SWOT Analysis in Marketing
In my analysis, I will deal with Wendy’s restaurant.it is an American food restaurant which operates internationally. It mainly relies on a franchise system. For any organization to prosper, it should understand its SWOT analysis well.
The strengths which mainly enable Wendy’s restaurant to operate effectively include the use of technology, and they deal with superior quality goods. Technology has played a vital role in the industry of restaurants. Wendy has made use of technology to ensure that their consumer needs are well catered for. The use of mobile technology, such as mobile ordering, has done the business to run smoothly. The production of superior quality goods has made Wendy’s restaurant to be known globally. They are known for dealing with fresh ingredients, which makes a large number of customers to be pleased. On the other side, their weaknesses include relying mainly on franchisees and a lack of diversification of the products. A more significant part of this restaurant is controlled primarily by franchisees. This shows that a more substantial piece of revenue comes from franchisees and therefore, cannot fully operate the brand. The brand is paying less attention to the products’ innovation, and therefore consumers cannot be fully satisfied (Iyer et al., 2003).
To thrive well in the business, Wendy’s restaurant has some opportunities. These include innovation of menu and expansion in the economy globally. The brand’s market is increased by global expansion, and this helps in boosting its finances. Countries like China have played a vital role in this. Also, excellent opportunities have been brought about by the menu innovation. The consumers are happy when the quality foods are available at affordable prices. The menu makes a variety of different qualities of foods to attract customers. Apart from the opportunities, the brand has threats such as stiff competition and the scare of the coronavirus. The coronavirus pandemic has affected many countries, including those that Wendy’s restaurant is dominant. This has led to the lowering of profits that the brand gets. The stiff competition arises from other brands that are offering the same services as Wendy’s restaurant. These brands include McDonald’s.
To be successful in business, the following recommendations should be followed. Since the coronavirus has become a significant problem, the brand should offer some support and give donations to the affected countries or individuals. This will help to promote its name and show the brand’s equity. Secondly, the brand should ensure their business is diversified. This will make the exposure to market risk to be decreased.
I am an avid Target shopper as the Walmart in my town has horrible customer service and always has lousy produce, but I am going to pick the strengths of Walmart over Target for fun. When you ask people why they shop at Walmart, it is usually because it’s their price or the convenience of everything inside one store. You can find a Walmart pretty much anywhere, too, so it can reach more consumers over Target. Walmart also has a robust international presence, something that Target has not done yet. Walmart has over ten thousand stores in twenty-eight countries when compared to Target; they only have about one thousand seven hundred stores. Walmart, compared to Target, has a straightforward and vast selection on their online website, honestly more than you could even imagine is on their website.
They both have an immense number of employees, have well-developed supply chains, have been recognized and awarded for several awards, and excellent revenue performance. Both these stores are enormous and well known, and that’s because they do have some beautiful strengths (Schuetz, 2015).
References
Chuang, M. L., Donegan, J. J., Ganon, M. W., & Wei, K. (2011). Walmart and Carrefour’s experiences in China: resolving the structural paradox. Cross-Cultural Management: An International Journal.
Iyer, R., Barthels, B., Andel-Kracht, C., Butler, D., Atalla, S., & Wang, J. (2003). Wendy’s International Inc.
Schuetz, J. (2015). Why are Walmart and Target next-door neighbors?. Regional Science and Urban Economics, 54, 38-48.