SWOT Analysis of Smartlinc Inc - Essay Example

SWOT Analysis of a New Product Smartlink Inc. is a new organization that has just been established in the electronic industry to market their smartphone products. The company focuses on making their approach customer-based so that they can become the leaders in the electronics industry. Smartlink Inc. strives to be a leading global venture dealing with smartphones, computers and mobile phones apps. Although big brands dominate the electronics industry, Smartlink Inc. has a strategic direction of maximizing its competitive advantage since there new trends in the industry regarding smartphones all the time. The company is built on a winning strategy. The team is highly motivated and determined to push the needs the needs of the organization so as to achieve the short term and long term goals of the business. Attracting the best and the brightest people is fundamental in the company as it has focused on the recruitment of a smart, successful group of employees who buy into the vision while challenging and motivating one another. The organization has taken much consideration for planning the launching of their smartphones. The initial stage of the planning process includes devising a SWOT analysis as a means of establishing a market position and maintain it to be the best in the industry (Helms & Nixon, 2010). Smartlink’s smartphone presents a clear pattern of evolution from the brands presented by its competition. Some of the superior specs of the smartphones include new and better SoC, a high-quality camera, TouchID and a faster modem. The rear camera of the new smartphone has higher resolution photos and supports 4K video recording compared to other smartphones in the market. The smartphone also has a front-facing camera with a higher resolution. While most smartphones in the market have a 2 GB of RAM, Smartlink’s smartphone has a RAM of 4 GB. It also has an improved bandwidth and enhanced power. As such, the modem and the WiFi chipset are capable of a higher throughput and only use less power. Due to the ease with which smartphones are getting obsolete, this company seeks to design a new design of smartphones in which users can upgrade their smartphones to the next generation through the installation of a software. SWOT Analysis Strengths Smartlink Inc. prides in having an excellent team of employees who are highly competent in handling the design and infrastructure of the new smartphone. Furthermore, they have vast knowledge and experience when it comes to handling the new products and in marketing. The company has recruited the best and the brightest people who are smart and brilliant, and who buy into the vision of the company while challenging and motivating one another The company has invested heavily in innovation as a key factor for its success. Innovation has allowed the company to create unique smartphones which are different from other brands in the market. This company depends on its innovation team to come up with designs with a great operating system and an appealing touchscreen technology. The company has a sturdy internal communications system that aids in the integration of its operations throughout the supply chain. The company targets the middle-class population, which makes up the largest demographics. As such, it has an extensive market coverage. Furthermore, its location is geographically strategic due to the high traffic input that the company enjoys. Weaknesses Since this is a new business, some typical weaknesses impede the accomplishment of the companys goals. The company has in most instances had a lot of pending work due to missed deadlines and lack of clear frameworks setting out the responsibilities of different teams in the production and marketing process. The company has established its offices and outlets in areas that have high traffic in order to maximize its sales. However, there is a high cost of rental space in major streets. The high rental costs had adverse effects on the profitability of the company. The company is nearly established and therefore, experiences a fluctuating cash flow system. It has not yet established loyal customers since most of its customers have only bought their products once. While major smartphone brands like Apple and Samsung benefit from marketing through their loyal customers, Smartlink Inc. has a long way to go before achieving that. Opportunities Smartlink Inc. has a competitive advantage in the market since some of their competitors either produce very expensive products that most of their target consumers cannot afford, or produce poor quality smartphones that do not fit the taste of the modern generation. The electronics market has very loyal customers when a company produces high-quality brands. As such, it seeks to produce high-quality products that will attract the loyalty of the market. Smartlink Inc. can benefit from a significant market share in the electronic industry since this is a market that has a very high demand. There are selected few smartphone manufacturers that enjoy a huge market share and Smartlink can capitalize on the high demand in the market. Threats There are highly established manufacturers that produce smartphones such as Apple, Samsung, Nokia, and Microsoft among others. These competitors already have a huge market share and have loyal customers, which makes it easy for them to introduce new products into the market. Smartlink Inc. has huge incentives when it comes to advertisement. The electronics industry has many products that become absolute within a little time span. At the time of launching Smartlink’s smartphone, Apple happened to launch a new advertising campaign which has an effect of overshadowing the marketing effects of the new brand. Smartlink Inc. faces threats from the numerous number of competitors that have set up shops near the locations of their major outlets. With the geographical proximity of a new and an established brand, competition is becoming very stiff, which negatively impact on the new brand. To make the business successful, the company should consider maximizing their opportunities and their strengths while reducing their weaknesses and threats through a strategic direction. The new brand has had a successful entry into the market ad requires an excellent strategy to ensure maximization of the market share. Reference Helms, M. M., & Nixon, J. (2010). Exploring SWOT analysis-where are we now? A review of academic research from the last decade. Journal of Strategy and Management, 3(3), 215-251. Read More