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Case study review - Coursework Example

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Case study review

However, one weakness reflected is that of high operating expenses. This is because the revenue is in “billions” whereby the net profit is only amounting to a few “millions”, thereby reflecting high expenses. High expenses could lead to operational inefficiency as well as higher prices for customers; therefore, they need to be controlled. On the other hand, the company has the opportunity to grow as it is currently only medium sized. By employing more people and increasing operations it can take advantage of economies of scale and lower prices for customers. Finally, it is likely that the company is facing the threat of high expenses owing to factors beyond its control such as rising labor costs and interest rates. 2. Fitness First Group Ltd Fitness Ltd’s strength lies in its geographic diversification as it is “international” in nature and has operations in 15 countries. Therefore, it can take advantage of lower costs in other countries as well as reduce legal and regulatory risks by operating in different countries. However, it may potentially possess weakness in the form of mismanagement of multi-cultural international markets. Furthermore, since the company is large in size and scale, HR conflicts and conflict between the strategies for home country versus host country is likely to be inherent. The company faces the opportunity of further expanding its geographic base and expanding into other countries, such as emerging BRIC economies, to take advantage of the rising health issues and increased demand for fitness by consumers in these countries. Furthermore, it can “go public” rather than remaining a private limited company as doing so will give it access to greater amount of finances and capital to run the business. This is particularly relevant because the company has international operations which may require share capital to sustain them. Finally, the company faces the threat of intense competition owing to its international operations. It is worth noting that the company may have to compete with already established players in countries other than its home country which would entail a potential risk of failing in those countries altogether. Furthermore, customers’ preferences, habits and lifestyle may be different in these countries and this is particularly relevant since the company is offering lifestyle-based service- fitness. 3. Oxford BioMedica plc The company’s strength lies in its association with an already established brand- “Oxford University” which shall give it enhanced reputation compared to its competitors. However, its weakness is that the company may require greater funds for further research and development as scientific research is typically cost. An amount of ?130mn may, therefore, be insufficient for this purpose. As far as opportunity is concerned, the company may have access to greater funding owing to funds provided by health and scientific organizations that generally have huge budgets for research and development. This funding can be used to develop innovative medicines as is the core mission of the company. However, the threats are also likely to be high owing to the controversy surrounding “gene-based” medicines. This means that lack of political will and regulatory compliance may delay patent protection which could ultimately put the large ...Show more

Summary

Case Study Review Customer inserts his/her name Institution’s name Department’s name Date SWOT Analysis 1. Dairy Crest plc. The company’s biggest strength is its diversified brands which include Cathedral City, Utterly Butterly, Clover, St Ivel and Frijj…
Author : alyssonschultz
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