While the excess baggage market may be a smaller percent of this overall figure it is expected to grow with the growth in travel for business and education that is steadily increasing over the years. According to the estimates by the WBS management, the Netherlands market is estimated at 25,00,000 Euros at the moment. (personal communication, 2011)
The excess baggage market was not much influenced by the economic downtrend of 2008-2009 owing to the continuous movement of people for business and work related activities or for travel and pleasure. WBS is therefore in a position what would be called a ‘Dog ‘ on the BCG matrix .
The main problem is therefore to find out the reason for this position, and to make suggestions to the company for appropriate changes. For this, the current research is focused on conducting a SWOT analysis .
The research used various Frameworks of analysis in order to generate information about the external and the internal environment of WBS so that its weakness and strengths, opportunities and threats could be assessed. This is done in order to understand what are the reasons for the decline in sales in a growing market.
1. Decreasing Market share due to powerful competitors (who have better technology, more qualified professionals, large number of employees and large logistic network and better costs for the customers)
The SWOT analysis indicated that there was a need for WBS to make changes in its internal environment as well as to develop a strategic marketing plan. An objective of increasing the market share by 5 % per year was found to be suitable and practical. The 5% per year increase in market share equals to 1,25,000 Euros in terms of revenues for WBS as the market is assessed at 25,00,000 Euro.(personal communications, 2011). Currently, WBS has a the market share of 20% of the