Business Model and Strategic Plan Part Ii: Swott Analysis Paper

Business Model and Strategic Plan Part II SWOTT Analysis Paper

Juel Todman

BUS/475

January 25, 2016

Dr. Steven D. Verrone

Business Model and Strategic Plan Part II SWOTT Analysis

 SWOT is an acronym for the internal Strengths and Weaknesses of a firm and the real Opportunities and Threats and Trends facing that firm. SWOT analysis is a modern technique through which managers create a quick overview of a company’s strategic situation. SWOT analysis is an assumption that an effective strategy derives from a sound “fit” between a firm’s internal resources (strengths and weaknesses) and its external situation (opportunities and threats). A good fit maximizes a firm’s strengths and opportunities and minimizes its weaknesses and threats. Accurately applied, this simple assumption has sound, insightful implications for the design of a successful strategy. Pearce, J. A. II. (2013). In other words, when this right ‘fit” is applied accurately, based on the assumption mentioned the implications for the strategy are successful. Every business large or small operates in two environments; they are internal and external. The internal environment consists of an environment that management can control that includes the organizational culture (employee’s behavior), policies, and mission statement and leadership styles. The external environment consists of elements or factors that cannot be controlled by management which are; competition (rivalry) in the industry, changes in regulations (government), and market change (stock market).  SWOT analysis provides upper management the essential tools to keep the organization operational, competitive and profitable. This paper will describe the SWOT analysis for SMLB’s Car Wash and detail shop as a subsidiary of Walmart as it relates to internal and external environments.

SMLB Carwash (Subsidiary of Walmart)

Walmart, the world’s largest multinational retail company, decided by its management team which includes the many share or stakeholders to open a car wash and detail shop named SMLB to earn a more market share and gain a competitive edge on its competitors or rivals. A SWOT analysis and a strategic plan have been considered to ensure company’s objectives and goals. Innovation allowed SMLB to offer leading product and servicesThe following is a report of the (SWOTT analysis and strategic plan) findings.

SWOTT Analysis (SMLB Carwash and Detail Shop)

Strength: start-up cost are low; Huge discount from major vendors (as a result of subsidiary of Walmart; Hours are flexible also the business structure; well- trained employees; Excellent relationship and reputation with consumers and clients; finally, parts and equipment can be obtained quickly. A SWOT analysis, as well as a strategic plan, has been considered to ensure that objectives and goals are met.

Weakness: No barrier entering; no client or consumer base establish; both consumer and customer can do it themselves; doubts by Walmart executives if this would work; no investors; finally, no specialized service.