Recall that in a SWOT analysis, the Strengths and Weaknesses are internal. This means that the
organization has more control over these factors. The opportunities and threats are external,
meaning that they have little to no influence over them. Read the following case study and
provide three strengths, weaknesses, opportunities, and threats (each) for Athlete’s Warehouse.
Provide an analysis of each of these, including the justification for why you chose them.
SWOT Analysis for Athlete’s Warehouse
The core purpose of this analysis is to provide strategies that Athlete’s Warehouse can utilize
to take advantage of opportunities and strengths, and counter or eradicate the threats and
weaknesses.
Strengths:
I.
They were both experienced in athletics industry. The brothers have knowledge in
athletic industry and their needs: Colin had a PhD in Physical education and Ed also was
athlete and runner. Besides, Cohn is has a business experience since he had similar
business in the past, so he had experience the product costs and price in the market.
II.
Have good stock and variety of quality athletic products: The bothers says that their store
will have a mix of athletic quality products. They also have at least half of their estimated
opening inventory.
III.
Colin is available fulltime and this makes it easy to manage the business in order to
realize its vision.
Weaknesses:
I.
Ed did not have enough time to manage the store: Cohn said that his brother will work
only 10 hours a week and will be a part time.
II.
Also, Ed is looking to retire within the next few years, and this could pose pressure on
deadlines
III.
Slow cash flow: to start the business again they did not have enough money to restart the
store, some things needed to pay in cash.
IV.
They had also experienced past failure. However, since no analysis was given on the
causes, the same may repeat.
V.
Ed did not want to invest his retirement money in the same business again: Ed was a little
bit afraid to invest in this business again and he did not want to take the risk of losing his
retirement funds.
Opportunities:
I.
Good economy around the towns where the store will be located: "Grand Falls was the
primary service center for a retail trading area of at least 50,000 people. Many shoppers
came to the town from
II.
They are also likely to benefit from the 50,000 potential customers since they are located
at a large shopping center.
III.
Competitors offer lower quality of products and doesn't have variety of products:
IV.
Competitors doesn't have knowledgeable staff: All or most of the competitors didn't have
a knowledgably person in their staff who can suggest customers which products fits most
with their needs.
Threats:
I.
No credit built with suppliers: Suppliers does not give credit to newer customer, they
need prepaid orders first to establish credit line with them.
II.
III.
There are already at least four stores around the town who offers similar products: A
Competitors have more years of experience in the business: As for example B & B Sports
that have been in the market for about 15 years already and have a loyal customers
already.