Moreover, once the strengths are identified, organization must take further actions to continuously improve and update its strengths with the changing trend to remain competitive and stable in the long-run. Octane Fitness Inc The Power Of Focus Weaknesses These are the factors or resources which might be under the control of a business but they are also the reason behind the decrease in efficiency of an organization.
These include imperfect expertise, which causes the company to underperform as compared to its competitors because of not having or attaining the required skills and resources to take maximum benefit out of that expertise. The weaknesses might also arise from lack of certain resources which the competitors already had. When this situation occurs organizations are forced to depend on the prevailing resources and taking more output from limited resources creates various issues and intensifies the problems.
Moreover, when organizations have an absence or have limited access to certain skills or innovations that also becomes the weakness of the organization. These various types of weaknesses mostly become the reason for the dissatisfaction of work force and force company to do compromises in quality of the product or service, which at the end refrains organizations from achieving their vision and missions.
Octane Fitness Inc The Power Of Focus Opportunities This section analyses the external factors of an industry and identifies various incentives and opportunities for the organizations that have potential to make the organization sustainable and increase its scope in the future if the organization take necessary measures to implement those opportunities.
These opportunities provide positive prospects for the organization that can help organizations to grow and overcome their weaknesses at the same time. These opportunities might be in the form of adoption of new technology, introduction of new product or service, emergence of new market etc. In addition, the very important factor while taking decision regarding availing an opportunity is the timing, because when proper timing is not followed while adopting an opportunity especially that is related to technology can ruin the whole organization.
Therefore great care is required while evaluating the potential opportunities for the future of business, whether certain opportunity is stable in the long-run or not, as now a days due to technological advancements, life of most opportunities had been decrease, therefore proper evaluation of the opportunity must be done before adoption.
This decreases the risk of the organizations from any potential loss in future due to the decisions taken in hurry. Octane Fitness Inc The Power Of Focus Threats These are the external factors which are not under the control of an organization and have the potential to affect the outcomes of an organization in the future.
Threats case solution have the potential to put the future of whole organization at stake if not taken in account by the organization and in other words ignored. They might put the whole organizations future at risk, therefore plays very vital role in setting the course of the organizations. There are various forms of threats, like potential increase in cost of goods or services, changes in government regulation, financial downturns, rivalry or the introduction of any break-through innovative product or service that might turn the prevailing service or product of the organization into an outdated one.
This increases the importance of threats to the organizations. A market leader among them is the one with a stronger competitive advantage hence to analyse competition between each firm Michael Porter designed a framework named as Porter five forces analysis.
For an industry to become attractive, it has to generate healthier profits which can only be possible when these five forces work together and lift overall profitability of the industry. Porter five forces focuses on micro environment of an entity which deals with the internal environment of a company.
An organization with an ability to master their micro environmental factors gives them a chance for competing well in the industry. An investment expert carefully analyses the five forces before proceeding with the investment in a particular industry. Porter five forces can be divided into two subgroups. Firstly, forces from Horizontal competition which includes; threat from rivals, threat of new entrants and threat of substitute product.
With increased number of new entrants into the market results in more profit distribution between the firms. The industry with a larger firms makes it hard for other firms to find their way into the case help market.
The factor that drives a single firm to push out other firms out is the cost advantage that it possess over other firms. The economies of scale gives an added benefit to a larger scale firm to cut down its cost and reduce its prices therefore giving a tough competition to the other firms. Hence, a large scale firm has lower threat of new entrants as compared to a small scale firm. On the Contrary, an organization with higher chances of facing a tough competition faces this threat and its overall profitability gets severely affected.
Threat of substitute Octane Fitness Inc The Power Of Focus case solution products In a perfect competition, the firms offer a homogenous product which is produced by each competitor. Presence of a homogenous goods becomes a reason for price war.
As soon as, a company increases its price, the consumers will prefer other product with same qualities but at lower prices. For a case study company to get greater competitive advantage over other firms, it has to maintain its focus in developing a higher quality product.
Producing a good with no close alternative ensures minimal threat of substitute. In this case, an organization has to put aside a larger part of its earning into research and development so that it bring new innovative product with better technology. A product with better and innovative features has the potential to disrupt market as consumers will prefer that product over others. As an example,it can be considered that Pepsi and Coca-Cola has are intensely battling to gain larger share of the market.
Both are close substitutes of each other and to position one step ahead of each other each of them sets aside a larger some of earnings into their advertisement and bringing new changes to their products. To conclude this, in a monopoly condition the threat of substitute is negligible but in a perfect competition the product substitution is high.
Bargaining Octane Fitness Inc The Power Of Focus case analysis power of customers buyers Customer satisfaction has become one of the targets for the companies.
Provision of enhanced quality products with cheaper prices increments the satisfaction levels of the customers. In an attempt to make customers happy has actually made the consumers more powerful.
Considering a perfect market condition, with more products to choose from buyers have an upper hand and firms have to come up with the decision accordingly. It can be said that with higher threat of substitution, the bargaining power of buyers does get higher.
They can influence prices and a can demand price reduction when they have an alternate product to choose from. Bargaining power depends upon the number of consumers. A harvard case study help product that caters only to a few buyers will feel higher bargaining power from the consumers as they can demand lower prices on the product. Other than the price reduction, buyers can demand quality enhancements in the product.
An organization would want a lower bargaining power as it would mean more profitability for the firm. For an industry to be more attractive, the bargaining power of the consumers have to be low so that more new firms can enter into it.
To fulfil its raw material needs an organization has to maintain a sound relationship with its raw material suppliers. Few number of suppliers will make sure that they are supplying the product on their terms and at their fixed price. Taking an example of a firm that requires scars raw material might have a few suppliers or even only one.
OPEC is an oil cartel that have a few countries that supplies oil to the entire globe. Accounting Ratios Efficient little organisation analysis allows a business to pick the guess work out of service choices. To acquire a productive little company program, an important analysis of the company and rivals' analysis is inescapable. Regardless of the size, the sort of service and your intent of opening an organisation, every business enterprise demands a business program.
In order to show that your service has a fair possibility for success, you will want to completely find out more about the service and the market it's your objective to sell to.
Whether you plan to begin a brand-new service, expand a current business, or get financing for an organisation endeavor, you'll need to make up an organisation program.
Information Analysis appears back over time, giving you a historic view of what has occurred in your organization or organisation. A break-even analysis is amongst the business planning tools that could help you in making that determination. Financial analysis belongs of the overall small company finance function that involves analyzing historic information to place on info about the future and existing financial health of a company.
Financial and system analysis enables the companies to evaluate the financial data and make informed choices which are smarter and go a ways towards financial wellness of the organisation.
Financial statement analyses are normally performed in spreadsheet software and summed up in a number of formats. Financial analysis can be used in a broad selection of circumstances to provide organisation managers the information that they will require to make vital decisions. PEST Analysis PEST analysis is also a valuable tool for tactical analysis that provides broad view to know the external environment in which an organisation is functioning.
Yes, your business report ought to look quite. You know, if there's one particular thing that won't fly in a business file, it's the unsupported assertion.
Many small business reports seem uninteresting considering that they suffer from a shortage of aesthetic appeal. Independent suppliers For Octane Fitness Inc The Power of Focus, there are numerous independent suppliers within the industry, and all comprise of a few pretty small operations that lead to weakened overall supplier power.
Independent sellers and suppliers, however, can locate different opportunities and invest in alternative markets — which can be a challenge for Octane Fitness Inc The Power of Focus. Supply quality and business dynamics Suppliers can integrate forward into the decision making and business dynamics themselves as well. Also, to the buyers, the quality of the supplies and the raw materials is of utmost importance. However, in an industry with a high number of suppliers, Octane Fitness Inc The Power of Focus can switch to different suppliers at any time without experiencing any costs of the business.
Overall bargaining power of suppliers is assessed to be moderate. Get contracts with multiple suppliers and get resources and raw materials from them accordingly. Invest in manufacturer controlled production facility to maintain consistency in quality.
Competitive Rivalry among Existing Firms. Nature of fragmentation The market is highly fragmented, which makes it more competitive. The market is never too concentrated, and as a result, it has players of varying size of operation — from very small to big players.
Brand management Producers have begun to make use of brand management techniques and contemporary merchandising by launching bold brands, label designs and marketing campaigns to become more identifiable to the public. Diversification Purchasers and buyers have a wide range of products to choose from, with relatively low switching costs. These factors tend to intensify rivalry. Though players in the industry may off niche or premium products, they also continue to operate in the mass markets at large, which again leads to high competition.
High business costs The high fixed cost and the high bargaining power of the buyers, which can lead to the lowering of the prices from manufacturers add to the highly competitive nature of the industry. The overall rivalry is assessed to be high. Focus on research and development to identify market niche as well as to be able to add differentiating factors t its products.
This will increase its shield against influence from competitive forces and their actions. Build a strong and loyal consumer base by focusing on quality and marketing strategies. Focus on capturing new markets — in the same region as well as new regions to avoid saturation of resources in one market only.
Pentagonal analysis 3. Restriction into industry The ease of entry into the industry is restricted. There are high barriers to entry. These are government policies, consumer loyalty, brand differentiation etc. Switching costs for consumers The high number of direct and indirect alternatives available also make Octane Fitness Inc The Power of Focus vulnerable to the high threat of substitutes. Low to negligible switching costs experienced on the part of the consumers and buyers. Profitability New entrants are attracted to the industry because of high profitability.
If there are high barriers to industry, the industry will continue to maintain high profitability Low barriers to entry will result in a lower average of industry profits. Lower entry barriers will also lead to higher operational costs because it will increase the intensity of competition within the industry. Increased competition This is because of higher competition. The higher competition leads to imitation of products and systems.
This imitation makes substitute products similar to each other — as much as possible. The offering of similar benefits Consumers readily adopt alternative and substitute products. They offer similar benefits. They have similar functional benefits and features.
Low costs of switching Consumers often experience a low cost of switching between substitute products. Low switching costs are also developed because competition often produces at lower operational costs. Low switching cost results in lower overall product prices for the consumer. Industry players, therefore, also start competing on aspects of price.
Bargaining power of buyers 3. It has numerous local and international players. It is not very likely for players in the industry to integrate forward into on-trade or retail businesses.
This results in the players experiencing high bargaining power of the buyers from the market. The concentration of retailing agents It also results in a high concentration of individual retailing agents. Retailing is also done through hypermarkets and supermarkets. Bargaining power of suppliers 3. Backward integration by producers Backward integration from producers is more commonly observed and seen, Many players in the industry have their own production facilities for raw materials as well.
The industry has seen a large number of players needing to outsource resources and raw materials. Outsourcing raw materials This outsourcing is done by third-party manufacturers. A large number of suppliers present lowers the bargaining power of suppliers. Players in the industry have low switching costs between suppliers. Suppliers usually are contracted by producers.
Producers may change suppliers frequently. Lastly, one should understand the timing of events in the case. This can be effectively done by developing a timeline of the main issues and of the events in the case study. This also helps in providing an understanding of the progressive challenges faced by the company in the case. A SWOT analysis is a tool used in strategic management in order to list down the internal strengths and weaknesses, and external opportunities and threats faced by a company.
Apart from clearly stating the Strengths, Weaknesses, Opportunities and Threats to the strategic managers, the SWOT analysis also helps them in formulating strategies using each of these to advantage. The SWOT analysis also helps in determining the priority in which problems should be solved. These managers are able to do this because of their good understanding of the business environment, developing an understanding of which is the next step. Business environments are mostly complex, and therefore, the solutions need to be holistic in nature such that they keep in minds such environments.
In order to come up with such solutions, it is necessary to develop an understanding of the external business environment of the company, apart from the company itself. But how will this be done? This is a strategic tool used in strategic management that helps one understand the relative power of five forces within any industry.
These five forces are essential key players in the industry. By gaining insights regarding such industry dynamics, one could come up with practical solutions that are compatible with the industry dynamics of Octane Fitness Inc The Power of Focus. There are other macro environmental factors that also have an influence on the company.
A list of factors, which can have a significant impact on the business and drive its growth, within each of these are listed down. Start your order Step 7 — Organize and Prioritize the Analysis conducted into the Octane Fitness Inc The Power of Focus Case Study Solution By now an understanding of the various aspects of the case study is developed, and analysis is completed using various strategic tools.
This should now be preceded with the organization of the solution of the case study on the basis of its requirements. This can be done using the mentioned strategy, which will help in organizing the findings and suggestions to the issues in the case: Start with the corporate level strategy of the company.The first two of four i. Small businesses with limited resources may be in a position to band together with other small organisations to get advantages less expensively. Imitability: A resource or capabilities with distinct features makes it unique and hard to imitate. Internal rate of return IRR Analysis After the analysis is performed for all Octane Fitness Inc The Power Of Focus financial declarations at precisely the very same time, the extensive effects of functional activities can be understood on the company's financial condition throughout the period under review. Vocally its necessary that each location must be evaluated based on their what features. If you likewise believe that you have what is able to make up becoming stories or blogs, then the octane stages are essential to check out for you because, in the octane lines, I will inform you the studies by which you can make handsome loan from your choices. If you're most likely to hold up an fitness analysis for a production focus then you have actually got to investigate about the need and Boutique business plan in bangladesh push-up of the product the case is progressing. First step: Understanding Surface Fitness Inc The Power Of Analyze case situation: In the first initial for case study, there is a work to understand the case case management that the writer has weaved it in. In counselor to this, a scarce or too resources ensures a competitive edge for the endless.
The authors on this program do an exceptional job by planting the details you will need to find the joke someplace at the beginning of the episode. Players in the industry have low switching costs between suppliers. These missing details can be incorporated into the solutions in order to make them better. Cash flow from investing activities will provide the information to the analyst and the reader of the financial statement about where the company is investing i. A separate description map should be made, which will later help the reader when one needs to go back and collect further information. Business environments are mostly complex, and therefore, the solutions need to be holistic in nature such that they keep in minds such environments.
Make products more accessible at different touch points common to target consumers socially.
Octane Fitness Inc The Power of Focus may also be subject to environmental laws — which will impact and guide its operations to become more environmentally friendly. Commercial restrictions and political stability are additionally integral factors that will determine the success or failure of Octane Fitness Inc The Power of Focus.
Moreover, the reversibility of each alternative is also very important deciding about the attractiveness of the each option, as there is also certain risk associated with each option and this step helps the organizations in taking premeasures for any worst case scenario. In this case, an organization has to put aside a larger part of its earning into research and development so that it bring new innovative product with better technology. Considering a perfect market condition, with more products to choose from buyers have an upper hand and firms have to come up with the decision accordingly. Poetry and the part of the poet may suggest numerous things to various folks. Focus on delivering consistently high quality.