7/28/2019 pak suzuki.docx

1/4

SWOT / TOWS Matrix

STRENGHTS WEAKNESSES

1. Highest Market Share 1. Lack of quality control.

2. Low Price Vehicles 2. low interior quality

3. Large Distribution Channel 3. Less focus on Looks anddesign

4. Own Production Facilities4. Less advertisement

5. Fuel Efficiency5.No luxury cars

OPPORTUNITIES S-OStrategies W-OStrategies

1. Increasing Demand for cars

1. Maximize market share byproducing more cars per year(S1,S2,O1,O3)

2.Introduce cars with small sizegas cylinder (S4, O4, O5).3. Increase Production Capacity(S1,S2,S4,O1,O3)

4. Focus on Looks and Design

to compete with Honda andToyota (W3,O1,O3)

5.low interior quality can

increase by technologicaladvancement (W2,O5)6. Increase marketing Efforts(W4,O3)

2.Relaxed monitory policy ofstate bank

3. Large Market to Operate

4. Small size CNG Cylinder

5. Technological advancement

THREATS S-T Strategies W-T Strategies

1. Tough Competitors6. Maintain quality inaffordable price will help to

compete with competitors andimported cars (S2,T1,T4)7.Increase Dealerships in newlocations (S3,S4,T1)8. Introduce cars with more fuel

efficiency(S4,S5,T5)

9. Introduce cars with good

looks and shape to compete

with Imported cars (W3,T4)10. Enforce strict Quality

control procedures

(W1,W2,T1)12. Introduce luxury cars

(W5,T3)

2. Inflation Rate

3. Luxury Cars of thecompetitors

4. Reconditioned Imported Cars

5. Increase in Fuel prices

7/28/2019 pak suzuki.docx

2/4

Space Matrix

Financial Strength (FS)

Increase in company sale 11% +3

Increase in net income 22.61% +2

Current ratio3.08 &acid test ratio 1.06 +2Return on equity 5% +3Inventory turnover ratio 5.3& days 69 +2

Total: +12

Industry Strength (IS)

Increase demand of imported cars +5+3

+4

Total: +12

Competitive Advantages (CA)

Low price -4Easy availability of spare parts -3Resale of cars -3

Large distribution channels -3Market share -2

Total: -15

Environmental Stability (ES)

Tough Competition -2Heavy taxes -3Imported Cars -4Law and Order Situation -2

Inflation rate -2Total: -13

7/28/2019 pak suzuki.docx

3/4

QSPM Matrix:

Strategy-I

Market

Development(Increase

Dealerships in urban

Areas)

Strategy-II

Product Development

External Factors WeightAttractive

Score

TotalAttractive

Score

Total

Increasing Demand for Cars 0.10 4 0.40 4 0.40

Efficient EFI engines 0.06 3 0.18 4 0.24

Large Market to operate 0.08 4 0.32 4 0.32

Global Spare parts market 0.04 3 0.12 2 0.08

Tough competitors 0.08 4 0.32 2 0.16

Inflation 0.06 1 0.06 1 0.06

Cheaper Imported cars 0.08 4 0.32 4 0.32

7/28/2019 pak suzuki.docx

4/4

Increase in fuel prices 0.10 4 0.40 4 0.40

Internal Factors

Highest Market share 0.08 3 0.24 4 0.32

Low price vehicles 0.10 1 0.10 4 0.40

Large distribution channel 0.06 2 0.12 3 0.18Easy availability of spare parts 0.02 3 0.06 3 0.06

Deep product line 0.06 4 0.24 3 0.18

Less focus on style and design 0.04 4 0.16 4 0.16

Scarcity of human resource 0.04 3 0.12 4 0.16

Totals 1.0 3.16 3.44

By comparing both Market Development and Product Development, we obtained more weighted

attractive score for Product development. That means company should follow the product

development which is part of aggressive strategies. This strategy is going to help the firm in

eliminating its threats and grab the opportunities to be successful in the present macro

environment.