Contact Us
Sign In / Sign Up for FREE
Go to advanced search...

External Environment, Internal Environment and SWOT Analysis - Essay Example

Comments (0) Cite this document
One of the most effective tools a professional can utilize is SWOT analysis. SWOT analysis is an evaluation of the company’s strengths, weakness, and…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER98.8% of users find it useful
External Environment, Internal Environment and SWOT Analysis
Read TextPreview

Extract of sample "External Environment, Internal Environment and SWOT Analysis"

In order to analyze a company one must utilize the right analytic tools to learn about its internal and external environment. One of the most effective tools a professional can utilize is SWOT analysis. SWOT analysis is an evaluation of the company’s strengths, weakness, and threats. The external environment is covered by the opportunities and threats, while the internal environment can be analyzed through the strengths and weaknesses (Kotler, 2003). This report utilizes SWOT to analyze the public firm Papyrus Australia.
Papyrus Australia was founded in 1996 as a research based company in Australia with the purpose of creating an alternative type of paper. On November 24, 2005 the company was awarded a patent for its ground breaking technology which utilizes banana tree trunks as the raw material to produce paper (Papyrusaustralia, 2009). A SWOT analysis will help us understand the internal and external environment of the company.
Papyrus Australia is start up company with an innovative product that will revolutionize the paper industry. The company has a patented technology which gives it a monopoly for at least 17 years. There is surplus of raw in the word due to the fact there are over 25 million banana trees in the world (Prospectus, 2005).The energy utilization for a manufacturing plant is extremely low and a complete manufacturing facility can be set up in farm in a small space of 500 square meters. The water expense of the manufacturing facility is cero. The plantation actually receives the additional benefit of obtaining free water to irrigate the banana trees since the actual tree from which the truck is extracted is made up of 60% water, which can be put to good use since it has to be disposed of anyways during the manufacturing process.
The production of the banana paper is limited to the size of the farm. The business model does not consider the transportation cost of bringing in banana tree trunks as raw material from other farms. There are logistical problems associated with the producing banana trees because has to set up a large network of manufacturing plants across the world. The operation is dependent on penetration the Sub-Saharan African region which is one of the most underdeveloped regions in the world. The company has not shown yet they can mass produce their product. The company is still in the adolescence stage of its business life cycle.
Due to the fact that the company is starting out from scratch there are plenty of opportunities for business expansion. Africa is focus point for the firm since 53% of the world supply of bananas is located there. The firm can effectively penetrate this market because its operation is self sufficient and the infrastructural problem the continent faces such as lack of infrastructure are not a concern since the operation uses minimal electricity and cero external water. A second strategic location for expansion is the Caribbean. In this region the plantain trees grows, which is part of the banana family. The plantain tree provides higher yields than normal banana trees, thus plantain cultivation can produce more paper per square meters in comparison with banana cultivation. The small size of the Caribbean islands provides logistical advantages.
The company has new product that needs the involvement of a network of business partners across the world. This makes the company susceptible to potential theft of its technology by unscrupulous businesspeople. Theft could translate in counterfeit banana ply paper in the marketplace. Due to the fact that banana ply paper is a commodity it would be difficult to differentiate the original product from counterfeit copies. The company is competing against a multi-billion dollar industry. Another threat is that since banana ply paper would be marketed as a commodity the firm has be prepared to deal with constant price fluctuations.
Kotler, P. (2003). Marketing Management (11th ed.). New Jersey: Prentice Hall. (2009). Corporate website. [online]. Available from [Accessed 27 July 2009].
Prospectus (2005). Papyrus Australia Prospectus. [online]. Available [Accessed 27 July 2009]. Read More
Cite this document
  • APA
  • MLA
(“External Environment, Internal Environment and SWOT Analysis Essay”, n.d.)
Retrieved from
(External Environment, Internal Environment and SWOT Analysis Essay)
“External Environment, Internal Environment and SWOT Analysis Essay”, n.d.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF External Environment, Internal Environment and SWOT Analysis

Starbucks External and Internal Environment

...of external environment on business policy of Starbucks will be measured by using PESTLE and Porter’s Five Force analysis. SWOT, value chain analysis and VRIO framework will be used to understand internal strength of Starbucks. Critical success factor (CSF) analysis will be important part of the study. Starbucks: A Brief Overview Starbucks Corporation was established by Jerry Baldwin, Gordon Bowker and Zev Siegl in the year 1971. In the initial years Starbucks operated business with single store located in Pike Place Market of Seattle (Starbucks, 2012). The company is headquartered at Seattle, Washington, U.S....
19 Pages(4750 words)Essay

External and Internal Environment Analysis

...?External and Internal Environment Analysis Introduction An organization survives due to its powerful external and internal environment because it guarantees its productivity and competitive integrity in all leaps and bounds. Organizational environment consists of many such elements which have a direct and indirect influence upon the performance and reputation of whole of or some parts of the organization. This paper tends to identify and analyze important environmental factors and strengths and weaknesses of organizational environment of Human-Care Organization located in (insert name of...
5 Pages(1250 words)Essay

External and Internal environment analysis: SONY

... External and Internal Environment Analysis: SONY A. External Environment (Opportunities and Threats) a) Industrial environment (Micro-business environment) Porter's Five-Force Model Porter’s five model was established by Michael Porter’s whose aim was to enlighten company managers on the influence external factors have in any business. The five forces include rivalry as a result of existing competitors, bargaining power of buyers and suppliers, threat of substitutes and treat of new entrants into the market. Rivalry; Sony is facing high competition from its competitors in the market for example Apple which recently announced the release of an improved iPad device has captured the attention of many customers hence Sony experiences... and...
5 Pages(1250 words)Speech or Presentation

Internal and External Environment of Nestle

.... Environmentally sound labour practices and recognition of efforts by employees is also integrated into environmental principles and practices through NEMS. 3.0 Environmental Analysis Environmental analysis will be carried out using the SWOT and Porter’s five forces models. 3.1 SWOT Analysis SWOT analysis is better placed in scanning the environment of the company to determine its strengths and weaknesses as well as opportunities and threats. The strengths and weaknesses are factors internal to the organisation such as strength of brands, the organization culture and structure, human...
19 Pages(4750 words)Research Paper

External Environment Analysis

...? External Environment Analysis Section Southwest Airlines, Retrieved from http The Southwest Airlines has its headquarters in Dallas, in the state of Texas. The company was established in the year 1967 and adopted the current name it utilizes in the year 1971. It is also the biggest low-cost transporter of goods by air within the United States and also has the largest records of the domestic transportation of passengers within the country. The airline has a fleet of over five hundred airplanes of the Boeing 737 type. It previously operated using Boeing 727 airplanes but has recently updated their fleet to the more advanced airplanes to meet the demands of their...
3 Pages(750 words)Term Paper

Marks and Spencer: Internal and External Environment

...demands and any competitive forces in the market. The analysis of the external market is done using the PESTEL analysis and the Porter Five Forces (Baines et al. 33). The second section analyses the company’s internal environment using the SWOT analysis. Analysis of both the internal and external environment affects the strategic analysis of the company. The strategic analysis of a company helps identify the environmental factors that impact on a company (Harris 55). Additionally, it clearly outlines the activities in...
8 Pages(2000 words)Case Study

Strategic Management: internal and external environment

...SWOT ANALYSIS AND FORMULATION OF BUSINESS STRATEGY S & W 2) MAKATUME Submitted by In the globalised business environment, the company has to integrate various functions such as procurement of services, customer care, cost control, identification of growth opportunities and strategic growth planning to strive for success. For the coordination of all these activities it is essential to scan the environment. The environment for the agency includes both its internal and external environment. It is essential that the organization audits its environment to identify the strengths and weaknesses...
6 Pages(1500 words)Essay

Internal Environment

...Apple Inc. Internal Environment The internal environment of a company influence its overall performance. Therefore, there is need to ensure that the company’s internal environment supports the strategic plans of the company. Apple just like any other company has internal strengths and weaknesses. The company’s internal strengths include employee loyalty, which is has been realized through a unique organization culture that is centered on motivation and passion to develop new products with no restrictions with support from strong work ethics. Market and product diversification is another strength that has...
1 Pages(250 words)Coursework

External Environment

...External Environment Strategic management is a crucial aspect of any business organization since it helps to deal with the changes that are experienced in organizations. Managers should cope with the changes being witnessed in the external environment as this is the only way they can ensure that the goals of an organization are achieved effectively and with a lot of efficiency. When formulating strategies, it is essential to consider the external environment within which the organization operates. When conducting strategic analysis, the external environment of an organization is helpful...
2 Pages(500 words)Essay

External and Internal Environment Audit of Stenders

...Marketing Plan Table of Contents Environment Audit 3 External Environmental Analysis 3 Internal Environmental Analysis 4 Marketing Strategy 4 STP Analysis 5 Marketing Tactics 6 7Ps of Service Marketing Framework 6 Contingency Plan 9 Critical Evaluation 10 Application of Concepts, Practices, Philosophies and Principles 11 Future Marketing Customer Segmentation Strategy 12 Recommendation for Monitoring and Controlling the Proposed Action Plan 13 Monitoring Action Plan 13 Controlling Action Plan 14 References 16 Appendices 18 Situation Analysis 18 PESTEL Analysis 18 Porter’s Five Forces 20 SWOT Matrix 22 Environment Audit Stenders can be considered as one of the leading multinational cosmetics and face and body beauty products... ...
12 Pages(3000 words)Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Essay on topic External Environment, Internal Environment and SWOT Analysis for FREE!

Contact Us