Culminating Scrapbook Assignment (Unit 3) PDF

CULMINATING SCRAPBOOK ASSIGNMENT(Unit 3) By Otis I’ll be doing…  SWOT analysis There are 2 factors that affect you, external and internal. Some changes come from you, some comes outside of you. Something is within our control, and something i...

CULMINATING SCRAPBOOK ASSIGNMENT(Unit 3) By Otis I’ll be doing…  SWOT analysis There are 2 factors that affect you, external and internal. Some changes come from you, some comes outside of you. Something is within our control, and something is not. You cannot choose the date of your birth but you can choose how to live out your life. “You”- in this case, is the organization. There are positive and negative aspects to these factors that affect the organization, we call them “strengths and weaknesses” for internal, and “opportunities and threats” for external. SWOT offers the organization an analysis of both external and internal factors, giving a more comprehensive view of the world so that the organization can adapt to its demands, as well as focusing on where the organization can improve  Porter’s Generic Strategy Simply put, Porter’s Generic Strategy is a graph for how companies can make their products to compete. There are 2 ways to compete: Differentiation-make a more unique product, and Cost leadership-make a cheaper product. Within those 2 ways, there are 2 more subcategories, focused(selling the product to a specific group of people) and non-focused(the target is not so specific). This ended up with 4 strategies for competition, Cost Leadership(low cost but broad market), differentiation(broad market and differentiated), focused cost leadership(low cost and narrow market), focused differentiation(differentiated but focused)  P.E.E.S.T “PEEST” is an acronym for external factors that affects the organization in a global or nationwide scale. Its job is to help the organization identify what’s going on in the world in order to adapt to it by predicting ongoing wide scale trends. The full name of “PEEST” is actually Political, Economic, Environmental, Social and Technological. Political: It focuses on what the laws are, as well as who’s running the country, and how exactly Social: It primarily focuses on the country’s culture. For example, since the does the leader run the country. If the leader runs the country poorly, then it’s not looking good Saudi Arabia is a Muslim majority country, Mcdonalds does not serve pork for the organization. burgers over there. Economic: The overall economic status of the country. If the economy is booming, then the organization should invest in growth as there is a higher demand for consumption. Technological: How advanced the country’s technology is. If it’s not advanced, If the economy is bad, then the organization should try to make things cheaper to it affects how efficient goods can be produced or transported. match the bankruptcy of citizens so that it’s affordable for them Environmental: It looks out for the climate, weather, geological Activity (e.g., earthquakes) and environment attitudes, because it may affect when and how many people are coming to purchase stuff from the organization. If there’s an earthquake, then people can’t go outside, affecting the business negatively. It also focuses on “carbon footprint” as it marks how much carbon dioxide is produced in the air, meaning that the organization shouldn’t pollute the atmosphere anymore if the country is already at the brim of suffocating, it’s an ethical responsibility.  Porter’s Five Forces Porter’s Five Forces states that there are 5 external forces that influence organizations. In a highly competitive industry these factors are low as they have less existing competition, few threats from new entrants or substitutes, low bargaining power among suppliers and buyers. In contrast, in a lowly competitive industry these factors are high. The easier it is for companies to enter an industry, the more intense the competition will become.  BCG Matrix This is a grid that shows a product’s growth rate and market share for organizations to figure out what to stop selling much and what to sell more, as well as how much more they should market them. Stars are products that are growing and has the most income, you can let them stay what they are. Cash cows are products that has the most income but aren’t growing anymore, you can advertise them more. Question marks are products that are growing but not a lot of income, you should charge people more money for them. Dogs are products that aren’t both, you should discard them.  Advantages & disadvantages Turns out, Dr. Morrison Primarily uses SWOT. Advantage: The advantage of Dr Morrison using SWOT is that : It’s simple: it is so simple to apply despite of how he’s “not familiar with most strategic planning methods” listed above and that he thinks that they’re too “technical” for him. One Tool Can Tell Four Stories: He says that DSC is “influenced by multiple factors” that pull it apart from different directions, such as the strength of being bilingual Comprehensive: He says that because there are an equal amount of “factors” that he “could not control over” to the amount of the ones he does have “control over”, which means that he needs to analyze both intrinsic and extrinsic factors. Having both factors allows him to have the full picture of the company’s influences. By using a SWOT analysis, he is able to organize and process his thoughts, which allowed him to notice the following things— He mentioned threats such as “an increase of international schools, putting more competitions towards DSC as there are more seats”, “population decline…there are less students coming in as there are less kindergarteners being born” and opportunities such as “there are more mainlanders coming in”. ○ This allowed him to realise that DSC should stand out from other international schools by adapting to a bilingual system that offers Putonghua lessons towards mainland students, as well as offering 2nd language opportunities for local students to be “truly bilingual”  Advantages & disadvantages disadvantage: Lack of Prioritization, takes him a long time: SWOT does not tell him which factor is the most important, so he wouldn’t know which one to focus on first, or how much he should emphasize the most. Since our meeting was short, it was very hard for him to flesh out all of his thoughts, so he spent most of the time talking about the external factors, leaving little room for internal factors. Even though our meeting was cut short, I was still late for class because there was still so much more left unsaid. ○ This would slow him down from implementing more changes to the school as he spends most of his time analysing what to do with SWOT ○ Time spent doing analysis is time wasted for making more money. A person can only do one thing at a time, so spending time doing SWOT distracts him from doing his actual work The Analysis Is Subjective: He mentioned a lot of his own opinion on the matter, which is all subjective. It might be unreliable to trust your own 5 senses as it might deceive you. ○ There are no correct answers in SWOT, which would cause uncertainty within his decisions. Which means that his decisions might not be consistent with the previous ones.  Coca Cola vs DSC Strengths: one of DSC’s strengths is that it follows “isomorphism”, similar to how coke tries to stand out from its competitor pepsi by making a “secret recipe”. Weaknesses: Coca Cola is a company that sells soft drinks, which causes health problems to customers. However, DSC is a school, so customers(ie students) won’t face health problems. Opportunities: DSC has relatively few competitors on the market because there aren’t a lot of international schools in Hong Kong, similar to how Coca Cola does not have other soft drink companies capable of taking its throne. Threats: DSC’s biggest threat is the low birth rate in Hong Kong, causing fewer students in the elementary section. However, Coca Cola’s brand is multinational, just because the population of Hong Kong is low doesn’t mean that other areas and countries in the world has the same problem, so Coca Cola is unaffected.  Is SWOT effective? Advantage for Coca Cola to use SWOT: Low Cost: Coca Cola can lower their budget if they use SWOT, and allocate more resources for the quality of their products. I.e. making new flavors of coke, making better and better commercials Helps play offence and defence: Noticing the recent rise in popularity of Oreos, Coca Cola saw this as an opportunity to collaborate with them. Hence the coke-flavored oreo was born. This sustains the company's popularity by latching onto the success of another company, making profit out of the situation. disadvantage for Coca Cola to use SWOT: Too Many Opinions to Address: Since Coca Cola is a big company, it has too many staff, subordinates to listen to. There might be a situation where one’s opinion is just as valid as the other, and since it’s hard to keep track of who’s “who” and what’s “what”, some ideas might get ignored or forgotten. The Analysis is subjective: Although the leader of the company might try to be as objective as they possibly can by listening to all their staff‘s analysis on SWOT, each and every one of them has a different answer in mind, so the answer for a SWOT analysis is not clearly defined.  In conclusion: DSC is more effective with SWOT than Coca Cola as they have more advantages than disadvantages compared to that company. Also, DSC’s goals are more defined compared to Coca Cola as the analysis is done by only one person-Dr Morrison, which doesn’t contradict itself as much as Coca Cola does when all the staff’s opinions diverge from one another, resulting in utter confusion. Animitevabg. (2020). 3 Great SWOT Analysis Examples with Real Companies - mktoolboxsuite.com. MkToolBoxSuite. https://mktoolboxsuite.com/swot-analysis-examples/ Status Net. (2019, August 18). 10 Benefits and Limitations of SWOT Analysis You Should Know About - Status Articles. Status Articles. https://status.net/articles/swot-analysis-process-benefits-limitations/ Coca Cola Swot Analysis. (n.d.). Edrawsoft. https://www.edrawmind.com/article/coca-cola-swot-analysis.html