Moreover, smaller brands like Byron Bay label, Afends has dramatically grown in the last decades by selling its products through independent and online stores. By meeting customer demand, positioning itself as a well-known and trusted brand with a vast amount of prestige it has ensured that sales remain high.
Other rival brands such as Quicksilver and Rip Curl have also expanded their popularity. The expansion has helped the organization to build new revenue stream and diversify the economic cycle risk in the markets it operates in.
Their positioning strategy is a high quality, high priced, fashionable product. Threats Billabong International Limited Facing - External Strategic Factors Intense competition — Stable profitability has Billabong swot analysis the number of players in the industry over last two years which has put downward pressure on not only profitability but also on overall sales.
The technological trend is also significant in clothing industry, and Billabong is making use of technology for achieving higher overall exposure in the industry. These brands manage to establish strong credibility within surfing subculture and it was also equally consumable by non-surfers who identified Billabong swot analysis the lifestyle.
As circumstances, capabilities, threats, and strategies change, the dynamics of a competitive environment may not be revealed in a single matrix. Article continues after advertisement Financial planning is not done properly and efficiently.
Billabong gains customer satisfaction by offering quality products that is not vulnerable or ruined easily despite the harsh conditions of many of their products intended uses, such as swimmers, skis and snowboards. Billabongs sponsorship of international sporting events and sporting stars also helps to promote their brand not only in Australia but also on the international market as well.
For example changing environmental regulations can be both a threat to company it can also be an opportunity in a sense that it will enable the company to be on a level playing field or at advantage to competitors if it able to develop the products faster than the competitors.
Its weakness also includes regular changes in management. Williamson, Markets and Hierarchies New York: Furthermore, by working in more than countries obtained cushion impacts of the entry of a new competitor and economic cycle into any of their industries.
SWOT does not show how to achieve a competitive advantage, so it must not be an end in itself. The new taxation policy can significantly impact the way of doing business and can open new opportunity for established players such as Billabong International Limited to increase its profitability.
Highly successful at Go To Market strategies for its products. By doing this, it has not only gained international markets, however it has also become a prestige and status symbol for its target market. Superb Performance in New Markets — Billabong International Limited has built expertise at entering new markets and making success of them.
Billabongs positioning also comes into effect with place as it must ensure that its product remains out of discount and department stores and remains only in specialty stores. The company can face lawsuits in various markets given - different laws and continuous fluctuations regarding product standards in those markets.
Their extensive product ranges are for surfers, boarders, beach lovers, and the sensible fashion people. The weakness as faced by Billabong is mainly in terms of higher transportation cost, and the positioning strategy has also weakened because it is perceived differently by its customers because of its sea side promotions.
Difference in oragnisational culture and practices on different regions are their major concerns. Growing strengths of local distributors also presents a threat in some markets as the competition is paying higher margins to the local distributors. This should open a window of opportunity for Billabong International Limited in other product categories.
Successful track record of developing new products — product innovation.
Lower inflation rate — The low inflation rate bring more stability in the market, enable credit at lower interest rate to the customers of Billabong International Limited. A combination of an interactive website, promotional magazines and flyers, personal in store selling and strong public relations through both sponsorship of sporting events and famous athlete using Billabong products have generated a strong brand images amongst its industry.
It has come across as a Billabong swot analysis firm looking forward to bring out products based on tested features in the market. Free Press, ; L. There are interrelationships among the key internal and external factors that SWOT does not reveal that may be important in devising strategies.
Identifying customer tastes were depends on various types of traditions and cultures. As mentioned earlier even though Billabong International Limited is successful at integrating small companies it has its share of failure to merge firms that have different work culture. With more cash in bank the company can invest in new technologies as well as in new products segments.
However, to the global extent, consumers are likely to find other tailors which would provide products that would be cheaper than existing ones. Rising raw material can pose a threat to the Billabong International Limited profitability. This is one of the major limitations of SWOT analysis.
New environmental policies — The new opportunities will create a level playing field for all the players in the industry. Days inventory is high compare to the competitors — making the company raise more capital to invest in the channel.
Further, European countries are imposed on limiting working hours by governments. On the basis of analysis of Billabong, it is evaluated that the most suitable strategy is market development whereby the company should look for developing new markets for its clothing products.
Billabong International Limited makes broad use of the marketing mix in their marketing plan.What is a SWOT Analysis? It is a way of evaluating the strengths, weaknesses, opportunities, and threats that affect something.
See WikiWealth's SWOT tutorial for help. 1 - Billabong Analysis Essay introduction. Company Profile – Billabong International Ltd – Overview of Billabong Billabong International Limited is an Australian based clothing company that established its business in ’s and expanded internationally through its franchises and acquisitions.
The business is engaged in the marketing, distribution, wholesaling and retailing of. Blessed is the man that feareth the LORD: that delighteth greatly in his commandments. 1 I beseech you therefore, brethren, by the mercies of God, that ye present your bodies a living sacrifice, holy, acceptable unto God, which is your reasonable service.
2 And be not conformed to this world: but be ye transformed by the renewing of your mind, that ye may prove what is that good, and. A SWOT analysis of Billabong International Ltd., a clothing company, is presented. It is involved in the marketing, distribution and retailing of apparel, accessories and wetsuits in Australia, North America, Japan, New Zealand and South Africa.
BibMe Free Bibliography & Citation Maker - MLA, APA, Chicago, Harvard.Download