Key Factors Weight AS TAS

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Offer new products for a lesser value for consumers to try for a limited tim

Key Factors Weight AS TAS


Opportunities
O1. GDP reached $292.45 Billion in 2015 0.05 _
O2. Filipinos spent 4.17 hours daily on
0.09 1
social media
O3. The trend of technological
0.09 2
advancement is increasing
O4. Fast food consumers increased by
0.12 4
25% from 2012 to 2014.
O5. Philippine population to reach 105.75
0.1 1
Million by end of 2017.
O6. The government granted 251 private
companies special licenses allowing
0.06 _
importing agricultural resources under
minimum access volume.
O7. Barrier to enter the fast food industry is
0.05 _
high
O8. In 2016, unemployment rate was
0.04 _
recorded lowest in 11 years.

Threats
T1. Installing solar panels starts at 320,000
0.04 _
Php per 3 kilowatt.
T2. In 2015, CCAP (Credit Card
Association of the Philippines) issue 6.9
0.03 _
million credit cards to 3 million credit card
holders.
T3. Inflation rate increased to 2.6% in
0.06 _
2015.
T4. Social media has an adverse effect on
the company’s reputation and consumer 0.09 4
behaviour.
T5. Technological advancement is costly
0.09 _
and complex.
T6. Imposed tariffs on imports on
0.05 _
agricultural products by the government.
T7. Government plans to stop
0.04 _
contractualization.

Strengths
S1. Jollibee is leading in the market and is
0.11 _
still continuously expanding.
S2. Jollibee’s increasing accounts
receivables may be a good source of
0.09 _
interest income, and may be a good sign
because of increase in franchisees.
S3. Sufficient inventories because of
0.08 _
production is handled by the company
S4. The company has enough capital in
0.05 _
investing R&D.
S5. The company is known to be able to
0.06 3
develop and improve its products.
S6. Capacity to innovate by developing
alternative energy sources like the solar 0.03 _
power system and wind power.
S7. The more advanced technologies that
they use, the higher the quality of product 0.06 2
the consumers can feel.
S8. Jollibee envisions long-term decision
0.07 _
and strategies for their company.

Weaknesses
W1. Inability to completely incorporate the
use environmental friendly materials in its 0.04 _
operations.
W2. Absence of in-house Information _
0.08
System Development Department

W3. If management used the wrong


strategy, it could affect the company and 0.09 1
target expansion might not be achieved

W4. It will take years to realize the benefits _


0.04
of R&D
W5. Improvement of product and spending
R&D carries risk of unsuccessful 0.06 _
implementation
W6. Jollibee’s continued increase in long
term debt may cause greater expenses for 0.05 _
Jollibee for the next few years
W7. IT problems can cause significant
problems in the operations and providing 0.07 _
inventories
W8. Closure of some stores despite _
0.02
opening new branches
Sum Total
Alternative
Ranking of Alternative Strategy Attractiveness
Strategy Score
Market
1 Penetration 4.26

2 Market 4.04
Development

3 Product 3.58
Development
Market Development Product Development
AS TAS AS TAS
Industry
Percent Relative
Company 2015 Revenue (‘000) Market Share Growth Rate
Revenues (%)

Jollibee 43,787,362 56% 1 17%

McDonald's 53,130,758 31% 55% 47%

Wendy's 22,629,335 13% 23% 7%

Total 170,975,139 100% - -

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