TOWS Matrix - V3.0.ppt

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    TOWS Matrix

    November 26, 2013

    SanyogitaRathore

    Shruti Mittal

    SashiharRama!a

    Sasihar

    Ma"harlaSarvesh Mittal

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    #gena

    $ntrou"tion

    Stages o% TOWS analysis

    Strategies

    &ase Stuy

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    #gena

    Stages o% TOWS analysis

    Strategies

    &ase Stuy

    $ntrou"tion

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    $ntrou"tion '

    #"ronym o% SWOT

    TOWS analysis is an algorithm o% thestrategi" analysis (ro"ess, involvingsystemati" an "om(rehensiveassessment o% external an internal

    %a"tors) $t hel(s in etermining "urrent "onition

    an gro*th (otential o% the "om(any)

    +uielines erive are "om(any shoul

    avoi threats, ex(loit o((ortunities,strengthen its *ea!nesses an baseim(ortant a"tivities on its strengths)

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    ro"ess o% Strategy-ormulation ' Ste( 1' .eals *ith some basi" /uestions

    (ertaining to the internal an externalenvironments)

    Ste( 2 ' &on"ern (rimarily the (resent an%uture situation in res(e"t to the external

    environment) Ste( 3 ' #uit o% strengths an *ea!nesses,

    %o"uses on the internal resour"es o% theenter(rise)

    Ste( ' #"tivities ne"essary to evelo(

    strategies, ta"ti"s an s(e"i" a"tions are"arrie out, so as a"hieve the enter(risesoverall obe"tives)

    Ste( 4 ' &ontingen"y (lans must be (re(are

    5

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    #gena

    $ntrou"tion

    Stages o% TOWS analysis

    &ase Stuy

    Strategies

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    5Whether its bro!e or not, x it' ma!eit better) Not ust the (rou"ts but the*hole "om(any i% ne"essary) 7 8illSa(orito

    8

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    ST#+9S O- TOWS #N#:;S$S

    $enti"ation o% o((ortunities anthreats

    $enti"ation an analysis o% strengthsan *ea!nesses

    .etermination o% strategi" (osition anire"tion o% business evelo(ment

    9

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    #gena

    $ntrou"tion

    Stages o% TOWS analysis

    &ase Stuy

    Strategies

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    TOWS Matrix ' Strategies

    SO Strategy < 5Maxi'Maxi ST Strategy < 5Maxi'Mini

    WO Strategy < 5Mini'Maxi

    WT Strategy < 5Mini'Mini

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    TOWS Matrix ' Strategies

    SO situation - maxi-maxi strategy <  This situationapplies to the company for which dominates strengthsin the environment and opportunities within. Thissituation corresponds to the maxi-maxi strategy: strongexpansion and diversied development.

    WO situation - mini-maxi strategy < In this situationcompany has the more vulnerailities - wea!nesses" utits environment gives more opportunities. The strategyshould include the use of these opportunities whilereducing or correcting wea!nesses within theorgani#ation.

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    TOWS Matrix ' Strategies

    ST situation - maxi-mini strategy 

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    #gena

    $ntrou"tion

    Stages o% TOWS analysis

    StrategiesStrategies

    &ase Stuy

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    #((le 7 TOWS Matrix  $nternal

    9xternal

    Strengths =S>•

    Strong rand image•)inancial position•+roduct di,erentiation•pple etail strategy•'anufactures /ardware andSoftware•'ost user friendly 01I

    Wea!nesses =W>•+atent lawsuit•pple iOS uses 0oogle maps•+ricing•+roduct line is short•+rotective strategy

    O((ortunities=O>

    •1ncovered 'ar!ets•Strong growth insmartphone and taletmar!ets•2oyal 3ustomers

    SO Strategies•pple4s rand recognitionthroughout all its mar!ets canstrengthen y o,ering lessexpensive version of each productto appeal to lower incomemar!et•5evelop product for usiness

    segment•Improve customer 6xperience

    WO Strategies•0loal expansion through 'exico"+ortugal" )rance and ustralia" southeast asia.

    Threats =T>•ising popularity of 0ooglendroid 7 other operatingsystem• Technology Innovation•Supply System•Samsung has lauched itsown OS- Ti#en

    ST Strategies•+urchase voice and data networ!to complement the smartphonedivision will help ac(uire strongermar!et position•)ocus on supply chain.•)ocus on 75.

    WT Strategies•2ong term agreements etween ppleInc. and the suppliers to guaranteeproduction commitments

    •3ontinue investment in technology in

    order to stay ahead of competitorsand ecome a mar!et leader•

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    Samsung 7 TOWS Matrix  $nternal

    9xternal

    Strengths =S>•/ardware integration with manyopen source OS and softwares•6xcellence in engg and producing

    hardware parts and consumerelectronics•Innovation and design•5evelopment of new OS %Ti#en&•2ow production costs•2argest share in moile phones•ility to mar!et the rand

    Wea!nesses =W>•+atent infringement• Too low prot margin•

    'ain competitors are also largestuyers•2ac! its own OS and software•)ocus on too many products

    O((ortunities =O>•0rowing India4s smart phone mar!et•0rowing moile advertising industry•0rowing demand for (ualityapplication processors•0rowth of talets mar!et•Otaining patents throughac(uisitions

    SO Strategies• Tapping mar!ets li!e India with lowprices•5evelop new technologies to avoidpatent issues•Improve 8rand Image

    WO Strategies•Improving 3ustomer Service toma!e them loyal to the rand•)ocus on launching Ti#en OS•Strive for margin expansionwithout compromising on thevolumes y cutting costs

    Threats =T>•Saturated smart phone mar!ets indeveloped countries•apid technological change•5eclining margins on hardwareproduction•8reached patents•pple4s Tie-up with eliance%India&•+rice wars

    ST Strategies•)ocus on 75 to sustain thetechnological disruptions•+enetration into the untapped thirdworld countries•Scale-up development of newtechnologies for hardwareproduction•)ocusing on cost reduction• Tie-ups with service providers

    WT Strategies•3oncentrating focus on fewerproducts and improve (uality•2ong term agreements with3orporate clients who are alsocompetitors•8ringing etter designs with etter(uality•Improving 3ustomer experience

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    Than! you