities 1. International market expansion 2. Developing new products and services 3. Diversification 4. Support from governments Threats 1. Jack Dorsey conflict of interest or burnout 2. Increasing complexity of the business 3. Cyberattacks 4. 4. Emergence of new competitors Square SWOT analysis Strengths in Square SWOT Analysis 1. Square co-founder and CEO Jack Dorsey is a serial entrepreneur with proven leadership skills and business acumen. Dorsey successfully exercises purpose-driven leadership and his purpose at Square is making it easier for everyone to particulate in the economy. Moreover, Jack Dorsey is also a proven innovator and he is often compared to Steve Jobs, justifiably so. Dorsey’s effective leadership and innovative potential may play an instrumental role in expanding Square portfolio with more innovative products and services with positive implications on the long-term growth of the business. 2. Square market capitalization is more than USD 113 billion as of September 2021[1] As illustrated in figure below, Square stock value has increased more than 27 times from USD 9,00 since its IPO in October 2015 to its current USD 247,90. Specifically, market capitalization of the payments company soared during the past year once user conveniences associated with Square products and services became evident to a wider customer…
SWOT is an acronym for strengths, weaknesses, opportunities and threats related to organizations. The following table illustrates Uber SWOT analysis: Strengths 1. First mover advantage and global market leadership 2. Low operational costs 3. Effective implementation of ‘Think Global, Act Local’ strategy 4. Uber ecosystem 5. High levels of user convenience Weaknesses 1. Damaged brand image due to a series of various scandals 2. Increasing losses of the business 3. Uber business model is easy to imitate 4. Only technically savvy individuals can use Uber services 5. Low earnings by Uber drivers Opportunities 1. Increasing popularity of sharing economy 2. Self-driving cars 3. Improving brand image through CSR programs and initiatives 4. Increasing internet penetration in the global scale 5. Increasing service range Threats 1. More legal actions in certain countries to ban Uber from operating 2. Further intensification of competition 3. The risk of new scandals and ethical issues 4. Growing protests and retaliations from traditional taxi services 5. Drivers leaving Uber due to low earnings Uber SWOT analysis Strengths in Uber SWOT Analysis 1. Uber is the largest global taxi technology company in the world and it has a first mover advantage in the ride-hailing segment in the global scale. The company has effectively utilised its fist mover advantage to build momentum and achieve global expansion in a short period of time. Moreover, thanks to first-mover advantage, the word Uber has become synonym for ride-haling internationally and the new term uberisation has emerged describing commodisation of various services. Uber is an undisputed market leader in ride-haling the global scale. The largest mobility platform in the world has more than 93 million monthly active riders in approximately 10000 cities worldwide. As illustrated in figure below, Uber is much more popular than its closest rival Lyft in the largest…
SWOT is an acronym for strengths, weaknesses, opportunities and threats related to organizations. The following Table 1 illustrates Tesla SWOT analysis: Strengths 1. First mover advantage 2. Increasing numbers of vehicles sales 3. Expertise in innovation 4. Brand equity Weaknesses 1. Expensive price tags of Tesla vehicles 2. Huge amount of debt (USD 11.69 billion) 3. History of over-promising and under-delivering the quantity of vehicles 4. Limited global presence Opportunities 1. Development of lower priced models 2. Strengthening of Tesla ecosystem 3. Shifts in consumer environmental attitudes 4. More government incentives Threats 1. Manufacturing delays risks 2. Crashes and fires in Tesla cars 3. Threat of new competition 4. Decrease in the price of oil Table 1 Tesla SWOT analysis Strengths in Tesla SWOT Analysis 1. Tesla benefits from the first mover advantage in alternative fuel vehicles manufacturing to a considerable extent. The company was established in 2003 with the mission “to accelerate the world’s transition to sustainable energy”, right after auto giant General Motors recalled and destroyed its EV1 electric cars.[1] Today, Tesla is an undisputed global market leader in electric vehicles segment. It can be argued that being the first global company exclusively focusing on electric vehicles, Tesla is in a good position to achieve a long-term growth. 2. The numbers of electric vehicles sold by Tesla has been increasing. As illustrated in Figure 1 below, the alternative fuel vehicles manufacturer delivered 180,000 vehicles in the last quarter of 2020. Increasing numbers of vehicles sales is strategically important for the company in a way that it allows benefiting from economies of scale and consequently, the alternative fuel vehicles manufacturer can become more profitable. Figure 1 The numbers of Tesla vehicles delivered worldwide[2] 3. Innovation is placed at the core of Tesla business strategy and…
SWOT is an acronym for strengths, weaknesses, opportunities and threats related to organizations. The following table illustrates W.W. Grainger SWOT analysis Strengths 1. Experience, competence and knowledge in selling MRO products 2. Economies of scale 3. An extensive product range 4. Increasing share of sales via e-commerce Weaknesses 1. Substantial indebtness 2. Overdependence on home market in the US 3. Vulnerability to Amazon Business 4. Ineffective marketing strategy Opportunities 1. Increasing integration of Artificial Intelligence into various business processes 2. Engaging in value added activities for customers 3. Pursuing international market expansion strategy into developing countries 4. Emergence of competitor vulnerabilities Threats 1. Increasing strength of local distributors due to COVID-19 pandemic 2. Further loss of market share to Amazon Business 3. Inability to sustain competitive advantage 4. Changes in currency exchange rates. W.W. Grainger SWOT Analysis Strengths in W.W. Grainger SWOT Analysis 1. Established in 1925 by William W. Grainger – motor designer, salesman, and electrical engineer as a wholesale electrical sales company, by now the B2B distributor has an extensive experience of more than 90 years in industrial distribution. In-depth technical knowledge due to experience and know-how serves as a competitive advantage for the business and it plays an instrumental role in further expansion of product categories. 2. Grainger derives massive benefits from the economies of scale. The industrial products distributor sells about 1,7 million types of products supplied by about 5000 suppliers worldwide to more than 3,5 million customers internationally.[1] Immense scale of business operations allows Grainger to source products in bulk, negotiating low purchasing prices. Moreover, economies of scale benefit the business in terms of inbound logistics, warehousing and outbound logistics of products to end-users. 3. Arguably, Grainger covers the greatest range of MRO products among distributors worldwide. Unlike B2C business, in B2B distribution inclusion…
SWOT is an acronym for strengths, weaknesses, opportunities and threats related to organizations. The following table illustrates Airbnb SWOT analysis: Strengths 1. First mover advantages 2. Cost attractiveness for customers 3. Impressive growth rate 4. Airbnb adventures Weaknesses 1. Inability to control service quality 2. Vulnerability of brand image 3. Replicable business model 4. Absence of reception, housekeeping and room service Opportunities 1. Brand extension 2. Further international market expansion 3. Further technological integration 4. Formation of new strategic alliances Threats 1. More legal issues 2. Scandals 3. Emergence of new competition 4. Loss of key members of workforce Airbnb SWOT analysis Strengths in Airbnb SWOT Analysis 1. Airbnb has a first mover advantage in peer-to-peer lodging industry. First mover advantage has played an instrumental role for Airbnb in terms of establishing strong brand recognition and achieving private brand valuation at USD 35 billion.[1] Thanks to first mover advantage coupled by effective leadership by founders Brian Chesky, Joe Gebbia and Nathan Blecharczyk, the word Airbnb has become synonym for peer-to-peer lodging practices. Moreover, it can be argued that first mover advantage immensely contributes to Airbnb brand loyalty by rapidly expanding its customer base. 2. Airbnb is more cost attractive compared to traditional hotels and this is one of the major strengths points of its customer value proposition. As it has been illustrated in figure below, as of January 2018 average room prices per night are considerably lower at Airbnb compared to average room prices of hotels and this difference is the biggest in New York at USD 119. Operating rooms via Airbnb does not require 24 hours check-in desk, concierge, administration office and management apparatus like hotels, therefore at Airbnb a part of the cost advantage is passed to consumers. Average room prices in selected major cities in January 2018[2]…
SWOT is an acronym for strengths, weaknesses, opportunities and threats related to organizations. The following table illustrates Microsoft SWOT analysis: Strengths 1. Global leadership in cloud sector 2. Effective leadership by Satya Nadella 3. High profitability of the business and solid financial position 4. The most valuable company in the world 5. Diversified product portfolio Weaknesses 1. Lack of innovation 2. Weak position of Microsoft Edge browser application 3. Occasional technical issues with Windows updates 4. Dependence on hardware manufacturers 5. Security issues of Microsoft products Opportunities 1. Engagement in mergers and acquisitions 2. Developing innovative products and services 3. Focusing on smartphone segment 4. Developing mobile advertising 5. Enhancing security against cybercrime Threats 1. Exchange rate risks 2. Emergence of new competitors 3. Anti-monopoly and other lawsuits 4. Economic crisis 5. Emergence of CSR-related scandals Microsoft SWOT analysis Strengths in Microsoft SWOT Analysis 1. Microsoft is an undisputed leader in global marketplace in cloud segment. The technology giant offers a wide range of cloud-based computing services that include Bing, Microsoft Azure, Microsoft Dynamics CRM Online, Microsoft Office 365, OneDrive, Skype, Xbox Live, and Yammer. In 2018, Microsoft had global datacenter footprint to 54 regions – more than any other cloud provider. In the same year, the revenues of Azure hyperscale cloud grew 91 percent year-over-year. Moreover, Microsoft added nearly 500 new Azure capabilities in 2017 alone.[1] 2. Effective and visionary leadership by Satya Nadella is one of the factors that set apart Microsoft from competition in positive terms. Since taking over from Steve Ballmer as Microsoft CEO in 2014, Nadella has been bold and effective in restructuring and reinvention of the company. Initiatives such as refocusingMicrosoft’s mobile-based efforts and expanding many of its services to be offered on other platforms like Mac introduced by Nadella has proved to be…
In business context, SWOT acronym stands for strengths, weaknesses, opportunities and threats associated with the company. The following table illustrates Xiaomi SWOT analysis Strengths 1. Efficient leadership by Lei Jun 2. Impressive growth rate 3. Cost advantage 4. Brand value estimated at USD 100 billion[1] Weaknesses 1. Low profit margin 2. Lower smartphone capabilities and functionalities compared to major competitors such as Apple and Samsung 3. Competitive advantage difficult to sustain 4. Lack of experience in the global marketplace Opportunities 1. Increasing presence in cloud segment 2. Formation of strategic collaborations 3. Focusing on marketing strategy 4. Achieving a disruptive innovation in the industry as a result of research and development Threats 1. Market saturation in smartphone industry 2. Increase in the costs of resources 3. Issues with product functionality 4. Emergence of CSR-related scandals Xiaomi SWOT analysis Strengths in Xiaomi SWOT Analysis `1. Xiaomi co-founder and CEO Lei Jun is an effective business leader named “Businessman of the Year” 2014 by Forbes Asia. Dubbed the ‘new Steve Jobs’, Lei Jun is perceived as the face of China Inc, along with Alibaba Founder Jack Ma.[2] Moreover, it is said that Lei has never yelled at his staff. When he encounters a problem, he just smiles and gets down to business, and tries to find a solution. In social gatherings, Lei is always a good listener.[3] Efficient and visionary leadership style is one of the major factors behind the phenomenal growth of the internet technology company. 2. The electronics and software company has enjoyed an impressive growth rate since its foundation in 2011. In Q4 2017, Xiaomi became the world’s No.4 in terms of quantity of shipments. Despite the decline of 6,3% in the global smartphone market, Xiaomi managed to maintain a year-on-year growth of 96.9%, the only brand demonstrating continuous…
SWOT is an acronym for strengths, weaknesses, opportunities and threats related to organizations. The following table illustrates Samsung SWOT analysis: Strengths 1. Leadership in visual display market segment 2. Strong patent portfolio 3. High brand value 4. Global leadership across all mobile and smartphone markets 5. Solid financial position of the company Weaknesses 1. Absence of own OS and software 2. Damage to brand image due to product safety issues 3. Low profit margin 4. Extensive product portfolio 5. Competitive advantage hard to sustain Opportunities 1. Further increasing investment in R&D 2. Focusing on mobile advertisements 3. Entering cloud business segment 4. Increasing presence in emerging markets 5. Entering into strategic collaboration with affiliated businesses Threats 1. Changes in currency exchange rate 2. Intensification of competition due to the slowing growth in the industry 3. Disruption in the pipeline of new products 4. Patent infringement lawsuits 5. Disruptive innovation by competitors Samsung SWOT analysis Strengths 1. Samsung has maintained the largest market share in the global market of visual display since 2006. Samsung Display Solutions has advanced the field of digital signage by introducing leading-edge new hardware, including new video walls featuring the world’s narrowest bezel and the world’s first TIZEN-powered premium signage.[1] Samsung had a global TV market share of 27.6% in 2015. The global market share for UHD TV market share amounted to 34.1% for the same year.[2] Moreover, in 2015 Samsung Electronics had mobile phone market share of 21.1%, smartphone market share of 22.2% and tablet market share of 15.0%.[3] 2. Strong patent portfolio is one of the solid bases of Samsung competitive advantage. In 2015 alone, the multinational electronics company registered 5072 global patents in the US Patent and Trade Office. Samsung is the 2nd largest patent holder in the US since 2006.[4] The multinational…
SWOT is an acronym for strengths, weaknesses, opportunities and threats related to organizations. The following table illustrates Alphabet (Google) SWOT analysis: Strengths1. Market leadership in search engine segment 2. First mover advantage for many products and services 3. Organizational culture and spirit of creativity 4. Ecosystem of products and services 5. Strong position in online advertising segment Weaknesses 1. Reliance on advertising as primary source of revenues despite diversification 2. Many products and services in Alphabet portfolio are not profitable 3. High employee turnover rate at executive level 4. Sharing user information 5. Weak presence in social networking segment Opportunities 1. Increasing presence in consumer electronics industry 2. Acquisitions of related businesses 3. Increasing focus on cloud computing 4. Further developing Google+ 5. Benefiting from shift from desktop to mobile computing Threats 1. Failure of costly projects to generate profit 2. Competition from Facebook on search segment 3. Emergence of new competitors 4. Challenges of maintaining the current growth rate 5. Potential lawsuits Alphabet (Google) SWOT analysis Strengths 1. Initially introduced only as a search engine, Google has effectively dominated this segment due to the speed and efficiency of operations according to the mission of the company “to organize world’s information and make it universally accessible and useful”[1]. As it is illustrated in figurebelow, Google has the market share of more than 79% in desktop search engine, whereas its closest competitor Microsoft’s Bing has the less than one fifth of Google’s market share. Google’s current leadership in search engine attracts massive revenues via advertising and this position has also positive implications on the sales of its own products and services. Global market share distribution in desktop search segment as of April 2017[2] 2. Alphabet employs more than 27,100 people in research and development (R&D). The company invested USD…
SWOT is an acronym for strengths, weaknesses, opportunities and threats related to business organizations. The following table illustrates Facebook SWOT analysis Strengths 1. Market leadership in the global scale 2. Effective leadership by Mark Zuckerberg 3. Efficient capitalization on mobile advertising 4. Evolving role as a news source Weaknesses 1. Dependence of revenues only on advertising 2. Challenges to sustain the revenue growth rate 3. Dependence of the business on a few key personnel 4. Difficulty to sustain competitive advantage Opportunities 1. Diversification of revenue sources 2. Investments in data protection and user privacy protection 3. Entering Chinese market via negotiations with the government 4. Formation of strategic alliances Threats 1. Cyber attacks, phishing and threats to online security 2. Facebook may not be able to successfully integrate new business it acquires 3. Increasing popularity and sophistication of ad-block extensions 4. The threat of being banned in developing countries Facebook SWOT analysis Strengths 1. Facebook is an undisputed market leader in the global scale in online social networking segment. Facebook has more than 1.13 billion daily active users and 1.03 billion mobile daily active users and about 84.5 per cent of daily active users are outside the US and Canada.[1] As it is illustrated in Figure 2 below, the numbers of active users of the social networking sites has been consistently increasing during the past three years to reach more than 1.59 billion by the end of 2015. The current market leadership of the company is a considerable strength from multiple points of view. Facebook monthly active users (in millions)[2] 2. Despite his much younger age compared to many other CEOs, Mark Zuckerberg is a proven and effective business leader who exercises visionary leadership style in an efficient manner. Mr. Zuckerberg has been able to exercises exceptional decisiveness and beat…