During the Second tutorial for the Bachelor of Business course, Principles of Marketing we were introduced to a type of critical analysis of business, The SWOT analysis. The SWOT analysis is a procedure used to determine Strengths, Weaknesses, Opportunities and Threats of a business. The Strengths and Weaknesses are determined on the basis of internal factors such as staff morale, efficiency of chain of command etc.
Opportunities and threats are determined on the basis of external factors such as the state of the economy and changing views and attitudes of society.
The idea of and purpose of a SWOT analysis is to locate and address internal and external factors of business which may hinder its overall profitability and efficiency. After the being informed about the principles of a SWOT analysis, the class was asked to break up into groups.
Each group were then presented with a company, in which to carry out a SWOT analysis on, based on what we had already learned about this business operation.
Our group of four were given the company Red Bull which produces energy drink beverages. To begin with we discussed the internal and external factors which affect this particular company and began to deeply analyse this factors and determine whether they were Strengths, Weaknesses, Opportunities or infact threats.
The strengths of Red Bull we were able to determine were, their effective strategic alliance with sporting icons (Motocross, Extreme Sports, Travis Pastrana, The New York ‘Red Bulls’ Soccer Team etc. ) As well as, an iconic, recognisable, and effective, marketing strategy. We decided that the weaknesses of Red Bull are the small audience that its marketing scheme targets (Young people), as well as the lack of depth regarding the sole flavour of their energy drink which many people despise.
Opportunities for Red Bull include the option to expand from targeting such a minute section of society as well as the opportunity to inject new flavours of Red Bull in order to encourage people that do not enjoy the taste of the original Red Bull to buy the energy drink. The threats to Red Bull that we determined include the massive completion from several other energy drink companies (V, Mother, Rockstar, etc. ) Also bad publicity in the media regarding the unhealthy nature of the their product.
Cite this Principles of Marketing
Principles of Marketing. (2017, Mar 26). Retrieved from https://graduateway.com/principles-of-marketing/