SWOT analysis for the company LIDDUP - Term Paper Example

Innovation can lead a business towards a successful path but only when it is done keeping in mind the real problems faced by the consumers. Each & every product we use today is the result of an innovation. The purpose of the innovation is very important & also its acceptance by the society is also important. The people who developed mobile phones, first of all put due weight age on the necessity of talking while moving. Otherwise fixed phones were enough for communication. Therefore it’s necessary for the innovators to keep a constant touch with the intended market.

This helps them in getting better ideas & better inputs for the product they are going to launch. Innovation also has a direct link with creativity. Creativity is the inborn trait of an entrepreneur who effortlessly succeeds in his work & can work with a team by providing them proper guidance & leadership. Creativity is the inborn talent of a person which can be nurtured with the help of proper research, in order to make a unique product. Again the term Invention is just an idea. Until & unless the product becomes commercially viable, it can’t be called an Innovation.

Innovation requires a lot of development & design work. Both innovation & creativity, together paves the way for wealth creation only if the new product is accepted by the market. (Swann, 2009, p.23) Strategy The term “strategy” was initially used in wars for developing tactics to win over the enemy. Business is also a kind of war, where the rival firms are considered as enemies & everyone fight with each other to achieve the maximum market share & maximum sales. In this war the weapon is strategy.

A strategy is a tool used for managing the organization’s resources in order to mitigate risks & optimize resources. This is the simplest definition of the term strategy. However in real life, the organization faces a lot of complexity to form & maintain a strategy. The anticipation of the future risks & benefits is termed as SWOT analysis in the language of management. It helps in getting knowledge about the past & thinking about probable solutions to an existing or potential problem. The method involves detailed study of the market, the company & competitors.

The analysis includes two parts; the internal environment includes the strength & weaknesses of the company which is controllable by the company itself. The external environment consists of the threats & opportunities which are completely controlled by the outside sources like market & competitors. (U.S. Department of Agriculture, Risk Management Agency, 2008, p.1) The focal point of our discussion would be a new product, which is a cooler that comes with built-in LED lighting, developed by a company named LiddUp.

Here we will consider the features of the product, SWOT analysis of the product, evaluation of the current strategic plan of the firm & formation of our own strategies to improve the business. The Product LiddUp cooler is the brain child of Jayson Sandberg of Las Vegas who has 27 years of sales & customer service experience. He was assisted by Taylor Gwiazdon who graduated from Brentwood High School in 2004 with an engineering degree & presently, he is the national marketing director of Aria Resort & Casino, Las Vegas.

Both of them have gone through around 200 prototypes before finally developing this product. The product is a portable beverage cooler with a