Swot Analysis Of Waterford Wedgwood

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Waterford Wedgwood

SWOT ANALYSIS

Strengths:
The following are some of the strengths of Waterford Wedgwood:
• One of the major strengths of the company is its standard procedures of production. As a result, the products offered to the customers have high quality.
• Each product is unique and hand made by group of finest craftsmen.
• The company reported the revenue of $38 billion in the year of 2008 and in 2012 the revenues were $42.7 billion. The growth rate of the company’s revenue is its major strength. Annual growth rate of the company is 2.96%. They have estimated their revenue for 2015 to be $49 billion.
• The company’s strong distribution network that is comprised of massive fleet of trucks, retail stores, airplanes and sales representatives.
• The company pays high rates of dividends quarterly of 0.14% and annual yielding is 0.62%
• The company has an earnings ratio of 14.02x. It reflects that the company has very high ability of generating profits.
• Another strength of the company is the confidence that its investors show in the future growth of the company, 78% of the share outstanding are taken by the institutional investors
• The company is adding new products to its product line regularly; meanwhile, it has been able to maintain the quality and standard of existing products.

Weaknesses:
• The net profit margins are only 4.76% that do not help the company to cover its rising input costs.
• The cash flow per share in 2012 was $17.00; however for the year 2013 the financial analysts estimated the cash flow to be $14.60, which is 14.12% lower than previous year.
• A very surprising fact about the company is that it does not have any vision statement.
• No emphasis made on the marketing strategy of the company, so ...

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...tomer base.
• Will do everything to address the issues or problems faced by the clients through social media to enhance consumer brand equity.
• Will increase their social commerce by 20% in next five years by engaging their customers in every decision that will affect them directly or indirectly.
The company should acquire more companies in the Asian markets, like India, Pakistan and China and expand in these areas because these markets are still developing. The company has a good chance of growth because the labor of these countries is very cheap. The company can focus on all the strategies mentioned in the strategy alternative part because they can be adopted at the same time. Two of the strategies are related to the marketing campaign and positioning of the company, while the last one focuses on the expansion which should be the global agenda of the company.

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